Are We Seeing Crypto Winter Thaw Out? | Daily News 20/7/22
😲 The total crypto market cap is now at $1.06 trillion, rising over 2% yesterday as Bitcoin and the rest of the crypto market surged up 📈 even further in the last 24 hours! Bitcoin was able to break higher over the month-long range it's been sitting in, while Ether was able to break $1600! All in all, a very bullish momentum 🐂 from the top-tier cryptos. The crypto market also crawled out of the “extreme fear” zone on the ‘fear and greed index’ after a massive 73 days.
Cryptocurrencies also mirrored stocks 📊 as the S&P 500 and Nasdaq ended the day higher 2.8% and 3.1% higher respectively. The continuous downside action of the DXY 🔻 (strength of the US dollar against six other currencies) was able to keep riskier assets afloat as it dropped below 106.4.
Let's take a deeper look at the markets! 👇
🟢 Well, Bitcoin (BTC) has certainly been doing very well in the last 24 hours, as it is currently valued at over $23,400, up over 7%!
Looking at the daily chart below 👇, you can see that BTC has now broken the range it had been stuck in for the last month (between $18K-$22K), that we spoke about yesterday. To look for long-term growth from here, however, we would need to see a bounce to the recent support of $23,000 and continue moving up. This would gather the strength of the bulls together to keep price momentum rising.
But of course, if Bitcoin is to drop under $23K and fall back into the familiar range, then we could see prices continue to consolidate. So all eyes 👀 are now on price and of course, the 🌍 global macroeconomics; will the Fed’s rate hikes next week turn things back around?
The BTC/USDT shows bullish pressure moving price up. Can it continue?
👋 Did you watch our market analysis video yesterday? Click here to watch where I explain the above scenario that has happened over the last 24 hours, and what we could expect from here. (oh and make sure you subscribe!) 🗳️
📋 Santiment (the Behaviour Analysis Platform) tweeted that while traders are singing a different tune 🎵 and smelling a Bitcoin breakout, investors should watch out for FOMO (fear of missing out) type trades. The market intelligence platform said that the ratio between BTC longs and shorts is at its highest point since early May.
Santiment’s tweet on its take on the current market conditions
📍 One thing to certainly be aware of, is that once big moves like what we have seen happen, try not to allow FOMO to carry you away. Always allow the market to breathe!
📈 Starting with Ethereum (ETH), the price is continuing to push higher and is currently valued at $1538, near the resistance level of $1573 that it needs to break through to continue a new leg upwards. ETH is up almost 45% over the last 7 days! 🤩
🕵 Eyes will be on Bitcoin’s next moves, to see where alts can go to next!
💹 The U.S. stock futures traded higher earlier this morning, after a good rally for the three major indexes yesterday. The Dow managed to rally up 2.43%, while the S&P 500 and the Nasdaq climbed 2.76% and 3.11% respectively. 💲 We also saw the US Dollar Index (DXY) continue to slip down even further to lows of 106.38, now in its fourth day in a row in the red. If we continue to see the weakness in the dollar, we can expect to see other assets and pairings continue to rise, including Bitcoin!
📋 Finally, we had the release of the annual consumer price index (CPI) data yesterday showing that inflation in the UK had risen to 9.4% in June, the highest level it has seen since February 1982, 40 years 🤯! This led to the Sterling (GBP) steadying today, after it had hit a two-week low against the euro.
⚠️ To keep up to date with weekly economic events like the CPI report above and how it affects crypto traders and investors, be sure to keep up to date with our weekly ‘Upcoming Economic Events & Forecasts’ blog!
🎬 Finally, don’t forget to subscribe to our YouTube channel, where we do regular twice-a-week updates on crypto market analysis….and more exciting content to come!
- Bitcoin has breached its range, breaking out to under $24K. Is crypto winter ending?
- Altcoins followed suit, with DOGE performing well.
- The UK CPI year-on-year report is out, and the US dollar continues to weaken. Good for crypto?
- Lastly, did you watch our NAGAXpert Technical Analysis video yesterday on our YouTube channel?
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