As a seasoned trader with over two decades of market experience under my belt, I have seen countless cryptocurrencies soar and plummet like rollercoasters on a sunny day at an amusement park. Today, let’s take a look at three such digital coins – Formia (TIA), Avalanche (AVAX), and Toncoin (TON).
Bitcoin‘s (BTC) attempt to maintain its position above $64,000 was unsuccessful as minor declines caused it to drop below $63,000. Notably, other significant cryptocurrencies such as Solana (SOL), Ethereum (ETH), and Ripple (XRP) also experienced minor losses, despite having seen growth over the weekend.
Over the last day, I’ve noticed a significant surge in the value of AI-focused tokens. The Artificial Superintelligence Alliance’s FET and Bittensor’s TAO have been at the forefront, recording increases of 8.8% and 4.7%. This bullish trend seems to be fueled by the upcoming earnings report from NVidia, a company closely tied to AI technology. It’s an exciting time for crypto investors with a focus on artificial intelligence!
Can Bitcoin (BTC) Shed September Hoodoo?
Bitcoin (BTC) has made a strong recovery since it dipped below $49,000 in early August but hit a hurdle during the previous session, as its price dipped marginally. Historically, September has always been a low month for BTC. If you consider this historical aspect, recovery in September is a bit of a stretch. According to data from CoinGlass, BTC has dropped an average of 4.78% in September since 2013, with the cryptocurrency witnessing a positive monthly gain only in 2023 if we look at the past seven years.
As an analyst, I’ve observed a consistent trend: Investors have been actively investing in Bitcoin-linked exchange-traded products (ETPs), as evidenced by the $543 million inflow recorded over the past week according to CoinShares data. The price of Bitcoin has been fluctuating significantly, moving between roughly $55,000 and $73,500, suggesting a fierce struggle for dominance between bulls and bears in the market.
Good News For Crypto
In simpler terms, Jerome Powell (the head of the Federal Reserve) has hinted that the central bank might lower interest rates, potentially taking them down from around 5.33% to about 3.33%, over the next year and a half. This move could make it easier for businesses, families, and investors to borrow money since there would be more liquidity in the market. The street consensus on Wall Street is that this reduction will happen.
Over the weekend, significant cryptocurrencies experienced gains, but when the new week started, they all experienced losses. Bitcoin fell below $63,000, Ethereum dropped below $2,700, and Solana also saw a minor decrease. On the other hand, TRON (TRX) saw an almost 14% surge due to the meme coin craze fueling demand for the token. As reported by Lucy Hu, a senior analyst at Metalpha, this situation occurred.
With inflation largely tamed, attention is likely to transition towards the labor market and whether the Federal Reserve can manage a gentle economic landing for the U.S. In the coming months, we anticipate that market optimism will grow as rate reductions become imminent, alongside an economy finding its footing and potential pro-crypto policies should Trump secure another term in office.
AI Tokens Surge Ahead Of Nvidia Earnings
AI-related tokens dominated the market on Monday as investors eagerly invested in them, driven by excitement about Nvidia’s upcoming earnings report. Nvidia is slated to reveal its figures on August 28, and traders have been funneling funds into Artificial Superintelligence Alliance’s FET token and Bittensor’s TAO token. The FET token has experienced a nearly 9% increase in the last 24 hours, while TAO has seen an almost 4% uptick over the same timeframe.
Experts anticipate that this current quarter’s earnings will be significant, amounting to approximately 65 cents per share – an impressive jump of 141% compared to the same period last year. Additionally, revenue is projected to reach a staggering $28.72 billion, indicating an increase of 113% from the previous year. This quarter could represent the fifth consecutive quarter experiencing triple-digit growth, with the technology sector predicted to thrive for the remainder of the year.
Bitcoin (BTC) Price Analysis
Despite significant inflows into spot Bitcoin ETFs like BlackRock’s iShares Bitcoin Trust (IBIT), Franklin Bitcoin ETF, and WisdomTree Bitcoin Fund, Bitcoin (BTC) continues to face pressure. On Monday, IBIT saw a remarkable $224 million inflow, while the Franklin and WisdomTree funds registered $5.5 million and $5.1 million respectively. However, other ETFs such as Ark 21Shares Bitcoin ETF, Invesco Galaxy Bitcoin ETF, CoinShares Valkyrie Bitcoin Fund ETF, Grayscale’s ETF products, Bitwise Bitcoin ETF, Fidelity Wise Origin Bitcoin Fund, and VanEck Bitcoin ETF recorded no net inflows or even outflows. Specifically, Bitwise Bitcoin ETF had substantial outflows totaling $16.6 million, while Fidelity Wise Origin Bitcoin Fund and VanEck Bitcoin ETF experienced outflows of $8.3 million and $7.2 million respectively.
Although encouraging figures for a Bitcoin ETF have been reported, Bitcoin itself has continued to face pressure. Reaching a peak of $65,000 on Friday, the leading cryptocurrency subsequently dropped, with a strong selling force pushing its price below $63,000. This decline also led to a decrease in open interest. Some analysts suggest that the reduction in open interest for Bitcoin could mean traders are shifting their focus towards other cryptocurrencies, as these have experienced only minor declines in open interest.
Looking at the Bitcoin price graph, it’s clear that on Wednesday, BTC bounced back from its 20-day Simple Moving Average (SMA), reaching a high of $61,130. However, the 50-day SMA acting as resistance caused the price to drop on Thursday. Nevertheless, optimistic feelings about Bitcoin grew on Friday, resulting in an approximately 6% increase for the day and allowing it to move over both the 50-day and 200-day SMAs, ending at $64,032. The price saw only a slight rise on Saturday due to heavy selling at higher levels. On Sunday, sellers tried to drag BTC below its 200-day SMA but were unsuccessful as buyers stepped in and pushed Bitcoin back above $64,000, with demand increasing at lower price points.
On Monday, a predominantly bearish attitude emerged as traders took charge and caused Bitcoin (BTC) to fall beneath its 200-day Simple Moving Average (SMA) to $62,903, with the $65,000 barrier proving insurmountable for buyers. In the current trading session, BTC is experiencing a slight decline as bears aim to intensify their influence and guide BTC towards the 50-day SMA. So, what’s next for BTC? Over the weekend, buyers maintained their positions above the 200-day SMA, but this changed on Monday when BTC dipped below $63,000, suggesting that sellers were in control. For BTC to rebound, it is crucial that buyers keep the price above the 50-day SMA. If BTC slips below this mark, it could potentially drop to $60,000.
Ethereum (ETH) Price Analysis
In the past 24 hours, Ethereum (ETH) has experienced a 2% decline, persistently battling to move beyond $2,700. The $2,850 mark poses significant resistance for ETH, and it’s been challenging to maintain levels above $2,700 due to weak market demand. On Wednesday, ETH surpassed its 20-day Simple Moving Average (SMA) when it climbed to $2,631. After a slight dip on Thursday, ETH bounced back strongly on Friday, rising by approximately 5.4% and closing above $2,700 at $2,764. On Saturday, buyers made an attempt to push through the resistance level of $2,850, with ETH reaching a peak of $2,820. However, sellers thwarted their efforts, causing the price to drop again. Ultimately, ETH registered only a minor increase on Saturday.
On Sunday, sellers assumed dominance, causing Ethereum (ETH) to decrease by 0.75%. However, buyers managed to maintain their position and thwart a fall below $2,700. This equilibrium was disrupted on Monday as ETH plunged by 2.42%, dipping beneath $2,700 to settle at $2,682. Currently, Ethereum is trading at $2,685, with both buyers and sellers vying for control. If Ethereum manages to stay above its 20-day Simple Moving Average (SMA), this could suggest that investors are buying the dip, potentially leading Ethereum to surge past the $2,850 level and challenge the 50-day SMA. Closing above the moving average would imply that the recent downward trend has ended.
If ETH‘s downward trend persists and falls beneath its 20-day Simple Moving Average (SMA), it indicates that the bearish market conditions prevail. In this case, ETH might drop to its $2,500 support level.
Solana (SOL) Price Analysis
As a researcher, I’ve been observing the price movement of Solana (SOL). Over the past few days, I’ve noticed four attempts by buyers to break the resistance at $160, but each time, sellers have stepped in to counteract these efforts, pushing the price back down. Despite a robust performance on Friday, where SOL surged over 7%, managing to cross above both the 20 and 200-day Simple Moving Averages (SMAs) and the $150 mark, settling at $153, the momentum seems to have stalled. On Saturday, buyers managed to push SOL up to $160.78, but with sellers anticipated to defend this level, the buying pressure appears to have waned, preventing any further significant upward movement.
On Sunday, SOL experienced a decline and slipped into the negative territory by 1.04%, closing at $159.10. Attempts were made by sellers to drive SOL below $150, but the price recovered from the 50-day Simple Moving Average (SMA) and stabilized there. On Monday, SOL continued its descent, dropping by 1.18% and settling at $157. Despite this, buyers made an effort to push past $160, with SOL reaching a peak of $162.13 during the day. However, sellers regained control and managed to push SOL back below $160. Currently in the ongoing session, SOL has shown a slight increase as buyers try to push it above $160 again, but so far, sellers have maintained control at this level.
Should Solana (SOL) surpass the $160 resistance point, it might escalate beyond $180 and potentially aim for $200. Conversely, if market sellers regain dominance and SOL falls beneath its 50-day Simple Moving Average (SMA), we may witness a drop back to around $150.
Dogwifhat (WIF) Price Analysis
Following its steady climb from a low of $1.38 on August 18, Digwifhat (WIF) encountered resistance and halted its ascent after it failed to surpass the 50-day Simple Moving Average (SMA) and the $2 mark. This roadblock was met with forceful selling activity that prevented WIF from advancing beyond those levels. The cryptocurrency had earlier breached the 20-day SMA by Thursday, reaching a high of $1.61. On Friday, it experienced a substantial rise of nearly 14%, peaking at $1.84. However, bullish sentiments remained strong on Saturday as WIF still managed to increase by almost 7% despite heavy selling pressure. Attempts were made to push WIF above the $2 mark, but these efforts proved unsuccessful, and the cryptocurrency ended the day at $1.96.
Despite a surge in buying activity on Saturday that momentarily shifted control, sellers regained dominance on Sunday, causing WIF to dip by approximately 3.1% to $1.90. Pessimistic feelings about the coin remained strong on Monday, leading to a 7.32% decrease, leaving WIF at $1.76. At present, sellers are trying to drive the price down even further, possibly below the 20-day Simple Moving Average (SMA). If this trend continues, WIF could potentially fall to $1.50 or even lower.
Polkadot (DOT) Price Analysis
Over the weekend, Polkadot (DOT) encountered a setback in its recovery as selling pressure took over on Sunday, causing the price to dip towards $4.50. However, buyers are currently trying to regain control during this trading session, as shown by the price chart. Prior to this weekend, DOT had been steadily climbing from $4.28 on August 15, heading towards $5. This upward trend saw DOT surpass its 20-day Simple Moving Average (SMA) on Wednesday following a 3.32% rise, reaching $4.67. DOT experienced a minor uptick on Thursday and a significant one of 4.26% on Friday, ending the week at $4.89.
Market analysts became increasingly hopeful that DOT would reach $5 again following a robust performance on Saturday, which caused DOT to close at $4.98. Investors tried to push DOT beyond $5, with the highest point for DOT on Sunday being $5.11 – a level not seen since early August. However, sellers managed to pull DOT back below $5, pushing it down to $4.98. Despite predictions that DOT would keep rising, the sellers had other ideas. As buying interest waned on Saturday, the sellers took charge on Sunday, causing DOT to drop by more than 3% to $4.83. Pessimism prevailed on Monday as DOT plummeted by 5.59%, sinking to $4.56 and falling beneath the 20-day moving average as well. However, during the current trading session, DOT has made a comeback, gaining 1.75% and rebounding above the 20-day moving average, currently trading at $4.64.
As a crypto investor, I’m wondering if Polkadot (DOT) can regain its momentum. It could definitely happen if the price stays above $4.50 and holds above the 20-day Simple Moving Average (SMA). If DOT manages to recover from this point, it suggests that traders are capitalizing on the dip, potentially pushing DOT back towards $5. However, if the sentiment shifts and DOT slips below $4.50, there’s a possibility it could slide back down to around $4.20 or even $4.
Celestia (TIA) Price Analysis
Since being turned down from $6 during the weekend, Celestia (TIA) has persistently trended lower. On Friday, TIA experienced a surge, breaching significant resistance levels and moving averages following a 12.46% growth to close at $5.92. A further 2.13% rise on Saturday enabled TIA to surpass $6, an essential resistance level, and reach $6.05. However, the momentum of buyers waned in the presence of heavy selling pressure at higher prices, giving sellers the upper hand on Sunday. Consequently, TIA declined by 5.94%, sliding back below $6 and settling at $5.69.
TIA’s price continued to decline on Monday, dropping by 4.50% to reach $5.43. This dip pushed it beneath the 50-day Simple Moving Average (SMA) and $5.50. At present, TIA is still in a downtrend, going below the 20-day SMA and trading at $5.38. If sellers maintain their control, they might push TIA down to $5, a point that buyers will strive to protect to prevent any further slide. As of now, it seems the sellers have the advantage, and if TIA falls below $5, a potential drop to $4.50 or even $4 could be possible.
Avalanche (AVAX) Price Analysis
I’ve noticed an impressive upswing in the value of Avalanche (AVAX) since it hit a low of $19.79 on August 15. This rally propelled AVAX to surpass its 20-day Simple Moving Average (SMA) on August 20, and it breached the 50-day SMA on August 22. The surge on Thursday led to a 7.14% increase, pushing AVAX above $25. On Friday, AVAX continued its upward trend, climbing by more than 5% to close at $26.52. On Saturday, buyers made an attempt to push AVAX towards $30, reaching a day high of $28. However, the momentum waned due to selling activity at higher levels, resulting in AVAX settling at $27.13 after a 2.29% increase.
On Sunday, AVAX experienced a minor decrease, sliding into the negative territory as sellers aimed to lower its value below $25. The selling pressure escalated on Monday, causing AVAX to decline nearly 4% to $25.95. Yet, during the current trading session, buyers have been attempting to stabilize above $25 and push back towards $28, with the price now showing a positive trend.
Toncoin (TON) Price Analysis
1. Over the past week, Toncoin (TON) has experienced a significant decrease of approximately 21% in value. This decline began after the arrest of Telegram founder Pavel Durov on August 24th. Following this event, French authorities have charged Durov with complicity in multiple criminal activities and refusal to comply with demands for cryptographic access. The news of Durov’s arrest triggered a drop in TON’s value, causing it to lose nearly 12% initially, breach critical support levels, and erase gains from the previous week. However, demand at lower levels facilitated some recovery over the weekend. Despite this slight uptick, TON continued to decline by almost 3%, settling slightly above its 200-day Simple Moving Average (SMA) at $5.76.
Buyers attempted a recovery on Monday as TON rose to a day high of $5.99, almost regaining the $6 level. However, sentiment changed, and sellers retook control, driving TON down by nearly 11% to $5.14. The drop also saw TON slip below the 200-day SMA and the $5.50 support level. The current session has seen buyers enter the market, indicating lower-level demand. TON is currently up by just over 6% and trading around the $5.45 mark. If buyers continue to enter the market, TON could push back above $5.50 and attempt to reclaim the levels above the 200-day SMA. However, TON could slump back to $5 if sentiment changes again.
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2024-08-27 16:16