Optimism seeps out of cooling crypto markets
MOST cryptocurrencies are in the red today as markets cool following last week’s optimism which analysts say was sparked by Fed Chair Jerome Powell’s hints at upcoming interest rate cuts.
Bitcoin has fallen by a little more than 1.5%, trading around $62,800 this morning, while Ethereum has seen a steeper decline of 2%, currently priced near $2,670. Altcoins are following a similar downward trend.
This gradual price decline has pushed the Fear and Greed Index back to neutral after briefly signalling greed yesterday.
Meanwhile, other indicators, such as short-term moving averages, are now suggesting sell positions.
The broader market sentiment remains somewhat cold, with little positive news from crypto and tech media over the past week. Continued regulatory pressure from the US and tepid inflows into crypto ETFs have further dampened spirits.
Will Investors remain on the sidelines until early September, when the latest US economic data could provide new insights into the global inflation outlook?
In the Markets
Total crypto market cap
$2.21 trillion (-1.29%)
What Bitcoin did yesterday
Daily high $64,472 | Daily low $62,841
Bitcoin market capitalisation
$1.24 trillion (57.5% of market)
Bitcoin 24-hour trading volume
$28 billion (+43.2%)
SP500
-0.32%
Fear and Greed Index
48 (Neutral)
The Fear and Greed Index measures volatility, market momentum/ volume, social media, surveys, dominance, and Google search trends to gauge market sentiment.
Bitcoin Relative Strength Index (RSI)
37
Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience a correction in price, while 30 or below indicates an oversold or undervalued condition.
Post Script…
Cautionary Notes
It’s definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.