The crypto market capitalisation declined by 0.66% to $1.038 trillion, showing several waves of decline with increasingly lower local lows. this is a sure sign that the bears are in control, and the pressure seems to be coming from the stock market, as the institutional favourites that are losing the most so far are Bitcoin (-1.1%), Ethereum (-0.9%) and XRP (-0.7%).
The first cryptocurrency is settling increasingly firmly in the territory below $26K. Since March, Bitcoin has been repeatedly bought on dips to this level, but it seems the support doesn’t look as strong now. A failure under $25.4K would signal the end of the corrective rebound to $28K and open the way to $21.5K. However, potentially strong support could come as early as $24K, where the 50-week moving average passes.
investment in crypto funds fell by $11 million last week; outflows have been down for 6 of the previous seven weeks. At the same time, trading volumes were 90% above average since the beginning of the year.crypto whales have invested more than $1.5bn in Bitcoin in the past two weeks, with purchases following BTC’s sharp drop in mid-August.
The activity of a wallet linked to the bankrupt FTX exchange has raised fears of a potential cryptocurrency sell-off in the making. On 24 August, FTX announced plans to “sell, stack and hedge” $3 billion worth of its cryptocurrencies.
The first cryptocurrency is settling increasingly firmly in the territory below $26K. Since March, Bitcoin has been repeatedly bought on dips to this level, but it seems the support doesn’t look as strong now. A failure under $25.4K would signal the end of the corrective rebound to $28K and open the way to $21.5K. However, potentially strong support could come as early as $24K, where the 50-week moving average passes.
investment in crypto funds fell by $11 million last week; outflows have been down for 6 of the previous seven weeks. At the same time, trading volumes were 90% above average since the beginning of the year.crypto whales have invested more than $1.5bn in Bitcoin in the past two weeks, with purchases following BTC’s sharp drop in mid-August.
The activity of a wallet linked to the bankrupt FTX exchange has raised fears of a potential cryptocurrency sell-off in the making. On 24 August, FTX announced plans to “sell, stack and hedge” $3 billion worth of its cryptocurrencies.
Comment:
technical picture on daily timeframes remains bearish, as the 50-day is approaching 200-day MA from above. The crossing (probably next week) can potentially trigger an impulsive sell-off, which is very dangerous in such a thin market.
Comment:
Key Insights:
Crypto market trends remain bearish as investors face uncertainties over Fed monetary policy.
Investor angst toward the ongoing SEC cases against Coinbase and Ripple added to the Sunday losses.
However, Court rulings in favor of Coinbase or Ripple could kickstart the next crypto bull run.
Market bets on further Fed interest rate hikes have weighed on riskier assets. US inflation figures on Wednesday could cement one unexpected rate hike before the Fed hits the brakes. This sensitivity is because BTC, ETH, and the broader crypto market remain responsive to Fed activity.
Crypto market trends remain bearish as investors face uncertainties over Fed monetary policy.
Investor angst toward the ongoing SEC cases against Coinbase and Ripple added to the Sunday losses.
However, Court rulings in favor of Coinbase or Ripple could kickstart the next crypto bull run.
Market bets on further Fed interest rate hikes have weighed on riskier assets. US inflation figures on Wednesday could cement one unexpected rate hike before the Fed hits the brakes. This sensitivity is because BTC, ETH, and the broader crypto market remain responsive to Fed activity.
Comment:
Updates related to the BTC-Spot ETF filings would provide direction. However, SEC v Ripple and Coinbase case-related news should have more impact. Favorable Court rulings for the crypto market would support a move toward the $26,755 resistance level.
Failure to move through the Tuesday high of $26,581 would leave the trend line and $25,506 support level in play. Adverse news would likely see BTC break below the trend line and support level to target sub-$25,000.
Failure to move through the Tuesday high of $26,581 would leave the trend line and $25,506 support level in play. Adverse news would likely see BTC break below the trend line and support level to target sub-$25,000.
Comment:
Rumors of Mt. Gox delaying the repayments by October 31 drove demand for BTC and the broader market. There is speculation in the crypto market about a potential 2024 repayment timeline. Delaying the repayment of 142,000 BTC and 143,000 BCH would ease concerns about a sudden oversupply of BTC. Short sellers may have cut their losses on the news of a possible delay, leading to a short squeeze.