The crypto market has taken a hiatus from the sell-off
Market picture
Bitcoin has changed little over the past 24 hours, trading at $19.4K on Tuesday at the start of the day. The initial fall was neatly redeemed during active European and US trading amid a rebound in stock indices. Some investors and traders saw the market response as excessive and sought to buy back the market at its current levels.
The capitalization of the entire crypto market rose 2.7% in the last 24 hours to 936bn. Both bitcoin and the crypto market continue to receive support near levels of the previous three months' lows, around the $20K and $900B area, respectively.
Despite a pause in the sell-off, the technical balance of power is on the bears' side, with the potential to renew the June lows and move into the $12-14K area.
News background
According to renowned expert Willie Wu, the cryptocurrency market has not yet bottomed out. According to him, if bitcoin fails to stay in the $19K - $20K range, it faces a collapse to $17.6K. However, BTC may only bottom at around $10K.
According to CoinShares, investments in crypto funds rose last week after sharp outflows in the previous week. Net inflows of $7 million compared to outflows of $63 million the week before.
$17 million Inflows to bitcoin funds contrasted with $15 million outflows from Ethereum funds. Investments in funds that allow shorts on bitcoin rose by $3 million. "The combination of positive and negative flows suggests a continued lack of investor engagement in cryptocurrencies," CoinShares said.
After nearly two years of litigation, the SEC and Ripple Labs called on a federal court to immediately rule on whether XRP sales violate US securities laws.
Author
Alexander Kuptsikevich, a senior market analyst at FxPro, has been with the company since its foundation. From time to time, he gives commentaries on radio and television. He publishes in major economic and socio-political media.
