Bitcoin, BTC to USD, fell by 0.92% on Tuesday. Partially reversing a 3.87% gain from Monday, Bitcoin ended the day at $40,137.0.
A mixed start to the day saw Bitcoin fall to a late morning intraday low $39,445.9 before making a move.
Steering clear of the first major support level at $39,167, Bitcoin rallied to a late intraday high $41,273.0.
Falling short of the first major resistance level at $41,415, however, Bitcoin fell back to sub-$40,500 and into the red.
The near-term bullish trend remained intact supported by the latest move back through to $41,000 levels. For the bears, Bitcoin would need a sustained fall through the 62% FIB of $27,237 to form a near-term bearish trend.
The Rest of the Pack
Across the rest of the majors, it was a bearish day on Tuesday.
Bitcoin Cash SV slumped by 14.22% to lead the way down, with Polkadot sliding by 6.56%.
Crypto meme coins are trading mixed as investors look to spark a rally that will have legs. Dogecoin and Shiba Inu, the latter of which was created as a rival coin to its larger peer, are giving investors something to talk about rather than just discussing buying the dip. DOGE is down nearly 2% in the last 24 hours while SHIB is holding onto 3% gains.
Technical analyst Eric Thies, who has more than 39K followers on Twitter, gave Dogecoin investors something to cheer. Thies stated and illustrated that there is a hidden bullish divergence on DOGE one-week chart. He added that while this trend is “substantial,” it might not play out overnight. Instead, it could be another two weeks before the bullish sentiment takes hold.
Fellow meme cryptocurrency Shiba Inu coin, which calls itself the ‘Doge Killer,’ has gained 3% in the last 24 hours. SHIB has been giving up some ground in June compared to May, but there are a couple of catalysts in the pipeline that investors are banking on.
A petition to have Shiba Inu coin listed on mainstream investment app Robinhood is growing. The organizers have attracted more than 140,300 signatures, which is nearing their current goal of 150,000, If the petition reaches that level, it will become one of the most popular on the Change.org site, according to the Shiba Inu petition, which was started by user Tristan Luke.
It isn’t unusual for investors to ask on social media platforms like Reddit how they can buy Shiba Inu. For now, the coin is listed on the leading crypto trading platform Binance and a couple of others. But the Shiba Inu community would like to make it even easier for retail investors to add SHIB to their portfolio using the commission-free Robinhood trading app.
Separately, trading platform Capital.com recently added a Shiba Inu CFD asset on its platform. Shiba Inu has a circulating supply of a whopping 394.7 trillion and there is also a petition to burn some of the token supply.
Forest for the TREES Token
Now that Tesla CEO Elon Musk has thrust sustainability into the cryptocurrency spotlight, don’t be surprised to see more environmentally friendly blockchain projects coming on the scene. One such project is called SafeTrees, the token for which is TREES. The TREES token is designed to support environmental projects.
While Shiba Inu is building a decentralized exchange (DEX), it is unclear if TREES will be trading on the platform, at least not yet. For now, TREES tokens can be swapped on PancakeSwap and purchased on Binance Smart Chain.
Bitcoin (BTC) has become one of the most exciting financial assets in recent years. With several investors entering the market due to its massive growth, billionaire investor Paul Tudor Jones believes that the leading cryptocurrency is a great portfolio.
Paul Tudor Jones likes Bitcoin
Billionaire investor and the founder of the Tudor Investment Corporation has revealed that he likes Bitcoin as an asset class. Tudor Jones made this revelation during an interview with CNBC yesterday. Tudor Jones pointed out that Bitcoin is a great portfolio diversifier, and he looks to boost his investment in the leading cryptocurrency.
Jones pointed out that Bitcoin and other cryptocurrencies have grown to become a store of wealth. “For me, it’s just a way of kind of foundationally looking at how do I protect my wealth. Over time it’s a great diversifier. Again, I look at bitcoin as a store of wealth,” he added.
The billionaire investor added Bitcoin as one of the assets he would hold to preserve his wealth against inflation. “I like bitcoin as a portfolio diversifier. Everybody asks me what should I do with my bitcoin? The only thing I know for certain, I want 5% in gold, 5% in bitcoin, 5% in cash, 5% in commodities,” Jones added.
More institutional investors are trooping into the crypto market
The leading cryptocurrency has gained massive adoption over the past few years. In recent months, most of the adoption came from institutional investors. With a net worth of over $7 billion, the Bitcoin market would be gaining hundreds of millions of dollars if Tudor Jones invests 5% of his portfolio in BTC.
More asset management firms and hedge funds have been increasing their exposure in Bitcoin. Most of the institutional investors now view Bitcoin as a hedge against inflation, thanks to the US Federal Reserve (FED) and several other central banks globally printing money to combat the effects of the Coronavirus pandemic.
Bitcoin climbed the $40k mark for the first time in weeks, as positive news lifted the spirit in the market. BTC is still trading around the $40k region at the time of this report, while Ether is up by 4% and trading above $2,500 per coin.
It’s been yet another mixed start to the day for Bitcoin and the broader crypto market. Following a bullish start to the week for the broader market on Monday, Bitcoin and a number of the majors struggled through this morning.
At the time of writing, Bitcoin, BTC to USD, was down by 1.35% to $39,963.0. A mixed start to the day saw Bitcoin rise to an early morning high $40,798.0 before hitting reverse.
Falling short of Monday’s high $49,980 and the day’s first major resistance level at $41,415, Bitcoin fell to a late morning low $39,551.0.
In spite of falling through the day’s pivot $40,074 pivot level, Bitcoin managed to avoid the first major support level at $39,167.
The Rest of the Pack
It’s been a mixed morning for the broader crypto market.
Shiba Inu Gains Ground As Bitcoin Tests Resistance At $40,000
Shiba Inu is currently trying to settle back above the key resistance level at $0.000007 while Bitcoin is testing the major resistance at $40,000, which is bullish for crypto markets.
Other cryptocurrencies are also moving higher. Ethereum managed to settle above $2,500 and is testing the resistance at the 50 EMA at $2,620. Meanwhile, Dogecoin is slowly moving towards the resistance at its 50 EMA at $0.3435.
The lack of momentum in Dogecoin has put some pressure on Shiba Inu in recent weeks. However, it looks that Dogecoin managed to find material support near $0.30 and may try to develop additional upside momentum which will be bullish for Shiba Inu.
Shiba Inu has recently received support at $0.0000055 and managed to gain upside momentum. Currently, Shiba Inu is trying to settle above the major resistance level at $0.000007 which has previously served as support. A move above this level will show that Shiba Inu managed to recover from the recent sell-off and is ready to develop additional upside momentum.
In this case, Shiba Inu will move towards the next resistance level at $0.000008. A successful test of this resistance level will open the way to the test of the resistance which is located at $0.000010. In case Shiba Inu manages to settle above the resistance at $0.000010, it will head towards the next resistance level at $0.000012.
On the support side, Shiba Inu needs to stay below $0.000007 to have a chance to develop downside momentum in the near term. The next support level for Shiba Inu is located at $0.0000063. If Shiba Inu declines below this level, it will head towards the next support at the recent lows at $0.0000055. A successful test of the support at $0.0000055 will open the way to the test of the support at $0.0000044. There are no important levels between $0.0000044 and $0.0000055 so this move may be fast.
Currency markets settled in tight ranges with implied volatility plumbing to multi-year lows after last week’s strong inflation readings and a dovish European Central Bank meeting failed to dislodge currencies from recent trading levels.
“It’s all about the FOMC this week, and we’ll be watching to see exactly how much taper talk has really been going on and if it has any impact on the medium term outlook,” Brad Bechtel, global head of FX at Jefferies, said in a note.
The dollar index, which measures the greenback against a basket of six currencies, was about flat on the day at 90.512. Last week the index rose 0.4%, its largest weekly change in five weeks.
Muted FX moves in recent weeks crushed the Deutsche Bank FX Volatility Index down to 5.6 on Friday, its lowest in nearly 16 months.
Against the yen the dollar rose 0.38% to a more than one-week high of 110.09 yen.
“A modest uptick in Treasury yields has been supportive of the rate-sensitive pairing,” said Ronald Simpson, managing director, global currency analysis at Action Economics.
The dollar’s strength against the Japanese currency may be a sign the FX market is looking for a less dovish outcome from the Fed meeting, Simpson said.
The Fed begins a scheduled two-day policy meeting on Tuesday. Nearly 60% of economists in a Reuters poll said a much-anticipated taper announcement will come in the next quarter, despite a patchy recovery in the job market.
Recent data pointing to a surge in inflation has raised concerns that price pressure following the post-COVID-19 economic reopening could force policymakers into an earlier tapering of currency-depreciating stimulus.
Sterling was largely unmoved by Monday’s news that Britain is set to delay the end of social distancing measures as the government seeks to contain a rapid rise in COVID-19 infections.
In cryptocurrencies, bitcoin traded above $40,000 for the first time in more than two weeks, before pairing gains to trade at $39,649.03.
(Reporting by Saqib Iqbal Ahmed in New York and Saikat Chatterjee in London; Editing by Catherine Evans, Bernadette Baum and Jonathan Oatis)
The Dow Jones Industrial Average fell 248.82 points, or 0.72%, in midday trading. The S&P 500 lost 11.83 points, or 0.28%, while the Nasdaq Composite added 53.24 points, or 0.38%.
Yields on benchmark 10-year U.S. Treasuries rose slightly to 1.495%, after falling to a three-month low of 1.43% on Friday, a dip experts pegged to positioning and a watchful eye on the global pandemic.
“While it’s not entirely intuitive to us, we understand the move to be a combination of positioning, peak liquidity and renewed concerns about COVID as the U.K. pushes back its latest steps toward re-opening,” said Stephanie Roth, senior markets economist at JPMorgan Private Bank. “We are not surprised to see choppy markets ahead of Wednesday’s FOMC. Investors are wondering… whether the Fed will hint at tapering.”
That sentiment weighed on gold prices as well, as the precious metal slipped as much as 1.7%. Spot gold prices were down 0.66% by 1:26 p.m. EDT (1726 GMT) to $1,864.19 an ounce. U.S. gold futures dropped 0.7% to $1,865.10.
The recent uptick in inflation data heightens the stakes for the Fed’s upcoming policy-setting meeting, which will be followed by a news conference by Chairman Jerome Powell. Analysts said the central bank will have to tread a fine line, laying out its strategy for exiting an unprecedented era of pandemic-spurred accommodation without spooking investors.
“The Fed’s messaging this year will be critical; the Fed needs to convey its intention to wind down ultra-accommodative policy, but at the same time convey that it has no intention of abruptly tightening policy, a fine line that could easily be miscommunicated,” wealth management firm Glenmede cautioned in a client note.
The prospect of a return to economic normalcy put gas into oil prices, which hit their highest levels in more than two years. Brent rose 34 cents to $73.03 a barrel by 12:56 p.m. EDT (1656 GMT). Earlier in the session, it reached $73.64 a barrel, its highest since April 2019, boosted by the economic recovery and anticipated demand growth as vaccination campaigns accelerate.
U.S. West Texas Intermediate rose 27 cents to $71.18 a barrel. It hit a session high of $71.78 a barrel, its highest since October 2018. [O/R]
In currencies, the U.S. dollar dipped slightly on Monday after logging its largest weekly change in over a month.
The dollar index, which tracks the greenback versus a basket of six currencies, fell 0.058 point or 0.06%.
The yen stood little changed at 109.92 yen, while the British pound changed hands at $1.4108, near the lower end of its trading range over the past month.
Bitcoin has bounced back somewhat after Tesla Inc CEO Elon Musk tweeted that the electric carmaker could reopen the door to bitcoin transactions in the future. It was last bought at $40,140.
Dogecoin, the internet meme cryptocurrency that has taken the world by storm, has the wind at its sails today. DOGE has added 5% in the last 24-hour period but remains down nearly 14% over the past week. Year-to-date, Dogecoin is outperforming nearly every other asset.
The sixth-biggest cryptocurrency, which teeters between bubble status and sustainability champion, is on the rise today after making a splash in the hot NFT space coupled with a rising bitcoin price that has the top-10 cryptocurrencies seeing green.
Two of the most popular themes in the cryptocurrency industry have connected. Non-fungible tokens, or NFTs, are a hot new trend in the crypto market. These tokens contain assets such as art, video, pictures and pretty much anything their creators can imagine. Most of them are built on the Ethereum blockchain, which has strengthened the use case for that network in the interim.
Dogecoin has become the top DOGE after a token with a picture of a Shiba Inu Japanese breed dog, which happens to be the mascot of the Dogecoin project, sold for 1,7000 ether, or USD 4.06 million. The real dog, whose name is Kabosu, evolved into the wildly popular Doge internet meme.
The transaction happened on decentralized auction house Zora. After sparking a bidding war, the winning offer went to Twitter user @PleasrDAO, a group that seems to collect NFTs. The picture of the Shiba Inu was snapped in 2010 by the dog’s owner, Atsuko Sato.
Congratulations to @PleasrDAO for winning the original #Doge NFT auction! 🥳
Dogecoin joins the ranks of Beeple, the digital artist who recently sold his NFT entitled “Everydays: The First 5000 Days”for USD 69 million at auction house Christie’s.
Dogecoin has been trading with the sentiment in the broader cryptocurrency market. As fate would have it, bitcoin is leading the broader market higher on the heels of some bullish comments from Dogecoin bull Elon Musk about bitcoin. Musk recently exerted his influence in the cryptocurrency market by criticizing bitcoin’s high energy consumption, which triggered a downturn in the BTC price.
The Tesla chief has now tweeted that once about half of bitcoin mining originates from renewable energy sources instead of dirty fossil fuels, the EV maker will support BTC transactions once again. This has lifted the mood of the market, including DOGE.
While the Dogecoin community would prefer to see Dogecoin trading on its own merits rather than the whims of the market, they have nothing to complain about. Dogecoin has outpaced bitcoin’s gains this year by 50x, as noted by crypto influencer Udi Wertheimer.
Bitcoin gained additional upside momentum and moved closer to the key resistance level at $40,000 after Elon Musk stated that Tesla would allow customers to use Bitcoin as payment for the company’s cars after Bitcoin miners’ usage of clean energy increases to 50%.
Musk also added that Tesla sold just about 10% of its Bitcoin holdings, which served as an additional bullish catalyst as some traders were worried that Tesla was decreasing its position in Bitcoin.
The second largest cryptocurrency, Ethereum, is also moving higher. Currently, it is trying to settle above the $2,500 level. Dogecoin is mostly flat, and it looks that Bitcoin’s recent upside move was not bullish for all cryptocurrencies.
In fact, Bitcoin Dominance, which measures the market capitalization of Bitcoin as a percentage of total crypto market capitalization, is currently trying to settle above the 20 EMA at 45.75%. A move above this level will indicate that interest in Bitcoin is rising.
Bitcoin managed to get back above the 20 EMA near $38,000 and is trying to settle above the key resistance level at $40,000. RSI remains in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.
If Bitcoin manages to settle above the key resistance at $40,000, it will head towards the next resistance level which is located near the 50 EMA at $42,000. A successful test of the resistance at the 50 EMA will open the way to the test of the next resistance at $44,000. In case Bitcoin gets above $44,000, it will head towards the resistance level which is located at $46,000.
On the support side, the previous resistance level at the 20 EMA near $38,000 will serve as the first support level for Bitcoin. A successful test of the support at the 20 EMA will push Bitcoin towards the next support level at $37,000. If Bitcoin settles below this level, it will head towards the next support at $35,000.
Tesla CEO Elon said the electric car manufacturer would resume accepting Bitcoin again. However, the company will only do so if the Bitcoin miners use renewable energy.
Tesla wants miners to use renewable energy
The leading cryptocurrency has come under fire in recent weeks for apparently contributing to the climate change concerns due to the miners using massive non-renewable energy to mine Bitcoin. As such, Tesla removed Bitcoin as a payment option for its electric vehicles.
However, the company could resume accepting BTC as a payment option once everything is in order. Tesla CEO Elon Musk revealed this yesterday while replying to a post by Cointelegraph that criticized him for causing pumps and dumps in the market with his tweets.
Musk denied the allegations and went on to reveal that Tesla will start accepting Bitcoin again once miners commit to using renewable energy to mine BTC and other cryptocurrencies. “When there’s confirmation of reasonable (~50%) clean energy usage by miners with positive future trend, Tesla will resume allowing bitcoin transactions,” he tweeted,
This is inaccurate. Tesla only sold ~10% of holdings to confirm BTC could be liquidated easily without moving market.
When there’s confirmation of reasonable (~50%) clean energy usage by miners with positive future trend, Tesla will resume allowing Bitcoin transactions.
Musk also clarified that Tesla still holds on to most of the bitcoins it bought earlier this year. The electric car manufacturer bought $1.5 billion worth of bitcoins in a few months. Following Tesla’s decision to stop accepting Bitcoin as a means of payment and Musk’s subsequent attack on the cryptocurrency, most people speculated that Tesla had sold its bitcoins.
However, Musk corrected that Tesla only sold 10% of its bitcoins holding, and the company did so to prove that BTC could be liquidated easily without moving the market.
The leading cryptocurrency has been in a bearish trend for the past few weeks. Its price has struggled to surpass the $40k mark despite recent positive news in the market. At the time of this report, Bitcoin’s price is up by 12% over the past 24 hours, and it is trading at $39,587 per coin on various crypto exchanges.
At the time of filing this report, Bitcoin traded near the $40,000 mark, posting gains of about 12% for the day.
Present price actions reveal the most popular crypto asset had been hovering in a lower corridor between the $30,000 and $40,00 price levels since the second week of last month, suggest the asset was consolidating.
Though recent macros reveal that investors are increasing their buying capacity on the crypto asset partly attributed on Elon Musk’s recent comment suggesting Tesla would resume buying and accepting Bitcoin once miners go 50% with renewable energy.
These fundamentals boosted the faith among vintage bulls having a long-term mindset on the most popular Crypto amid recent calls for tough Crypto regulations.
The tech Billionaire’s tweet also suggested that the world’s most valuable carmaker will resume allowing Bitcoin transactions, once those terms were met.
Consequently, Elon Musk reiterated his earlier statements on Tesla having sold only 10% of its Bitcoin holdings, which seem to indicate Tesla’s hasn’t sold anymore, triggered more bullish sentiments around the Crypto asset, in the early hours of Monday.
Such a surge on the price of the flagship Crypto pushed the market value of Bitcoin to about $740 billion or 45% of the total crypto market valuation.
Though it’s important to note Bitcoin is still down by about 38% from its all-time high of $64,778 set on April 14.
Additionally, market sentiments around Bitcoin seem to be rallying stronger on reports that President Hassan of Tanzania instructed its central bank on reforming their banking processes, singling out crypto assets as the future of finance, further gave Bitcoin bulls the much-needed momentum in aiming for the resistance level of $40,000.
Bitcoin, BTC to USD, rallied by 9.00% in the week ending 13th June. Following a 0.48% gain from the previous week, Bitcoin ended the week at $38,998.9.
A bearish start to the week saw Bitcoin fall to a Tuesday intraweek low $31,075.0 before making a move.
The reversal saw Bitcoin fall through the first major support level at $33,466 and the second major support level at $31,152.
Finding mid-week support, however, Bitcoin rallied to a Sunday intraweek high $39,374.0.
Bitcoin broke through the first major resistance level at $38,788 to end the week at $38,900 levels.
3 days in the green that included an 11.87% rally on Wednesday and a 9.66% gain on Sunday delivered the upside for the week. A 6.17% slide on Monday and a 4.75% decline on Saturday limited the upside, however.
For the week ahead
Bitcoin would need to avoid a fall through the $36,483 pivot to support a run the 38.2% FIB of $41,592 and the first major resistance level at $41,890.
Support from the broader market would be needed for Bitcoin to break back through to $41,000 levels.
Barring an extended crypto rally, the first major resistance level and resistance at $42,000 would likely cap any upside.
In the event of an extended breakout, Bitcoin could test resistance at $45,000 before any pullback. The second major resistance level sits at $44,782.
A fall through the $36,483 pivot would bring the first major support level at $33,591 into play.
Barring another extended sell-off, Bitcoin should steer clear of sub-$30,000 levels. The second major support level sits at $28,184.
At the time of writing, Bitcoin was up by 0.29% to $39,111.0. A mixed start to the week saw Bitcoin fall to an early Monday low $38,782.0 before rising to a high $39,777.0.
Bitcoin left the major support and resistance levels untested at the start of the week.
Ethereum slid by 7.40% in the week ending 13th June. Partially reversing a 13.54% rally from the previous week, Ethereum ended the week at $2,510.23.
A mixed start to the week saw Ethereum rise to a Monday intraweek high $2,849.15 before hitting reverse.
While falling short of the first major resistance level at $2,976, Ethereum broke through the 38.2% FIB of $2,740.
The reversal saw Ethereum fall to a Saturday intraweek low $2,259.91.
Ethereum fell back through the 38.2% FIB and through the first major support level at $2,361.
Finding late support, however, Ethereum broke back through the first major support level to end the week at $2,500 levels.
4-days in the red that included a 4.37% fall on Monday and a 5.35% slide on Thursday delivered the downside for the week.
For the week ahead
Ethereum would need to move through the pivot at $2,540 to bring the 38.2% FIB of $2,740 and the first major resistance level at $2,820 into play.
Support from the broader market would be needed, however, for Ethereum to break back through to $2,800 levels.
Barring an extended crypto rally, the first major resistance level and last week’s high $2,849.15 would likely cap any upside.
In the event of an extended breakout, Ethereum could test resistance at the 23.6% FIB of $3,369 before any pullback. The second major resistance level sits at $3,129.
Failure to move through the pivot at $2,540 would bring the first major support level at $2,230 into play.
Barring another extended sell-off in the week, Ethereum should steer clear of sub-$1,900 levels. The second major support at $1,951 should limit the downside.
At the time of writing, Ethereum was down by 0.36% to $2,501.17. A mixed start to the week saw Ethereum fall to an early Monday low $2,486.72 before rising to a high $2,525.00.
Ethereum left the major support and resistance levels untested at the start of the week.