BTC Price Forecast: Analyst Maps Potential High Levels For Bitcoin This Bull Market
The cryptocurrency market is experiencing an upturn in fortunes as Bitcoin continues to experience a positive increase overall. In 2022, Bitcoin saw an extended downward trend that led to a 60% reduction in its price, and the collapse of FTX in November significantly lowered market sentiments, and there were massive withdrawals.
However, Bitcoin is now showing strength and is fighting back with its charged bulls. With positive sentiments making waves on the internet, analysts and experts have started to predict the future of the largest cryptocurrency by market cap. Popular trader Crypto Tony wrote on Twitter,
“Seeing $50,000 calls already on Bitcoin and we have yet to complete a higher high and higher low market structure change.”
Credible Crypto highlighted how there can be another impulse just around the corner. He said, “Price action has developed beautifully off our lows, mimicking the bottom formation that preceded our last impulse from 10k-60k+. Current consolidation (circled in green) also looks identical to PA from that impulse.”
Analyst Ash WSB said, “#Bitcoin jumping from anger zone Do you agree or do you think we are in a disbelief area and going to $30k?”
Macro investor David Brady said, “After such a long and deep sell-off, do we think the DXY is already done on the upside? I don’t. Lotta shorts to squeeze yet.”Michael Van De Poppe also had good news for crypto enthusiasts.
In 2023, the market mood for bitcoin underwent a big trend change. Since breaking out of its consolidation, Bitcoin’s momentum has changed to the upside, moving from a bear market to perhaps the very beginning of a new bull market. At the time of writing, Bitcoin is trading above the $23k mark and is currently in the green zone.
Crypto Market Watch: Why is Bitcoin Price Down Today?
Bitcoin price has edged 2 percent lower today to trade around $23.4k on Friday. After retesting $24k twice on the four-hour time frame, the RSI indicator has formed a falling divergence that most often leads to a price dump. Bitcoin bulls should be extremely careful with the death cross, which entails the 50 and 200 WMAs, not to happen for the first time since its inception.
Furthermore, the 50 and 200 WMAs have acted as a support line for the past ten-plus years and would turn to a resistance line if the death cross occurs.
Nevertheless, popular crypto analyst Rekt Capital thinks Bitcoin will break the macro downtrend next month or in April. Moreover, on-chain data shows Bitcoin miners have reduced their sell pressure after taking profits in the past few weeks. Additionally, whales continue to accumulate more Sats irrespective of the price volatility.
Bitcoin Market Under Macroeconomic Influence
By now, it is safe to say that Bitcoin price has a significant correlation with global market indexes due to high institutional adoption and crypto regulations. During the last few days, Bitcoin price has reacted to the high-impact news from the Fed statement regarding interest rates. As the United States dollar exhibited more weakness, Bitcoin price edged higher to $24k.
“I do expect it’s likely DXY will retest what was support and now overhead resistance. This would align with my inverse expectation on BTC and Crypto moving down a touch before a final ‘blowoff’ high (not much higher imo),” Mathew Dixon, CEO Evai, noted.
With more high-impact news expected from the United States later today on the unemployment rate, more volatility is expected in the crypto market during the weekend.
$68B Tether USDT Market Was Controlled by Four Individuals as of 2018: WSJ Report
The largest stablecoin in the crypto industry Tether (USDT) has grown exponentially since its inception in 2014. With approximately 68 billion Tether units in circulation, USDT enjoys a higher daily traded volume than Bitcoin and Ethereum combined. According to our latest crypto price oracles, Tether (USDT) enjoys a daily trading volume of about $40,058,042,121.
With over 4 million holders according to on-chain data, Tether USDT has facilitated about 175,246,251 transactions. Furthermore, the stablecoins market is vital to offset the high crypto volatility as traders either take refuge or profit.
Tether USDT Ugly Past
As the leading stablecoin by market capitalization and daily traded volume, Tether USDT has received significant attention from global lawmakers and media companies. According to a recent report by Wall Street Journal, approximately 86 percent of Tether USDT was controlled by four individuals by 2018. Notably, the WSJ had access to investigatory documents from 2021 probes of Tether by the New York Attorney General and the federal Commodity Futures Trading Commission (CFTC).
“One founder was a child actor turned early crypto investor. Another founder and top shareholder practised plastic surgery before turning to electronics importing and then crypto. One newer owner has gone deep into British politics,” the WSJ noted.
Reportedly, Giancarlo Devasini, Bitfinex’s chief financial officer, owned about 43 percent of Tether in 2018. The documents further note that Bitfinex CEO Jean-Louis van Der Velde and Chief Counsel Stuart Hoegner, each owned roughly 15 percent of Tether USDT by 2018.
The claims have, however, been vehemently opposed by Paolo Aordino, the chief technology officer of Bitfinex and Tether, stating the claims are uncalled for. Moreover, the company claims all Tether USDT is 100 percent backed by fiat currency.
Bitcoin To Enter A New Bull Market If BTC Trades Above This Level
The crypto market seemed unaffected even after the Federal Reserve raised the interest rate by 25 bps on Feb 1, 2023. However, today the overall crypto market experienced a slight sell off where the lead cryptocurrency, Bitcoin price, has dropped more than 1.5% over the last 24hrs. This impacted Ethereum, Solana, Cardano, XRP among other large cap altcoins.
Currently, Bitcoin is trying to hold on to its $23,000 trade level as the currency has dropped 1.86% in the past day and is now selling at $23,424.
Bitcoin Bulls On The Move
However, one a broader note, Bitcoin bulls are still holding their control and this began in January 2023. Similar is the thought process of Charles Edwards, a Bitcoin trader and Capriole Fund founder. The trader believes that amidst the volatility, Bitcoin has begun its new cyclical bull market. He displays a chart and claims that Bitcoin addresses profit making has spiked from 50% to 70% indicating a turning point ahead.
Meanwhile, when looking at Bitcoin’s Fear and Greed index, the indicator is pointing towards Greed. This suggests that the current Bitcoin price is too high and it’s a good time to sell. If that happens Bitcoin might further face a pull back.
However, another well-known crypto trader and analyst, Scott Melker also known as Wolf of All Streets believes that $25,212 is a key level for Bitcoin. As per the analyst, if Bitcoin moves beyond the said level, this would be the first of its high trade since $69,000.
Hence, it’s very much important for Bitcoin price to hold its trade above the $23,000 area and pass its next crucial resistance of $24,000 mark.
Snowfall Protocol (SNW) Presale Set To Sell Out As Bitcoin (BTC) and Ethereum (ETH) Prices Signal Increased Market Enthusiasm
As the year begins, the crypto market is obviously regaining its feet after the crypto winter of 2022. Bitcoin (BTC) and Ethereum (ETH) are at the forefront of this new rally, trading around the $23,000 and $1,500 mark, respectively.
This could only mean one thing; market enthusiasm is once again on the rise, and groundbreaking protocol Snowfall Protocol (SNW), currently in its final presale phase, is sailing on this wind as it is set to sell out very soon.
Bitcoin (BTC)’s Recent Rally Hints At A Healthier Ecosystem
Since its inception in 2009, Bitcoin (BTC) has had a rollercoaster journey up until 2023. In November 2021, the King coin achieved a feat that seemed impossible when Bitcoin (BTC) first launched. It hit an all-time high of $65,000. However, by 2021 in the heat of the bear market, Bitcoin (BTC) had plummeted below $20,000, going even lower at times.
But following FTX filing for bankruptcy, Bitcoin (BTC) is beginning to rally again. According to Cointelegraph, on-chain data revealed that the recent short liquidation dominance is behind this rally. This is because it creates automatic Bitcoin (BTC) buys, driving up its price. Apparently, this dominance helped clear the market of unhealthy investments and has made room for the futures market to trend toward longs.
Ethereum (ETH) Updates Will Attract Favorable Investments, Says Expert Observers.
Additionally, the second largest crypto by market cap, Ethereum (ETH) launched its newest update, the Zhejiang testnet on the first of February ahead of the Shanghai and Capella hardfork. A move that would potentially allow validators on the network to safely withdraw Ethereum (ETH) from the network without destabilizing it.
This move was highly anticipated since the blockchain for smart contracts had switched from a proof-of-work mechanism to a proof-of-stake one in a massive event called the Merge in 2022. This was especially important for Ethereum (ETH) users because some of their investments had been locked in for more than two years.
Analysts have predicted that the upgrades would be advantageous to Ethereum (ETH) staking. And the crypto’s price has not only rallied but also remained relatively stable throughout the preparation and launch of the testnet.
Snowfall Protocol (SNW) is Not Left Out From This Rising Market Enthusiasm
Another beneficiary of this market turnaround is the Snowfall Protocol (SNW), a cross-chain transfer ecosystem for both Fungible and Non-fungible tokens. This platform is the very first of its kind, built to provide secure, reliable, and autonomous transactional highways between the myriads of blockchains and ecosystems scattered all around the world of crypto.
Although Snowfall Protocol (SNW) is still in the final part of its presale phase, the crypto promises to spike over 1000% before it is over. This is because it is providing groundbreaking technology, bridges that can link EVM to non-EVM compatible chains, and wrapping and swapping non-fungible tokens between blockchains.
Snowfall Protocol’s token (SNW) was sold at $0.05 in the first phase of its presale, and by the end of this third phase, it would be going for $0.75. Of the total supply of Snowfall Protocol (SNW), only 30% is available, and the price would just keep rising as buyers increase.
The developers of Snowfall Protocol (SNW) have created a platform that offers users a secure way to navigate all their numerous holdings from one place in a secure and user-friendly manner. As a result, savvy investors are buying out the multi-chain solution presale offer as fast as possible.
These three tokens, Bitcoin (BTC), Ethereum (ETH), and Snowfall Protocol (SNW), among others, are restoring investors’ faith in the crypto market. Bitcoin (BTC) with its price recovery, Ethereum (ETH) with its continuous efficient upgrades and stability, and Snowfall Protocol (SNW) with its innovative technology that is changing the way crypto transactions are conducted forever, with its mission of creating a bridge that would link the entire world of crypto.
Learn more about SnowFall Protocol from the links below:
| Disclaimer: This is a press release post. Coinpedia does not endorse or is responsible for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to the company. |
Altcoin Market Closer to a Breakout, Will BTC Rally be Sluggish
Bitcoin bulls appear to have become extremely passive as they are unable to mount the buying pressure required to rise & sustain above $24,000. Meanwhile, the top altcoin Ethereum has been displaying immense strength by trading close to the crucial resistance at $1650.
The market cap of the second-largest crypto has surged beyond $200 billion despite the global market capitalization witnessing a minor pullback of nearly 1.19% in the past 24 hours.
As the BTC prices appear to have stuck within narrow ranges, the market capitalization of the altcoins is approaching crucial levels. The possibilities of a bullish breakout are constantly flashing that may begin a fresh bullish wave of several altcoins in the short term.
The altcoin market cap maintained a descending trend for the past 6 months and faced constant rejection from the trend line. Presently, the levels are again testing the crucial resistance, displaying a higher probability of a breakout.
Previously, the levels faced rejection as the resistance collided with the crucial 200-day MA, but presently, the market cap has surged beyond these levels and hence points towards a bullish breakout in the coming days.
Therefore, once the daily close is recorded above the trend line, then a significant upswing may kick in. This may ignite another 7% to 17% growth in the total altcoin market cap securing the levels above $700 billion. If the rally materializes, then the global market capitalization excluding Bitcoin may hit $1 trillion, validating the peak of the Altseason 2023.
Crypto Market Analysis: Bitcoin Bull Market is Back-Did the FOMC Rates Intensify the Rally?
Bitcoin price after recovering from the bearish engulfing in the past few days has now surged above the consolidation to reach the next milestone at around $24,000. The trading volume of the asset spiked by more than 36% to mark levels beyond $30 billion. The current trade set-up displays immense possibilities of a bullish breakout in the coming days that may even rise beyond the crucial levels of around $24,400.
The star crypto, after rising above a deep bearish trend, secures nearly 6 preliminary targets and now appears to be prepared to test the updated long-term targets. In the coming days, more upswing may be expected and higher targets could be reached that converge at $25,000 along with other indicators.
A huge convergence is witnessed at $25,000 where-in, the interim resistance, the 200-day MA and the 50-day MA levels collide, flashing the updated target for the BTC price rally. The recent FOMC meeting did add up to the prevailing bullish market sentiments that also assisted the current price rise.
The fresh FOMC rates were released that were raised by 25 bps to 4.75% after which the BTC price soared high, breaking the barriers at $23,800. Moreover, another 25 bps raise has been predicted for the coming month that could easily push the prices beyond $25,000.
Over the past few months, the US economic conditions, CPI or the GDP forecast, etc have shown positive dynamics. Interestingly, the prevailing conditions also have driven the traditional markets higher.
In the coming days, FOMC is committed to slashing the inflation rates to 2% from the current 6.5% and ensuring stability. Moreover, it believes that these rates can be achieved without a recession, while the economy will continue to grow along with Bitcoin & the entire crypto space.
Crypto Market Up Today, Bitcoin Price Holds Steady!
Run towards a bullish weekend! The cryptocurrency market has opened the market on a positive note as the majority of large cap cryptocurrencies have turned bullish. This bull rally is led by the first born crypto, Bitcoin price which has now jumped above $23,500 level and is strongly moving towards $24K. It’s just not that, even Ethereum, BNB, XRP, Cardano, Solana and other top altcoins have regained their lost price rally.
At the time of writing, Bitcoin is valued at $23,793 after a surge of 3% in the last 24 hrs. While Ethereum has gained 5.52% over the last 24hrs and is now trading at $1,667 leading the altcoin rally.
Crypto Market Surge With Fed’s 25 bps Interest Rate Hike
This wasn’t the scene a day ago as the crypto market was dwindling before the FOMC meeting results. However, during the FOMC conference, Federal Reserve chair, Jerome Powell claimed that the committee is focused towards the 2% inflation target. The Fed also claimed that even though inflation has dropped it is still too high and needs to be curbed.
After the Fed Chair’s above statement, the crypto market did react negatively, but soon bulls took control once the US Federal Reserve announced interest rate hike. Following the FOMC meeting, the US Federal Reserve held its meeting and concluded with an interest rate hike of 0.25% or 25 bps.
Last year the financial market witnessed one of the highest interest rate hikes by the Fed which was raised from 4.5% to 4.75%. This aggressive approach was to bring down the increasing inflation rate. Meanwhile, the US stock market which the crypto assets tend to follow has also gained wherein, the S&P 500 gained 1.05% and Nasdaq 100 is up by 2.16%.
On the contrary, what needs to be noted here is, during the FOMC meeting the Fed Chair claimed that the inflation still remains high and the job is not done. This suggests that the interest rate hikes will continue further and hence, the investors and traders should consider the crypto market volatility before making any further decision.
Jim Cramer’s Crypto Market Prediction: Sell or Hold On?
With the looming fear of inflation in the atmosphere, it is uncertain how the markets will perform in the coming days. It is projected that global growth will fall to 2.9 percent in 2023. Rising interest rates and the war in Ukraine continue to weigh on economic activity.
Jim Cramer, well known as the host of CNBC’s “Mad Money,” in which he tries to teach people how to think like professional investors. He recently stressed that investors should embrace the current market conditions and view any declines as opportunities to buy on a dip.
Jim Cramer’s most recent prediction
In a recent appearance on CNBC, Jim Cramer emphasized the need for investors to be ready for down days since they can present valuable buying opportunities. Despite recent stock declines, he observed that the market’s ability to rise further shows that the bull run still has further to go.
The market delivered solid gains on Tuesday, with the S&P 500 posting its best January performance since 2019, the Nasdaq Composite posting its best January performance since 2001, and Bitcoin closing January with a 40% gain.
These encouraging results have been attributed to strong corporate earnings and weaker-than-anticipated inflation data, and Cramer thinks they show that high-quality stocks will continue to recover despite short-term market fluctuations.
Community reaction
Crammer’s prediction has been met with criticism. Many of them have stated that he should not be taken seriously because his predictions never result in profitable trades. The community appears to have reservations about following the TV personality’s advice and predictions.
However, it is worth noting that market fluctuations leave a lot of room for investment changes. Having said that, each investor must conduct their own research before planning to invest in the market.
Aptos (APT), Aave (AAVE), And BudBlockz (BLUNT) Navigate Market Uncertainty with Ease
In 2022, the world watched in dismay as the crypto market’s value crashed down to earth. By the end of the year, the crypto market cap was less than $1 trillion, which means that about $2 trillion has been wiped out.
Even worse, these losses were across the board, as almost every crypto project finished the year in the red.
That said, a handful of cryptocurrencies have been able to navigate the bear market easily and could make for attractive investments. Aptos (APT), Aave (AAVE), and BudBlockz (BLUNT) are at the top of the list.
BudBlockz (BLUNT)
With the banking industry constantly causing problems for cannabis companies at all levels, the cannabis industry is a new way to process payments and ensure the security of users and businesses.
BudBlockz has come up with the solution to most of the problems facing the Cannabis industry, and cannabis and crypto enthusiasts are focused on what the company offers.
BudBlockz is the world’s first decentralized online e-commerce for cannabis enthusiasts to access the global cannabis markets securely.
BudBlockz provides a unique opportunity for investors to access cannabis-related businesses and assets and invest in the exciting and high-growth market. Many economic experts forecast a 200 billion dollar global market cap by 2030.
BudBlockz will open dispensaries worldwide in countries such as Spain, Portugal, Belgium, etc., where people can use its native token, BLUNT, to buy cannabis and other products.
Another unique feature of BudBlockz (BLUNT) is its NFT collection called Ganja Guruz. Ganja Guruz NFTs holders can trade cannabis products and fractional own cannabis businesses worldwide.
BudBlockz will use blockchain technology to provide a secure and transparent way to track transactions and ownership of assets. This means that investors can have complete confidence in their investments and the platform’s integrity.
The project is at the presale’s fourth stage and has sold over 67 million tokens, accounting for more than 50% of all BLUNT tokens.
Aptos (APT)
Aptos is a venture capital-backed layer one blockchain. It uses the Rust-based programming language Move, initially intended for Diem.
The platform promises amazing features with a cloud infrastructure that provides cost-efficient, low transaction costs, scalable, speedy processes, upgradeable platforms, and high-level security.
The Aptos platform is the brainchild of over 350 developers from all over the world. Aptos founders are former Meta employees who were once the proponents of Meta’s supposed Novi crypto wallet and Diem blockchain, which are now abandoned projects.
Even though the Meta project has been cancelled, the technology, skills, and expertise are now being poured into this new project.
Hence, the revolutionary blockchain has been intricately designed and built for over three years using new technologies.
Aptos is one of the most secure and reliable crypto opportunities in 2023. It is a solid investment because of its fast TPS rates shown during testing, stellar and experienced team of developers, and, of course, having founders from Meta and Diem.
Aave (AAVE)
Aave is a decentralized crypto platform that allows users to borrow and lend crypto. Aave uses smart contracts to automate processes, with preset rules on how funds are distributed, how collateral is handled, and how fees are assessed.
Aave specializes in overcollateralized loans, meaning users must deposit crypto worth more than the amount they wish to borrow.
This protects lenders from losing money from defaulters and allows the Aave protocol to liquidate the collateral if it drops too much in value.
Also, Aave offers a native crypto token (AAVE) that can be traded on most exchanges or staked in the Aave platform to earn passive income.
Aave is a secure crypto platform protected by the decentralized network of Ethereum nodes and staked Aave tokens to protect the blockchain network.
Bitcoin Outperforms Market Equities and Treasury Bonds: Goldman Sachs Report
The Bitcoin market rallied by nearly 40 percent in the first month of 2023 while the United States treasury bonds earned a fixed income of 4 percent. To put it into a different perspective, an investor who purchased $100 worth of Bitcoin at the start of the year has about $140.
On the other hand, an investor who purchased either a 20 or 30-year U.S. treasury bond worth $100 has approximately $104 at present. However, the latter is risk averse compared to the former, which is described by high volatility both on the small and longer timeframe.
Nonetheless, the Bitcoin market has significantly marketed itself as a better-performing asset in the long haul compared to government bonds. The Bitcoin market has, however, been tarnished by the FTX and Alameda’s implosion which has left hundreds of institutional investors worldwide with a financial dent and has led to a widespread loss of trust in the institution of cryptocurrency.
In a recent report by Goldman Sachs, Bitcoin ranked top among other assets in both total returns and risk-adjusted returns. According to the megabank, Bitcoin outperformed the market equities, precious metals, and also global indexes like NASDAQ 100, Russell 2000, and S & P 500.
Bitcoin Market Outlook
The Bitcoin market celebrated 14 years of existence recently with two countries, El Salvador and the Central African Republic, already using it as legal tender. According to our latest crypto price oracles, Bitcoin is changing around $23,134 on Wednesday with a market capitalization of approximately $446,005,429,271.
Short squeezes and forced liquidations have been attributed to the January 2023 crypto rally. According to aggregate data provided by Coinglass, approximately 22,911 crypto traders have been liquidated about $59 million in the past 24 hours. Nonetheless, the Bitcoin whales have played a significant role in the January crypto relief rally.
What’s Next for Cardano Price As Djed, an Algorithmic Stablecoin, Enters the Market?
Cardano’s Djed is live! It hits the mainnet at times when most of them have been undergoing frightful days. Meanwhile, the launch did offer a notable push to the ADA price but it was only a short-lived rally that appears to have settled.
The token has been attempting rigorously to slice through the crucial $0.4 resistance levels but is constantly failing to do so. However, the rally continues to trade in an ascending trend, indicating that it is confident of reviving a bullish trend.
The ADA price has been trading below the 200-day MA levels since the beginning of 2022 and has never attempted to test these levels. However, since the beginning of 2023, the price has inflated and raised close to MA levels. Woefully, the price has been facing constant hindrances at these levels, but bulls appear to be poised to keep up the momentum of the rally and reach the desired target at the earliest.
Cardano Active Address See Notable Swing
However, the bears may certainly not hold the dominance for a long time as the market participants have intensified their activity on the platform. The Daily Active Address(DAA) that tracks the number of addresses contacting the platform is maintaining a notable upswing.
Presently, the levels have rebounded from the bottom at around 52K and raised beyond 85.5K, and heading towards 100K. In the meantime, the ADA price also maintained a significant upswing. With the jump in the DAA, the transaction volume also spiked, indicating the shift of focus of the market participants over the platform.
Another indicator that is pointing toward a giant price action is the MVRV ratio trending within the negative levels for quite a long time. The MVRV ratio is the comparison between the market value to its realized value that further determines whether the token is undervalued or overvalued.
Presently, the MVRV ratio has been trading within the negative levels for quite a long time, hence indicating the traders accumulating the tokens constantly as the ADA price, currently is undervalued.
Collectively, Cardano’s price appears to have been preparing for a notable rally, where-in the rally may catch up, regardless of whether the bullish market sentiments prevail within the market or not. Therefore, after accumulating some strength, the ADA bulls are believed to uplift the price beyond the pivotal resistance soon.
Solana (SOL) is The Best Bet For Traders In Current Market Cycle – Here’s Why
Since the beginning of the year, Solana (SOL) has seen largely upward price movement. However, it has gone down and is now in the red as of this writing. Nonetheless, the token’s potential has been widely predicted by market watchers.
Experts Predict Massive Growth for SOL
Cantering Clark, a pseudonymous trader with 159,000 Twitter followers, recently shared a chart with his audience comparing the recent price movement of Solana (SOL) to that of Ethereum (ETH) in 2018.
As can be seen in the trader’s chart, after repeatedly touching a support level, both assets broke through it, formed a lower bottom, and recovered. Ethereum’s price rose from its 2018 low of $83 to its all-time high of $4,878 at the end of the year, a 5,777% increase. Based on SOL’s last close of $8.50 and the projection of a similar decline before the next bad market, a rebound to around $462 is likely.
In a recent edition of the Bankless Podcast, Chris Burniske, a co-founder of Placeholder VC, a venture financing company specializing in decentralized networks and Web3 applications, set out his bull case for Solana.
It’s hardly surprising that Burniske’s forecast is close to Clark’s, as he also sees parallels between SOL and Ethereum in 2018. He added that Solana is on the right track to harden its asset and will continue to do so, even if Ethereum is now a tougher asset.
The expert responded affirmatively when asked whether the SOL token will follow the same trajectory as Ether, which has become a type of money due to its shrinking availability. According to him, the return on investment for the individuals who are putting up cash in SOL is fairly low at 6% each year.
In any case, the fact that analysts think the SOL price may move up higher in the future and might join the current retest period is great news for buyers and sellers. Hence, with consistent purchasing, this cryptocurrency has the potential to increase by another 10% and test the $30 barrier level.
Crypto Bloodbath on Feb 1st? Market Strategist Foresees Intense Turmoil
The bankruptcy of FTX, a $32 billion crypto exchange, has shaken investor trust in cryptocurrencies. Market participants are constantly attempting to assess the degree of the harm done and its effect on business in the coming years. In one of the greatest crashes ever, the prices of all major cryptocurrencies plunged immediately after FTX filed for bankruptcy.
However, it appears as if the tide has begun to turn since the beginning of 2023. The top players are rallying major assets. However, the influence of the most recent federal meeting increase in interest rates may be seen in a loss of gains across markets.
As a result of the recent Fed meeting, the cost of capital for companies is increasing, lending conditions for consumers are undoubtedly tighter, and there is still ambiguity about the level at which the Fed will pause its rate hikes to try to moderate inflation.
The Upcoming Fed Meet
Equities, precious metals, and cryptocurrencies have been on a tear in the final three weeks of 2023, and all eyes are now on the next Federal Open Market Committee (FOMC) meeting, which is taking place on January 31st and February 1st.
Governor of the Federal Reserve Christopher Waller stated on Friday that he supports raising the benchmark interest rate by a quarter point at the upcoming FOMC meeting. Analysts predict that the conclusion of the forthcoming Fed meeting will have an impact on the market’s present trajectory.
On Jan. 27, a market expert known as “The Carter” stated that “there will be blood on February 1,” referring to the market upheaval that may occur when Powell addresses the country. While some investors anticipate a dovish Fed and rate reduction, Carter believes Powell will continue to tighten and adopt restrictive policies.
The analyst points out that Powell previously discussed a “broader tightening project” in three stages: rapid hikes to reach a neutral rate, gradual hikes to reach a “sufficiently restrictive” rate, and staying at the terminal rate for a while.
Vermeulen’s Prediction
Chris Vermeulen, CEO and Founder of The Technical Traders, analyses the most recent surge. He explains that he expects gold, silver, and miners to reach a major bottom in the first half of 2023, but adds that this will be followed by a multi-year rally.
While metals may hold up till the end of the year, he still expects a “big top” in the stock market and a corresponding surge in the US dollar.
Bitcoin Bull Market Is Coming – Morgan Creek’s Founder Predicts Positive Outlook
The cryptocurrency market has rekindled with a 25% increase in valuation, surpassing the $1 trillion mark for the first time since November 2023. The anticipation for the upcoming 2024 Bitcoin halving is fueling market sentiment, as limiting the supply of Bitcoin goes against the traditional monetary system based on fiat currencies like the U.S. dollar.
With the gold standard, the U.S. government once required a certain amount of gold to issue a dollar.
The growing interest in Bitcoin is evident with the pre-launch trading activity, and well-known investors like Mark Yusko of Morgan Creek are releasing new Bitcoin outlooks.
Bitcoin Outlook Addressed by Mark Yusko
Mark Yusko, founder, and chief investment officer at Morgan Creek, recently stated that Bitcoin (BTC) could be in the midst of a trend shift as it prepares for the 2024 halving.
Yusko just recovered the $18,000 price level and explained in a new ‘Crypto Banter’ interview that Bitcoin may already be in a sideways accumulation period.
Based on the halving cycle, he is also of the opinion that BTC is getting closer to a new bull market.
He further added that the asset dropped from $18,000 to $15,000, and then it rose to $18,000 again. Interestingly enough, if you consider the four-year cycle, spring is essentially flat, despite the fact that we built the proper cup and handle design.
According to his outlook, the fun days start shortly and the big party starts in the summer of 2023.
The spring is flat, but there is a lot of volatility, he continued, so that is the key. Things will start to get exciting when summer arrives, which typically begins in April or May, nine months before the halving.
On the basis of his forecasts, he explained why Bitcoin is such an important investment in the current market environment. According to him, the halving will take place in March 2024 and will result in a reduction of the incentives that are distributed to Bitcoin miners by a factor of the half. According to the veteran of the hedge fund industry, the incident “guarantees” that the price of BTC will increase.
The List of the Biggest Crypto Market Makers
Since the inception of Bitcoin in 2008, cryptocurrency trading has been gaining popularity. Every year, more individual and institutional traders get involved in the crypto industry, mostly investing and trading digital assets via trading exchange APIs. The concept of trading assets like stocks or crypto might appear simple: buy low and sell high. However, the maintenance of an active trading market is complex. The main characteristics are liquidity and a tight spread, and they determine the performance of any given asset, stock, or trading platform. These characteristics are guided by the market makers, that’s why it’s essential to be informed about the list of all cryptocurrency market makers.
Market makers play a key role in ensuring that this procedure goes smoothly behind the scenes. Understanding the function of market makers and liquidity in the cryptocurrency ecosystem is crucial for anyone involved in the crypto industry. The leading market-making firms discussed in this article are at the forefront of this development, given that trading wouldn’t be possible without the liquidity they provide.
Crypto market maker companies and their role
Simply put, a “market maker” is an individual investor or organization who trades in high volumes and has the ability to support the market by providing liquidity. It’s done by submitting both bid and ask limit orders at the same time. The service provider can quote for buy and sell prices of a crypto asset at the same time, as it helps to bridge the gap of prices and ensure liquidity.
It can be said that the market maker is the extra buyer and seller that makes sure orders get fulfilled. They make sure that an asset is operating properly and that other investors can buy or sell at any time and in large volumes without crushing or skyrocketing the price. They offer the liquidity any cryptocurrency exchange needs to function while earning money off the difference between the ask and bid prices.
Healthy liquidity that market makers maintain benefits all stakeholders. The asset is less volatile, and the price is fair. Without market makers, the spread — the difference between the asset’s current market price and the price at which it can be bought or sold — would widen. This typically indicates the asset has low volume and won’t be as appealing to investors. To avoid that, market makers actively facilitate liquidity and maintain tight spreads.
Who are the biggest crypto market makers
There are currently a select few market-making companies with robust features and positive feedback from clients. Let’s compare the leaders of the crypto market-making industry and what they offer.
| Gotbit | Kairon Labs | Wintermute | Keyrock | GSR | |
| CEX | + | + | + | + | + |
| DEX | + | + | – | + | + |
| Dashboard | + | + | + | – | – |
| Profit-sharing | + | + | – | ? | – |
Gotbit
Gotbit is a hedge fund that began offering market making services in 2017. Currently, the company is developed and operated by a team of 140+ experienced specialists, including investors and consultants. This includes former traders from the American multinational investment bank Goldman Sachs as well as managers from Deloitte, McKinsey, and KPMG. The algorithms of the Gotbit platform have been shown to execute more quickly and produce higher returns than those of other market-making service providers, thanks to the invaluable experience of the experts who built it.
Gotbit provides their clients with access to a dashboard that displays market making activity in real time, bringing the funds management transparency to the highest level. Gotbit’s market making approach provides projects with a full ecosystem in the market. Thanks to artificial intelligence and maths algorithms, end clients are provided with solid risk management, as well as uninterrupted and well-coordinated work in all of the selected markets under a supervision of a professional trading desk.
Every Gotbit’s client has a team of market making professionals assigned to them that creates and revises unique trading strategies. The execution of these strategies is managed by experienced traders around the clock. Gotbit also provides consultation and development services to various startups. They have a huge network of connections between different projects and developers in the crypto industry.
Their solid investment reputation is supported by 50+ successful IDOs, SFOs, VCs, angels, foundations, and private rounds. Client feedback confirms that GotBit provides high service quality and fast execution.
Kairon Labs
Established in 2018, Kairon Labs provides market-making services as well as exchange listings, advisory, sponsorships, and IP licensing. In the crypto ecosystem, the company is currently working with utility tokens and digital assets, which are traded on hundreds of CEXs and DEXs.
The company has recently collaborated on some notable crypto projects, including the Elastos ecosystem, the blockchain gaming launchpad Seedify (SFUND), and the yield farming protocol Harvest Finance.
The team at Kairon Labs consists of experts in algorithmic trading and highly skilled analysts, and they are working together to ensure that digital projects always have a suitable solution for their liquidity requirements. Kairon Labs also has a vast network of partners, including VCs, launchpads, and exchanges, who offer additional support for the projects they work on.
Wintermute
Wintermute offers an algorithmic approach to market-making in addition to its own OTC trading desk, NODE, and both spot and derivative markets. The NODE was created specifically for professional investors, and it has no execution fees and is accessible via both browser and API.
Overall, Winermute concentrates on early equity rounds and aids curated projects in entering the cryptocurrency market. It offers both DEX and CEX solutions for clients and has vast experience in the DeFi sphere.
Over 200 digital assets are available in spot markets through Wintermute at competitive, customized prices. Funds, brokers, family offices, blockchain projects, OTC desks, and other organizations and qualified individuals are among their partners and clients.
Keyrock
Keyrock is a Belgian crypto startup that was launched in 2017 and now operates internationally. It is a company that actively utilizes its own market-making technologies across important CEX and DEX platforms, which are maintained to be market-neutral and highly scalable.
Keyrock offers liquidity services to tokens, barters, and brokerages within the cryptocurrency ecosystem through a combination of in-house algorithmic trading instruments, high-frequency trading architecture, and industry expertise.
The key advantage of Keyrock is its agile, adaptable business model and inventory sourcing. This reduces the inventory risk and enables them to serve all markets, regardless of starting volume.
GSR
Since its inception in 2013, GSR has been a mainstay of contemporary financial markets. It is a multinational company with over 300 employees, many of whom are former executives from Goldman Sachs, Citadel, J.P. Morgan, Two Sigma, and other traditional financial institutions.
GSR uses a methodology based on pre-established bid-ask spreads and order book KPIs, which enables the company to guarantee performance metrics to its clients. Additionally, it uses a variety of risk management techniques to give its clients more hedging options.
GSR also provides specialized services for mining operations in the cryptocurrency space, giving its clients increased yield opportunities. Sixty trading venues, including the top DEXs in the world, are connected to its trading technology.
The importance of market making for crypto projects
Any type of trading in digital assets relies heavily on market makers. They create and develop markets for digital assets while allowing new trading venues to not only survive but also thrive. Market makers’ primary responsibility is to provide the liquidity necessary to maintain the stability of asset prices, which calls for the utilization of cutting-edge technology as well as industry expertise.
Crypto projects, platforms, and assets can benefit from the following advantages by working with a recognized and reliable market maker:
- Higher liquidity. Investors and founders can purchase or sell their positions more easily if the asset has enough liquidity.
- Higher trading volume. Lower volatility leads to increased interest from investors because dramatic price swings are less likely.
- Lower probability of price manipulation. Higher liquidity makes it more challenging to manipulate the asset price because more money is required to affect the prices.
- Higher interest in the asset or project. Increased interest and discussions are generated around the project as a result of higher volumes. Some market makers also provide additional promotional services like exchange listings and strategic partnerships that can grow the project.
- Listing on major crypto exchanges. Knowing that a market maker is committed to providing liquidity round-the-clock, reputable and well-known cryptocurrency exchanges are more likely to list the asset on their platform.
Top Reasons Why Crypto Market is Down Today
The four-week crypto relief rally has lacked upward momentum in the past two days. According to our latest crypto price oracles, Bitcoin and Ethereum have dropped approximately 4 percent in the past 24 hours to trade around $22,803 and $1,566 respectively. As major stock indexes edged lower in the past 24 hours – Dow, S & P 500, and Nasdaq down 1 percent today – Morgan Stanley analysts are convinced the new year rally will end this week.
“We think the recent price action is more a reflection of the seasonal January effect and short covering after a tough end to December and a brutal year,” wrote a team of strategists led by Wilson, Morgan Stanley’s chief equity strategist. “The reality is that earnings are proving to be even worse than feared based on the data, especially as it relates to margins.”
The selling pressure emanating from short-term holders and crypto miners seems to have outdone the buy squeeze from long-term holders and whales. Furthermore, a crypto correction had been predicted by most analysts in the past few weeks citing minimal buy momentum as observed with prior bull markets.
What Next for Crypto Market?
The crypto market has experienced heightened volatility amid the upcoming FOMC statement, which economists believe will encompass an interest rate hike. While the crypto market has previously shown a high correlation with macroeconomic factors, analysts anticipate more volatility in the next few days, in all directions.
Notably, over $160 million has been liquidated in the crypto market in the past 24 hours. Bitcoin, Ethereum, and Aptos have led in total liquidations with approximately $49M, $47M, and $9M respectively according to aggregate data provided by Coinglass.
Here Are The Key Events To Watch This Week For Crypto Market
The crypto market started the year on a positive note where most of the cryptocurrencies doubled their value. Since the start of 2023 Bitcoin has jumped nearly 40% and managed to hit a high of $23,861 just a day before, on January 29. This phenomenon pushed the overall cryptocurrencies on a brighter side where even the global crypto market cap has moved beyond the $1 trillion mark.
At the time of writing, Bitcoin is valued at $23,236 after a fall of 1.32% over the last 24hrs.
However, many industry experts have claimed that the upcoming week will not be a cakewalk for the crypto market. This is because they expect many global events that might rebound the positive market and the same is already felt as BTC loses nearly 2% in the last 24hrs.
Top Events Affecting Crypto Market
- Fed’s Interest Rate Hike
The Federal Open Market Committee or also known as FOMC is set to have its next meeting on February 1st. Even though most of the investors and traders expect the US Federal Reserve to reduce the interest rate hike by 25bps, the possibility for 50 bps is still under consideration. Further, this interest rate hike will influence Fed Chair Jerome Powell’s approach.
- Interest Rate Hike By European Central Bank
Next, as per the reports, the European Central Bank is expected to increase interest rate by 50 bps. Along with the European Central Bank, even the Bank of England is set to hike interest rates by 50 bps on February 2nd.
- Major Tech Companies To Release Quarterly Results
It’s a known fact that the crypto market is always correlated with the US stock market, especially Nasdaq 100. This week major tech companies like Meta, Apple, Google and Microsoft are set to release their quarterly report which will have a deep impact on Bitcoin.
- US Unemployment Data
This week the US Bureau of Labor Statistics will release the non-farm payrolls and their unemployment rate data. As of December 2022, the US unemployment data has decreased to 3.5% as the country’s economy had added 223,000 jobs during the same time.
The coming week will be extremely important for the crypto market because of which the traders and investors will have to reconsider their investment decisions.
Why Crypto Market Dropped Suddenly? Here Are The Top Reasons
The Bitcoin price saw a modest increase over the weekend, reaching near $24k, however, these gains were short-lived and were erased during the European trading session as the price fell to around $23k.
The crypto market saw a liquidation of over $116 million in the past 24 hours. According to the latest market update from Coingecko, the total crypto market capitalization has decreased by 2% to $1.087 trillion.
The decline in Bitcoin price is indicative of a dip in the entire crypto market, as expected. Ethereum is currently trading at around $1,578, a 2% decrease from its value earlier today.
Among meme coins, Floki Inu experienced the largest decline, dropping 17% and trading at around $0.00002375.
Factors Attributing To BTC’s Price Crash
The fluctuations in Bitcoin’s market can be attributed to various macroeconomic factors, including the upcoming statement from the Federal Reserve on interest rates.
Most analysts anticipate the Fed to raise interest rates by over 25 basis points, which Mathew Dixon, CEO of Evai.io, believes will drive the Bitcoin price upward.
Additionally, a declining dollar is seen as a positive for Bitcoin, which is widely considered as a hedge against inflation.
Despite this, there have been ongoing discussions about a potential correction in Bitcoin’s price.
Binance has been accused of manipulating the market by pumping up the price using its BUSD market. As a result, it is expected that short-term holders and miners will outnumber the whale buyers, leading to a correction.
As January 2023 draws to a close, crypto analysts will closely monitor the monthly close. According to popular analyst Rekt Capital, a close above $23.4k on the monthly candle would indicate bullish sentiment.
Meanwhile, long-term Bitcoin attributes indicate a possible multi-week consolidation towards next year’s halving event. Most analysts expect Bitcoin to retest ATH and enter the price discovery region after the 2024 halving.
As the crypto market continues to evolve, it will be interesting to see how the industry reacts to the latest developments. Do you think Bitcoin will bounce back or continue its downward trend? Let us know your predictions.
Why Crypto Market is Up Today? Is It a Precursor to a Giant Rally or a Smoke of Hopium?
The post Why Crypto Market is Up Today? Is It a Precursor to a Giant Rally or a Smoke of Hopium? appeared first on Coinpedia Fintech News
The crypto market is rising today as the global market capitalization gained more than 2% and attempting to reach $1.1 trillion at the earliest. The trading volume also spikes by 25% to mark levels close to $50 billion at the moment.
The total value locked in DeFi is also surging as they approach $50 billion with a jump of 1.49%. Moreover, Bitcoin’s dominance is also surging which stands at around 42.25% with a rise of 0.17%, for the first time in the past 6 months.
But What Changes the Market Sentiments? Why the Crypto Market Is Rising Today?
Bitcoin and the traditional markets have been impacted by external events and FOMC is at the top of the list. Each time, the agenda for the next meeting is discussed, markets react notably and with the announcement of the fresh rates, BTC prices jump, uplifting the entire crypto space. Presently, the crypto space is surging but may be impacted any moment-says a popular analyst Rager.
FOMC this week
Be open to understanding that things can change regardless of how good things look
Unfortunately, Bitcoin price movement can still be impacted by the Fed, hopefully it's good
— Rager
(@Rager) January 29, 2023
Meanwhile, the BTC price is expected to be impacted positively by the upcoming Fed announcement where-in the possibility of a massive upswing emerges. Along with this, the traditional markets are also believed to rise as both S&P 500 and Bitcoin are testing one of the crucial levels along the trend line.
Crypto Market Analysis: Top Predictions for Bitcoin(BTC), Ethereum(ETH) & Ripple(XRP) for February 2023
Bitcoin (BTC) Price Analysis
Bitcoin appears to accumulate gains as the price levels have been hovering around $23,000 for nearly a week. The RSI is displaying a bearish divergence while the MACD is about to flash a bearish crossover. Therefore, the BTC price is expected to face a minor rejection during the weekend that may trigger a bullish close for the month ahead.
The BTC price is manifesting both the possibilities of rising beyond the interim resistance at $24,400 and surging below $21,800. An equal bullish and bearish impact is been recorded due to which the volatility of the asset has been slashed hard.
However, the upcoming weekend may turn the tables for the BTC price and either of the targets may be achieved. Meanwhile, a bearish outcome is more likely which may slash the price below $21,000 but the upcoming week could be bullish.
Ethereum (ETH) Price Analysis
The Ethereum price in constantly trading along the resistance of the falling wedge for more than a week now. The price slightly deviates towards the south and hence the bears are slowly gaining strength and may display a giant action during the weekend. Moreover, the Bolinger Bands are also displaying a contraction which reduces the bullish possibilities to a larger extent.
The current trade setup displays the possibility of a minor pullback and plunges down. However, in case of an extended bearish action, the price may find a base to rebound at 200-day MA which is located at $1424. This may trigger a notable upswing that could uplift the price levels beyond the upper resistance and reclaim the crucial levels at $1767 in the coming month.
Ripple (XRP) Price Analysis
Ripple price broke above the bearish trade set up after the first fortnight of 2023 and began to consolidate heavily around the resistance. The price just made a failed attempt to rise beyond $0.43 intensifying bearish action and slashing the levels close to $0.41 at the moment. However, the upcoming weekend is believed to be highly volatile that may display a giant price action.
The XRP price is testing the crucial resistance levels and displays huge possibilities of a bearish breakout in the next 24 to 48 hours. While the lower support levels are fragile and hence may not hold the rally. However, the bulls may not allow the price to drop heavily as they appear to be well in a position to defend the gained levels. Therefore, after a brief consolidation, the XRP price is believed to rebound finely to reclaim levels above $0.45 soon.
Prominent Analyst Peter Brandt Debunks ‘Magic Line’ Crypto Market Theory
Peter L. Brandt is the founder and CEO of Factor LLC, a global trading company where he trades proprietary capital, foreign exchange, futures, fixed income, and equities markets. He has authored books and is always one of the active members who make predictions in the crypto industry.
He spoke out about those who have recently placed their hopes and formed their market views based on the S&P500 index’s trend line.
Brandt Explains About Magic Line
According to Brandt, the “magic line” investors have drawn on numerous charts has been making the rounds in the cryptocurrency and trading communities for the past few weeks. If this line were to break, it would indicate that the entire market—clearly including cryptocurrencies, given that their correlation with the majority of stocks has been at an extremely high level since 2021—would be in the process of turning around.
Brandt, on the other hand, does not appear to share the same enthusiasm as other traders and believes that the breakthrough of that line will result in nothing, in contrast to other traders who are eager to witness the firm breakout and acceleration of the rally.
The well-known analyst does not elaborate on why, in his opinion, the trendline that virtually every trader and investor emphasizes in their analysis is irrelevant or does not give the market momentum.
Community Reacts
Some people have expressed agreement and remarked that while he is not recommending that this fractal plays out, it does demonstrate the fact that occasionally the market can finish a decline and reach a greater high without following the trend that has been in place since the 1970s.
He received praise from one user for stating it. Some individuals have inquired about it and urged him to clarify whether it is due to fundamentals or macro.
Currently, the global market cap of crypto is at about $1.05T. The market seems to have started recovering since the FTX fiasco.
Break Or Make Movement For Crypto Market
Despite the recent negative impact by the macroeconomic environment and bankruptcies, the cryptocurrencies have managed to rise since the start of 2023. All this started when the world’s first cryptocurrency, Bitcoin entered the recovery phase as 2023 began. This recovery phase was followed by Ethereum and other major altcoins which has pushed the global crypto market cap above $1 trillion now.
At the time of reporting, Bitcoin is moving around $23,042 with a rise of 0.15% over the last 24hrs.
Also the Trading desk QCP Capital which is an analytic platform, claims that in the last one week, Bitcoin has been trading on a bullish pattern. As per the analysis, this positive pattern is impacting options trading and is pointing towards put skew.
Put skew is nothing but a phenomenon where puts are higher and calls are lower and the pricing difference in options is called skew. Here the puts are higher than calls because investors are holding on to some of their bullish positions.
Crypto Market On A Crucial Face
On the contrary, a well known crypto analyst, Michael van de Poppe portrays a bearish stance towards Bitcoin. The analyst claims that Bitcoin is all set to break and hit a target of $24K. However, Van de Poppe then predicts Bitcoin to slide down towards $22K and test $20,000 levels.
Furthermore, the trading desk states that traders are going long in the spot market which suggests the entry of fear of missing out. This also means that most of the traders are focusing on price leading to high delta calls purchase.
Additionally, QCP analysis suggests a flip in the current bull market after the CPI report is released which is scheduled for February 14, 2023. Hence, the next week plays an important role for the future crypto market.
The LBRY Decision Stands Crucial for Ripple’s XRP and Cryptocurrency Market
The Securities and Exchange Commission (SEC) and Ripple’s legal fight has gone through numerous stages. The cryptocurrency community is speculating about the case’s result as it approaches its conclusion. The case has been ongoing for more than two years, and the conflict feels never-ending.
According to the latest development, John Deaton, an amicus curiae in the SEC v. XRP lawsuit, claimed that the hearing in the LBRY case will be crucial for the cryptocurrency market and XRP. It is anticipated that the SEC will use the judge’s ruling and apply it to every transaction involving LBRY Credits (LBC). This will include secondary market transactions where a user tips a content provider with LBC tokens, the attorney emphasized.
The decision of the LBRY case also made the blockchain community aware of what they would be able to anticipate in a situation similar to this. The outcome of this case is significant because the SEC can use it as a major argument in favor of winning the Ripple lawsuit.
If the Howey Test is strictly implemented in the manner in which the Supreme Court adopted it in 1946, Deaton explained, then, the majority of cryptos won’t pass the Howey test, he added. Lawyers said there was a conflict of interest in the SEC’s conclusion that Ethereum is not a security. Legal experts have also predicted that Ripple will likely prevail in the dispute over the SEC. Currently, Coinbase is one of 16 firms supporting Ripple in its fight with the SEC.
Recently, Ripple CEO Brad Garlinghouse criticized the SEC’s lawsuit, calling the organization’s actions so far “embarrassing,” while also expressing optimism that a decision on the lawsuit would come soon – maybe in the first half of this year.
After obtaining the highly sought-after records of former SEC employee William Hinman, Ripple CEO claimed that individuals who follow the case will be shocked by the SEC’s “shamefulness.”
Top Altcoins For February – These 5 Cryptos May Print Exceptional Journey in Volatile Market
As the crypto market continues to be unpredictable and has brought high volatility in the last few hours, investors and traders remain confused about whether a bull market is on the horizon or a bearish bloodbath is waiting for them in February.
Bitcoin Price Analysis
BTC has lost its crucial price level of $23K and made a minor downward retracement to its 23.6% Fib channel. As of writing, Bitcoin hovers around $22.6K, declining nearly 1% from yesterday’s performance.
According to a prominent crypto analyst, Transparent-fx, the rejection at $23K may plunge Bitcoin to the bottom price range of $21.2K-$21.6K. However, BTC price may again aim for a breakout above $23K by the next week after a bearish consolidation near $21.5K.
Ethereum Price Analysis
The crypto market has undergone a downtrend as bears get a wake-up call to put selling pressure on the price chart. ETH price has been experiencing a severe bearish trend as it sparks a downside correction at $1,600.
TradingShot, a well-known crypto trader, predicts that the Ethereum price may shoot up in February. The analyst stated that ETH price has formed a ‘cup-handle’ pattern and may take support at $1,440, from which it can rebound to its September high of $1,795.
XRP Price Analysis
XRP has become a favorite altcoin in the market with the anticipation of Ripple’s winning against the SEC and its total market cap surpasses $1 billion in the last 24 hours.
A well-known altcoin analyst, Murkser, predicts that XRP will moon soon if it breaks above $0.044. The analyst noticed a similar price trend in 2017, which may boost the token if it follows the historic breakout. It is predicted that the XRP price may retest its resistance near $0.4321 next week to confirm a bullish trend in February.
ADA Price Analysis
Due to the anticipation of the stablecoin launch DJED, Cardano has been performing relatively well among other altcoins as it has taken support near $0.3468. However, Cardano may remain bearish if the altcoin market does not recover from the current trend. A breakout above its 23.6% Fib level may push the ADA price to trade at $0.42.
SHIB Price Analysis
Shiba Inu’s price is predicted to rise as its volume does not seem to slow down. MadWhale, a famous altcoin analyst, predicts that SHIB price may surge to $0.00003 by the first week of February.
Experts Predict Crypto Market Comeback: Is the Bear Market Finally Over?
The crypto market started the new year with a surge that not many saw coming. Bitcoin and Ether reached and breached some pretty impressive critical support levels. Excitement has washed over the crypto community as traders and investors rush to make the most out of the bullish action.
We Are in the Disbelief Phase
Some rejoice at the prolonged bear market finally coming to an end, however, many seem to be wary of the spike and seem to liken it to a bull trap. Several market experts have warned that the bear market is not yet over, making it clear that we’re now in what is known as the “Disbelief phase”.
At the time of writing this article, BTC is hovering around $22,650, having been up by nearly 10% in the previous seven days. At some point, the king coin even breached the $23k mark a few times and seems to have currently found support at $22,600.
As for Ether, it started out with a massive spike like Bitcoin’s. However, at the time of writing, it is currently in the red. Notably, the world’s largest altcoin has managed to maintain its spot at the $1,500 resistance level and is only down by 1.6% in the past week.
Despite the overall decent gains from the entire market, with the global crypto market cap going over $1 trillion for the first time in what feels like quite a long time, market experts like Toni Ghinea seem to think the rises are nothing but a bull trap.
Ghinea is still predicting a $600 Ether and BTC will fall back to $11k. According to the analyst, the bears will “wake up from hibernation” in March. On the other hand, popular analyst Michael van de Poppe believes that Ether will see an even more massive breakout towards the middle of the year.
He has said that:
“Some slow grind upwards and then one more sweep in the coming days and the correction should be over and we’ll continue the party.”
According to van de Poppe, Bitcoin could rally up to $35,000 and altcoins will spike up too. He did say, however, that the end of the year might be a bit hard, but he believes the market will quickly bounce back from it.
Bitcoin’s Bull Run: Investor Optimism Or Market Manipulation?
The cryptocurrency market began the day on a less-than-favorable note, but one currency that has maintained its bullish momentum is Bitcoin. Despite the King currency holding steady at around $23,000, it suggests that investors remain optimistic about Bitcoin. This has led to the global cryptocurrency market surpassing $1 trillion.
As of writing, Bitcoin is currently trading at $23,084, with an increase of 1.63% over the last 24 hours.
However, a prominent crypto analyst and trader has offered a different perspective on Bitcoin’s trajectory.
The analyst, known as Capo, has informed his 710,100 Twitter followers that the market performance of cryptocurrencies is not driven by organic demand. Given the direction of the current bull run and the high time frame resistance, the analyst believes that it is manipulation rather than demand that is driving the market.
Are tough times ahead for BTC?
Despite the claims made by one of his followers that the surge in Bitcoin’s price from $18,000 was due to an increase in demand as indicated by the minting of stablecoins, Capo maintained that this demand is artificial and the correction will be stronger as the demand increases.
It is worth noting that last week, Capo had predicted that Bitcoin would test its resistance level of $21,000 and that there was no bullish confirmation yet. However, his prediction turned out to be incorrect as Bitcoin’s value continued to rise.
In contrast to Capo’s predictions, another crypto analyst and strategist, Smart Contracter, believes that Bitcoin will experience a correction once it experiences a 38% surge in January.
Smart Contractor makes use of the Elliott Wave theory, which is a form of advanced technical analysis that uses crowd psychology to predict future price movements. According to the theory, when an asset is in waves one, three, and five, it tends to be bullish, while if it enters waves two and four, it suggests that the asset will experience a correction.
Navigating the Crypto Market During Economic Uncertainty: How Some Projects Thrive
The crypto community has had a terrible few months, with several incidents increasing the FUD in the space. Confidence in crypto assets is at an all-time low, and the community as a whole may require some time to recover. However, the rate of recovery is slowing significantly as a result of the recent global recession. Inflation, the Ukraine war, and other macroeconomic factors have all had an impact on global economies. It is important to note that Bitcoin has a history that dates back to the 2008 Financial Crisis. Indeed, Satoshi Nakamoto was inspired to create Bitcoin in response to the numerous controversial government bailouts following the failure of firms such as Enron.
Although cryptocurrency’s history began during the Great Recession, the blockchain industry was extremely small at the time. The cryptocurrency market has expanded rapidly since 2008, but it is unclear how the mature blockchain industry will respond to an economic downturn, even though the signals are showing a downward trend. Economists predict that a global recession will have an impact on the adoption and growth rate of the cryptocurrency industry.
However, it is believed that, despite the downward trend the global recession is having on the cryptocurrency industry, there are still some crypto assets that will most likely provide a ray of hope to investors and the global population in the event of an economic recession. It is critical to keep an eye out for BUIDLers who are working on amazing projects that will serve as an “elixir of life” to the tremors of the impending global recession. In this article, we will look at three projects being built that are ahead of the curve in terms of innovation and could provide the shade crypto investors require in the face of the global recession.
Philcoin
Philcoin is a pioneering blockchain project dedicated to charitable causes. Their ecosystem aims to eliminate inequalities in global wealth distribution by leveraging the power of blockchain technology to ensure that the most underprivileged people have access to financial assistance. Their solution aims to improve financial inclusion while also providing crypto investors with the opportunity to earn passive income despite the bearish mood of the crypto market.
Philcoin is a charitable organization that helps people all over the world who cannot afford meaningful internet access. It is difficult to address this growing digital divide because it threatens to exacerbate financial exclusion, unequal access to educational resources, and economic inequality. Coverage, security, and cost are the three most significant barriers to expanding broadband access today. Despite these obstacles, Philcoin has overcome them with its unique approach. Along with creating the world’s largest philanthropic blockchain ecosystem, Philcoin also strives to educate, entertain, and empower people so they can build a stable and secure future for themselves and their families.
Soulbound Tokens
“Soulbound Tokens” (SBT) were first proposed as non-transferable digital tokens containing an individual’s social identity in a decentralized society by Ethereum visionary Vitalik Buterin, Puja Ohlhaver, and E. Glen Weyl. The three co-authored a whitepaper titled “Decentralized Society: Finding Web3’s Soul” in May 2022, which describes a self-governing society (DeSoc) where Soulbound tokens (SBTs) are used as credentials. The concept of tokens is being researched, and they are not meant for purchase or sale. A number of applications are possible, including medical records, digital membership cards, and certifications of job histories and educational credentials.
With crypto’s inception, it has been filled with promise, and it will be intriguing to see if SBTs gain traction in 2023.
Livepeer (LPT)
On the internet, video is becoming an increasingly popular way to share and consume content. However, transcoding it for different devices and bandwidths is a time-consuming and costly process.
With Livepeer, users don’t need a lot of expensive hardware; they can contribute their computer processing power to form a network that transcodes videos, and users can be rewarded for their contributions, while companies can produce video content at a fraction of the cost. Livepeer continues to gain traction, and various analysts predict that it will be a standout project in 2023, regardless of the looming recession.
Conclusion
Recessions are difficult times, but they are a normal part of the economic cycle. The more strategic you are during periods of growth, the easier it will be to navigate during recessions. It is critical to look for long-term projects that can provide solace from the harsh realities of the global recession. Despite the impending economic downturn, the projects listed above are looking to make a name for themselves. It is a common saying in the crypto community that the best projects are those that persevere and keep building even during a downturn. This is the time to conduct your own research and position yourself in innovative projects that will last through these trying times.
Crypto Market Analysis: Bitcoin Remains Consolidated While Dogecoin Aims to Hit $0.1
Crypto markets today are pretty consolidated as the past weekend could not offer the required push that may have exploded the price beyond $23,000. Meanwhile, some altcoins are displaying enough momentum to reach the desired target soon.
Dogecoin price, which traded under extreme bearish pressure for more than 20 months, appears to have surged notably. However, the trend reversal is still required to be validated which may enable the price to rise high beyond the crucial resistance.
DOGE prices surged in the times when Elon Musk has not talked about the token much. Yet the prices surged by more than 40% and Shiba INU over 50% since the start of 2023 which signals the possible start of the memecoin season. Dogecoin price underwent a massive bullish close for the previous week that may end the multi-year bearish trend.
Dogecoin price has risen above the huge falling wedge, flashing extreme bullish signals. The price appears to be in the process of validating a firm upswing after a breakout beyond the upper resistance of the wedge.
Furthermore, a decent upswing could be validated by surging beyond the pivotal resistance at $0.15 which appears to be pretty distinct from the current levels. Woefully, the buying volume has not been up to the mark as reflected during the November 2022 surge.
Despite a bullish breakout, the Dogecoin price may continue to remain under the bearish influence. Therefore, the price may eventually surpass $0.1 by the end of January 2023 and maintain a notable upswing thereafter.
However, the possibility of rejection also haunts the rally and in such cases, a slight drop towards $0.08 could be possible.
Bitcoin’s Price Rally Is Just the Beginning as Indicators Reveal Crypto Market Is Not Overheated
Cryptocurrency’s overall market capitalization has once again surpassed $1 trillion thanks to the market leaders Bitcoin and Ethereum, who emerged as overnight winners. After a significant bear market dip, the price of bitcoin has started to rise.
The uptrend started following a new year in 2023, but if Bitcoin can turn a particular level into a support floor, things can become interesting. Regardless, 2023 is off to a strong start as BTC is up almost 36% so far, and an overnight gain of 8% has lifted the price of Bitcoin above a significant threshold.
According to a verified author for CryptoQuant, Dan Lim spoke about on-chain data showing two indicators that might not be good for BTC. Dan Lim presents two indicators that lag behind the price of Bitcoin in a recent analysis that was featured by the staff of CryptoQuant.
“Looking at the open interest and leverage ratio, they have fallen sharply since the FTX incident, and despite the recent strong rally in #Bitcoin, these two indicators still haven’t overheated at all.”
Both metrics are still very close to multi-month lows, even if the Bitcoin price has now entirely recovered from the period of its fall brought on by the FTX/Alameda fiasco.
“It is necessary to have an active buying perspective if there is a strong drop of Bitcoin in the future or if it renews its low point.”
Mid-December marked the bottom for aggregate OI, and the rebound is still in its early stages. The second indicator, the Estimated Leverage Ratio, which represents the level of leverage that traders of derivatives choose to use for their holdings, bottomed out this week but is still unable to reach levels seen in December 2022.
In anticipation of the U.S. Department of Justice’s statement regarding a “significant international cryptocurrency action,” the two market leaders had momentarily declined. Crypto investors might feel as though we’ve returned to the exhilarating times of the Bitcoin bull run, even though we’ve obviously come a long way from its peak in 2021.