It was a bearish Tuesday for the crypto top ten, with XRP leading the way down for a second consecutive session.
Risk aversion hit the crypto market, which had enjoyed a bullish morning session before succumbing to external market forces.
The total crypto market cap fell by $7.1 billion to $895.9 billion.
It was a bearish Tuesday session for the crypto top ten. XRP led the way down for a second session. Waning investor optimism towards a favorable outcome to the SEC v Ripple case weighed. BTC visited $20,000 for the first time in nine sessions before ending the day in the red.
US economic indicators likely contributed to the afternoon sell-off. In September, the CB Consumer Confidence Index increased from 103.6 to 108.0. Economists forecast a rise to 104.5. The increase came despite the current inflation environment, the Fed’s policy moves, and the economic outlook.
The consumer confidence figures support the Fed’s policy goals, which likely contributed to the risk-off session. Jobs and wages were the driving force behind the pickup in consumer confidence. The survey cut-off date was before last week’s interest rate hike.
On Tuesday, the NASDAQ 100 rose by 0.25%, while the S&P500 and the Dow fell by 0.21% and 0.43%, respectively. This morning, the NASDAQ 100 Mini was up 23.75 points.
Crypto Market Fell Back to sub-$900bn in Risk-Off Session
On Tuesday, the crypto market cap surged to a mid-day high of $944.9 billion before sliding to a late low of $882.4 billion. The afternoon sell-off left the market cap at $895.9 billion, down $7.1 billion for the session.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
It was a bearish Tuesday session for the crypto top ten.
XRP and SOL led the way down, sliding by 4.68% and 3.54%, respectively.
ADA (-1.34%), BNB (-1.38%), and DOGE (-1.02%) also struggled, while BTC (-0.72%) and ETH (-0.65%) saw modest losses.
Quant (QNT), Reserve Rights (RSR), and Uniswap (UNI) led the way. RSR surged by 12.41%, with QNT and UNI seeing gains of 10.55% and 7.47%, respectively.
However, Terra Classic (LUNC), Terra (LUNA), and Chiliz (CHZ) were among the worst performers. LUNC and LUNA slid by 9.05% and 9.93%, respectively, with CHZ falling by 3.37%.
24-HourCrypto Liquidations Spike as Market Conditions Turn Bearish
Over 24 hours, total liquidations saw a sharp increase on Tuesday, returning to a more normal level.
At the time of writing, 24-hour liquidations stood at $154.14 million, up from $79.89 million on Tuesday morning.
Liquidated traders over the last 24 hours also increased. At the time of writing, liquidated traders stood at 49,758 versus 42,166 on Tuesday morning. Liquidations were up over twelve and four hours and the final hour of the day (UTC).
According to Coinglass, 12-hour liquidations stood at $86.08 million, up from $25.84 million on Tuesday morning, with four-hour liquidations up from $3.31 million to $4.38 million. One-hour liquidations rose from $0.612 million to $1.92 million.
The chart below shows market conditions throughout the session.
It was a bearish Friday session for the crypto top ten, with Ethereum (ETH) and Solana (SOL) leading the slide.
Fed Chair Powell’s heavily anticipated Jackson Hole speech sent the equity and the crypto markets into a tailspin.
The total crypto market cap tumbled by $67.5 billion to $952.2 billion, with the crypto market now on target for a fourth monthly loss from five.
It was a bearish Friday session for the crypto top ten. Bitcoin (BTC) has avoided sub-$20,000 while falling short of $22,000 for a seventh consecutive session. ETH visited sub-$1,500, with SOL sliding to $31.
Fed Chair Powell delivered a warning to the markets of the Fed’s commitment to bring inflation to target. Powell talked of the likely fallout from the Fed’s goal, including the impact on labor market conditions. The Fed Chair also removed any hope of a policy reversal by highlighting the need for a period of sustained below-trend growth alongside a weaker labor market to tame inflation.
Investor reaction to Powell’s speech was evident, with the NASDAQ 100 sliding by 3.94% and crypto markets coughing up $78 billion from the start of the Powell speech to the end of the UTC session.
Economic indicators provided brief support. However, the positive market reaction to softer inflation numbers was short-lived. The Core PCE Price Index increased by 4.6% year-over-year in July, down from 4.8% in June. Personal spending disappointed, with a modest 0.1% increase after having risen by 1.0% in June.
The Total Crypto Market Cap Tumbles to sub-$950 billion
On Friday, the total crypto market cap rose to a pre-Powell speech day high of $1,032 billion before tumbling to a low of $942 billion.
A modest final hour recovery left the crypto market at $952.2 billion, down $67.5 billion for the session.
The sell-off leaves the total crypto market cap down $107 billion for August.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
It was a bearish Friday session for the crypto top ten.
ETH and SOL led the way down, sliding by 11.05% and 10.11%, respectively.
ADA (-7.10%), BNB (-7.17%), BTC (-6.03%), and DOGE (-7.94%) also struggled, while XRP fell by a more modest 3.25%.
Huobi Token (HT) and Theta Fuel (TFUEL) bucked the broader market trend, with gains of 4.77% and 3.66%, respectively.
However, Flow (FLOW) was amongst the worst performers, sliding by 13.34%, with Uniswap (UNI) down 12.43%.
Crypto Liquidations Surged in Response to Fed Chair Powell’s Policy Speech
Over 24 hours, total liquidations jumped as investors reacted to Fed Chair Powell’s speech from Jackson Hole.
At the time of writing, 24-hour liquidations stood at $346.13 million, up from $89.10 million on Friday morning.
Liquidated traders also rose over the last 24 hours. At the time of writing, liquidated traders stood at 113,370 versus 32,156 on Friday morning. Liquidations over 12 hours, 4 hours, and one hour were also down up, with investors unable to take any positives from Powell’s speech.
According to Coinglass, 12-hour liquidations stood at $271.70 million, up from $37.51 million on Friday morning. 4-hour liquidations jumped from $5.87 million to $82.24 million, with one-hour liquidations up from $0.721 million to $68.92 million. The chart below shows market conditions throughout the session.
XRP is eyeing annual lows under $0.30 ahead of a busy week of US macro events/possible SEC vs Ripple developments.
UNI is the worst performing top 20 coin on Monday, amid a broadly downbeat tone to crypto trade.
CEL is the worst performing top 100 coin, as the recent short-squeeze-induced rally continues to unwind.
XRP Eyes Annual Lows as Investors Await Hinman Email Ruling/Busy US Calendar
After failing an attempted resurgence back above the $0.35 level over the weekend, XRP, the token that powers Ripple’s global payments system, has slipped back into the $0.33s per token. Bears are eyeing a test of support in the $0.3250 area, a break below which could open the door to a run lower towards June’s annual lows just under $0.30.
According to FX Empire’s head of crypto analysis Bob Mason, investors are this week facing “uncertainty over the Hinman Court ruling that could materially alter the direction of the SEC v Ripple case”. The court presiding over the US Security and Exchange Commission’s (SEC) lawsuit against Ripple recently denied attempts by the SEC to shield a set of emails from its former Chair William Hinman which are seen as likely to turn the tide of the case in favor of Ripple.
The SEC has filed an objection against this ruling, and a court decision on the objection is expected soon. The SEC is accusing Ripple of issuing XRP as an unregistered security.
Uniswap Token (UNI) Bears Pushing for Further Downside
UNI, the utility and governance token of the decentralized exchange Uniswap, has fallen to fresh one-month lows around the $6.70 area on Monday and, according to CoinMarketCap, was the worst performing cryptocurrency in the top 20 by market cap over the last 24 hours. Over this time period, UNI has dropped nearly 6.0%.
The UNI bears have been in control since the cryptocurrency fell below an uptrend that had been in play since mid-June, as well as key support in the $8.0 area. The cryptocurrency is now at risk of further downside towards the $6.0 level.
Celius Network Token (CEL) Bears Also in Control
CEL, the utility token of now bankrupt cryptocurrency lender Celsius Network, has slid back to test its 200-Day Moving Average just under $2.0 per token as of Monday, weighed amid an ongoing downturn in broader cryptocurrency markets, as well as a continued unwind of the recent short-squeeze that sent CEL as high as the $4.50s earlier in the month.
CEL bears continue to target a test of key support in the $1.50 area, and then of the long-term downtrend from the June 2021 record highs near $8.0, which the cryptocurrency surged above early in the month.
It is a mixed start to the week for the crypto top ten, with XRP and Binance Coin (BNB) bucking the top ten trend.
Economic data from China sent the crypto market into negative territory.
Despite a total crypto market cap fall of $12 billion to $1,126 billion, the crypto market cap is up $65 billion for August.
It is a mixed Monday session for the crypto top ten. Bitcoin (BTC) is currently in negative territory, despite striking a new August high of $25,203. BNB and XRP are bucking the top ten trends with 90 minutes of the session remaining.
Economic indicators from China sent the crypto market into reverse. Weaker than expected stats delivered investors a reality check early in the session.
Industrial production increased by 3.8% year-over-year, down from 3.9% in June. Retail sales increased by 2.7% year-over-year, down from 3.1% in June. Economists forecast industrial production of 4.6% and retail sales of 5.0%.
The numbers disappointed, forcing the PBoC to deliver support that briefly limited the damage. Crude oil prices hit reverse, with the NASDAQ 100 Mini spending the day in the red alongside the broader crypto market.
Significantly, the bearish session continued despite the NASDAQ 100 shaking off the weak numbers to end the day with a 0.62% gain.
The Total Crypto Market Cap Stars the Week on a Bearish Footing
On Monday, the total crypto market cap rose to an early morning high of $1,175 billion before sliding to a late low of $1,110 billion. A partial recovery saw the market cap return to $1,134 billion before sliding back.
Down by $12.1 billion, the total crypto market cap is up by $65 billion for August.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
It is a mixed Monday session for the crypto top ten.
BNB (+0.79%) and XRP (+0.13%) buck the trend with 90 minutes of the session remaining.
However, DOGE leads the way down, sliding by 5.36%, with SOL (-1.92%) and ADA (-2.98%) struggling.
BTC and ETH are also in negative territory, falling by 0.86% and 1.22%, respectively.
Chiliz (CHZ) leads the way, rallying by 9.59%, with STEPN (GMT) and UNUS SED LEO (LEO) up 7.59% and 5.21%, respectively.
However, following the Sunday breakout session, Shiba Inu (SHIB) leads the way down, falling by 5.99%. Polygon (MATIC) and Uniswap (UNI) are down by 4.29% and 4.45%, respectively.
Total Crypto Liquidations Remain Steady Despite Bearish Session
This morning, total liquidations increased modestly, with the economic data from China testing investor appetite.
At the time of writing, 24-hour liquidations stood at $208 million, up from $194 million on Monday morning.
Liquidated traders increased over the last 24 hours. At the time of writing, liquidated traders stood at 68,517 versus 67,762 on Monday morning. While liquidations are up over 24 hours, liquidations are down over 12 hours, 4 hours, and over the last hour compared to Monday morning.
According to Coinglass, 12-hour liquidations stand at $51.19 million, down from $117 million, with 4-hour liquidations down from $25 million to $8 million. One-hour liquidations are down modestly from $2.93 million to $1.34 million.
The liquidation figures reflected market conditions over the Monday session, with the one-hour numbers suggesting a steadying ahead of the Tuesday session. (See hourly crypto market cap chart below).
Curve DAO token led the market with a 10.57% fall.
Filecoin, Kusama, and others followed suit with more than 8% dips.
Bitcoin and Ethereum were in line with the same, falling to $23k and $1.6k.
Cryptocurrencies mostly noted a downtrend today as the crypto market faced the impact of the US Office of Foreign Assets Control’s (OFAC) sanctions on the crypto service provider Tornado Cash.
The platform linked with the North Korean hackers – the Lazarus Group, has been barred from usage by any US citizen.
Consequently, despite TORN, the native token of Tornado, being the epicenter, the bearish waves were felt across the crypto market, sparing only a few cryptocurrencies which did not even include the king coin and the altcoin king, which traded at $23,147 and $1,694, respectively.
FIL noted an 8.84% decline today due to the broader market bearish cues, only days after marking an almost 87% rally in the span of 5 days.
The reason behind the fall has been a market cooldown caused by excessive bullish pressure, as evinced by the Relative Strength Index (RSI).
Curve DAO Token (CRV)
CRV was also amongst the worst performing assets of the day, falling by 10.57%, losing a part of its 165.42% rally from the month before.
Whether or not this momentum will stick is questionable since the Awesome Oscillator is exhibiting mixed signals at the moment.
Kusama finally broke its almost month-long streak of keeping above the basis of the Bollinger Bands, which would’ve been helpful during periods of volatility.
The 8.97% drop in 24 hours that caused this development also brought the trading price of the asset to $59.88 today.
RUNE was among the ones to lose the least, declining by just 5.69% in 24 hours after charting an 83.67% rally in the last two months.
But regardless of the rally, investors have been consistently pulling their money out of the asset as evinced by the downtick of the Chaikin Money Flow.
Uniswap was the best performer of this lot as it only fell by 4.55% today, bringing the price to $8.391. The fall came days after the almost 155% rally from a month ago.
The MACD today also slipped into a bearish crossover, and the appearance of the red bar below the neutral line makes the altcoin far more susceptible to a price drop.
Bitcoin is attempting a recovery and facing hurdles near $23,450.
Ether is facing resistance near $1,680.
BNB could aim a larger increase towards the $335 resistance on the daily chart.
Yesterday, bitcoin price saw a bearish reaction below the $23,450 support zone. The price declined below the $23,200 support zone and the 21 simple moving average (H1).
Finally, the bulls took a stand near the $22,650 level. A base was formed and the price started a recovery wave above the $23,000 level. Bitcoin cleared a connecting bearish trend line with resistance near $23,150 on the hourly chart.
On the upside, the price is facing a major hurdle near the $23,450 level. A clear move above the $23,450 level could start a decent increase. If there is no upside break, bitcoin might continue to move down towards the $22,000 support.
ETH also followed a similar pattern after it declined below the $1,680 support. There was a clear move below the $1,600 support zone.
Besides, the bears pushed the price towards the $1,565 support zone. The bulls took a stand and the price started a recovery wave above the 21 simple moving average (H1). Ether price climbed above a key bearish trend line with resistance near $1,656 on the hourly chart.
The bulls are now facing resistance at $1,680. The next major resistance is near the $1,700 level. A clear upside break above the $1,680 level and $1,700 could stage a strong increase.
BNB started a recovery wave above the $220 and $225 resistance levels. There was a steady increase above the $250 and $255 resistance levels.
The price climbed above the 50% Fib retracement level of the main drop from the $335 swing high to $190 base. The bulls pushed the price above the $280 level and the 21-day simple moving average. Besides, the price cleared a major bearish trend line on the daily chart at $265.
It is now facing resistance near the $295 and $300 levels. A clear upside break above the $300 barrier could send the price further higher towards $335. If not, there might be a downside correction below the $285 level. The main support sits near the $250 level and 21-day simple moving average, below which the price might gain bearish momentum.
ADA and DOT price
Cardano (ADA) is consolidating above the $0.50 pivot level. If there is an upward move, the price might struggle near the $0.525 level.
Polkadot (DOT) is consolidating near the $8.20 level. An immediate resistance is near the $8.35 level, above which the price may perhaps rise towards the $8.50 level.
A few trending coins are UNI, ETC, and APE. Out of these, ETC is gaining pace and might attempt a move above the $40 resistance.
ApeCoin hit its highest since late May and is outperforming on Wednesday after Gucci announced it will accept APE payments.
Uniswap is also fairing well and is the best performer in the crypto top 20.
Solana is the worst performing top 20 crypto, weighed following news that Solana wallets were hacked.
ApeCoin broke out to its highest levels since late May on Wednesday above $7.40 per token and was last trading in the $7.30s and with gains of over 10% on the day. According to CoinMarketCap, APE has gained over 15% in the last 24 hours, making it the best performing cryptocurrency in the top 50 by market capitalization.
APE/USD has arguably been in a technical uptrend since mid-June, with the 21-Day Moving Average (currently at $6.13) also offering support more recently. The cryptocurrency is now probing an area of support turned resistance from May in the $7.50 region. If it can get above this, a challenge of $8.0 seems likely.
Gucci to Accept ApeCoin Payments
Iconic high-end luxury fashion brand Gucci announced on Tuesday that it will now accept in-store purchases in ApeCoin through its payment service provider BitPay, news which likely gave APE a boost. Gucci’s move to accept ApeCoin comes after it began accepting payments in Bitcoin, Ethereum, Dogecoin and various USD-pegged stablecoins back in May. Gucci competitors such as Balenciaga and Farfetch also began accepting crypto payments this year.
UNI, the native token that power’s the predominantly Ethereum-based decentralized exchange (DEX) Uniswap, was last trading higher by close to 8% on Wednesday. The cryptocurrency found significant demand when it retested its 200-Day Moving Average just under $8.20 earlier in the session and, aided by a broader bounce in crypto prices on Wednesday, has rallied to just under $9.0 per token.
UNI bulls will be eyeing a test of the near-$10 highs that the token printed last week and the cryptocurrency’s technical outlook looks positive. UNI has been in an uptrend since mid-June and a break above the $10 resistance area could open the door to a swift rally towards the next area of resistance around $12.50.
Uniswap Expensive Compared to Other Exchanges, According to Market Cap/Revenue Ratio
According to the anonymous host of InvestAnswers, UNI is expensive in comparison to the share price of leading US crypto exchange Coinbase Global and versus the share prices of the NYSE and Nasdaq stock exchanges. The host said that Uniswap has a market cap to revenue ratio of 6.7 ($6.7 billion in market cap versus $1 billion in annual revenue). This is nearly twice as high as the NYSE’s ratio and significantly above Coinbase’s 2:1 ratio.
Still, the host remains positive on UNI, noting that “considering the growth of DEXs and their popularity and how they’ve survived and thrived during this bear [market] winter, I think the future is very bright for Uniswap”. “The question is, could Uniswap do a 3x from here? I say, yes it could,” they added.
Solana is the worst performing cryptocurrency in the top 20 by market cap on Wednesday, weighed by news that thousands of Solana wallets were hacked. SOL, the native token that powers the Solana blockchain, was last about 1.0% lower on the day and trading in the mid-$39s per token.
Despite the news of the hack, the slightly better tone to broader cryptocurrency market conditions is keeping SOL above its 50-Day Moving Average in the mid-$37.00s for now. Technicians are also eyeing a potential test of an uptrend that has been supporting the price action since mid-June. So long as SOL can stay above this uptrend, it arguably still has a modestly positive near-term technical bias.
Solana Wallets Hit in Multimillion Dollar Hack
Late on Tuesday, the Solana blockchain’s crypto ecosystem came under attack. As of early Wednesday morning, at least $8 million worth of crypto has been drained from more than 8,000 different “hot” wallets, including Phantom, Slope and TrustWallet. “Hot” wallets are those that stay connected to the internet at all times to provide users with convenience when sending, receiving or storing digital assets.
Twitter users speculated that the hackers might have access to users’ private keys, thus giving them wallet access. But the exact cause of the attack remains unknown. A spokesperson from Phantom, the developer of the most widely used Solana wallet, told the crypto media that “we are evaluating the incident impacting Solana wallets and are working closely with other teams in the ecosystem to get to the bottom of this”. “The team doesn’t believe this is a Phantom-specific issue at this time,” they added.
Improving crypto market conditions placed decentralized finance (DeFi) coins in the spotlight.
A dovish 75-basis point Fed rate hike and the US economic contraction in the first and second quarters increased appetite for DeFi coins.
While the crypto winter continues to hit the market, several DeFi coins have outperformed, including Uniswap (UNI), Lido DAO (LDO), and Aave (AAVE).
In July, the crypto market ended a three-month losing streak, with the total crypto market cap rising by $195 billion to $1,061 billion.
While a sizeable increase, the market cap is still down by $1,131 billion from $2,192 billion on January 1.
Improving market conditions, stemming from a shift in market sentiment towards Fed monetary policy, supported the beginnings of a crypto market recovery.
With current crypto price levels well below the first quarter and November all-time highs, buying opportunities are present.
While the risk of a US recession has spiked following the second consecutive quarterly contraction, US corporate earnings bolstered the appetite for riskier assets.
In July, the NASDAQ 100 rallied by 12.35%, the best monthly performance since 2020. Bitcoin (BTC) outperformed, with a 17.6% gain, with popular DeFi tokens among the crypto front runners for the month.
Total Value Locked Begins the Long Road to Recovery
According to Defi Llama, the total value locked (TVL) fell by 71% in H12022 to a lowly $71 billion. However, fortunes for the DeFi space changed in July. Reversing a large portion of the 37% slide in the June TVL, the TVL increased by 25% to $90.53 billion.
Front runners among the DeFi coins included Aave (AAVE), Lido DAO (LDO), and Uniswap (UNI).
In July, Aave saw its TVL rise by a modest 8.2%, with Uniswap up 29%. However, LDO led the way, with the TVL surging by 61%.
Looking at the respective coin price and TVL performances,
TVL July 2022
The figures reveal a marked difference between price and TVL performance.
Improving market conditions should see market caps recover further to align more closely with total value locked levels.
Taking Uniswap as an example, the total market cap fell below the TVL in December and remained below the TVL. Another bullish month should see the Uniswap market cap narrow on the TVL, which would support another sizeable price move.
In July, AAVE rallied by 73% to end the month at $98.46. A bullish end to the month saw AAVE strike a July 31 monthly high of $109.33 before easing back.
Down by 61% year to date, a move through the June high of $120.83 would give AAVE a free run at the May high of $162.13.
AAVE would need to avoid sub-$50 and the current year low of $45.52 to continue the recovery.
However, crypto market conditions need to improve to support a return to $100. An upward trend in total value locked would provide support. With DeFi coins back on the radar, another bullish month could see AAVA join the front runners after trailing in July.
Lido DAO (LDO)
LDO surged by 372% in July to $2.13. Outperforming the broader market, LDO struck a July high of $2.658 on July 28 before easing back.
Down 31% year to date, a move through the May high of $3.56 would give LDO a free run at the April high of $5.14.
LDO would need to avoid sub$-2.00 and steer well clear of the current year low of $0.44 to support another breakout month.
Market risk sentiment will need to improve for LDO to revisit $5.00. An upward trend in total value locked would provide support. While market risk sentiment will influence, progress updates on the Ethereum (ETH) Merge will remain the key driver.
In July, UNI rallied by 69% to end the month at $8.46. Tracking the broader market, UNI struck a July high of $9.82 on July 28 before easing back.
Down 50% year to date, a move through the April high of $12.30 would support a run at the January high of $19.85 to test resistance at $20.00.
However, UNI will need to avoid the sub-$5.00 and the July low of $4.72 to steer clear of the current-year low of $3.33.
While we can expect total value-locked trends to influence, the crypto market sentiment would need to improve to support a breakout from the April high.
For UNI, investors will also monitor the impact of the Fee Switch, which delivered price support in late July.
Bitcoin (BTC) rose for the fourth week in six, supported by a shift in sentiment towards Fed monetary policy.
Ethereum Classic (ETC) continued the bullish upward trend, supported by investor sentiment towards the Ethereum (ETH) Merge.
The shift in sentiment was evident in the technical indicators. The EMAs for BTC, ETC, OP, UNI, and YFI delivered bullish signals.
In the week ending July 31, the total crypto market cap was on target for a fourth consecutive weekly rise. Significantly, the crypto market was also on target to end a three-month losing streak.
Bearish sentiment early the week saw the market cap fall to a low of $924 billion. Market apprehension ahead of the Wednesday Fed policy decision weighed on riskier assets.
However, a dovish 75-basis point Fed rate hike and US economic indications on Thursday supported a breakout week.
Hopes of a softer pace of interest rate hikes, supported by a US economic contraction in Q2 led to the markets pricing out a 75 basis point hike in September.
US corporate earnings also delivered support, with Microsoft (MSFT), Amazon (AMZN), and Apple (AAPL) providing positive forward outlooks to support riskier assets.
Walmart (WMT) had spooked the markets with a gloomy outlook before the trio delivered the market boost.
Supported by a bullish final week, the NASDAQ 100 ended July up 12.35%, the best monthly showing since 2020.
The correlation between the NASDAQ 100 and the crypto market remained firmly in place.
Ethereum (ETH) Merge updates remained the key driver for Ethereum Classic (ETC), with Optimism (OP) also making a move on network news. Improved market conditions delivered much-needed support to yearn.finance (YFI) and Uniswap (UNI).
Over the weekend, it was a mixed session, with a Saturday breakout fizzling out before crypto support kicked on Sunday.
This week, the US economic calendar will influence. ISM survey-based PMI numbers are due out on Monday and Wednesday. On Thursday, jobless claims will also provide direction ahead of the nonfarm payroll numbers on Friday.
Expect the ISM Non-Manufacturing and nonfarm payroll figures to have a material impact on the NASDAQ 100 and the crypto market.
Investors will also need to monitor FOMC member chatter and corporate earnings.
This week, Monday through Sunday morning, bitcoin (BTC) was up 5.32% to $23,786.
A bearish start to the week saw BTC fall to a Tuesday low of $20,733 before striking a Saturday and a new July high of $24,619.
However, a choppy weekend saw BTC give up the $24,000 handle going into Sunday.
BTC movements in the week reflected the market reaction to the Fed policy decision, US economic indicators, and corporate earnings.
Last week, the Bitcoin Fear & Greed Index hit its highest level since April 6, rising to 42/100 before easing back. The Index fell just short of the neutral zone that begins at 46/100.
At the time of writing, BTC was up 0.59% to $23,786.
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 $22,978.
The 50-day pulled away from the 200-day EMA. Following the Saturday bullish cross, the 100-day EMA broke clear from the 200-day EMA, delivering bullish BTC signals.
A widening of the 50-day from the 100-day EMA would support a break out from the week high of $24,619. A return to $25,000 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 $22,442, and a return to sub-$20,000.
Ethereum Classic (ETC)
This week, Monday through Sunday morning, Ethereum Classic (ETC) was up 58.63% to $40.53.
Tracking the broader market, ETC fell to a Tuesday low of $22.89 before surging to a Friday high of $45.27. While finding support from the broader market, progress towards the Ethereum Merge continued to drive ETC demand.
At the time of writing, ETC was up 2.74% to $40.53.
Looking at the trends, a move through the July high of $45.27 would support a run at the April high of $48.63 and $50. Avoiding a fallback to sub-$30 would be the key for ETC to maintain the near-term bullish trend.
Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal. This morning, ETC sat above the 50-day EMA, currently at $32.88.
The 50-day EMA pulled away from the 100-day EMA, with the 100-day EMA breaking out from the 200-day EMA, both bullish ETC signals.
A further widening of the 50-day EMA from the 100-day EMA would support a bullish week ahead. However, ETC will need to hold above the 50-day EMA to avoid a return to sub-$30 and the 100-day EMA, currently at $28.00.
This week, Monday through Sunday morning, Optimism (OP) was up 85.70% to $1.7070.
A bearish start to the week saw OP fall to a Tuesday low of $0.7458 before surging to a Friday high of $1.9620.
While OP found support from the broader crypto market, news updates from the network also delivered a boost.
News of Curve Finance submitting a governance proposal on Optimism for 100 million OP tokens for distribution on the Curve Pool delivered early support.
The platform also released Drippie, a new transaction system, which added further support.
At the time of writing, OP was down 5.64% to $1.7070.
Looking at the trends, a breakout from the week high of $1.880 would support a run at $2.00. However, market sentiment across the broader crypto market will need to improve for a breakout from $1.90. (There is no EMA technical analysis due to the data points).
This week, Uniswap (UNI) is up 24.41% to $9.02.
In line with the broader market trend, UNI fell to a Tuesday low of $6.22 before rallying to a Thursday and a new July high of $9.82.
However, bearish going into the weekend, UNI fell back to sub-$9.00.
While finding support from the broader market, news of a move towards ‘Fee Switch’ delivered a boost.
At the time of writing, UNI was up 2.73% to $9.02.
Looking at the trends, a breakout from the July high of $9.82 would bring the April high of $12.30 into view. However, UNI would need to break down resistance at $10.00 to continue the upward trend.
A fall through the last week’s low of $6.22 would bring sub-$5.00 and the current year’s low of $3.33 into play.
Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal. This morning, UNI sat above the 50-day EMA currently at $8.01.
The 50-day pulled away from the 100-day EMA, with the 100-day EMA pulling away from the 200-day EMA, both bullish UNI signals.
A widening of the 50-day EMA from the 100-day EMA would support a run at $10.00 to target the April high. However, UNI would need to hold above the 50-day EMA to avoid the 100-day EMA, currently at $7.45, and the last week low of $6.22.
This week, yearn.finance (YFI) is up 68.31% to $11,745.
Tracking the broader market, YFI fell to a Tuesday low of $6,250 before rallying to a Saturday and a July high of $14,239. A late Saturday pullback led YFI back to sub-$12,000 to limit the upside for the week.
While finding support from the broader crypto market, market sentiment toward the anticipated August launch of veYFI delivered the breakout week.
At the time of writing, YFI was down 0.14% to $11,745
Looking at the trends, a breakout from the Saturday high of $14,239 would give YFI a free run at the May high of $18,565. YFI would then need to return to $20,000 to maintain the upward trend. However, a pullback to sub-$7,500 would see YFI face intense selling pressure.
Looking at the 4-hourly chart and the EMAs, the signal was bullish. YFI continued to steer clear of the 50-day EMA, currently at $8,719.
The 50-day EMA pulled away from the 100-day EMA, with the 100-day EMA breaking clear of the 200-day EMA, both positive YFI indicators.
A further widening of the 50-day EMA from the 100-day EMA would support a breakout from the week high of $14,239 to target the May high of $18,565. However, a fall through the 50-day EMA would bring sub-$8,000 and the 100-day EMA, currently at $7,782, into view.
It is another bullish session for the crypto top ten, with Solana (SOL) and Ethereum (ETH) leading the way.
US GDP numbers for the second quarter reined in expectations of an aggressive Fed rate path to normalization, delivering market support.
In response to the US economic contraction, the market cap fell to a day low of $1,017 billion before jumping to a day high of $1,092 billion.
It is a bullish Thursday session for the crypto top ten. Bitcoin (BTC) revisited $24,000 for the first time since June 20, with Ethereum (ETH) and Solana (SOL) leading the way.
Following the market-friendly Fed rate hike on Wednesday, US economic indicators drew interest on Thursday.
In the second quarter, the US economy contracted by 0.9% versus a forecasted 0.5% expansion. The economy contracted by 1.6% in the previous quarter.
While negative for riskier assets, the contraction reined in bets of another 75-basis point rate hike in September, delivering support to the global equity markets and the crypto market.
The crypto market tracked the NASDAQ 100 through the US session, recovering from a dip in response to the GDP numbers.
On Thursday, the NASDAQ 100 followed Wednesday’s 4.06% rally with a 1.08% gain.
The Total Crypto Market Cap Jumps on FED Bets
On Thursday, the crypto market found early support before sliding to a day low of $1,017 billion. Investor reaction to the US economic contraction weighed on the crypto market before a rebound to a day high of $1,092 billion.
The upside came in response to a shift in sentiment towards Fed monetary policy. Another contraction eased bets of a 75-basis point rate hike in September to bring inflation back to target.
With another $43 billion flowing into the crypto market, an end to a three-month losing streak looks more assured. For July, the total market cap is up $211 billion.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
With two hours remaining for the Thursday session, SOL was up by 7.73% to lead the way, with ETH (+6.18%) close behind.
BNB (+2.06%), BTC (+3.97%), DOGE (+3.62%), and XRP (+3.61%) also found strong support, while ADA (+0.78%) trailed.
From the CoinMarketCap top 100, it was another bullish session, with stablecoins seeing modest losses for a second consecutive session.
Lido DAO (LDO), Ethereum Classic (ETC), Synthetix (SNX), and Uniswap (UNI) were among the front runners again.
ETC was up by 23.09%, with LDO (+16.70%), SNX (+10.48%), and UNI (+16.89%) close behind.
Total Crypto Liquidations Continued Upward Trend Over 24-Hours
On Thursday, 24-hour liquidations increased again, with the liquidation of short positions dominating as investors responded to the US GDP numbers and what it means from a Fed monetary policy perspective.
At the time of writing, 24-hour liquidations stood at $543 million, up from $317 million on Thursday morning.
Liquidated traders increased over the last 24 hours. At the time of writing, liquidated traders stood at 120,788 versus 78,656 on Thursday morning.
While four-hour liquidation figures were also elevated, one-hour liquidation numbers pointed to a steadying in market conditions.
According to Coinglass, four-hour liquidations stood at $96.94 million, up from $36.06 million on Thursday. One-hour liquidations stood at $3.46 million, up from $2.96 million. (See hourly crypto market cap chart below).
Daily News Highlights
FTC hit Meta (META) with a court order to block the acquisition of a virtual reality app.
The news hit the wires of Solana (SOL) planning to unveil a Manhattan retail store.
In the UK, the Law Commission proposed changes to how property laws apply to cryptos.
NFTs were back in the news, with Impostors preparing for its first beta.
Uniswap emerged as the best performer of the day, marking an almost 40% rise.
Synthetix wasn’t far behind either, rallying by 39.35% in the last 24 hours.
Bitcoin and Ethereum joined the altcoins rising to $23k and $1.7k.
With pretty much every cryptocurrency in the top 100 list noting a rally today, the crypto market capitalization rose back to $1.04 trillion.
In doing so, altcoins like Uniswap, Lido DAO, and more gained incline significantly, including the king coin and the altcoin king, which were found to be trading at $23,814 and $1,723 respectively.
The native token of the decentralized exchange Uniswap, UNI, performed exceptionally, rising by 39.23% in 24 hours to trade at $9.252.
In doing so, it not only maintained the 50-day Simple Moving Average (SMA) (red) and the 100-day SMA (green) line as support but also flipped the 200-day SMA (blue) line to the same position. This will give the boost UNI needs to recover the 60.82% crash it noted between April and May.
SNX was right behind Uniswap as it shot up by 39.35% to rise above the $4 mark after almost two and a half months and trade at $4.13.
Although the high volatility visible by the diverging Bollinger Bands might be a matter of concern if the altcoin attempts to recover the 76.46% losses it noted between April and June.
Bitcoin Cash (BCH)
The hardfork of the king coin, Bitcoin Cash, was also among the best performers noting a 29.34% rally to trade at $154.
The uptick observed on the Relative Strength Index (RSI) is a good sign for BCH as it could help in reclaiming the 71.56% losses of April to June, as long as the indicator stays below the overbought zone.
Bitcoin Gold (BTG)
Another Bitcoin hardfork made it among the top coins of the day as BTG rallied by more than 30% to trade at $27.13, even hitting $30 during the day.
This rise saved the altcoin from a bearish crossover that was about to take place 48 hours ago, as visible on the MACD.
Although NEO did not rally as much as others in this list, it still marked a substantial rally of 19.54% to trade at $11.08. The uptick visible on the Chaikin Money Flow exhibits that money is flowing into the asset.
This will help in not only maintaining the rally but also supporting NEO in its efforts to recover from the massive crash of April and May, where the coin fell by almost 65.6%.
Bitcoin started a fresh increase above the $22,250 resistance.
Ether (ETH) surged above $1,550 and $1,600 before the bears appeared.
DOT is attempting a key upside break above $8.0 and $8.5.
Recently, bitcoin price saw a major increase above the $22,000 resistance zone. It cleared the $22,250 level and the 21 simple moving average (H1) to move into a positive zone.
The upward move gained pace above $23,000 and $23,200. However, the price failed to gain pace for a move above the $23,500 level. It is now correcting gains and trading below $23,000. On the downside, an initial support is near $22,500.
The main support is near $22,250 and a connecting bullish trend line on the hourly chart. On the upside, the price is now facing a strong resistance near the $23,400 zone. A clear move above the $23,400 level might push the price towards the $24,000 level. The next major resistance might be $25,000.
ETH also followed a similar pattern and gained pace above the $1,550 level. There was a close above the $1,600 level and 21 simple moving average (H1).
It even traded above $1,600 and currently consolidating gains. On the downside, the price might find bids near the $1,600 level. The next major support is near the $1,540, below which the price could slide to $1,500.
On the upside, the $1,665 level presents a major hurdle. The next major resistance is near the $1,700 level. A successful close above the $1,700 level might start another increase. In the stated case, the price might rise towards the $1,880 level.
DOT formed a base above the $6.00 support zone after a strong decline. The bulls were active above $6.00 and protected any more downsides.
As a result, the price started a steady upward move above the $6.50 resistance zone. There was a clear move above the $6.80 resistance and a key bearish trend line on the daily chart. It is now trading well above the $7.00 level and the 21-day simple moving average.
It is now approaching the 50% Fib retracement level of the key decline from the $12.00 swing high to $6.10 low. If there is a close above the $8.50 resistance, the price could start a major increase. In the stated case, DOT price may perhaps clear the $10.00 resistance.
ADA and BNB price
Cardano (ADA) attempted a close above the $0.50 resistance but struggled. It is now correcting gains and might test $0.488.
Binance Coin (BNB) spiked towards the $272 before the bears emerged. The price is now moving lower and might test $262.
Ethereum is holding above $1,600 despite ugly US GDP numbers confirming a recession, with bulls still eyeing $1,700.
A majority of fintech experts partaking in a survey earlier this month think the Ethereum merge will positively impact price.
Uniswap and Bitcoin Cash are amongst the best performing top 50 cryptocurrencies on Thursday.
Ethereum Holds Above $1,600 Despite Awful US GDP Figures
ETH, the native token that powers the Ethereum blockchain, was last changing hands just above the $1,600 level and only very slightly in the red on the day, despite the release of ugly US GDP growth figures for Q2 that confirm the US was in a so-called “technical recession” in H1 2022. The downbeat data, which showed that the US economy contracted at an annualized pace of 0.9% in Q2 after shrinking at a pace of 1.6% in Q1, has triggered a classic risk-off response in markets.
US bond yields are sharply down amid demand for the safe-haven asset and on bets that the Fed will tighten less aggressively. The yen and gold have also been performing well, while stocks have been knocked a little, which is weighing on crypto. Still, both highly risk-sensitive asset classes are higher in wake of Wednesday’s dovish 75 bps rate hike from the Fed. Indeed, ETH still trades 19% up versus earlier weekly lows and is only 3.0% lower versus the monthly highs it hit earlier in the session.
Some analysts think that bad data may support speculative risk assets like tech stocks and crypto in the months ahead, if it dissuades the Fed from raising interest rates so aggressively in the latter part of 2022 and into 2023. As a result, ETH bulls will be keeping their sights set on resistance in the $1,700 area. A break above here could open the door to a run higher towards the $2,000 level and resistance in the mid-$2,100s just above it.
Ethereum Merge Not Yet “Priced In”, Says Vitalik Buterin
Ethereum co-founder Vitalik Buterin said in an interview at last week’s Ethereum Community Conference (EthCC) in Paris that after the Ethereum blockchain transitions to Proof-of-Stake (PoS) from Proof-of-Work (PoW) later this year, “morale is going to go way up”. Buterin added that the so-called “Merge” isn’t yet “priced in”, as it hasn’t happened yet, and that it needs to take place on schedule.
Ethereum will use this shadow fork to test releases similar to those that be used in the Goerli merge on 10 August, Ethereum developer Parithosh Jayanthi told CoinDesk. The merge of the Goerli testnet to PoS from PoW will be Ethereum’s last trial run before the merge of its mainnet in September.
Ethereum “Merge” To Have a Positive Impact on Price, According to Finder.com
In a quarterly survey of 53 fintech experts conducted by finder.com and released earlier this month, an overwhelming majority (78%) said they thought Ethereum’s so-called “Merge” would have a positive impact on its price. However, one of the experts, Elbaite’s cofounder and CEO Mortaza Tollo, warned that its “hard to predict a short-term price after The Merge, there might be a case of buy the rumor, sell the news, so in the lead-up to The Merge prices might rise by up to 25% but decline shortly after”.
In answer to the question as to whether now is the time to buy, hold or sell Ethereum, the panel was fairly evenly split between buy (43%) and hold (41%), with only 16% recommending to sell. One expert, the founder and chairman of CoinFlip Daniel Polotsky, argued that ETH is currently selling for a discount given the ongoing bear market.
“Bitcoin, while still being a risk asset in the eyes of the general population, is still the most trusted blockchain among all cryptocurrencies… That means that people will flock to it over other, more speculative blockchains in times of unrest,” he explained. “What this means is that more speculative, growth-oriented blockchains like Ethereum will be on a steeper discount during the bear market, presenting potential buying opportunities for investors.”
In finder.com’s July survey, the 53 experts also gave their new Ethereum price forecasts for the end of 2022, 2025 and 2030. The mean forecast for the year-end is for ETH to hit $1,711, then to rally to $5,739 by 2025, before moving above $14,400 by 2030.
Meanwhile, experts at CoinPedia are bullish in their ETH forecasts. They see the cryptocurrency hitting $2,142.3 by the year’s end. In a bullish scenario where the network sees a reduction in congestion and gas fees following developments work, which they think could lead to new buyers and projects arriving, ETH could even end the year as high as $2,474. In a bearish scenario where the Merge doesn’t go so smoothly, ETH might only reach $1,785.
That compares to a much more bearish outlook amongst CoinMarketCap website users. Of the 291 that have submitted a forecast as to where they see Ethereum ending 2022, the mean forecast is for it to fall over 20% from current levels back to around $1,280.
Having gained 23% in the last 24 hours according to CoinMarketCap, Uniswap is the best performing cryptocurrency in the top 50. Price action on Thursday could be particularly significant as, in recent trade, the cryptocurrency has broken above its 200-Day Moving Average (at $8.38) for the first time since November 2021. A clean break above the 200DMA could open the door to a run higher towards the $10 level and resistance above that around $12.
Bitcoin Cash, meanwhile, is another strong performer. According to CoinMarketCap, the Bitcoin forked cryptocurrency is up close to 20% in the last 24 hours. However, it does seem to have run into resistance in the form of its 12 May lows around $150 per token. BCH has since dipped back from earlier session highs to the $143 area. It is still up over 25% versus earlier weekly highs.
It was a bullish Wednesday session for the crypto top ten, with Ethereum (ETH) leading a broad-based crypto breakout.
The US Federal Reserve delivered the market boost, with bitcoin (BTC) striking a day high of $23,102 in response.
Having fallen back to a low of $924 billion on Tuesday, $78 billion poured into the market to take the market cap to $1,035 billion.
It was a bullish Wednesday session for the crypto top ten. Bitcoin (BTC) visited $23,000 for the first time since Friday, with Ethereum (ETH) bouncing back to $1,600.
Following the market reaction to Walmart’s (WMT) gloomy outlook on Tuesday, the global financial markets responded favorably to the Fed’s 75-basis point rate hike on Wednesday.
A rate hike in line with expectations and hopes of a slower pace of rate hikes delivered the market boost.
The crypto market tracked the NASDAQ 100 through the US session before extending gains post the US-market close. Investors seemed undeterred by the Fed’s commitment to bring inflation to target at any cost.
On Wednesday, the NASDAQ 100 surged by 4.06%. At the time of writing, the NASDAQ 100 Mini was down 34.5 points.
The Total Crypto Market Cap Gets Fed-Fueled $78 Billion Boost
On Wednesday, the crypto market came under early pressure before enjoying a breakout session.
The total crypto market cap fell to an early low of $945 billion before surging to a high of $1,040 billion.
Market reaction to the Fed policy decision and Fed Chair Powell’s comments was evident, with the market cap surging by $38 billion in the hour following the decision.
Barring a crypto meltdown, the Wednesday jump all but assures an end to a three-month losing streak. For July, the total market cap is currently up $170 billion.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
ETH surged by 12.88% to lead the top ten, with SOL (+10.98%) and ADA (+9.19%) close behind.
BNB (+8.86%), BTC (+7.68%), DOGE (+7.57%), and XRP (+6.28%) also made solid gains.
From the CoinMarketCap top 100, it was a rare bullish session, with only stablecoins seeing modest declines.
Lido DAO (LDO) led the way, surging by 33.00%. Ethereum Classic (ETC) and Synthetix (SNX), and Uniswap (UNI) weren’t far behind. ETC jumped by 30.91%, with SNX and Uni up by 25.90% and 20.57%, respectively.
Total Crypto Liquidations Continued Upward Trend Over 24-Hours
On Thursday, 24-hour liquidations increased, reflecting a choppy start to the Wednesday session. Market reaction to the Fed policy decision and Powell’s comments led to improving market conditions, evident in the one-hour and four-hour liquidation figures.
This morning, 24-hour liquidations stood at $317 million, up from $207 million on Wednesday. While higher, liquidation over the last 12 hours was $265 million.
Liquidated traders increased over the last 24 hours. At the time of writing, liquidated traders stood at 78,656 versus 73,706 on Wednesday morning.
However, one-hour and four-hour liquidations painted a better picture, reflecting the Fed-fueled market rally.
According to Coinglass, four-hour liquidations stood at $36.06 million, up from $24.01 million on Wednesday. One-hour liquidations stood at $2.96 million, down from $4.41 million. (See hourly crypto market cap chart below).
Daily News Highlights
FTXcontinues its spending spree, with South Korea’s Bithumb the latest target.
The news hit the wires of Kraken coming under investigation for allowing users in Iran to buy and sell crypto.
IMF said the crypto crash hasn’t hit the broader financial market.
It was a mixed Tuesday session for the crypto top ten, with Solana (SOL), Cardano (ADA), and bitcoin (BTC) seeing red.
Investor reaction to US corporate earnings and apprehension ahead of the Fed monetary policy decision tested appetite for riskier assets.
Recovering from a $36 billion slump, the total crypto market cap increased by $1.77 billion.
It was a mixed Tuesday session for the crypto top ten. Bitcoin (BTC) visited sub-$21,000, with Cardano (ADA) and Solana (SOL) joining bitcoin in the red.
On Tuesday, Walmart Inc. (WMT) weighed on riskier assets with a grim earnings outlook for the current quarter and the fiscal year. Shares slid by 7.6% after the company said that higher prices for fuel and food would cause consumers to cut back on spending.
The doom and gloom outlook comes ahead of the Fed monetary policy decision. Uncertainty over Fed monetary policy and the US economic outlook has weighed on the crypto market.
Walmart’s outlook warning added to investor angst over the economic outlook, which could force the Fed to lift rates by just 50 basis points on Wednesday.
On Tuesday, the broader crypto market tracked the NASDAQ into the red before a post-US market close rebound. The NASDAQ 100 slid by 1.87%.
The Total Crypto Market Cap Recovers From Walmart Induced Slump
On Tuesday, the crypto market succumbed to uncertainty over the Fed and corporate earnings. The total market cap fell from a high of $961 billion to a low of $924 billion before bouncing back.
A post-US market close rebound saw the total market cap bounce back to end the day at $957 billion, up by $1.77 billion. The market cap had been down by $36 billion before the late recovery.
For the current month, the total crypto market cap is up $90 billion. However, the Fed will need to be crypto-friendly for the crypto market to end a three-month losing streak.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
SOL and ADA fell by 1.07% and 1.47%, respectively, with BTC ending the day with a 0.23% loss.
It was a bullish session for the rest of the top ten, with BNB and DOGE rising by 2.04% and 1.02%, respectively, to lead the way.
ETH (+0.62%) and XRP (+0.50%) saw relatively modest gains.
Qtum (QTUM), OKB (OKB), and Trust Wallet Token (TWT) led the way. QTUM rallied by 11.95%, with OKB and TWT gaining 7.49% and 5.35%, respectively.
At the other end of the table, Uniswap (UNI) led the way down, with a 5.21% loss. Convex Finance (CVX) and ApeCoin (APE) weren’t far behind, falling by 4.89% and 3.97%, respectively.
Total Crypto Liquidations Inched Higher with the Fed in Focus
On Wednesday, 24-hour liquidations continued to move northwards, though liquidation levels remained low relative to last week’s spike.
This morning, 24-hour liquidations stood at $207 million, up from $182 million on Tuesday. In the previous week, liquidations spiked at $691 million.
Liquidated traders increased over the last 24 hours. At the time of writing, liquidated traders stood at 73,706 versus 67,978 on Tuesday morning.
One-hour and four-hour liquidations were in decline, reflecting the post-US market close market rebound.
According to Coinglass, four-hour liquidations stood at $24.01 million, down from $76.67 million on Tuesday. One-hour liquidations stood at $4.41 million, down from $18.00 million. (See hourly crypto market cap chart below).
Daily News Highlights
Corporate earnings sent the crypto market into the red before a late rebound.
The news hit the wires of crypto exchange Kraken suspected of violating US sanctions.
Coinbase hit the news, with the US SEC reportedly investigating the US platform for unregistered securities listings.
It is a bearish Monday session for the crypto top ten, with Solana (SOL) and Ethereum (ETH) taking the biggest hits.
Investor focus returned to the Fed and the US economy to pressure the crypto market.
With an hour to go, the total coin market cap was down $45 billion to $974 billion.
It is a bearish Monday session for the crypto top ten. Bitcoin (BTC) tested support at $21,500, with Ethereum (ETH) and Solana (SOL) on the slide.
The upcoming Fed monetary policy decision and concerns over the US economy have hit investor appetite. Today’s reversal continued from a late Sunday sell-off that could continue through to tomorrow’s Fed policy decision.
On Monday, the NASDAQ 100 fell by 0.43%, adding to the negative sentiment. However, a late partial recovery has had little influence on the crypto market, which has extended its losses after the US market close.
The Total Crypto Market Cap Hits Reverse
Bearish throughout the Monday session, the total crypto market cap tumbled from a high of $1,022 billion to a low of $963 billion.
With $45 billion coming off the table, a first monthly increase in four months is less assured. Currently, the market cap is up $108 billion for July.
Ultimately, it all hinges on the Fed monetary policy decision and US economic indicators.
On Tuesday, US consumer confidence figures will set the tone ahead of Q2 GDP numbers due on Thursday. Weaker consumer confidence, a 75-basis point or 100-basis point hike, and Q2 economic contraction would put the crypto market to the test.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
At the time of press, SOL and ETH were down 7.85% and 7.57%.
Things were no better elsewhere. ADA (-4.69%), BNB (-4.32%), BTC (-4.24%), DOGE (-5.29%), and XRP (-3.98%) are also set for heavy losses.
Trust Wallet Token (TWT), Uniswap (UNI), and Qtum (QTUM) are leading the way. TWT is up 5.47%, with UNI and QTUM up 4.28% and 0.36%, respectively.
At the other end of the table, Fantom (FTM), Curve DAO Token (CRV), and Convex Finance (CVX) led the way down. FTM is down 11.93%, with CRV and CVX down by 11.70 and 10.78%, respectively.
Total Crypto Liquidations Rise as Recession Fears Resurface
Late in the Monday session, 24-hour liquidations continue to inch northwards, though liquidation levels remain low relative to last week’s spike.
In the final hour, 24-hour liquidations stood at $182 million, up from $155 million on Monday morning. Last Tuesday, liquidations spiked at $691 million.
Liquidated traders have risen sharply over the last 24 hours. At the time of writing, liquidated traders stood at 67,978 versus 41,141 on Monday morning.
Four-hour liquidations are up again, reflecting the current market conditions and the post-US market close sell-off.
According to Coinglass, four-hour liquidations stood at $76.67 million, up from $41.48 million on Monday. However, one-hour liquidations stood at $18.00 million, down from $34.39 million on Monday, suggesting support kicking in at the turn of the day. (See hourly crypto market cap chart below).
Daily News Highlights
Voyager said no to FTX, calling it a low-ball bid.
The PBoC talked of controllable anonymity in reference to central bank digital currencies.
Uniswap could be seen trading at $7.3, up by 6.2% in the last 24 hours.
Ethereum, on the other hand, remained consolidated at $1529 for a week now.
Bitcoin declined today, trading at $21.8k at the time of writing.
The broader market was in decline today, losing $28 billion in the span of just 24 hours, slipping below the $1 trillion mark.
Uniswap alone managed to keep itself still away from the bears, while Bitcoin and Ethereum both depreciated to $21,888 and $1,520.
Uniswap Stands Strong
Uniswap has been one of the best-performing cryptocurrencies for a while as it managed to recover the losses it witnessed during the June and May crashes.
After rising by 6.24% in the last 48 hours, UNI is now headed to recover the 41.56% losses it encountered during the April dip, which caused UNI to fall below the $10 mark.
Looking at the price indicators, it seems like UNI could be heading in either direction but possibly in favor of a downtrend.
The Parabolic SAR is already placed above the candlesticks and could stay there given the uptrend dominated the altcoin for more than three weeks.
Furthermore, the MACD is also on the verge of losing its bullish crossover to the bears as the red bars appearing on the indicator are gaining strength.
If the condition is met, the indicator could note bearish cues and place Uniswap in a downtrend.
Ethereum Keeps in Line With the Market
The altcoin king is on the same path as the rest of its subjects, trading at $1,529. For the last one week, ETH has remained unmoved from this zone as it struggles to breach above the $1,600 mark.
However, it does have room to rise as the price indicators continue to flash bullish signals.
Firstly the Bollinger Bands’ divergence indicates that ETH could be facing high volatility over the coming days, but given that the candlesticks are above the basis of the indicator, the price swings that follow will keep the price positive.
Additionally, the altcoin has not lost the buying pressure that helped the previous rally and could also prevent ETH from facing extravagant losses.
As long as the Relative Strength Index (RSI) remains below the overbought zone (80.0), it will be safe from a trend reversal as well.
Bitcoin climbed above the key $21,650 resistance zone.
Ether (ETH) surged over 10% and even climbed above $1,500.
ETC registered three strong green candles on the daily chart.
Recently, bitcoin price started a decent increase following ether’s rise above $1,400. There was a clear move above the $21,650 resistance zone and the 21 simple moving average (H1).
The bulls were able to push the price above the $22,000 resistance zone. It tested the $22,500 resistance zone and is currently correcting lower. On the downside, the previous resistance at $21,650 might act as a support.
On the upside, there is a key bearish trend line forming with resistance near $22,100 on the hourly chart. A clear move above the trend line might start a steady increase towards $22,500, above which bitcoin could rise towards $23,500.
ETH outperformed and rallied above the $1,385 resistance zone. The bulls even pumped the price above the $1,420 level and the 21 simple moving average (H1).
Finally, there was a spike above the $1,500 level and ether traded to a new multi-week high. It is now consolidating gains near the $1,475 level. On the downside, there is a major bullish trend line forming with support near $1,420 on the hourly chart.
On the upside, there are many hurdles forming near $1,500. A close above the $1,500 level could start a anther increase and the price might test $1,580.
Ethereum Classic (ETC)
ETC found support near the $12.50 level after a strong decline. A base was formed near $12.50 and $13.50 before the price started a recovery wave.
The price was able to climb above the $18.00 resistance. Besides, there was a move above a key bearish trend line with resistance near $16.50 on the daily chart. ETC gained over 20% and was able to clear the 23.6% Fib retracement level of the downward move from the $34.00 resistance zone to $12.50 low.
The next major resistance is near the $25.50 level. A clear move above the $25.50 resistance could initiate a strong reversal. In the stated case, the price could test $35 or the 50% Fib retracement level of the downward move from the $34.00 resistance zone to $12.50 low.
If there is no upside break, the price could start a downside correction below $20. The next major support sits near the $18.00 level.
ADA, BNB, and DOT price
Cardano (ADA) is up over 8% and there was a move above the $0.48 resistance. The next major resistance sits near $0.50.
BNB was able to clear the $255 resistance. On the upside, the bears might remain active near the $280 level.
Polkadot (DOT) is slowly moving higher towards the $7.65 resistance. A clear move above $7.65 could set the pace for a move to $8.00.
A few trending coins are MATIC, AVAX, and UNI. Out of these, AVAX is up over 10% and might rise towards the $25.00 level.
On Sunday, the crypto top ten saw a four-day winning streak end, with Solana (SOL) falling by 2.44% to lead the way down.
Uncertainty over Fed monetary policy and a lack of direction from the crypto news wires left investors on a more cautious footing ahead of the Monday open.
The total crypto market cap ended the week up by $26 billion.
It was a bearish Sunday session for the crypto top ten. Bitcoin (BTC) saw a four-day winning streak end, with ETH failing to revisit $1,400 in a range-bound session.
There were no external forces to shift investor sentiment on Sunday, with no crypto news stories to provide the markets with direction. A bullish four sessions continued into Sunday before profit-taking hit the market ahead of the Monday open.
The pullback reflected investor uncertainty over Fed monetary policy, with investors likely to eye the NASDAQ 100 for direction.
At the time of writing, the NASDAQ 100 Mini was up 44.5 points to deliver early support.
The Total Crypto Market Cap Sees Red
A bullish start to the Sunday session saw the total crypto market cap rise to a high of $961 billion before hitting reverse.
The total market cap fell to a low of $925 billion before ending the day at $931 billion. Investors pulled out a modest $14.8 billion on Sunday to leave the market cap up $26 billion for the week.
The Crypto Market Movers and Shakers from the Top Ten and Beyond
SOL fell by 2.44% to lead the way down, with ADA (-2.18%), DOGE (-2.02%), and XRP (-2.11%) also struggling.
BNB (-0.80%), BTC (-1.92%), and ETH (-1.29%) saw relatively modest losses.
From the CoinMarketCap top 100, Lido DAO (LDO) led the way again, rallying by 19.91%, with Ethereum Classic (ETC) and Theta Fuel (TFUEL) up by 11.24% and 19.21%, respectively.
However, Curve DAO Token (CRV), Zcash (ZEC), and Uniswap (UNI) led the way down.
CRV fell by 8.04%, with ZEC and UNI ending the day with losses of 6.14% and 5.87%, respectively.
Total Crypto Liquidations Slide to Reflect Improving Market Conditions
On Monday, 24-hour liquidations took a tumble, reflecting improving market conditions at the turn of the day. On Sunday, we saw 24-hour liquidations spike to suggest a possible crypto pullback, which materialized after a bullish start.
This morning, 24-hour liquidations stood at $116.95 million, down from $372.3 on Sunday.
Liquidated traders declined over the last 24 hours, suggesting improving market conditions. At the time of writing, liquidated traders stood at 40,592 versus 63,031 on Sunday morning.
According to Coinglass, one-hour liquidations stood at $5.22 million, down from $31.6 million on Sunday.
Daily News Highlights
RBA Governor Lowe talked of the benefits of privately issued but regulated digital currencies.
Chatter over a possible Coinbase liquidity crisis continued to do the rounds.