The crypto market has witnessed a remarkable surge in recent weeks, propelled by optimistic news and improved market sentiment. Bitcoin and several altcoins have experienced substantial gains, largely attributed to the potential approval of a Bitcoin Exchange-Traded Fund (ETF) in the United States.
Let’s delve into the significant developments shaping the crypto market landscape:
- US Debt Ceiling Resolution: The resolution of the US debt ceiling issue has instilled a sense of relief among market participants, alleviating the uncertainty that had previously dampened market sentiment. This development has had a positive impact on the overall market environment.
- Chinese Mining Crackdown: China’s crackdown on crypto mining initially triggered a market sell-off. However, the market demonstrated resilience and swiftly recovered from the setback. Consequently, prices have rebounded and resumed an upward trajectory.
- HSBC launched Bitcoin and Ethereum futures ETFs: Hong Kong’s largest bank now enables local customers to access cryptocurrency exposure through ETFs. The new feature allows investment in Bitcoin and Ethereum futures via HSBC’s Easy Invest mobile app, offering a convenient alternative to directly owning the underlying cryptocurrencies.
Key Data Points
- Total market capitalization: The total market capitalization of the crypto market is currently around $1.17 trillion. This is up about 16% from two weeks ago.
- Bitcoin dominance: Bitcoin dominance, which tracks the percentage of the total market capitalization that is held by Bitcoin, is currently at around 50.4%. This is down slightly from two weeks ago.
- ETH dominance: ETH dominance, which tracks the percentage of the total market capitalization that is held by Ethereum, is currently at around 19%. This is up slightly from two weeks ago.
Bitcoin Price Analysis:
The Bears are defending $31,000. The bulls are holding the price over the psychological $30,000. Lower-priced purchases have increased, according to data. If bullish momentum pushes the BTC/USDT pair past the resistance zone from $31,000 to $31,500, it would signal the start of the next rising trend. Currently, $32,400 is a moderate resistance level.
Bearish participants must push the price below $30,000 to stop the upward trend. Given present market conditions, the pair may fall to the support zone from $29,600 to $28,500. Market participants must actively monitor this level due to its importance. If the pair breaks below the $28,500 level, it may fall to $27,812.
Here are some of the key things to watch in the crypto market in the coming weeks:
- SEC decision on Bitcoin ETF: The SEC is expected to make a decision on BlackRock’s Bitcoin ETF filing in the coming weeks. This could have a major impact on the crypto market.
- US inflation data: The US will release inflation data in the coming weeks. This data could have a significant impact on the broader financial markets, including the crypto market.
- Crypto regulation: There is increasing talk of crypto regulation in the United States. This could have a major impact on the crypto market.
The crypto market exhibits a positive outlook in the near term, propelled by recent gains in Bitcoin and altcoins. The anticipated entry of institutional investors into the market is expected to sustain this upward momentum.
Bitcoin returns were 1.35% for this week. The Alpha Blue Chip Focused Strategy returns were 3.13% during the same period (23 JUN – 29 JUN). The Top Cap Digital Assets Strategy and Arbitrage Opportunities & Balanced Strategy returns were 0.66% and -0.06%, respectively.