Search

Daily Bitcoin and Crypto Analysis

September 9 Daily Crypto Update: BTC is at $46,200, but the BTC dominance is lower?

September 9, 2021

Justin d'Anethan

If you think the bearishness is only in crypto, have a look at traditional markets.

There’s nothing as volatile, but equity indexes are all broadly lower. Investors are looking at jobs data (jobs added, unemployment claims, etc.) and not seeing the pick-up they hoped for. With the covid delta variant being a real thing, markets will probably remain cautious in the next few sessions.

The crypto space, amid pretty massive liquidations, was really impacted by derivatives traders taking leveraged positions. Markets are almost at a stand-still.

I’ve heard more about the presumably unexciting El Salvador BTC implementation, but I can’t believe smart money expected a big ‘bang’ on the first day or even in the first weeks or months.

Right now, BTC is at $46,200. But very interestingly, the BTC dominance is lower, suggesting that traders have taken advantage of the moves to allocate to alts, either with stablecoins or by transitioning some of their BTC.

And indeed, some outperformers have popped up: LUNA is up 10% on the session, KSM and MATIC both gained a healthy 4.5%. Then we see coins like XTZ, GRT, ETH, and DOT not rising much but are in the green and doing better than King Coin.

Away from price action, I see two news articles that I find incredibly bullish. Panama and Ukraine are both looking at passing bills to regulate cryptocurrencies. Note that this isn’t the legalization of the tender but just a regulatory framework for the use, transaction, etc., of cryptocurrencies, giving some much-needed clarity and helping actors in that jurisdiction to operate credibly.

A second and last thing I want to touch upon is a chart by CryptoQuant showing the exchange supply of BTC. One might think that a lot of panic or large transfers into exchanges triggered the sell-off but looking at the metric, it keeps on going down, highlighting the move was really derivatives driven and that the fundamentals that took us higher recently haven’t changed.


Related Articles

THIS WEEK IN CRYPTO...

September 25, 2021

From China issuing another cryptocurrency crackdown to El Salvador doubling down on their crypto holdings purchases, last week was nothing short of eventful in the cryptoverse.

Keep up with crypto through EQONEX!


This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

September 24 Daily Crypto Update: Is it a dead cat bounce or a reversal of downtrend?

September 24, 2021

Justin d'Anethan

BTC rose another 3% yesterday, currently at $44,600 and tantalizingly close to the 45K resistance/support.

Daily BTC Analysis

September 23, 2021

Bitcoin has enjoyed a positive trading session today, with prices up 7% post this morning's news that China had taken some small steps to avoid an immediate default from Evergrande. The addition of liquidity to the banking system may just be a shock absorber for next week's action, or it could be the first shot in a sustained program to assist with Evegrande's woes.

September 23 Daily Crypto Update: We can see a clear shift in risk outlook in crypto markets

September 23, 2021

Justin d'Anethan

The Evergrande debacle that’s been weighing on markets has been controlled, for now.