Bitcoin and Crypto Tokens Continue Bullish Momentum, Regulatory Approval Euphoria
Bitcoin and other crypto tokens continued their bullish momentum at the start of the week on Monday. The early trades saw all crypto tokens continuing the surge from the weekend, buoyed by the regulatory approval of a spot bitcoin exchange-traded fund (ETF) listing.
Bitcoin remained firm as the largest crypto token, gaining about a per cent and hovering strongly above the 34,000-level. Meanwhile, Ethereum, its largest peer, saw a half per cent increase, staying below the $1,800-level. Majority of the altcoins were also trading with gains, indicating a positive market sentiment.
Driving the prevailing positive outlook regarding the potential approval of Bitcoin Spot ETF applications in the United States, Edul Patel, Co-Founder & CEO at Mudrex said, “Bitcoin sustained its position above the $34,000 threshold.”
He also noted, “The ProShares Bitcoin Strategy ETF (BITO) witnessed its second-largest trading week to date, with $1.7 billion in trading volume, while the Grayscale Bitcoin Trust (GBTC) recorded $800 million in trading volume, possibly amplifying the overall market’s positive sentiment. Ethereum, on the other hand, maintained its trading value above $1,700.”
In the early trade, a majority of the top crypto tokens were trading higher on Monday. Solana surged about per cent, while Chainlink and Polkadot gained 3 per cent each. Polygon, Cardano, and XRP also gained about 2 per cent each. Even the dollar pegged stablecoins inched up.
The global cryptocurrency market cap was trading significantly higher, reaching the $1.26 trillion-mark, as it jumped about a per cent in the last 24 hours. However, the total trading volumes surged more than 13 per cent to $27.37 billion.
Bitcoin ended the week with a remarkable 15 per cent gain. Throughout the weekend, BTC maintained a positive stance but remained below its local resistance at $35,000. Currently, the price hovers around $34,300, while ETH is trading slightly above the local support level of $1,765, as per CoinDCX Research Team. The team added that this week is significant for the crypto market due to various macro events, including the US FOMC meeting, the monthly announcement of the US unemployment rate, US job openings, and the US non-farm Employment Change, with the potential to introduce volatility to the crypto market.
Tech View by Giottus Crypto Platform
Chainlink (LINK) is currently in a major rally on the back of RWA (Real world assets) narrative and wider positive sentiments in the market. The token has been on the sidelines for most of 2022 and 2023 but recently saw a considerable surge in price.
The token has broken the $10 key resistance level, and continued strong development is likely. The Bollinger Bands are currently wide as the price volatility increases near the $9 mark, and the price action is trending well above the indicator’s mean line. The upward shift has propelled the RSI index to the overbought territory and is currently sitting at 76.9. If the price manages to surpass the $12 mark, this could lead to further increase towards the resistance level of $13.5.
Support: $10, $9, $7.85
Resistance: $12, $13.5
The views and recommendations given are the analyst’s own and do not represent those of Business Today. Please consult your financial adviser before taking any position in the mentioned assets.
I have been featured in numerous publications, both online and offline, and am a regular speaker at industry events. I am also the founder of Crypto University, an online educational platform that helps people learn about cryptocurrencies and blockchain technology. In addition to my writing and teaching career, I am also an active investor in the cryptocurrency space. I have made investments in some of the leading projects in the space, and my portfolio has outperformed the market by a wide margin