Benzinga
Published Aug 31, 2022 02:39
Updated Aug 31, 2022 03:10
Ethereum Firm, Bitcoin, Dogecoin Tread Read: Analyst Says 'Vulnerable' Apex Crypto Could Hit June Lows If This Happens
Major coins traded mixed Tuesday evening as the global cryptocurrency market cap declined 0.8% to $973.7 billion at press time.
Bitcoin (CRYPTO: BTC) | -1.3% | -7% | $19,963.73 |
Ethereum (CRYPTO: ETH) | 0.3% | -6.2% | $1,548.52 |
Dogecoin (CRYPTO: DOGE) | -3.3% | -10.3% | $0.06 |
Flow (FLOW) | +5% | $2 |
NEAR Protocol (NEAR) | +6.5% | $4.28 |
Nexo (NEXO) | +3.5% | $1.02 |
Why It Matters: Bitcoin slipped below the psychologically important $20,000 level on Tuesday as it tracked a weak finish in equities. The S&P 500 and Nasdaq both closed 1.1% lower, while their futures were flat at press time.
New York Federal Reserve President John Williams took a hawkish stance on Tuesday. He told the Wall Street Journal that “we’re going to need to have a restrictive policy for some time.”
“I do think with demand far exceeding supply, we do need to get real interest rates … above zero,” he said. “We need to have a somewhat restrictive policy to slow demand, and we’re not there yet.”
Edward Moya, a senior market analyst at OANDA, said that risk aversion is “firmly back” and has sent the apex coin below the $20,000 mark.
“If the broad selloff on Wall Street intensifies, Bitcoin is looking very vulnerable here. If the S&P declines by 3% over the next few days, that could be the catalyst to send Bitcoin back towards the June lows,” said Moya in a note, seen by Benzinga.
{{2126|The dodollar index, a measure of the greenback’s strength against six of its peers, saw a pullback on Tuesday. At press time, it was down 0.1% at 108.65.
Justin Bennett said that the dollar index was holding below the 109.30 resistance but consolidation below this is “usually a sign of bullish things to come.”
The $DXY is still holding below 109.30 resistance for now.The trader tweeted, “I think we see 112-113 in Sept.” Notably, Bitcoin has lately moved in the opposite direction to the dollar index.But consolidation below resistance is usually a sign of bullish things to come.
I think we see 112-113 in Sept.$BTC $ETH #crypto pic.twitter.com/wDp97uROAJ
— Justin Bennett (@JustinBennettFX) August 30, 2022
Chartist Ali Martinez said almost 82,600 BTC, worth $1.7 billion, have been withdrawn from known cryptocurrency exchange wallets over the last month.
#Bitcoin | Roughly 82,600 #BTC have been withdrawn from known #crypto exchange wallets over the past month, worth roughly $1.70 billion! $BTC pic.twitter.com/1YEEgRpDGIMichaël van de Poppe tweeted that Ethereum is on the path toward $2,200 as it approaches the transition to a proof-of-stake mechanism.— Ali Martinez (@ali_charts) August 30, 2022
“I'm still expecting continuation of this upwards structure, whether or not [Bitcoin] sweeps $19K for liquidity,” said the cryptocurrency trader.
Decent retests across markets happening and $ETH, for instance, is still on the path towards $2,200 as one of the biggest events is approaching -> the Merge.Amid a volatile trading week the “disbelief” is strong among Ethereum traders, said Santiment on Twitter (NYSE:TWTR).I'm still expecting continuation of this upwards structure, whether or not #Bitcoin sweeps $19K for liquidity.
— Michaël van de Poppe (@CryptoMichNL) August 30, 2022
The #Ethereum disbelief is strong from traders during a particularly volatile week of trading. The crowd has #shorted, across exchanges, at the largest ratio since June of 2021. Historically, price rises are more prevalent in these conditions. https://t.co/DpG1E1TI9Y pic.twitter.com/e6xAWOXeFM“The crowd has [shorted], across exchanges, at the largest ratio since June of 2021. Historically, price rises are more prevalent in these conditions,” said the market intelligence platform.— Santiment (@santimentfeed) August 30, 2022
Read Next: Vitalik Buterin Issues This Important Reminder Before Ethereum Merge
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Read at Benzinga
Read the original article on Benzinga
Written By: Benzinga
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.