As a seasoned trader with years of experience under my belt, I find myself constantly analyzing market trends and price movements to capitalize on profitable opportunities. Let’s delve into the recent performance of DOT, Dogwifhat (WIF), and Ripple (XRP).
Over the past weekend, Bitcoin (BTC) experienced noticeable ups and downs. For a moment, it surpassed $60,000, indicating a potential change in market mood, which led to a short-term increase of about 6%.
At the moment, Bitcoin (BTC) has dipped nearly 3%, causing it to drop beneath the $60,000 mark during initial trades. Simultaneously, Ethereum (ETH) has also seen a decline, falling below $2,300 as trading started, reaching as low as $2,259, and experiencing almost a 6% decrease over the past 24 hours.
Additionally, significant cryptocurrencies such as Cardano (ADA), Dogecoin (DOGE), Toncoin (TON), Polkadot (DOT), Uniswap (UNI), Solana (SOL), and FET started the week with losses, experiencing considerable declines in the past 24 hours.
Crypto Markets Await FOMC And Powell Speech
This week promises to be pivotal for the cryptocurrency market as anticipation grows regarding a potential 0.5% reduction in interest rates by the Federal Reserve. Such a move could have far-reaching effects across various financial sectors. Notably, Federal Reserve Chair Jerome Powell is scheduled to address the public following the FOMC meeting, offering insights into the central bank’s policy rate decisions. Recent US inflation figures suggest that investors are placing bets on a 0.5% cut during the upcoming Fed meeting.
From my perspective as a researcher, it appears that the broader financial markets have experienced a surge, with US markets recording their strongest trading week since last September. This upward trend seems to be echoed in the cryptocurrency market, where Bitcoin temporarily surpassed $60,000, suggesting an escalating risk-taking sentiment among participants.
Following the Federal Open Market Committee (FOMC) meeting on September 18, Chair Jerome Powell will deliver remarks, an event that will attract close attention from the cryptocurrency market. It is anticipated that Chairman Powell may adopt a more accommodating stance, but any deviation could potentially dampen overall market mood, particularly since Bitcoin and other significant altcoins have shown signs of recovery in the past week, fueled by expectations of a larger rate reduction.
Bitcoin (BTC) Poised For Huge Rally
As an analyst, I’m observing a promising scenario unfolding in the crypto and commodities markets. I foresee a significant upward trend due to the imminent increase in global liquidity, primarily stemming from debt refinancing activities. This surge could potentially trigger a Bitcoin bull run. In my view, these markets are significantly undervalued, with commodities last seeing such levels back in 2000 and 1971.
It seems that commodities and cryptocurrencies are currently priced lower than their worth, and there’s a strong possibility they could enter a decade-long growth phase. I anticipate significant gains in the value of these investment categories.
More analysts are predicting that Bitcoin (BTC) will burst through its current limitations in October, possibly triggered by the Federal Reserve’s meeting on September 18th. If this forecast holds true, BTC could soar to price ranges of $100,000 to $150,000 by 2025. This optimistic outlook stems from BTC’s recent market behavior that shows several technical signs pointing towards a breakout. The most conspicuous pattern on the chart is known as the “cup and handle,” which historically indicates ongoing bullish trends.
As an analyst, I’ve noticed that the width of Bitcoin’s (BTC) weekly Bollinger Bands Width (BBW) has been narrowing since June, suggesting a decrease in volatility. Historically, periods of low volatility have often been followed by significant price movements. Furthermore, momentum oscillators like the Stochastic RSI and Relative Strength Index (RSI) are signaling oversold conditions, which could potentially lead to a price reversal or upward trend.
SEC Comes In For Criticism
Critics such as Paul Grewal of Coinbase and Stuart Aldertoy from Ripple took aim at the Securities and Exchange Commission (SEC), questioning its unclear and inconsistent policies regarding cryptocurrency regulations. This was prompted by the SEC’s acknowledgment that its repeated assertions classifying tokens as securities may have led to confusion. Specifically, Grewal pointed to a footnote in the amended complaint filed against Binance by the SEC, which suggests ambiguity in their stance on crypto assets.
The SEC apologizes if there was any misunderstanding caused by their repeated, incorrect statements that certain tokens should be classified as securities.
Responding to Grewal, Ripple’s legal chief stated,
“So the SEC finally admits that 1/‘crypto asset security’ is a made up term and 2/ to prove a ‘crypto asset security’ is an investment contract, the SEC needs evidence of a bundle of ‘contracts, expectations, and understandings’? Ripple’s case is over, but the ‘fair notice’ defense is still alive for others. The SEC cites the 2017 DAO report as industry notice that ‘crypto asset securities’ are subject to US securities laws.”
Bitcoin (BTC) Price Analysis
Last week and over the weekend, Bitcoin (BTC) experienced a significant surge, reaching an increase of 6% and surpassing $60,000. However, this growth was brief, with BTC plummeting nearly 3% in the past 24 hours. Over the preceding week, BTC had shown positive signs, bouncing back from a low of $52,622 it hit on Friday. By Monday (September 9), BTC had regained its footing above $57,000, with buyers pushing it to a daily high of $58,092, testing the resistance at that level. Despite an optimistic beginning to the previous week, BTC was only able to break through $58,000 on Thursday due to sellers aggressively guarding that level, causing demand to diminish and preventing further upward momentum.
Following a tough day of selling on Wednesday, Bitcoin (BTC) made a strong comeback on Thursday, with sellers pushing it beyond $58,000 and ending at $58,176. This move above $58,000 boosted buyer confidence, leading to BTC surpassing its 20-day Simple Moving Average (SMA) and the 50-day SMA on Friday, reaching over $60,000 and settling at $60,479. Anticipating a strong defense, buyers were expected to hold the $60,000 line. However, selling pressure increased over the weekend as sellers aimed to push BTC back below the 50-day SMA. While BTC didn’t dip below the 50-day SMA on Saturday, it lost the $60,000 mark, decreasing by 0.88% and settling at $59,949. The selling pressure persisted on Sunday, causing BTC to fall below the 50-day SMA, reaching $59,165. With markets opening in the negative, the current session sees Bitcoin down nearly 1%, as sellers strive to further lower its price.
Initially, Bitcoin dipped to $58,143 at the start of the trading day. Yet, buyers intervened and managed to raise its price to the current level of $58,762. The buyers aim to keep Bitcoin above $58,000, overpowering selling pressure and averting a fall to $55,000. If Bitcoin recovers during this session, there’s potential for another attempt at the $60,000 mark. Conversely, if sellers drive Bitcoin below $58,000, a return to $55,000 is possible. At the moment, the Moving Average Convergence Divergence (MACD) indicates bullish sentiment, but this could shift if sellers maintain their influence for an extended period.
Ethereum (ETH) Price Analysis
Ethereum (ETH) experienced difficulties over the weekend as pessimistic feelings grew stronger, causing it to reach a low of $2,287 on Sunday. As markets are currently in the negative, ETH has maintained a downtrend during this session, with sellers aiming to push the price even lower. The digital currency has dropped by more than 5% over the past day as it attempts to rebound from the $2,300 mark. Data from TradingView suggests that Ethereum’s drop in value relative to Bitcoin (BTC) has led to a significant decrease in the ETH/BTC ratio, reaching its lowest point since April 2021 on September 16, falling to 0.038.
Last week, ETH faced difficulties breaking past the $2,400 mark despite a robust rebound following its plunge to $2,150 last Friday. Buyers flooded the market to drive ETH upwards, pushing it to $2,389 by Tuesday. However, Wednesday saw resistance at $2,400 taking effect, causing ETH to dip. Sellers aggressively sold off ETH, aiming to drop its price below $2,300, but failed due to robust support. As a consequence, ETH regained ground on Thursday, experiencing a 0.91% rise and settling at $2,363. On Friday, ETH made another attempt to breach the $2,400 level, achieving a 3.34% increase and ending the day at $2,442.
Over the weekend, ETH dipped into the negative territory due to the influence of the 20-day Simple Moving Average (SMA). On Saturday, it dropped by 0.91%, followed by a significant decline of 4.21% on Sunday, causing its value to fall below $2,400 and settle at $2,318. Currently, ETH is trading slightly over 1% lower, at around $2,294. The crucial support level for ETH is at $2,300; if buyers can regain this level, it could help prevent further losses. However, if sellers maintain control, ETH might slip below $2,200 and potentially drop to either $2,150 or even $2,100.
Solana (SOL) Price Analysis
Over the past 24 hours, Solana (SOL) has dropped nearly 5% due to its inability to surpass the $140 mark. This dip continued over the weekend as sellers aimed to push it beneath $130. Interestingly, SOL had been moving upwards during the previous week, bouncing back from a low of $120 and climbing steadily to reclaim $130 by the start of last week. It even reached $135. However, SOL encountered significant resistance at this level and couldn’t make any substantial progress above it, dipping to a low of $128 on Wednesday before recovering slightly on Thursday and ending at $136.
On Friday, I observed significant selling pressure on SOL that drove its price down to $131. Despite this, SOL managed to bounce back and move past its 20-day Simple Moving Average (SMA), ending the day at $139 with a 2.25% gain. However, encountering strong resistance at this level, SOL dipped back into negative territory over the weekend, registering a 1.96% decline on Saturday. The selling pressure intensified on Sunday as SOL dropped by over 4%, slipping below its 20-day SMA to close at $131.53. Currently, in the ongoing session, SOL is showing a marginal decrease, and sellers are attempting to push it below the $130 support level.
Buyers are expected to defend the $130 level and prevent a further decline. However, if SOL slips below this level, a decline to $120 can be expected.
Toncoin (TON) Price Analysis
Over the past week, Toncoin (TON) experienced a significant jump of nearly 14%, although its growth slowed down during the weekend due to encountering substantial resistance near $6. The cryptocurrency showed strong bullish tendencies last week as it peaked at $5.69 on Monday. However, the buying momentum was not sustained, leading TON to close at $5.25 with a rise of approximately 6.12%. On Tuesday, TON surpassed its 20-day Simple Moving Average (SMA), increasing by 5.65% to reach $5.55. However, after facing resistance, the price dipped on Wednesday, reaching a low of $5.15 before rebounding and settling back above the moving average at $5.39.
On Thursday, TON made an effort to surpass the barrier at $5.60 but ended up closing at $5.58 after a 3.43% rise. However, it successfully breached this threshold on Friday, increasing by 4.25% and reaching $5.81. Buyers aimed for $6, but their momentum waned upon reaching $5.93 due to the 50-day Simple Moving Average acting as resistance. Over the weekend, TON dipped due to decreasing demand, losing 2.38% on Saturday and 2.24% on Sunday, sliding back below $5.60 to close at $5.55. Currently, TON is up by 0.80% in the ongoing session as sellers failed to drive the price down. Buyers will aim to regain $5.60, and if TON manages to stabilize above this level, a rise towards the 50-day SMA at $6 might occur.
Should sellers regain dominance in the market, I anticipate that TON might slide down to around $5.30. At this point, the 20-day Simple Moving Average (SMA) could potentially provide a floor of support. If TON’s price continues to decrease further, its next potential support level would be at $5.
Polkadot (DOT) Price Analysis
Over the weekend, Polkadot (DOT) experienced a halt in its progress as it reached a roadblock at approximately $4.50, a point where significant resistance is expected. The previous week had seen DOT begin on a positive note, rising to $4.29 on Monday following a nearly 3% increase. However, with the 20-day Simple Moving Average (SMA) becoming relevant, DOT shifted into a downtrend, decreasing by 0.93% on Tuesday and hitting a low of $4.07 on Wednesday. Yet, DOT recovered from this level, surpassing the 20-day SMA on Thursday and ending the day at $4.30 after experiencing a 2.63% increase.
Over the course of Friday, I observed DOT climbing steadily towards $4.50, boosting its value by approximately 3% to close at $4.43. However, on Saturday, sellers tried to seize control as selling pressure intensified, causing DOT to plummet to a low of $4.35. The momentum shifted back to the buyers later in the day, but the robust resistance at $4.50 only allowed for a minimal gain, with DOT closing at $4.44. On Sunday, the buying force waned as an attempt to break through $4.50 failed, resulting in DOT falling back into negative territory. The price dipped to a high of $4.56 before sellers took over, pushing it down to close at $4.40, marking a 0.90% decline.
During the ongoing trading session, sellers tried to force Polkadot (DOT) below its 20-day Simple Moving Average (SMA). This effort led DOT to dip to a low of $4.24, but it subsequently rebounded and is now at $4.34. Buyers aim to retake control of the session and challenge the $4.50 mark again. Meanwhile, sellers are targeting a drop in DOT towards $4, although they must first contend with potential support at the 20-day SMA before doing so.
Dogwifhat (WIF) Price Analysis
For the past week, the trading of Dogwifhat (WIF) has remained tight, neither buyers nor sellers managing to significantly influence the session. Consequently, WIF has fluctuated between approximately $1.50 and $1.70 for much of this period. On Wednesday, it dipped to a daily low of $1.49 but soon rebounded. By Friday, it surpassed its 20-day Simple Moving Average (SMA) and closed at $1.63 following an increase of more than 5%.
Initially, WIF encountered considerable opposition at $1.60, and with a declining 50-day Simple Moving Average approaching, it slid into the negative territory on Saturday, plunging approximately 4% to fall below $1.60 again and close at $1.56. The price further decreased on Sunday as WIF experienced a decline of 4.19%, dropping beneath the 20-day SMA and ending at $1.50. In the current trading session, WIF has seen a slight increase of more than 1% as traders aim to drive it back towards $1.60.
Ripple (XRP) Price Analysis
Over the past week, Ripple (XRP) experienced a significant rise, breaking through a key resistance level as well as its 20, 50, and 200-day Simple Moving Averages (SMAs). After hitting a low of $0.50 last Friday, XRP bounced back and initiated a steady recovery, reaching $0.53 by Tuesday. Following a minor dip of approximately 1% on Wednesday, XRP saw a sharp spike on Thursday, surpassing its 20 and 200-day SMAs to end at $0.56. A rise of about 1.99% on Friday pushed XRP above the 50-day SMA, ending the week at $0.57.
XRP started the weekend on a positive note, registering an increase of 3.92% to move to $0.59, as buyers looked to push above $0.60. However, strong selling pressure at this level saw XRP fall back into the red on Sunday, ending the weekend at $0.57 after a drop of 4.04%. The current session sees XRP marginally up as buyers and sellers look to establish control. Buyers will look to keep XRP above the 50-day SMA. Should XRP consolidate above it, we could see a retest of the resistance at $0.60. On their part, sellers will look to drive XRP below $0.55.
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2024-09-16 13:07