Alexander Kuptsikevich
FxPro Financial Services Limited
Market picture
Another attempt by Bitcoin to break above $28K triggered a wave of selling that took the price back to $27.2K at the peak of the decline. Interestingly, the pressure on Bitcoin came when the risk appetite in traditional markets was recovering. We attribute this to Monday's US defaulted debt markets rather than the moving of money from one asset to another.
Technically, bitcoin has established $28K as a severe resistance level but is not yet on a clear downward path.
Ethereum remains weaker than the market, having pulled back below $1580 on Monday evening - the bottom of the last two months’ range. So far, the situation looks more like a smooth downtrend with a possible pause near significant support. But without a confident reversal from current levels, we can't talk about stopping the decline.
According to CoinShares, investments in crypto funds increased by $78 million last week, continuing the inflow for the second week. Bitcoin investments increased by $43 million, and Ethereum investments increased by $10 million. Solana saw its largest weekly influx since March 2022 at $24 million, continuing to establish itself as the altcoin of choice.
News background
Last week was an essential test for Ethereum investors following the launch of six futures ETFs in the US. They raised just under $10 million in their first week, in sharp contrast to a similar bitcoin ETF that raised $1 billion in October, according to CoinShares.
Most investments in cryptocurrencies will be devalued entirely, said Charles Munger, vice chairman of Berkshire Hathaway and an associate of Warren Buffett.
The UK's Financial Conduct Authority (FCA) has drawn up a blocklist of 143 cryptocurrency companies with which it is not advisable to do business. The list includes popular crypto exchanges HTX and KuCoin.
The Solana development team announced the rollout of the 1.16 update to the network, significantly reducing the RAM requirements of validator hardware and allowing for confidential transactions.
Binance exchange CEO Changpeng Zhao ruled out an explosive rise in bitcoin immediately after the halving. According to him, BTC usually does not reach new highs until a year after the miners' reward is cut.
Trade Responsibly. CFDs and Spread Betting are complex instruments and come with a high risk of losing money rapidly due to leverage. 77.37% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider. The Analysts' opinions are for informational purposes only and should not be considered as a recommendation or trading advice.
Recommended Content
Editors’ Picks
Turn off Solana and win $400,000 - Solana Foundation executive announces offer
Solana has been touted as an Ethereum killer, but as with every blockchain in the crypto market, the network does not come without its fair share of issues. While many who get hacked or exploited deal with the issues after the fact, Solana intends to get a step ahead by making a very lucrative offer to white hat hackers.
Grayscale vs. SEC deadline: Commission faces a midnight Friday deadline to challenge August 29 loss
Grayscale Investments secured a resounding victory in its longstanding case against the US Securities and Exchange Commission in late August. The lawsuit started in October after the firm approached the D.C. Circuit Court pushing to have its Bitcoin Trust converted to an Exchange-traded fund.
Loom Network price hits strong weekly resistance after 32% surge as LOOM ranks high on Korea’s Upbit
Loom Network token is highly bullish, passing as a rather lucrative investment for scalping traders, buying and selling the asset within a short period to make small profits.
Voyager founder charged by CFTC for fraud and by FTC for misleading investors that lost $1 billion
Voyager was among the first crypto companies to collapse and file for bankruptcy in 2022. While the platform has been making efforts to return its customers' assets since then, it looks like the regulatory bodies are not willing to be patient.
Bitcoin: Can BTC bears challenge crypto’s 2023 bull rally?
Bitcoin (BTC) price is at a critical juncture in the weekly time frame, where bulls and bears are battling for control. However, a multi-time-frame analysis shows that BTC is bullish daily and is likely to rally higher.