Bitcoin, Ethereum, Dogecoin Revive After Weekend Crash
Bitcoin and Ethereum traded above vital psychological levels on Monday evening; After a long weekend, they slipped down. Global cryptocurrency market capitalization increased by 1.1%; In total, it reached 906 billion dollars. Cryptocurrencies were booming along with other risky assets on Monday evening; After Bitcoin and Etherium fell to $20,000 and $1,000 over the weekend. The two largest cryptocurrencies by market capitalization reached a corresponding low of $17,708.62 and $896.11 over the weekend. Both the Nasdaq and S&P 500 futures rose more than 1%.
Fears of a recession have strengthened the market. According to a senior market analyst at OANDA, inflation has gone from being a primary concern to being alone. Now it is hoped that any recession will be mild and short-lived. However, the situation is developing so fast that it is difficult to know. The rapid fall of Bitcoin to the $20,000 mark was a high critical level.
The HODLer mentality is being tested. Those who have not yet been released may find themselves in the same temptations. Investors watch US Federal Reserve Chairman Jerome Powell present a monetary policy report to Congress new and reduced trading week.
Powell will present a monetary policy report to Congress next week. The Federal Reserve caters twice a year to economic development and monetary policy. The Bitcoin market experienced a massive devaluation event this week, Putting pressure on miners, long-term owners, and the entire market. With miners, long-term owners are now starting to feel pressured, which forces many of them to sell at an accelerated pace.
Bitcoin and Crypto Market
The data show that the supply of long-term owners has decreased by 178,000 BTC in the last week; This is 1.31% of their total ownership. According to the crypto and fear index, market sentiment remains “extreme fear”. Cryptocurrency trader Justin Bennett said on Twitter that the current “bounce” is weak; There may be another bull trap before we see a round after-sales.
According to the analyst, the total market capitalization of cryptocurrency can amount to $670-730 billion; Before the relief action takes place. This jump looks weak so far. Likely another bull trap before the next round of sales. $TOTAL should reach the $670- $730B area before the aid promotion. This is 17-25% lower than the current level.
Another 26.05% may reduce market capital to current levels. Experts estimate the peak coin should clear resistance at $20,500 to rise to $23,000. As for Ethereum, the currency holds the $1,085 level; This suggests that the next level is $1,250 after that.
