Crypto Market Daily Highlights – ADA Leads the Top Ten for a Second Day

Key Insights:

  • It is a mixed Sunday session for the crypto top ten, with Cardano (ADA) leading the way while Binance Coin (BNB) and Dogecoin (DOGE) struggle.
  • Fed fear took a back seat, with dip buyers jumping in to support the broader crypto market.
  • The total crypto market cap is up by $3.5 billion to $955.7 billion.

It is a mixed Sunday session for the crypto top ten. Bitcoin (BTC) is set to end the day at sub-$20,000 for the fourth time this week while DOGE holds onto the number ten spot. ADA leads the way, finding further support from news of the Vasil hard fork date.

Market sentiment towards the Vasil hard fork was evident over the weekend, with ADA hitting $0.50 for the first time since August 19. For the broader crypto market, dip buyers provided modest support ahead of another busy week on the US economic calendar.

Following the influences of US economic indicators and Fed fear from last week, we expect the crypto market to continue tracking the NASDAQ 100 in the week ahead. While the US markets are closed for Labor Day, the NASDAQ 100 Mini will likely guide the market early in the Monday session.

NASDAQ correlation.
Total Market Cap – NASDAQ – 050922 Daily Chart

Crypto Market Cap Sees Modest Decline in a Mixed Session

On Sunday, the total crypto market cap fell to an early low of $942.2 billion before rising to a high of $963.7 billion. A lack of cues from the news wires led to a pullback to sub-$950 billion before support kicked in late in the session.

Fed Fear remains a crypto headwind. However, crypto network updates are market positive.

The total crypto market cap is down by $34 billion to $955.7 billion for the current week.

Crypto market cap rises in the week, supported by weekend upswing.
Total Market Cap 050922 Daily Chart

The Crypto Market Movers and Shakers from the Top Ten and Beyond

It is a mixed Sunday session for the crypto top ten.

ADA is up 3.74% to lead the top ten, with ETH (+0.54%), SOL (+2.52%), and XRP (+0.52%) also avoiding the red.

However, BNB (-0.14%), BTC (-0.01%), and DOGE (-0.16%) are in negative territory with an hour of the session remaining.

From the CoinMarketCap top 100, it is a mixed session.

STEPN (GMT) leads the way, rising by 3.90%. Helium (HNT) and The Sandbox (SAND) are close behind, with gains of 3.01% and 3.49%, respectively.

Celsius Network CEL), 1inch Network (1INCH), and Chiliz (CHZ) lead the way down, however. CEL is down 6.02%, with 1INCH and CHZ down by 3.05% and 3.00%, respectively.

24-Hour Crypto Liquidations Holds Steady in a Mixed Sunday Session

Over 24 hours, total liquidations have eased back, supported by a relatively range-bound Sunday session.

At the time of writing, 24-hour liquidations stood at $47.78 million, down from $49.07 million on Sunday morning.

Liquidated traders over the last 24 hours have increased modestly. At the time of writing, liquidated traders stood at 17,110 versus 16,285 on Sunday morning. While liquidations over the last hour have declined, liquidations over 12 hours and 4 hours were higher, reflecting a choppy afternoon.

Crypto liquidations steady.
Total Crypto Liquidations 050922

According to Coinglass, 12-hour liquidations stood at $30.26 million, up from $15.47 million on Sunday morning, with 4-hour liquidations up from $4.41 million to $5.33 million. One-hour liquidations are down from $1.12 million to $0.428 million. The chart below shows market conditions throughout the session.

Crypto market range-bound
Total Market Cap 050922 Hourly Chart

Top 5 Crypto Pairs to Watch This Week: ADA, BTC, ETH, MATIC, and SAND

Key Insights:

  • Bitcoin (BTC) is on target for a fourth weekly rise in six, with the total crypto market cap eyeing a sixth consecutive weekly rise.
  • US economic indicators and a shift in the investor outlook towards the September Fed monetary policy decision delivered support to riskier assets.
  • The shift in sentiment was evident in the technical indicators for BTC, ADA, ETH, MATIC, and SAND, suggesting the bullish trend to continue.

For the week ending August 14, the total crypto market cap is on target for a sixth consecutive weekly rise. The current upswing could also support a second consecutive monthly rise. Monday through Sunday morning, the crypto market cap was up $79 billion to $1,154 billion.

Crypto market on target for a sixth consecutive weekly rise.
Crypto Market Cap 140822 Weekly Chart

Recent crypto network news updates have put several coins back in the spotlight. While Ethereum (ETH) Merge updates remained the focal point, other updates have highlighted a pickup in activity across the digital asset space.

Coins to monitor in the week ahead include Cardano (ADA), bitcoin (BTC), Ethereum (ETH), Polygon (MATIC), and The Sandbox (SAND).

In addition to further network updates, the US economic calendar will continue to provide direction. US industrial production (Tues), retail sales (Wed), Philly Fed Manufacturing Index (Thurs), and jobless claims (Thurs) are the key stats of the week.

Following the better-than-expected NFP and service sector PMI numbers, another set of positive indicators could fuel bets of a more aggressive September rate hike. While inflation softened to 8.5% in July, inflation sits well above the Fed target. Favorable economic and labor market conditions could allow the Fed to deliver another 75-basis point rate hike or more.

Therefore, on Wednesday, the FOMC meeting minutes will have a material impact on riskier assets.

We expect the NASDAQ 100 to continue to drive appetite for BTC and the broader market.

NASDAQ correlation
NASDAQ – Crypto Market Cap – 140822 Daily Chart

Bitcoin (BTC)

This week, Monday through Sunday morning, bitcoin (BTC) was up 5.72% to $24,505. A mixed start to the week saw BTC fall to a Wednesday low of $22,675 before making a move. Finding support from softer US inflation numbers, BTC struck a Thursday high of $24,896 before easing back.

BTC responded to the US economic indicators and sentiment towards Fed monetary policy. The Bitcoin Fear & Greed Index reflected investor optimism, rising from 30/100 on September 7 to 46/100 on Sunday morning.

Fear & Greed Index sits on the Fear-Neutral zone.
Bitcoin Fear & Greed Index – 140822

Looking at the trends, a BTC move through the August high of $24,896 to $25,000 would support a run at the June high of $31,956. From $31,956, a move through $35,000 would bring the May high of $40,004.

However, a fall back to sub-$20,000 would give the bears a look at the current year low of $17,601,

BTC set for a bullish week.
BTCUSD 140822 Daily Chart

Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal. This morning, bitcoin sat above the 50-day EMA, currently at $23,878.

The 50-day pulled away from 100-day EMA, with the 100-day EMA widening from the 200-day EMA, delivering bullish BTC signals.

A further 50-day EMA widening from the 100-day EMA would support a return to $25,000 to give BTC a look at $30,000.

However, BTC would need to hold above the 50-day EMA to avoid the 100-day EMA, currently at $23,468, and a return to sub-$23,000.

EMAs bullish
BTCUSD 140822 4 Hourly Chart

Cardano (ADA)

This week, Monday through Sunday morning, ADA was up 10.75% to $0.5843.

Tracking the broader market, ADA fell to a Wednesday low of $0.5023 before striking a Sunday high of $0.5859. While finding support from the latest US economic indicators, network news updates were also ADA positive. News of progress towards the delayed Vasil hard fork provided ADA support.

Looking at the trends, a return to $0.60 would give the bulls a run at the June high of $0.6688. From $0.6688, ADA would have a free run at the May high of $0.9047 to target $1.00.

A fall back to sub-$0.50 would give the bears a look at the June low of $0.4026 and the current year low of $0.3919.

ADA on the move
ADAUSD 140822 Daily Chart

Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal. ADA sat above the 50-day EMA, currently at $0.5336.

The 50-day pulled away from the 100-day EMA, with the 100-day EMA moving away from the 200-day EMA, both bullish ADA price signals.

Avoiding a fall through the 50-day EMA would continue to support the upward trend formed after testing support at the 50-day EMA on August 12.

However, a fall through the 50-day EMA could bring the 100-day EMA, currently at $0.5222, into play.

EMAs bullish
ADAUSD 140822 4 Hourly Chart

Ethereum (ETH)

This week, Monday through Sunday, ETH was up 16.64% to $1,984.

A bearish start to the week saw ETH fall to a Wednesday low of $1,657 before striking a Saturday high of $2,020. While broader crypto market sentiment delivered support, Merge updates drove ETH to $2,000 for the first time since May 31.

Looking at the trends, a move through this week’s high of $2,020 would support a run at the May high of $2,968. ETH would need plenty of support to break out from the psychological resistance level at $2,500. A return to $3,000 would then give ETH a free run at the April high of $3,581.

A fall through $1,750 to the week low of $1,675 would see the bears target $1,500 before any recovery.

ETH on the rise, supported by the Merge.
ETHUSD 140822 Daily Chart

Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal on Sunday. ETH sat above the 50-day EMA, currently at $1,835.

The 50-day pulled away from the 100-day EMA, with the 100-day EMA moving away from the 200-day EMA, both bullish ETH price signals.

Avoiding a fall through the 50-day EMA would continue to support the upward trend formed after the August 10 breakout from the 50-day EMA.

However, a fall through the 50-day EMA could bring the 100-day EMA, currently at $1,740, into view.

EMAs bullish
ETHUSD 140822 4 Hourly Chart

Polygon (MATIC)

This week, Monday through Sunday morning, MATIC was up 12.67% to $1.022

A bearish start to the week saw MATIC fall to a Wednesday low of $0.8713 before rallying to a Sunday high of $1.045. Polygon network updates delivered another bullish week. Reportedly, the number of Dapps on Polygon has risen 400% year-to-date. Sentiment towards Polygon has been bullish since the Disney (DIS) announcement and the launch of Polygon ID.

Looking at the trends, a return to $1.50 would support a run at the May high of $1.187 and $1.20. From $1.20, MATIC would have a free run at the April high of $1.729.

However, a MATIC fall to sub-$0.90 would give the bears a look at the week low of $0.870 and the August low of $0.8494.

MATIC on the move, supported by Polygon news.
MATICUSD 140822 Daily Chart

Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal on Sunday. MATIC sat above the 50-day EMA, currently at $0.9397.

The 50-day pulled away from the 100-day EMA, with the 100-day EMA moving away from the 200-day EMA, both bullish MATIC price signals.

After the August 12 breakout from the 50-day EMA, a further widening of the 50-day EMA from the 100-day EMA would continue to support the bullish trend.

However, a fall through the 50-day EMA could bring the 100-day EMA, currently at $0.9118, and sub-$0.90 into view.

EMAs bullish
MATICUSD 140822 4 Hourly Chart

The Sandbox (SAND)

Monday through Sunday morning, SAND is up a modest 1.82% to $1.343. Range-bound throughout the week, SAND rose to a Monday high of $1.391 before falling to a low of $1.258 before steadying.

There were no updates or big metaverse news stories to influence. A lack of sensitivity to US economic indicators left SAND trailing the broader market, which could put SAND in the spotlight for investors looking for crypto laggards.

Looking at the trends, a breakout from the July high of $1.545 would give SAND a free run at the May high of $2.456. However, SAND needs to return to the $2.00 handle to avoid a reversal. A pullback to the July low of $1.007 could see SAND retreat towards the June current year low of $0.7322.

SAND range-bound for now.
SANDUSD 140822 Daily Chart

Looking at the 4-hourly chart and the EMAs, the signal was bullish. SAND stood above the 50-day EMA, currently at $1.3247.

The 50-day EMA pulled away from the 100-day EMA, with the 100-day EMA widening from the 200-day EMA, both positive SAND indicators.

After breaking out from the 50-day EMA, a further widening of the 50-day EMA from the 100-day EMA would support a breakout from the July high of $1.545 to target the $2.00 handle.

However, a fall through the 50-day EMA would bring the 100-day EMA, currently at $1.3152, and the 200-day EMA ($1.2894) into view. A fall through the 200-day EMA could signal a near-term bullish trend reversal.

EMAs bullish
SANDUSD 140822 4 Hourly Chart

SAND Price Prediction: Will it Reach $2?

Key Insights:

  • SAND is up more than 4% in the last 24 hours and has gained 3.37% over the last seven days. 
  • The project recently partnered with Gravity, Tony Hawk, Playboy and Paris Hilton. 
  • SAND could reach $1.454 by September 2022 if current momentum continues.

The native token of The Sandbox (SAND) ecosystem has shown some positive price action since mid-July after reaching the $1.40 level for the first time since June 1, and surging 19% over the last thirty days.

However, the token fell to a low of $1.10 on July 26, raising the question of whether its price is likely to reverse. This comes after a dismal Q2 performance for LAND sales.

LAND Sales

As a popular metaverse-based game, The Sandbox has gained notoriety for creating a unique entry point into the virtual world by allowing users to earn rewards. Given this, the project’s non-fungible token (NFT) LAND plot sales skyrocketed last year, increasing 1,600% in just one day on April 14. On this day, sales of 854 LAND plots generated $2.6 million in just one hour.

Such positive developments led to a surge in SAND’s price and the token soared to its all-time high (ATH) price of $8.44 on November 25, 2021. At the time, this represented year-to-date gains of 2,450%.

 

SAND weekly price chart
SAND 100822 Weekly Price Chart

Last month, Gravity partnered with The Sandbox to build Ragnarok LAND in its metaverse while Tony Hawk, one of the most popular skateboarders in the world, also joined the NFT fray with plans to build the largest metaverse skatepark to date. Not to mention that Playboy is set to launch a MetaMansion in The Sandbox. The combination of such news has led to SAND gaining nearly 20% in 30 days.

From a technical perspective, the $0.60 threshold was a crucial area of support for SAND last month as price action remained range-bound, stagnating between $1.10-$1.40. The token did however climb from a low of $0.7822 on June 18 to $1.467 by July 20 — an 87% spike. During this time, SAND pushed above the 20 to 50-day exponential moving averages (EMA) but stayed below the 100-day EMA.

By July 26, SAND’s price had corrected to $1.1551. This drop coincided with the publication of a report by Messari on July 26 detailing how The Sandbox recorded $7.7 million in primary LAND sales in the second quarter of this year — a 90% decline from its peak of $283 million in Q4 2021.

The latest data published by McKinsey & Company could be an influential factor on SAND’s price action as the global consulting firm estimates that the metaverse could generate revenues of up to $5 trillion in the next five years. In fact, companies have already invested over $100 billion so far this year in the development of this virtual realm.

SAND is currently trading at $1.33 and has moved above its 30 and 50-day simple moving averages (SMA). It ranks 37th in the list of cryptocurrencies worldwide by market capitalisation at $1.7 billion. The token’s price is up 4% in the last 24 hours after it has been revealed that Paris Hilton’s company, 11:11 Media will be building a virtual mansion in The Sandbox.

 

SAND daily price chart
SAND 100822 Daily Price Chart

Technical Indicators

Technical analysis shows that short-term sentiment on SAND is neutral, with 15 indicators displaying bullish signals compared to 13 bearish signals at the time of writing. Resistance is at $1.7641, while support can be found at $0.7903.

The daily simple and exponential moving averages are giving mostly buy signals, while the relative strength index (RSI) stands at 54.2.

An RSI reading of 30 or below indicates an oversold or undervalued condition, while a reading above 70 would suggest the asset is becoming overvalued or overbought.

In terms of a Sandbox crypto price prediction, SAND could see its price rising to $1.454 by September 2022 if current momentum continues.

Bitcoin and ETH Price Prediction: Bulls Keep Struggling, FLOW Jumps 40%

Key Insights:

  • Bitcoin is facing a major barrier near $23,550 and $23,450.
  • Ether struggled to settle above the $1,665 resistance zone.
  • FLOW started a strong surge above the $2.50 resistance.

Bitcoin

Yesterday, bitcoin price moved lower below the $23,000 support zone. The price even spiked below the $22,800 level and the 21 simple moving average (H1).

Later, it found support near the $22,650 level. Today, the price formed a base above the $22,650 level and attempted a recovery wave. There was a break above the $23,250 resistance level. However, the price failed to clear the $23,450 resistance.

Bitcoin BTC Hourly Chart
BTC Hourly Chart by FXEmpire

There is also a new connecting bearish trend line forming with resistance near $23,250 on the hourly chart. A clear move above the $23,250 level could start a decent increase. If there is no upside break, bitcoin might continue to move down towards the $21,750 support.

Ethereum (ETH)

ETH also followed a similar pattern after it faced sellers near the $1,680 zone. There was a clear move below the $1,600 support zone.

It found support near the $1,565 level and recently started an upside correction. However, the bears were active near the $1,665 level. The price is now back below the $1,620 level and the 21 simple moving average (H1).

Ether ETH Hourly Chart
ETH Hourly Chart by FXEmpire

Ether price is also facing a new bearish trend line with resistance near $1,645 on the hourly chart. A clear upside break above the $1,645 level and $1,665 could stage a strong increase.

FLOW

FLOW found support near the $1.20 level after a strong decline. There was a steady increase above the $1.35 and $1.50 resistance levels.

The price climbed above the 23.6% Fib retracement level of the main drop from the $8.20 swing high to $1.20 swing low. The bulls pushed the price above the $2.00 level and the 21-day simple moving average. Besides, the price cleared a major bearish trend line on the daily chart at $2.00.

FLOW Daily Chart
FLOW Daily Chart by FXEmpire

Today, there was a strong surge of over 40% and the price climbed above the $2.80 level. It is now facing resistance near the $2.95 and $3.00 levels.

A clear upside break above the $3.00 barrier could send the price further higher towards $3.25. If not, there might be a downside correction below the $2.75 level. The main support sits near the $2.50 level, below which the price might gain bearish momentum.

ADA and DOT price

Cardano (ADA) is struggling to stay above the $0.50 pivot level. If there is fresh drop, the price might decline towards the $0.48 level.

Polkadot (DOT) is still consolidating near the $8.20 level. If there is a fresh increase, the price may perhaps rise towards the $8.50 level.

A few trending coins are ALGO, SAND, and XTZ. Out of these, XTZ is gaining pace above the $1.85 resistance zone.

Crypto Price Analysis July 12: MATIC, LRC, SAND, CVX, UNI

Key Insights:

  • Polygon led the few altcoins that were rallying with an almost 10% rise before succumbing to the bears.
  • Convex Finance was among the top losers following the 7.3% decline.
  • Bitcoin and Ethereum both fell to $19k and $1k, respectively.

The total value of the cryptocurrencies in the market fell to $858 billion today, losing the $900 billion mark again.

Plus, with the king coin and the altcoin king both suffering at $19k and $1k, respectively, the rest of the altcoins were bound to fall today.

Polygon (MATIC)

Trading at $0.561, MATIC remained virtually unmoved today following the 7.08% decline in price noted this week.

With the Awesome Oscillator highlighting the beginning of bearish sentiment in the market, the price could take a turn for the worse, falling to the $0.5 mark.

Loopring (LRC)

The altcoin, following the rest of the market, slipped by 9.4% in the span of just five days. Trading at $0.3782, LRC has already lost half of the recovery it made in June.

The Bolling Bands’ convergence highlights that the volatility is reducing, but with the candlestick moving below the bias, the price going forward could witness further price falls.

The Sandbox (SAND)

The second biggest Metaverse token, SAND, is no alien to the bears either, with the altcoins depreciating by almost 14.6% over the past week.

The Chaikin Money Flow has been noting outflows over the same period, making SAND holders just as panicky about possible price falls as other investors.

Convex Finance (CVX)

CVX, unlike the rest of the market, is actually experiencing a downfall but the same only began three days ago this week. This kind of growth of 18.75% fall will be harmful as it could wipe out a significant chunk of the July first week recovery of 82.14%.

The MACD indicator in the case of CVX indicated the oncoming bearishness and a bearish crossover could keep afloat for a while.

Uniswap (UNI)

The biggest decentralized exchange in the market is not safe from the broader market bearish cues either declining by 13.84% to trade at $5.57

The Relative Strength Index (RSI) continues to stay in the bullish zone for a week now, which will help recoup the recent losses for UNI.

Bitcoin and ETH Price Prediction: Upsides Could Be Limited, Why TRX Could Take Hit

Key Insights:

  • Bitcoin could extend losses towards the $18,750 support.
  • Ether (ETH) is struggling to stay above $1,050.
  • TRX failed to surpass $0.0705 and declined below a key support.

Bitcoin

After a short-term recovery wave, bitcoin price failed to clear the $21,250 resistance zone. BTC formed a top and started a fresh decline below the $20,600 level.

There was a clear move below the $20,250 support area and the 21 simple moving average (H1). However, the bulls were active near the $19,550 zone. The price is now attempting a recovery wave above the $19,950 level.

Bitcoin BTC Hourly Chart
BTC Hourly Chart by FXEmpire

On the upside, bitcoin might face resistance near the $20,100 zone and a connecting bearish trend line on the hourly chart. The first major resistance is near the $20,250 level, above which the price could rise towards the $20,700 resistance zone.

Ethereum (ETH)

ETH also followed a similar path and settled below the $1,125 support zone. It even declined below the $1,000 level and the 21 simple moving average (H1).

The bulls are now taking a stand near the $1,050 level. The price is now attempting a recovery wave above the $1,070 level. On the upside, ether price might face resistance near the $1,100 zone and a connecting bearish trend line on the hourly chart.

Ether ETH Hourly Chart
ETH Hourly Chart by FXEmpire

The first major resistance is near the $1,125 level, above which the price could rise towards the $1,200 resistance zone. If not, it could extend losses below $1,050.

Tron (TRX)

TRX recovered from the $0.045 support zone. The price gained pace for a move above the $0.0550 and $0.0570 resistance levels.

It cleared the 38.2% Fib retracement level of the key drop from the $0.0900 swing zone to $0.0450 low. The price even spiked above the $0.0700 resistance. However, the price failed to extend gains above the $0.0705 level.

Tron TRX Daily
TRX Daily Chart by FXEmpire

It struggled to surpass the 50% Fib retracement level of the key drop from the $0.0900 swing zone to $0.0450 low. It is moving lower and there was a break below a major rising channel with support near $0.0665 on the daily chart.

The next major support is near the $0.0622 level. Any more losses might send the price towards the $0.0600 level.

ADA, BNB, and DOT price

Cardano (ADA) is slowly moving lower and trading below the $0.45 level. The next major support sits at $0.420, followed by $0.405.

Binance Coin (BNB) is trading near the $225 level. If there is a recovery wave, the bears might appear near the $235 level.

Polkadot (DOT) extended losses below the $6.70 level. The price even tested the $6.50 support level. Any more losses might call for a move towards the $6.32 level.

A few trending coins are MATIC, SAND, and QNT. Out of these, QNT is gaining pace above the $80 resistance and might surpass $85.

Top 3 Trending Coins: MATIC Eyes Bullish Break of Key Downtrend, SOL & SAND Underperform

Key Points

  • Cryptocurrency prices look on course to end what has otherwise been a pretty strong week on a sour note.
  • Strong US jobs data has weighed slightly on crypto prices in recent trade.
  • MATIC is the best performer in the top 20 cryptos, while SOL and SAND are notable underperformers.

Market Update

Cryptocurrency prices look on course to end what has otherwise been a pretty strong week on a sour note. Bitcoin was last trading lower by about 1.4% on Friday near $21,300. That means it has fallen back more than 4.5% from earlier session highs around $22,400.

Ethereum, meanwhile, was last trading nearly bang on $1,200, nearly 3.0% lower on the day. The world’s second-largest cryptocurrency by market capitalization has reversed more than 5.5% lower from earlier session highs around $1,280.

Both cryptocurrencies, as well as risk assets such as US equities, dipped on Friday after US labor market data for June came in stronger than expected. The data revealed that the US economy added 372K jobs last month, more than the 268K expected.

The unemployment rate remained unchanged at 3.6% as expected, leaving it roughly in line with pre-pandemic levels. Average Hourly Earnings growth came in at 5.1% YoY, a little higher versus expectations for a drop to 5.0%.

US Labor Market Remains Strong

The data emphasized that the US labor market remains a source of strength in the US economy. The Fed is likely to continue pointing to this strength to justify why it thinks the economy can “handle” aggressive rate hikes.

That explains the modestly negative reaction in speculative risk assets like stocks and crypto. Bulls had been hoping for weak jobs data that might deter the Fed from raising interest rates as aggressively in the coming months.

Still, Friday’s losses aside, it’s been a decent week in crypto. At current levels, Bitcoin is on course to post a weekly gain of over 11%. Ethereum, meanwhile, is set to post weekly gains of around 13%. Most major altcoins are also set for decent weekly gains.

This week’s crypto strength comes despite a powerful rally in the US dollar. The buck has mainly been driven by a rise in expectations for economic deterioration abroad.

The major macro focus next week will be the release of June US Consumer Price Inflation data on Wednesday. Rhetoric from Fed members (notably board of governors member Christopher Waller on Thursday) has suggested the central bank is leaning towards a 75 bps rate hike later this month. Crypto bulls will be hoping for a downside inflation surprise that might give the Fed room to hike by less.

Here is a list of the top three trending coins of the day on Friday.

Polygon (MATIC)

The native token of the Polygon blockchain MATIC is the best performer in the top 20 cryptocurrencies by market cap over the past 24 hours with gains of more than 5.0%. On the day, despite the broad decline seen across most other cryptocurrencies, MATIC is still around 3.0% higher.

MATIC/USD was last changing hands just under $0.58, having come within a whisker of $0.60 earlier. The cryptocurrency is currently probing a downtrend that has been capping the price action going all the way back to mid-May. A break above $0.60 could provide MATIC with the technical impetus it needs to push higher towards $0.70.

MATIC/USD
MATIC/USD probes key downtrend. Source: FX Empire

News on Thursday that popular social networking website Reddit launched its “collectible avatar” marketplace on the Polygon network may have been supporting the cryptocurrency over the past few days, analysts noted.

Solana (SOL)

The native token on the Solana blockchain SOL has seen choppy trade thus far this Friday. According to CoinMarketCap, it is one of the worst-performing cryptocurrencies in the top 20 by market cap over the last 24 hours, having clocked a loss of about 2.0%.

SOL/USD momentarily broke above its 50-Day Moving Average (at $38.70) earlier in the session and touched $40 per token. The pair has since reversed sharply lower to trade just below $38. But the pair found support at its 21DMA just above $36.

Friday’s indecisive price action means that SOL/USD is still consolidating within a pennant that has been in play since early June. A downside break (perhaps triggering a move under $35) would signal a potential drop all the way back to annual lows near $25. An upside break could open the door to a rally towards the key $47.50 support turned resistance area.

SOL/USD
SOL/USD consolidates within pennant. Source: FX Empire

The Sandbox

The native token on the decentralized metaverse platform The Sandbox SAND is the worst-performing cryptocurrency in the top 50 by market cap over the past 24 hours, CoinMarketCap data shows. SAND was last trading with losses of over 4.0% versus 24 hours ago, having reversed sharply lower from an attempt to break above $1.30 earlier this week.

SAND/USD was last changing hands around $1.2350, with the pair having fallen short of a test of its late-June highs around $1.35. Still, SAND’s technicals are looking ok. The cryptocurrency has been supported by an uptrend since mid-June.

The pair seems to be forming an ascending triangle with the $1.30 area as its ceiling. This technical pattern typically proceeds a bullish breakout. A break above the $1.30 resistance area would open the door to a run higher towards late-May highs just above $1.50.

SAND/USD
SAND/USD forming an ascending triangle. Source: FX Empire

Crypto Market Daily Highlights – SOL and ETH Lead the Top Ten Cryptos

Key Insights:

  • It was a bullish Wednesday for the crypto to ten, with Solana (SOL) and Ethereum (ETH) leading the way.
  • While sliding crude oil prices highlighted market fears for an economic recession, upbeat stats from the US delivered the NASDAQ 100 and the crypto market support.
  • The total crypto market cap rose by $19 billion to mark the fourth increase in five sessions.

It was a bullish Wednesday session for the crypto top ten. Bitcoin (BTC) continued to inch towards $21,000, last visited on June 28. SOL and ETH found the strongest support to lead the crypto top ten.

Investor jitters over a European economic recession continued to test support for riskier assets. The ongoing war in Ukraine and an energy crisis amidst a shift in central bank monetary policy remain tests of investor resilience.

However, the markets brushed aside the market headwinds, with positive US economic indicators supporting the equity and crypto markets.

NASADAQ delivers crypto support
Total Market Cap – NASDAQ – WTI 070722 15 Min Chart

At the time of writing, the NASDAQ 100 Mini was down 29.5 points.

The Total Crypto Market Cap Bounces Back to $900bn

Another choppy session saw the crypto market cap fall to a low of $867 billion before jumping to a high of $908 billion.

Crypto market cap
Total Market Cap 070722 Daily Chart

NASDAQ 100 support was the key to a return to $900 billion levels. While bullish on the day, crypto market headwinds linger.

A global economic recession, a likely shift in the crypto regulatory landscape, and an extension of the crypto winter would test investor resilience. Fed monetary policy will also be a consideration over the near term.

The Crypto Market Movers and Shakers from the Top Ten and Beyond

SOL and ETH rallied by 4.67% and 4.80%, respectively, to lead the way, with BNB gaining 3.38%.

ADA (+1.09%), BTC (+1.91%), DOGE (+1.89%), and XRP (+2.15%) trailed the front runners.

From the CoinMarketCap top 100, THORChain (RUNE), The Sandbox (SAND), and STEPN (GMT) led the way. RUNE rallied by 9.5%, with SAND and GMT gaining 6.5% and 6.8%, respectively.

At the other end of the table, TerraClassicUSD (USTC) saw the heaviest loss for a second consecutive day, sliding by 13%.

Total Crypto Liquidations Reflect Improving Market Conditions

24-hour liquidations fell back going into the Thursday session.

This morning, 24-hour liquidations stood at $101 million, down from $170.7 million on Wednesday.

Liquidated traders over the last 24 hours also decreased. At the time of writing, liquidated traders stood at 30,986 versus 54,606 on Wednesday morning.

However, one-hour liquidation figures suggested deteriorating market conditions at the turn of the day.

According to Coinglass, one-hour liquidations stood at $24.4 million versus $3.31 million on Wednesday. Investors will need to monitor the one-hour liquidation figures for any further rise that could pressure the crypto market.

Crypto liquidations rise
Total Crypto Liquidations 070722

Daily News Highlights

  • Meta plans NFT launch despite current market conditions.
  • UK government seeks public contribution to DeFi taxation.
  • Crypto lender Voyager Digital filed for Chapter 11 bankruptcy.
  • US lawmakers make no progress towards a CBDC.
  • Binance announced the launch of zero-free bitcoin (BTC) trading to commemorate the fifth anniversary.

Top 3 Trending Coins: Outperforming CVX & SAND Eye Key Resistance, PAXG Hit by Sliding Gold Price

Key Points

  • Cryptocurrency markets are in consolidation mode ahead of the release of the minutes from the Fed’s June meeting.
  • CVX, the best performing top 100 cryptos of the last day, is eyeing a test of its 50DMA at $6.70
  • SAND, another strong performer, is eyeing a rally to June highs above $1.50.  

Market Update

Cryptocurrency markets are in consolidation mode ahead of the release of the minutes from the Fed’s June meeting, when the bank raised interest rates by 75 bps, marking the largest rate hike in 28 years. The Fed is in a rush to raise interest rates above the so-called “neutral” rate (around 2.5%) in order to cool the economy, with inflation remaining well above the Fed’s 2.0% target.

Total cryptocurrency market capitalization was last around $890 billion, little changed on the day though about 4.0% higher on the week. Bitcoin was last also trading broadly flat on the day in the $20,200 area, capped for now by its 21-Day Moving Average just under $20,300. Ethereum, meanwhile, was last changing hands just under $1,150 and just to the north of its 21DMA at $1,120.

The Fed minutes will likely signal the likelihood of another 75 bps rate hike later this month, a prospect markets are already pricing in. Indeed, a build-up of expectations for the US economy (and other major economies) to enter recession in the near future has been the main theme driving markets in recent weeks.

This hasn’t necessarily been a bad thing for crypto given that as recession bets rise, US bond yields have pulled lower and Fed tightening bets have been wound down. The upcoming US ISM Services PMI report at 1400GMT will be viewed in that context. Signs of weakness might actually boost crypto if it results in heightened recession bets and a pullback in Fed tightening bets.

Below is a list of Wednesday’s top three trending coins.

Convex Finance (CVX)

CVX, the utility and governance protocol of the Decentralised Finance (DeFi) protocol Convex Finance, is the best performing cryptocurrency in the top 100 (by market cap) over the past 24 hours, according to CoinMarketCap. CVX/USD is up around 21% in the last 24 hours and 45% since the start of the week.

The recent bullish breakout has seen the pair surge to its highest levels in nearly one month and leave its 21DMA at $4.31 per token for dead. CVX/USD came within a whisker of testing its 50DMA at $6.70 on Tuesday and has since pulled back to the $5.70 area, where it continues to trade with healthy weekly gains.

Does the recent rebound which has taken more than 80% higher versus its June lows around $3.10 mark the start of a prolonged rebound?

It remains too soon to say. Even after the recent rebound, the DeFi protocol token still trades about 86% lower versus its start of April highs. Much of the drop in the last three months came in wake of the collapse of Terra’s algorithmic stablecoin UST, which sent a chill across the DeFi space.

If CVX can break above its 50DMA, then it perhaps could be in for a run to test a downtrend near $8.0 per token. A break above that would open the door for a run at $10.

CVX/USD
CVX/USD eyes rally above 50DMA. Source: FX Empire

The Sandbox (SAND)

SAND, the native token to The Sandbox’s metaverse, is the second-best performing cryptocurrency in the top 100 by market cap over the last 24 hours, with gains of around 14% according to CoinMarketCap. SAND/USD was last changing hands around $1.25 oer token, below its late June highs in the $1.35 area, but convincingly above its 50DMA for the first time since early April.

If the pair can hold above its 50DMA, some technicians might take this as a signal of a shift in SAND’s near-term momentum. If that is the case and SAND/USD does push beyond its late-June highs soon, the door is open for a test of the late-May/early-June highs just above $1.50.

Any dips back below $1.10 may well be bought into given support in the form of the pair’s 21DMA at $1.04 and an uptrend that has been offering support since mid-June.

SAND/USD
SAND/USD eyes rally back to June highs above $1.50. Source: FX Empire

PAX Gold (PAXG)

Aside from the highly volatile TerraUST, PAX Gold is the second-worst performing cryptocurrency in the top 100 by market cap on Wednesday, nursing losses of around 2.0% over the last 24 hours, as per CoinMarketCap. PAX Gold is a gold-backed cryptocurrency, with PAX holding exactly one troy ounce worth of gold per PAXG token it issues. PAX has currently issued roughly $590 million PAXG tokens.

PAXG was last trading just below $1760 per token, with its underperformance a reflection of downside in the price of its underlying asset, physical gold. Spot gold prices have been under heavy selling pressure over the past few days as the US dollar strengthens across the board, making USD-denominated gold more expensive for international buyers.

Spot gold was last trading on physical markets also below $1760 and down about 3.0% or over $50 since the start of the week. Global recession fears have been the big driver of USD strength recently and seem to have inadvertently hit the safe-haven precious metal.

Inflation expectations have also fallen recently as commodity prices (like energy and industrial metals) have pulled lower, dimming the appeal of assets seen as a hedge against inflation (like gold). But some have questioned how much further gold has to fall. If the US and global economy are already in a recession/or about to be, then that might support gold.

That is especially the case if a recession helps bring inflation in the US under control, thus easing the pressure on the Fed to be quite so aggressive with its rate hikes. The recent drop in US bond yields and money market Fed rate hike bets reflects markets are already beginning to think this way.

PAXG is eyeing a test of its November 2021 lows in the $1740s. Dip-buyers may be enticed. But should this support fail to hold up, then a drop towards September/October 2021 lows under $1700 is on the cards. Certainly, the technicals are not looking great, with PAXG’s 21 and 50DMAs falling and the cryptocurrency in a downtrend since the start of June.

Crypto Price Analysis July 6: CRV, SAND, LRC, BSV, FLOW

Key Insights:

  • Curve DAO Token is leading the rally with a 10.23% rise today.
  • Loopring is taking charge of the bears, albeit with a 5% decline.
  • Bitcoin and Ethereum continue to trade at $20k and $1.1k, respectively.

The crypto market has seemingly entered consolidation, barely moving over the past 48 hours.

With the entire crypto market’s value still struggling at $885 billion, it does not seem like Bitcoin and Ethereum will be able to kickstart a rally at the moment.

Curve DAO Token (CRV)

CRV has been performing exceptionally well this week, noting a 39.19% growth in the past couple of days. This rally will be crucial in not only recovering the 54.77% losses of June but also in pushing the altcoin above $1 again.

Additionally, the 9.54% rise in the last 24 hours will turn the Awesome Oscillator into absolutely bullish, further supporting recovery.

The Sandbox (SAND)

The Metaverse token made a quick recovery from the June crash when it shot up by 60.35%, and it rallied once again over the last three days marking a 20% rise. This brought SAND’s trading price above $1.25.

Going forward, the possibility of a price rise remains open since the separated Bolling Bands indicate an uptrend as the candlesticks remain above the bias.

Loopring (LRC)

LRC has been oscillating around the $0.4 mark for almost a month now despite declining by 13.89% recently as the altcoin recovered by 8.21%.

The Chaikin Money Flow, on the other hand, clearly exhibits that investors have been optimistic with LRC as inflows have been gradually increasing over time.

Bitcoin SV (BSV)

The Bitcoin namesake and hard fork has been trending opposite to the broader market trend noting a 16.22% decline after a 38.02% rise.

Trading at $53.92, the asset flipped the support of the 50-day Moving Average into resistance which may not necessarily be a good sign for BSV since it closed in red today.

Flow (FLOW)

The Dapper Labs creation has been on a downtrend for the past ten days, only further declining after the 53.23% crash of June.

To make things worse, FLOW has been stuck in the bearish zone for about three months now, with no clear indication of recovery as visible from the Relative Strength Index (RSI).

Ethereum and The Sandbox Lead the Altcoins With a 7% and 15% Rally

Key Insights:

  • Ethereum traded above the $1.1k mark after a 7.28% rally.
  • The Sandbox noted a much higher rise of 19.13% on the other hand.
  • The total market cap of all cryptocurrencies combined inched closer to $900 billion.

The last 24 hours have been particularly favorable to cryptocurrencies as the market hinted toward the initiation of recovery.

Except for a handful of altcoins, every other one of them noted recovery led by their king Ethereum while The Sandbox emerged as the best performer of the day.

Ethereum Leads On

Trading at $1,150, ETH managed to keep above the $1k mark, which it had previously lost to the 46.5% crash of early June, which brought the altcoin king to $900 at one point.

The 7.28% uptick since yesterday sets up the coin for a further rise since ETH has yet to reclaim the $2k level it lost last month.

At the moment, the cryptocurrency is maintaining the 26.19% recovery it achieved towards the end of June despite losing 14.38% of it in the following five days.

Price indicators are also supporting the possibility of a sustained rise since the Bollinger Bands’ convergence highlights the lack of volatility, and the presence of the candlestick above the bias shows that the uptrend will continue, albeit in moderation.

Furthermore, the Relative Strength Index (RSI) is also inching closer to the neutral 50.0 mark crossing, which would place it in the bullish zone. This could be the first hint of a rally.

The Sandbox Leads the Altcoins

For the last 24 hours, the Metaverse token had a good grip on the bulls, with SAND noting a 15.15% rise in a single day.

This brought the altcoin back to the $1.2 level, which was around right before the June crash took place.

SAND managed to reclaim $1.2 despite taking an 18.47% hit back at the end of June after a 60.35% rally. Going forward, this rally will only increase further since, on the chart, SAND appears to be in a secure position.

The 50-day Moving Average, which is a critical level for any altcoin, turned into support from resistance, providing it with the push it needs to rally on.

Secondly, the MACD indicates rising bullishness, with the green bars preventing bears from taking control. On top of that, the possibility of a bearish crossover has been avoided keeping SAND’s rally intact.

Crypto Market Daily Highlights – Solana and The Sandbox Lead the Way

Key Insights:

  • It was a bullish start to the week for the crypto top ten, with Solana (SOL) and Ethereum (ETH) leading the way.
  • Following the 3AC bankruptcy filing, news of more platforms freezing withdrawals failed to spook investors.
  • The total crypto market cap rose by $37 billion to reverse losses from the start of the month.

It was a bullish Monday session for the crypto market. Bitcoin (BTC) rose for a second consecutive day, its best run since a three-day winning streak in late June.

Solana (SOL) led the top ten, with BNB and ETH also finding strong support.

While trailing the front runners, Dogecoin extended its winning streak to four consecutive sessions.

At the time of writing, the NASDAQ 100 Mini was up 82 points, with a pickup in risk appetite likely to support the crypto market.

The Total Crypto Market Cap Rises for a Third Session

The bullish session saw the total crypto market cap inch back towards the $900 billion mark on Monday.

A bearish start to the day saw the market cap fall to a low of $837.4 billion before jumping to a high of $893.9 billion.

By day end, the market cap increased by $37.23 billion to $888 billion.

crypto market cap
Total Market Cap 050722 Daily Chart

Significantly, the Monday gain pulled the total market cap into positive territory for July.

However, it is also worth considering that the market has not enjoyed more than a three-day winning streak since March,

The Crypto Market Movers and Shakers from the Top Ten and Beyond

SOL rallied by 9.99% to lead the way, with ETH (+7.19%) and BNB (+5.57%) finding strong support.

ADA (+3.08%), BTC (+3.66%), DOGE (+3.23%), and XRP (+2.36%) also continued finding support.

From the CoinMarketCap top 100, The Sandbox (SAND) jumped by 15.1%, with Convex Finance (CVX) and THORChain (RUNE) rallying by 14.1% and by 10.4%, respectively.

However, NEM (XEM) fell by 2.7% to lead the way down. XEM joined a handful of cryptos to buck the broader market trend

Total Crypto Liquidations to Test the Current Market Upswing

24-hour liquidations picked up going into Tuesday, which could test investor resilience after the US holidays.

This morning, 24-hour liquidations stood at $147 million, up from $80.74 million on Monday and $58.2 million on Sunday.

Liquidated traders over the last 24 hours increased. At the time of writing, liquidated traders stood at 41,573 versus 25,320 on Monday morning.

One-hour liquidation figures also suggested a possible crypto market pullback at the turn of the day.

According to Coinglass, one-hour liquidations stood at $12.79 million versus $0.920 million on Monday.

Crypto liquidations
Total Crypto Liquidations 050722

Daily News Highlights

  • DappRadar and LayerZero launched the first cross-chain token staking mechanism.
  • FTX and BlockFi agreed on a deal with an FTX option to buy BlockFi for $240 million.
  • Meta shelved crypto wallet project Novi.
  • Hacker offered to sell over 23 terabytes (TB) of personal data for 10 BTC, highlighting the use of crypto for criminal activity.
  • Bankless Times revealed US romance scams as the second most common crypto scam.
  • Another crypto lender succumbs to the crypto winter. Vauld suspended withdrawals, trading, and deposits due to market conditions.

Top 3 Trending Coins: SAND, MATIC, BNB Outperform But Look Technically Vulnerable

Key Points

  • Bitcoin recently fell back to the low-$19,000s after closing out a historically weak quarter on Thursday.
  • SAND is the outperformer in the crypto top 50, while MATIC and BNB are the strongest in the top 20.
  • Nonetheless, MATIC and BNB technicals look poor, suggesting further pain ahead.

Market Update

Cryptocurrencies are on the back foot on Friday, with most major coins on course to post a sixth success session of losses. Total cryptocurrency market capitalization was last around $840 billion, down just under 3.0% on Friday and down around 13% from last weekend’s highs in the $960s billion.

Bitcoin was last trading in the low-$19,000s, down about 4.0% on the day and eyeing a test of this week’s lows just under $18,600 and then the annual lows below that in the mid-$17,000s. The cryptocurrency closed out a historically bad Q2 on Thursday, shedding around 56% of its value during the quarter. Over that same time period, total crypto market cap dropped around $1.2 trillion to around $860 billion.

Inflation surprised to the upside across most major developed economies in Q2, worsened by various adverse supply-side developments (like the Russo-Ukraine war and lockdowns in China). This has simultaneously worsened the global growth outlook and forced major central banks like the Fed and ECB to accelerate monetary tightening plans.

Weaker growth and more hawkish central banks are a toxic mix for speculative risk assets like crypto and (many) stocks, so severe cryptocurrency price downside should be too surprising. For what it’s worth, stocks also suffered a historically bad quarter, with the S&P 500 having its worst start to any year since 1970 amid a more than 20% drop.

Over the last few days, now familiar themes of growth and inflation concerns have been in focus and have weighed on crypto (and stock) prices. May US Core PCE data on Thursday showed that while there are some signs of US price pressures having peaked, inflation remains well above the Fed’s 2.0% target. Meanwhile, May US Consumer Spending data on Thursday was weaker than anticipated and resulted in many economists further downgrading their GDP growth expectations for Q2.

Some now think that the US economy is in a technical recession (defined as two consecutive quarters of negative real GDP growth). Data on Wednesday showed that US GDP growth in Q1 this year was even weaker than forecast at an annualized pace of -1.6% amid weaker than initially thought growth in consumption during the quarter.

The big question for investors now is that if 1) the US economy is entering a new downturn and 2) inflation is showing signs of peaking, will the Fed ease off a little regarding rate hikes? Not yet, is the message that Fed policymakers including Chairman Jerome Powell gave across to investors this week.

Various policymakers lined up to offer support for another 75 bps rate hike later this month. Meanwhile, Powell was keen to emphasize that in a trade-off between getting inflation under control and supporting growth, the Fed’s priority strongly remains the former.

One risk that could weigh on risk appetite (and thus crypto and stocks) in the second half of this year is that, amid weakening growth, the Fed stays ultra-hawkish and markets begin to think it is making a mistake. Fears of a hawkish Fed mistake, such as most recently back in late 2018, have a history of battering sentiment.

Alternatively, perhaps the slowdown in growth isn’t as bad as feared, inflation does start coming down significantly in the second half of this year and markets deem the Fed as having judged things right. In such a scenario, we might plausibly be looking at a pretty solid recovery for global equities and crypto markets.

Here is a list of the top three trending cryptocurrencies on Friday.

The Sandbox

According to CoinMarketCap data, The Sandbox’s native token SAND is the best performing cryptocurrency in the top 50 by market cap over the last 24 hours with gains of around 13%. Investors aggressively bought Thursday’s brief dip below the $1.0 level and the 21-Day Moving Average at $0.99.

SAND/USD is now back to trading around $1.09, with the pair admittedly having come off about 7.0% from earlier session highs above $1.17. It’s been a choppy few weeks for the cryptocurrency.

Having traded within $1.20-$1.50ish ranges throughout the second half of May and into the start of June, a four-day drop from 10 to 13 June from around $1.30 to under $0.90 saw SAND shed a third of its value. But then between 19 to 25 June, SAND posted a stunning 60% rally from around $0.80 to the upper-$1.20s.

For now, the cryptocurrency seems content to range between its 21 and 50DMAs. But traders should expect continued choppiness in the weeks ahead that could easily see SAND/USD swinging between $0.80-$1.50ish levels once again.

SAND/USD
SAND/USD has had an erratic few weeks. Source: FX Empire

Polygon

According to CoinMarketCap, the native token to Polygon’s blockchain MATIC is the best performing cryptocurrency in the top 20 by market cap over the last 24 hours, with gains of around 9.0%. Indeed, at current levels around $0.46, MATIC/USD has enjoyed a solid bounce from Thursday’s sub-$0.42 lows.

However, MATIC’s technicals are not looking good. The pair is down nearly 7.0% from earlier session highs near $0.50 and is back below its 21DMA at $0.47. The cryptocurrency has faced constant selling pressure since failing to break above a medium-term downtrend and its 50DMA earlier in the week.

Bears are eyeing a breakout to fresh weekly lows, which would open the door to a test of June’s annual lows in the low-$0.30s.

MATIC/USD
MATIC/USD looks vulnerable to further downside. Source: FX Empire

BNB

The native token to the Binance Smart Chain BNB is the second-best performer in the crypto to top 20 in the last 24 hours with gains of just over 5.0%, according to CoinMarketCap. Indeed, at current levels around $218, BNB/USD has enjoyed a solid recovery from Thursday’s lows in the $205s.

However, this masks a bearish near-term technical outlook. BNB once again failed to push above its 21DMA at $226 on Friday and since this failure, has dropped around 3.5%. The 21DMA has more or less acted as an upside barrier going all the way back to early April, nearly three months ago.

In that regard, it perhaps isn’t too surprising to see the bears regaining control. Bears will be targetting a test of this week’s lows in the immediate future. A break below this level and the $200 mark could open the door to a run lower towards earlier annual lows in the low $180s.

BNB/USD
BNB/USD also looking vulnerable after failing to get above 21DMA. Source: FX Empire

Crypto Market Daily Highlights – BTC Visits Sub-$19,000

Key Insights:

  • It was a bearish session for the crypto to ten, with Dogecoin (DOGE) and Ethereum (ETH) leading the way down.
  • Risk aversion swept across the global financial markets, with the crypto market closely tracking the NASDAQ 100 throughout the US session.
  • The total crypto market cap fell for a fifth consecutive day. A $9 billion fall left the market cap down by $428 billion for June.

It was a bearish end to the month for the crypto market. Bitcoin (BTC) extended its losing streak to five sessions, with Ethereum (ETH) and Dogecoin (DOGE) seeing heavy losses.

Through the US session, the NASDAQ 100 led the broader crypto market into the deep red.

The NASDAQ 100 fell by 1.33% to end June with an 8.7% loss. Bitcoin ended June down by 37%.

Recession fears and market sentiment towards Fed monetary policy continued to weigh on riskier assets.

US economic data added to the market angst, with inflation pressures showing no signs of abating and personal spending lackluster.

Cryptos track the NASDAQ
Total Market Cap – NASDAQ – 010722 5 Min Chart

The Total Crypto Market Cap Falls for a Fifth Consecutive Day

A bearish session saw the total crypto market cap slide from an early high of $878.9 billion to a low of $816.2 billion before a late rally.

$9 billion came off the table, leaving the market cap down $428 billion for June.

The total market cap was down by more than $40 billion before a final hour rally reduced the deficit.

Crypto market cap falls again
Total Market Cap 010722 Daily Chart

The Crypto Market Movers and Shakers from the Top Ten and Beyond

On Thursday, DOGE and ETH led the way down, with losses of 4.62% and 2.64%, respectively.

BTC (-0.93%), ADA (-1.29%), and SOL (-0.83%) also saw red, while BNB (+0.14%) and XRP (+0.97%) saw modest gains.

From the CoinMarketCap top 100, Algorand (ALGO), AMP (AMP), and The Sandbox (SAND) were other notables on the rise.

AMP led the way, surging by 20%.

Total Crypto Liquidations Reflect the Bearish Market Sentiment

24-hour liquidations reflected investor sentiment on Thursday.

This morning, 24-hour liquidations stood at $248 million, up from Thursday morning, when liquidations had stood at $154 million.

Liquidated traders over the last 24 hours also rose. At the time of writing, liquidated traders stood at 83,723 versus 58,096 on Thursday morning.

However, One-hour liquidations eased in the final hour, aligned with a late crypto rally.

Final hour crypto rally.
Total Market Cap 010722 Hourly Chart

According to Coinglass, one-hour liquidations stood at $3.14 million. On Thursday, one-hour liquidations had stood at $13 million. A further decline to sub-$1 million would support a bullish session.

Total crypto liquidations ease
Total Crypto Liquidations 010722

Daily News Highlights

  • Coinbase allowed US Federal Agency ICE to access “Geo Tracking Data.”
  • Polkadot founder Gavin Wood announced a new blockchain governance model.
  • OpenSea reported a major data breach.
  • Jacobi Asset Management announced the launch of the first European bitcoin ETF.
  • Microstrategy bought the bitcoin dip, buying $10 million in bitcoin.
  • EU parliament announced an agreement on anti-money laundering regulations for cryptos.

Top 3 Trending Coins: SHIB, APE, SAND the Worst Performers of Top 50 Cryptos

Key Points

  • Cryptocurrencies have been under pressure recently as data shows consumer confidence falling in the US and Eurozone.
  • This is bringing recession fears back in focus, with Bitcoin probing $20,000 once again.
  • ApeCoin, The Sandbox and Shiba Inu are amongst the worst performing cryptocurrencies on Wednesday.

Cryptocurrency markets have been under pressure this week as data coming out of the US and Eurozone points to a continued deterioration of consumer confidence, a classic leading indicator of recession. Perhaps this wouldn’t be so bad if central banks were able to save the day by easing their monetary policy settings to support growth and lending, but continued high inflation ensures that this is not the case.

In fact, policymakers from both the Fed and ECB have doubled down on the need for significant near-term rate hikes this week. Expect more of the same from Fed Chair Jerome Powell, ECB President Christine Lagarde and BoE Governor Andrew Bailey when they give remarks at the ECB’s annual Sintra gathering later in the day on Wednesday.

Bitcoin was last trading lower by about 4.5% in the last 24 hours just above $20,000, according to CoinMarketCap. Ethereum was last down about 7.5% over the same time period in the $1,120s per token. Total crypto market capitalization, meanwhile, was last around $875 billion, down nearly 10% from last weekend’s highs of around $966 billion.

Here are the top three trending altcoins.

ApeCoin (APE)

According to CoinMarketCap, ApeCoin is the worst-performing top 50 crypto over the last 24 hours, having shed around 10.5% of its value. APE/USD was last changing hands around $4.75 per token, having now reversed nearly 15% lower versus Tuesday’s multi-week highs in the $5.50s.

As the end of the month draws closer, APE/USD looks on course to have shed about 30%, though is still up an impressive more than 55% from earlier monthly lows near $3.0. The pair’s short-term technicals aren’t looking too good, however, with APE/USD having seemingly broken to the south of an upwards trend channel in play since mid-June.

That might open the door to a drop back towards the 21-Day Moving Average in the $4.30s.

APE/USD
APE/USD eyes a drop back towards its 21DMA. Source: FX Empire

The Sandbox (SAND)

SAND, the native token of The Sandbox’s metaverse, was last trading lower by about 10% over the last 24 hours, according to CoinMarketCap data. That makes the cryptocurrency the second-worst performer in the crypto top 50. The bears are now eyeing an imminent test of the 21DMA just above $1.0 per token, with SAND/USD having reversed around 23% lower versus last week’s multi-week highs in the $1.35 area.

SAND’s failure to hold above its 50DMA in recent sessions is likely to be seen as a negative technical signal in the short term. A break back below $1.0 per token could reignite a cascade of selling pressure that could easily see SAND/USD fall swiftly back to test its recent annual lows under $0.75.

SAND/USD
SAND/USD eyes support around $1.0 and a potential push back towards recent lows. Source: FX Empire

Shiba Inu (SHIB)

Shiba Inu is another one of the worst-performing cryptocurrencies in the top 50 over the last 24 hours, as per CoinMarketCap. SHIB/USD fell back below the psychologically important $0.000010 level on Wednesday and at current levels in the $0.000009s, is trading with losses of around 10% in the last 24 hours.

The dog-inspired memecoin is considered to be one of the most speculative/risky cryptocurrencies to invest in, given its lack of clear utility other than as a collector’s item, but also the propensity to experience rapid rallies. SHIB/USD is currently testing its 21DMA (at $0.0000095), having now pulled back about 20% from last week’s highs as short-term speculative buyers take profit.

The pair continues to trade higher versus earlier monthly lows by about 35%. But SHIB holders fear that if the worrying macro backdrop of slowing growth, hot inflation and hawkish central banks continues to pressure the crypto space, Shiba Inu might hit fresh annual lows in the weeks ahead under $0.000007.

SHIB/USD
SHIB/USD holding above its 21DMA for now. Source: FX Empire

How to Value Gaming Without Risk: Decoupling Blockchain Games from Financial Risk

More than 30M users are aware of the MetaMask wallet, and are ready to connect to the value pools afforded by complex, interconnected cryptocurrency networks.

As a game developer, it is very tempting to become a part of that network, to produce and extract value. But there are traps to be avoided in order to decouple the game from the still outsized financial risk.

Despite the complexity of open finance, there is no escaping from a simple equation: generating a surplus must come from either work or risk happening somewhere else. The Internet of value and open finance already has a long chain of value transfers. It is easy to confuse non-experts about the origin of that value and the real hidden risks.

Why Value Locked Matters

The concept of value locked measures the potential of decentralized finance systems to attract risk-takers and at some point, offer monetization. The question of cryptocurrency value is quite contentious, ranging between total denial of value and maximalism expecting crypto to replace all economic transactions.

The truth is somewhere in the middle – there is value and liquidity readily available, but it must be handled carefully. And each project must ask themselves will they add value, extract value, or worst – create a misleading expectation while destroying value.

How Gaming Brings Economic Activity and Reduces Risk

Gaming is a good fit for the emerging Internet of Value, as it offers a unique mix of content, engagement, branding and a source of constant activity. There is a prevalence of free-to-play games, bringing in more than 85% of gaming revenues.

The high growth potential, at more than 15% annually, led to the creation of more than 5,000 game creation studios, of which roughly half reside outside the USA, serving strong regional hubs such as Southeast Asia.

This intrinsic value, bringing together creative talent and players, can start to move into the transactional space opened up by cryptocurrency projects.

The NFT model showed the way with the potential to build hype and a fandom, but it stopped short of the richer world of games. Combining games with NFT turned out to be a successful model for some of the startups, showing the potential for character development as intrinsic value.

Open Finance: Outsized Risk and Returns Hurt a Game’s Potential

The big problem in the crossover of blockchains is the attempt to speed-run the value generation mechanism. This turns some games into de facto open finance projects. And those projects have multiple risks – from always needing a new inflow of users, to large-scale attempts to generate value out of thin air.

The crash of the Terra project, one of the biggest in this space, showed why the model is not viable and can destroy a game. At TimeShuffle, we believe the value should flow from the game itself, and not from the bubbly, uncertain and unregulated open finance market.

The Sandbox is one of the successful examples, coming from a decade of game building. This top game only added its blockchain component when it had an already established value generation tools: a metaverse map, interested players, social media community. So now The Sandbox offers perks and earnings, but only after securing an inflow of gamers, creators, studio collectives and brands interested in their metaverse project.

Once a game is tokenized, it adds an inevitable component of risk, especially in exchange-based trading or decentralized trading. But if the game is solidly built and attractive, and has a way of attracting a user base, it is not so easy to destroy the game’s value.

It is possible to use the technology for the Internet of value, and make use of the liquidity available, but this should only be an option once the game is already advanced along the path of development and has enough appeal on its own. The game itself should open up a viable virtual economy, instead of hoping for external risk-takers to bring liquidity for their asymmetric bets.

Konstantin Dinev, CEO at TimeShuffle

Dogecoin (DOGE) Surges Towards $0.08, Best Performer in the Crypto Top 50

Key Points

  • Dogecoin broke above its 50DMA on Monday and is the best top 50 crypto performer in the last 24 hours.
  • Tron is the second-best top 50 performer, up 8% in 24 hours and above its 21 and 200DMAs.
  • Sandbox was the worst-performing top 50 crypto amid profit-taking, though still looks bullish.

Dogecoin (DOGE)

Dogecoin broke higher on Monday, surpassing its 50-Day Moving Average for the first time since late April. DOGE/USD, which is currently changing hands at just under $0.08, is up more than 10% in the last 24 hours as per CoinMarketCap data, making it the best performing cryptocurrency in the top 50 by market cap. Dogecoin has also seemingly broken above a downtrend in play since mid-May, though remains on course to post a monthly loss of around 9%.

The latest run higher means Dogecoin is up more than 55% from earlier monthly lows, as stabilization in broader cryptocurrency markets fosters an improvement in sentiment of the more speculative meme coins. A clean break above the 50DMA sets the stage for further upside towards the key $0.10 level which formed a pivotal top back in early 2021 prior to the rapid surge towards $0.75 per token.

DOGE/USD
DOGE/USD probes 50DMA. Source: FX Empire

Tron (TRX)

Tron is the next best performing crypto in the top 50 by market cap on Monday and was last up close to 8% in the last 24 hours as per CoinMarketCap data. TRX/USD was last trading around $0.07, its highest since in two weeks and back above its 21 and 200DMAs. The cryptocurrency has recovered 50% from its earlier monthly lows below $0.05.

Broader stabilization in the crypto space is helping the cryptocurrency to recover recently lost ground. But another tailwind is likely the success that the Tron’s USD-pegged algorithmic stablecoin USDD in regaining its peg in recent days. USDD was last around $0.985, which doesn’t sound great, but the “stablecoin” fell as low as $0.92 as recently as 19 June.

Many feared that USDD, which keeps its peg to the buck via a similar mechanism to Terra’s ill-fated UST, would collapse just like its deceased sister token UST. This could hypothetically create selling pressure in TRX, just as UST’s collapse did with LUNA. The fact that this even has (for now) been avoided is probably helping TRX.

With TRX/USD having broken above key resistance, so long as crypto markets continue to stabilize, the pair is in with a decent shout of rallying back to early June levels in the $0.08-$0.09 area and maybe even a test of recent highs in the $0.09s.

TRON/USD
TRON/USD breaks above 21 and 200DMAs. Source: FX Empire

Sandbox (SAND)

The native token of Ethereum-based decentralized metaverse platform The Sandbox (SAND) was last trading with losses of just shy of 5% in the last 24 hours on Monday, as per CoinMarketCap, with SAND/USD trading near $1.25 per token. That makes it the worst-performing top 50 cryptocurrency. Sunday saw the pair drop nearly 8% amid profit-taking following seven successive sessions. Indeed, SAND is trading more than 70% above earlier monthly lows under $0.75 per token.

Crypto market stabilization has played a role in SAND’s recent upside. But crypto analysts are also citing “takeover” rumors after the likes of Meta Platforms, Microsoft and other tech giants looking to expand into the metaverse space announced the so-called “Metaverse Standards Forum”.

Of course, it’s all just speculation. But this is the primary force driving crypto. As SAND takes a breather following recent gains, bull will continue to eye a near-term test of mid/late-May highs in the $1.50 area. But first, the token will need to muster a clean break above its 50DMA (currently just under $1.22), which it hasn’t managed just yet.

SAND/USD
SAND/USD pulls knocked by profit-taking but still eyeing test of $1.50. Source: FX Empire

Crypto Market Daily Highlights – DOGE Stands Out in a Bearish Session

Key Insights:

  • It was another mixed session for the crypto to ten, with Dogecoin (DOGE) in breakout mode while the Solana (SOL) fell for the second time in the week.
  • With no crypto news to influence, caution hit the market ahead of the Monday open.
  • The total crypto market cap slid by $24 billion to $921 billion, ending a three-day winning streak.

It was a mixed end to the week for the crypto market. Bitcoin (BTC) saw another three-day winning streak end while Dogecoin (DOGE) was in breakout mode.

For a second consecutive day, no crypto news stories influenced crypto investor sentiment. The lack of news left investors cautious ahead of the equity market openings on Monday.

The Total Crypto Market Cap Slips Back Amidst Investor Caution

Following a modest $11.5 billion increase on Saturday, the total crypto market cap slid by $24 billion on Sunday.

A mixed market session saw the market cap hit a high of $961.6 billion before retreating through the afternoon.

While continuing to fall short of the $1,000 billion mark, the total crypto market cap increased by $40 billion in the week. The weekly increase reduced the June deficit to $373 billion.

Crypto market cap slides.
Total Market Cap 270622 Daily Chart

Sunday’s caution could test investor appetite this week. Several key economic indicators from the US, together with central bank chatter, will draw attention.

Early in the week, updates from the G7 Summit will need monitoring, along with speeches from BoE Governor Bailey, ECB President Lagarde, and Fed Chair Powell.

US economic indicators, including consumer confidence (Tue), personal spending (Wed), and inflation (Wed), will also influence investor sentiment.

The economic indicators and central bank speeches could add to the market angst over the economic outlook and monetary policy.

Headwinds include a Fed committed to bringing inflation to target at any cost that has led to the threat of a recession. A slump in consumer confidence, a fall in personal spending, and a pickup in inflationary pressure would be a bad combination for riskier assets.

The Crypto Market Movers and Shakers from the Top Ten and Beyond

On Sunday, DOGE led the way for a second session, rallying by 6.55% to buck the broader market trend.

It was a bearish end to the week for the rest of the crypto top ten.

SOL slid by 6.69%, with BNB (-2.34%), ETH (-3.56%), and XRP (-2.68%) also struggling.

BTC (-2.06%) and ADA (-1.61%) ended the day with relatively modest losses.

From the CoinMarketCap top 100, Apecoin (APE) gained 3.06% while The Sandbox (SAND) fell by 7.88% to see a seven-day winning streak end.

Total Crypto Liquidations Rise in a Late Sunday Crypto Pullback

On Sunday, total crypto liquidations inched up, with a bearish end to the Sunday session reflected in the one-hour number.

Going into the Monday session, total 24-hour liquidations stood at $144.5 million, with 61,184 traders liquidated. While up modestly from $130 million on Sunday morning, liquidations late on Sunday accelerated.

Crypto liquidations
Total Crypto Liquidations 270622

According to Coinglass, one-hour liquidations stood at $12.71 million. The total crypto market cap reflected the increase in selling pressure, falling by $17 billion over the same period.

Hourly market cap pullback.
Total Market Cap 270622 Hourly Chart

Daily News Highlights

  • US sporting franchise The National Hockey League (NHL) and NFT marketplace Sweet a announced partnership to drive NHL fan engagement.
  • The total number of cryptos on CoinMarketCap broke through the 20,000 mark for the first time. At the time of writing, the total number of cryptos stood at 20,004.

The Sandbox (SAND) Extends Winning Streak to Seven on Metaverse News

Key Insights:

  • It was a bullish Saturday session, with The Sandbox rallying by 16.3%.
  • Metaverse news updates delivered support, with tech giants Meta, Microsoft, and Sony among big names forming the Metaverse Standards Forum.
  • Technical indicators are bullish, with SAND sitting above the 200-day.

On Saturday, The Sandbox (SAND) jumped by 16.3%, supported by metaverse news updates. Following an 8.6% rally on Friday, The Sandbox ended the day at $1.278.

A mixed morning saw SAND fall to an early low of $1.0780 before making a move.

Steering clear of the Major Support Levels, SAND broke through the day’s Major Resistance Levels to a late high of $1.329.

A late pullback, however, saw SAND fall back through the Third Major Resistance Level at $1.3063 to end the day at $1.278.

While finding support from the broader market, Metaverse news updates delivered the breakout session. The Sandbox extended the current winning streak to seven sessions.

Tech Giants Form the Metaverse Standards Forum to Evolve Web3

This week, Epic Games, Meta, Microsoft, and Sony were among a list of tech giants announcing the formation of the Metaverse Standards Forum.

More than 30 names from the tech industry have formed a partnership to support the evolution of the metaverse.

According to the press release,

“The Metaverse Standards Forum brings together leading standards organizations and companies for industry-wide cooperation on interoperability standards needed to build the open metaverse. The forum will explore where the lack of interoperability is holding back metaverse deployment and how the work of Standards Developing Organizations (SDOs) defining and evolving needed standards may be coordinated and accelerated.”

The press release went on to say,

“Open to any organization at no cost, the Forum will focus on pragmatic, action-based projects such as implementation prototyping, hackathons, plugfests, and open-source tooling to accelerate the testing and adoption of metaverse standards, while also developing consistent terminology and deployment guidelines.”

Vishal Shah, vice president of Metaverse at Meta, said,

“Building a metaverse for everyone will require an industry-wide focus on common standards. The Metaverse Standards Forum can drive the collaboration that’s needed to make this possible, and Meta is committed to this work. Creators, developers, and companies will all benefit from the technologies and experiences that will be made possible by common protocols.”

For The Sandbox and other metaverse-related tokens, the new focus on driving the adoption of the metaverse is price positive.

The Sandbox (SAND) Price Action

At the time of writing, SAND was down 0.78% to $1.270.

A mixed start to the day saw SAND rise to an early morning high of $1.294 before falling to a low of $1.248.

SAND left the Support and Resistance Levels untested early on.

SAND on metaverse breakout
SANDUSD 2605 Daily Chart

Technical Indicators

SAND will need to avoid the $1.2285 pivot to target the First Major Resistance Level at $1.3782.

SAND would need broader crypto market support to breakout from the Saturday high of $1.329.

An extended rally would test resistance at $1.40 and the Second Major Resistance Level at $1.4794. The Third Major Resistance Level sits at $1.7303.

A fall through the pivot would bring the First Major Support Level at $1.1277 into play. Barring an extended sell-off, SAND should avoid sub-$1.10. The Second Major Support Level sits at $0.9770.

SAND eyes $1.40
SANDUSD 2605 Hourly Chart

Looking at the EMAs and the 4-hourly candlestick chart (above), it is a bullish signal.

This morning, SAND sat above the 200-day EMA, currently at $1.1740. The 50-day EMA converged on the 100-day EMA, providing support. The 100-day EMA narrowed to the 200-day EMA; SAND price positive.

A bullish cross of the 50-day EMA through the 100-day EMA would support a run at $1.40. However, SAND will need to avoid sub-$1.20 to extend the winning streak to eight sessions.

EMAs bullish
SANDUSD 2605 4 Hourly Chart

Crypto Market Daily Highlights – June 25 – BTC and ETH Make Ground

  • It was a mixed session for the crypto to ten, with bitcoin (BTC) extending its winning streak while Binance Coin (BNB) saw red.
  • There were no major news stories to provide direction on Saturday, allowing momentum from Friday to spill over to the weekend.
  • After adding $24 billion on Friday, the total crypto market cap rose by a modest $11.5 billion.

It was a mixed session for the crypto market on Saturday. Bitcoin (BTC) logged a second 3-day winning streak of the week, while Binance Coin (BNB) saw red to buck the top ten trend.

There was no major news to derail the latest uptrend, with the crypto market needing to make it four in a row to convince investors of a possible shift from the extended bearish sell-off.

The week ahead will likely be another choppy one with inflation back in focus.

The Total Crypto Market Cap Inches Nearer to $1,000bn

Following a $27 billion rise on Friday, the total crypto market cap increased by $11.5 billion on Saturday. A day high of $954 billion saw the market cap near $1,000 billion, last visited on June 13.

Crypto market cap rises.
Total Market Cap 260622 Daily Chart

Investors continued to put aside downside risks, including fears of a recession, with momentum from Thursday and Friday continuing into the weekend.

For the week, the total market cap is currently up by $58 billion, reducing the June deficit to $354 billion.

On Saturday, DOGE led the way, rising by 2.35%, with BTC (+1.15%) and ETH (+1.38%) close behind.

However, SOL (+0.76%) and XRP (+0.23%) saw modest gains, with ADA ending the day flat.

BNB bucked the trend, falling by 0.21%.

From the CoinMarketCap top 100, The Sandbox (SAND) led the broader market, rallying by 16.3%.

The market speculation of a possible investor buyout of The Sandbox delivered the breakout session on Saturday.

This week, tech companies, including Epic Games, Meta, Microsoft, and Sony, partnered to form the Metaverse Standards Forum.

Decentraland (MANA) also found strong support, gaining 9.0%.

Total Crypto Liquidations Eased, Reflective of Saturday’s Moves

The recent downward trend in total crypto liquidations resumed on Saturday, reflective of market movements.

Going into Sunday, total liquidations stood at $130 million, down from a Saturday morning of $192 million. 54,137 traders were liquidated over the past 24 hours.

One-hour liquidations were also steady. According to Coinglass, one-hour liquidations stood at $5.68 million.

Crypto liquidations ease
Total Crypto Liquidations 260622

Daily News Highlights

  • The Sandbox (SAND) and Decentraland (MANA) enjoyed breakout sessions supported by the formation of the Metaverse Standards Forum.
  • DeFi tokens continued their uptrend as investors began to dip back into the space following the collapse of TerraUSD (UST) and Terra LUNA.
  • Binance CEO CZ told Yahoo! Finance that the company is looking at 50 to 100 deals.
  • News hit the crypto wires of FTX planning to buy a stake in BlockFi.
  • The Wall Street Journal reported Goldman Sachs eying a possible acquisition of Celsius.