If you were yet to be convinced of the USA's appetite for Bitcoin, yesterday's holiday has provided some interesting data points. Trading volumes across futures, perpetuals, and options markets declined by 50% from their 10 day average.
Only the global holiday on January 1st has recorded a lower trading total in the last 40 days. Prices have remained within a tight range so far today, and with Uncle Sam due back to trading screens today, a rally this afternoon is going to point fingers in one direction.
This coincides with a decline in the miners' position index, which has fallen back below the key level of 2. It appears, for now at least, that miners have reduced the rate of their Bitcoin sales.
This sets us up for the possibility of an interesting end to today's trading session.
...Which I'm hoping for, as this morning's was rather dull!
Bitcoin has tracked sideways as we await the return of US investors after the holiday. $38,180 remains the key level on the upside, a break higher will see the focus return to securing a $40,000 handle for BTC. Above awaits the ATH, with $41,794 likely to offer little resistance once the $40,000 level has been overcome.
Bitcoin has room to trade lower as the bottom of the range sits at $34,378. A break below $33,860 will likely trigger liquidations, with a quick move to $32,300 as the outcome. The bears will be looking to print below $30,000 but support at $29,980 is likely to be well defended.
It looks like crypto isn’t correlated to traditional markets, at least not during this past session.
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