The Crypto Daily – Are the Bulls about to Hit Back?

The Bitcoin bulls will be eyeing a return to $8,000 to signal a buy. Expect the broader market to track a Bitcoin rebound…
Bob Mason
Ripple, Dash coin, Bitcoin, Monero and Ethereum

After some impressive gains last week, it’s been a bearish start to the week. With the exception of Binance, which managed to close out in the green on Monday, its been red across the board.

While some of the reversal can be attributed to the latest SEC delay on pending Bitcoin ETF applications, profit taking is likely to have had more of an impact at the start of the week.

Interestingly, market sensitivity to the pending SEC decision on the Bitcoin ETF applications has significantly diminished.

The news wires and regulators, in general, have been more crypto friendly of late. Coupled with increased adoption, sentiment across the broader market has certainly improved since last year.

This can be evidenced by a material increase in 24-hour volumes in recent months. 24-hour trading volumes have risen from $12bn levels back at the start of the year to $80bn levels this morning.

An upward trend across the broader market has led to volumes easing back from a current year high $103.09bn hit on 16th May.

Supported by sidelined investors returning to the fold, the total crypto market cap has also seen a sizeable increase. Sitting shy of a current year high $262.11bn, a current total market cap of $244bn sits well above the start of a year $125.71bn.

At the turn of the year, the need for the SEC to approve the pending Bitcoin ETFs was far greater than at present.

Optimism over an eventual approval of at least a handful will continue to provide support to Bitcoin and the broader market, however.

The prospects of a material inflow of institutional money would certainly be positive.

An issue, however, could be the impact on inflows should Bitcoin have already broken through $10,000 levels.

This Morning,

Following the bearish start to the week, the majors are back in the red this morning.

At the time of writing, leading the way down was Binance Coin, down by 3.78%. The early losses came off the back of a trend-bucking gain on Monday and a new swing hi $32.99 struck on Sunday.

For the rest of the pack, while it has been a bearish morning, the majors have come off early lows. A bottoming out would be supportive of a possible recovery later in the day.

For the Day Ahead,

It’ll be all eyes on Bitcoin. A move back through to $8,000 levels later in the morning could signal a market rebound.

The bulls could take the reins should the broader market see the losses ease going into the afternoon.

As crypto volatility has picked up, the swings have certainly increased. The increased vol has given investors a greater incentive to jump back in on the rise.

It may not be quite ready for the SEC, but the Bitcoin bulls will be looking for an entry price. An afternoon rally could be on the cards for the broader market if Bitcoin recovers to $8,000.

Get Into Cryptocurrency Trading Today

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US