While the dollar continues to test lower levels, the crypto space continues to grow.
BTC advanced—and continues to advance—to new all-time highs, currently at $36,475. As bullish as I am on crypto, I’m still astounded at how relentless and steady this uptrend is. It was just in September that we were oscillating around 10K, and we’re now more than 250% above that.
Everybody reminisces about 2017 when looking at alts. The interest is there and brewing. They’re holding up well and, in some cases, flying high.
ETH is decidedly above $1,100 now, and still has some way to go before it reaches its previous all-time high. XTZ rose by a “conservative” 10%. LINK jumped 17%+ on the session. ADA soared 30% on the day, and XLM exploded 75% on the session, reaching intraday highs of 105%, with what I suspect is a massive short squeeze. Currently, there’s about $20 billion locked in DeFi.
As mentioned, there are still many other coins that did not do as well. Where is the Bitcoin Dominance Index now? Pretty flat, currently at 68, but safely away from the dangerous 72 resistance level. The coming days and weeks will be critical.
On a broader scale, it’s important to note that many large players are taking coins out of exchanges (meaning they’re looking to keep—not sell—them). It’s also interesting to see that most traders are deleveraging their positions on exchanges, meaning we’re reaching those extravagant levels with real money, and thus reducing the likelihood of violent pullbacks.
Remember the 2017 ramp up, though. Even when everything looks amazing and Bitcoin seems to only be able to go up, the asset will still have some surprises in store and strong, mean reversions along the way.
Written by: Justin d'Anethan
Yesterday's trading was mixed. Early in the session, even with reports of economic slowdown in the US, traders were still buying, maybe thinking it solidified the accommodative Fed policies.
Yesterday’s narrative was somewhat bittersweet. On the one hand, Fed policies remain hyper accommodating, which is positive. On the other hand, the accommodating stance is based on lingering concerns about the economic recovery in the US (and also globally).
Bitcoin has fallen back below $40,000 today, as the denial from Amazon of the impending acceptance of Bitcoin as a payment method came through. Prices returned to our support level of $36,500 before rallying once more, a sign that this move may be supported by more than just click-bait headlines.