Bitcoin spot ETFs relief bulls in a fragile crypto market

Posted on July 6, 2024 by Olumide Adesina

Bitcoin began trading early on Saturday at roughly $56.5K from Friday’s $53.7K dip amidst a tumultuous week. Traders are worried about the Bitcoin transfers and Mt.Gox repayments made by the German authorities. Currently, 75% of Bitcoin wallet addresses are profitable, according to IntoTheBlock data.

If traders continue to pocket profits, there may be further pressure to sell Bitcoin. Following the recent US Independence Day, on July 6, there was a significant withdrawal from Bitcoin spot ETFs as Bitcoin’s price dropped below $54K In the next weeks, traders expect prices to drop as low as $50,000, a level not seen since mid-February, as billions of dollars worth of selling may add pressure on the largest crypto asset by market capitalization.

53,680 traders were liquidated for the day, for a total liquidation value of $190.01 million. The greatest single liquidation order, worth $11.4 million, was placed on OKX for BTC, USDT, and SWAP.

Coinmarketcap data revealed Bitcoin’s price plummeted by more than 10% in the last seven days. On Thursday, it dropped below a crucial technical signal, wiping out all of the gains made since the end of February. The sale of bitcoin that the US and German governments had confiscated, together with “preemptively selling” when the estate of the now-defunct Japanese exchange Mt. Gox began to reimburse investors last month, were the main causes of the market collapse.

Bulls got some relief as Farside data showed that this is the biggest net inflow they have seen in a month, with an astounding $143.1 million going into the Bitcoin market.
With an astounding $117 million in inflows, the Fidelity Bitcoin ETF led the pack, demonstrating significant investor trust in the fund.

(BITB) totaled $30.2 million, whilst inflows into the ARKB and HODL ETFs were $11.3 million and $12.8 million, respectively. On the other hand, the Grayscale Bitcoin Trust (GBTC) saw a net withdrawal of $28.6 million, in sharp contrast to the overall upward trend of other spot Bitcoin ETFs.
The Federal Reserve’s potential September interest rate cut, according to fundamentals, might lead to another attempt at a bitcoin surge.

Forex Signals Brief July 5: Rolling Up to the NFP Report

Posted on July 5, 2024July 4, 2024 by Skerdian Meta

Yesterday the main events were the release of the CPI inflation report from Switzerland and the UK Construction PMI, both of which came in softer. But while the former sent the CHF lower, with USD/CHF jumping 40 pips higher, the later didn’t have much effect on the GBP. Cable (GBP/USD) was a focal point on election day, but the driving force over the past two days has been the pound’s recovery, with the election outcome being largely anticipated.

Continue reading “Forex Signals Brief July 5: Rolling Up to the NFP Report” →

Bitcoin Melting: Even With Exchanges Buying, Is $50,000 Unavoidable?

Posted on July 5, 2024 by Dalmas Ngetich

Bitcoin is deep in red at spot rates, looking at price action in the daily chart. The coin is down double digits from all-time highs amid unrelenting bears. As things stand, bulls stand no chance unless there is a welcomed recovery from spot rates, racing above $60,000 and above $63,000. If this doesn’t pan out, the path of least resistance will be southwards, with the potential of the world’s most valuable coin even slumping to as low as $50,000.

At spot rates, Bitcoin is down 8% in the past day and 12% from the last trading week. Meanwhile, as prices trend lower, more traders are shorting and aligning with the primary trend. So far, the average trading volume exceeds $49 billion, levels last seen when the coin was rallying towards all-time highs.

Bitcoin Daily Chart for July 5

Traders should watch the following Bitcoin news events today:

Amid the sharp sell-off, solid data shows that options traders are net bullish. Going by their recent bets, it appears that more are banking on the coin to shake off current weakness and bounce sharply.
Some analysts think Bitcoin prices could be far worse than is the case. This is so because exchanges have been buying the dip, artificially supporting prices. Even so, it remains to be seen for how long exchanges will continue buying.

Bitcoin Price Analysis

The path of least resistance is south, per the formation in the daily chart.

Thus far, [[BTC/USD]] is down 27% from all-time highs.

Of note, BTC has fallen below two crucial support levels in $60,000 and, earlier today, $56,500. The latter marked May 2024 lows, and was the primary support of the May to June 2024 range.

As Bitcoin plunges today, traders should be prepared for the worst now that BTC bears eased past $56,500 and May 2024 lows.

From this, every attempt high offers entries for aggressive sellers to unload, targeting $50,000 and $45,000—which marks January highs.

Ethereum Crashing: ETH Down 30% in 6 Weeks Despite Spot ETF Excitement

Posted on July 5, 2024 by Dalmas Ngetich

Ethereum is dumping, decisively breaking below $3,300 and $3,000 in two days. As things stand, the coin is at multi-week lows, and sellers are firmly in control. Unless there is a refreshing bounce, aggressive traders might consider unloading on every attempt higher, ideally towards $2,800 and $2,500. This means that bears would have reversed all gains posted in late May.

Looking at the state of price action, it is clear that sellers are in charge. Ethereum is down 11% in the past 24 hours, pushing weekly losses to double-digits. As sellers press on, more traders are joining in, increasing their shorts. Accordingly, the average trading volume has been swelling over the last day, expanding to over $27 billion.

Ethereum Daily Chart for July 5

With Ethereum under immense selling pressure, the following trending news developments are worth tracking:

Though prices are down, Grayscale is upbeat about Ethereum as a platform and the prospect of ETH, considering its key role in priming the ecosystem. Amid rising adoption and increasing regulatory clarity, the asset could benefit massively, lifting sentiment and prices.
As Ethereum slides, more investors are banking on the coin to recover. Most supporters are looking at the spot ETF set for launch, likely in mid-July. Currently, the United States SEC is in the final stages of approving S-1 registration forms from applicants.

Ethereum Price Analysis

[[ETH/USD]] is deep in red, and buyers are struggling amid the wave of liquidation.

Technically, since gains of the May 20 bull bar have been reversed, bears are firmly in control.

Accordingly, traders can consider shorts on every attempt higher but below $3,000. The immediate target would be $2,800. However, should there be more losses today; forcing Ethereum below May 2024 lows, ETH would easily slide to $2,500.

This preview will only change if there is an unexpected recovery above $3,000 today or over the weekend.

XRP Down 45% In 3 Months: Ripple Broke Below A 4-Month Consolidation, Back To $0.30?

Posted on July 5, 2024 by Dalmas Ngetich

XRP plunged yesterday, crashing below $0.46 after roughly four months of distribution. Looking at the formation in the daily chart, it is clear that sellers are back in the picture. Despite initial hope, with traders expecting prices to bounce above $0.55 after gains in mid-June, the coin tumbled today. By falling, XRP effectively extended mid-this week’s losses, crashing any attempt to prop up prices. Unless buyers unexpectedly flow back today, reversing losses, it will be a rough day for bulls.

Like the market-wide losses across the board, XRP is in red and fragile. Of note, the seventh most valuable coin is below crucial support, a cause for concern. After months of boring sideways movement, the coin is down roughly 13% in the past day and week.

As price action dominates, Ripple and XRP traders should also watch the following news events:

Yesterday, Ripple, the blockchain company using XRP in their On-Demand Liquidity (ODL) solution, announced the launch of a new API. Through this interface, developers would be free to test borderless payments using simulated funds.
After filing for a Notice of Supplemental Authority, following the ruling on the United States SEC versus Binance case, Ripple hoped for the best. However, as it turned out, the regulator’s lawyers said the case was irrelevant as the court prepares to rule on the penalty the blockchain company should pay.

XRP Price Analysis

[[XRP/USD]] is down 45% from March highs.

The primary trend is bearish, following the bearish breakout formation of April 13.

Since bulls didn’t break above $0.55, nullifying the emerging bear trend, the drop of July 4 confirmed the downtrend. Of note, yesterday’s crash meant XRP broke below a multi-week consolidation after the dump in mid-April.

Therefore, in light of these events, aggressive traders might consider selling on every bounce, targeting $0.35 and $0.30 in the short term.

May’s Low at $57,000 Holds as Support for Bitcoin

Posted on July 4, 2024 by Skerdian Meta

Bitcoin was finding some solid support at the $60,000 zone, which was a good place to go long for some time, bit it has taken a sudden turn. The cryptocurrency experienced a significant drop this week, falling below $60,000 yesterday and continued to decline today, falling to the next critical threshold which is low from early May. The price briefly dipped below $57,000, raising the possibility of a more substantial break on the charts.

Continue reading “May’s Low at $57,000 Holds as Support for Bitcoin” →

Bitcoin drops below $57K,131,631 traders liquidated

Posted on July 4, 2024July 4, 2024 by Olumide Adesina

Bitcoin dropped below $57K for the first time since May, marking more than a 5% loss in a single day. Mt. Gox wallets started moving with test transactions after being inactive for a month, increasing the likelihood of asset distributions and escalating selling pressure.

The sell-off happened at the same time that the German Federal Criminal Police Office transferred over $75 million to cryptocurrency exchanges and that activity began to appear in the wallets of the now-closed Mt. Gox cryptocurrency exchange for the first time in a month.

In the past 24 hours, 131,631 traders were liquidated, totaling $372.75 million in liquidation value. For ETHUSDT, the highest liquidation order was made on Binance, valued at $18.48 million.

The crypto market valuation fell to $2.09 trillion, down 6.07% from the previous day. $90.34 billion has been traded on the cryptocurrency market in the last 24 hours, a 34.44% gain.

The founder of Tron, Justin Sun, made a bid to purchase the German government’s more than $2.3 billion worth of Bitcoin assets. The well-known cryptocurrency pioneer planned to lessen the negative impact by buying BTC off-market,” Sun wrote in a July 4 X post to his 3.5 million followers, announcing the offer.

Concerns regarding potential Bitcoin sales were raised on June 19 after 6,500 Bitcoins worth more than $425 million were transferred via a wallet connected to the German government.
Since market selling of the remaining holdings may harm the price of Bitcoin, traders were discussing the wallet a lot.

Before the first transfer, the wallet contained roughly 50,000 BTC since February 2024. The financing source is believed to have been Movie2k, the proprietor of the pirate movie website.

Bitcoin Whales Exiting En Masse: Are They Avoiding A Crash To $50,000?

Posted on July 4, 2024 by Dalmas Ngetich

Bitcoin is trending lower at spot rates and under immense selling pressure following events on July 3. Though the $56,000 zone is untested, at least for now, the sell-off this week means sellers are in control. If there are more losses today, the probability of BTC shrinking to $50,000 will be high, a concern for optimistic traders. Going forward, traders should watch the reaction at $56,500, aware that any rejection would be massive for buyers currently on the fringes.

Bitcoin is in red at press time, dropping 20% from May 2024 highs. From coin trackers, BTC is down 4% in the past day and week. Even though the uptrend remains, at least guided by the performance from H2 2023 to mid-March 2024, there is a reason for concern. Participation increased slightly yesterday, rising to $34 billion amid falling prices. This formation suggests that sellers are in the equation, and likely more people are exiting.

Traders and investors are keeping tabs on the following Bitcoin news:

Bitcoin whales, on-chain data shows, are unloading, transferring in bulk, coins to top exchanges, mainly Binance. Over 2,000 BTC have been moved to Binance in the past day alone, suggesting that they might have been sold, further weakening the uptrend.
Even though prices are up nearly 2X in the last year, most speculators, or short-term holders (STHs), are in the red, contending with losses. Even so, diamond hands, holding for at least five years, are deep in green.

Bitcoin Price Analysis

[[BTC/USD]] prices crashed on July 3, and the same were extended earlier today.

Even though there might have been hope for gains, the wide-ranging bars of July 3 and 4 decimated bulls.

For this reason, aggressive traders might choose to unload, selling on every attempt higher. The immediate target would be $56,500, marking May 2024 lows.

On the other hand, conservative traders will find entries if Bitcoin plunges below $56,500, ideally at the back of rising volume.

In the event, BTC might likely crash to $50,000 in a major correction since Q1 2024.

Ethereum Crashing: ETH Approaching $3,000 Despite Massive Adoption

Posted on July 4, 2024 by Dalmas Ngetich

Ethereum is selling off when writing, looking at the performance in the daily chart. Even though the uptrend remains, since gains of May 20 weren’t wiped clean, there are cracks developing. These fissures are widening after ETH closed below $3,300 today, confirming yesterday’s losses. If the dump continues, the probability of the coin crashing to as low as $3,000 would be elevated, denting sentiment.

At press time, Ethereum is bearish, breaking below a critical support level. As things stand, Ethereum is down 5% in the last day and week. Since the coin is in red, there have been changes in trend; the coin is sliding on rising participation. Over the last day, the average trading volume rose to over $18 billion. This points to traders flowing in, possibly unloading.

Traders and investors are monitoring the following Ethereum trending news:

GTA 6, the popular video game, reports show that it will support other crypto assets apart from BTC, ETH, and USDT. The expansion of the number of coins accepted is a huge boost as far as adoption is concerned.
Circle and Paxos are now regulated in the European Union, compliant with MiCA laws. Meanwhile, Société Generale, one of the largest banks in France, is launching its stablecoins on Ethereum. More TradFi companies are choosing the first smart contracts platform over modern solutions like Solana.

Ethereum Price Analysis

[[ETH/USD]] is under immense selling pressure, looking at the performance in the daily chart.

With the drop of July 3 and early today, every high below $3,300 could offer entries for aggressive sellers targeting $3,000 in the short term.

Since the drop was comprehensive, the probability of ETH sliding below $3,000 to as low as $2,800 remains elevated.

Notice that the gains of May 20 are yet to be completely erased, giving hope to optimistic Ethereum buyers.

If ETH unexpectedly picks up momentum, winding up recent gains, and breaks $3,500, it would be a huge boost for bulls.

XRP Bulls Destroyed: Ripple Traders Angling For $0.40

Posted on July 4, 2024 by Dalmas Ngetich

XRP is dumping, looking at the performance in the daily chart. As crypto prices trend lower, the impact on the seventh most valuable coin is evident. While the ongoing court case is a huge factor to consider, the short-term formation favors sellers. With this in mind, smart traders might choose to align with the dominant bearish trend, at least for now.

As crypto crashes, shaking out speculators, XRP has not been spared. Currently, the coin is down 5% on the last day but relatively stable over the previous week. What’s clear in the daily chart is that participation is rising. Over the past 24 hours, the average trading volume rose to over $1.5 billion. At the same time, the July 3 bar was wide-ranging, instantaneously wiping out gains posted throughout this week.

The following XRP and Ripple news are worth watching:

Looking at the performance of XRP, the coin appears to have been accumulating for roughly seven years since peaking at over $3 in late 2017 and early 2018. Since then, prices have been trading lower but within a broad, wide-ranging flag. Analysts now expect a breakout anytime that could mean the end of this consolidation.
For the first time in Sweden, an XRP ETP has been launched, a massive endorsement for the altcoin. The product is issued by Virtune, a digital asset manager, and is available for trading on Nasdaq Stockholm.

XRP Price Analysis

[[XRP/USD]], following Bitcoin and Ethereum, crashed on July 3.

The drop erased all gains posted from Saturday last week, forcing price action back to red.

Aggressive traders can consider selling, aligning with the bear bar of July 3.

The immediate target would be $0.40. Further losses below this level might catalyze the sell-off, forcing the coin toward $0.36.

This outlook (though unlikely) will change should XRP prices close firmly above $0.52 and $0.55.