Dwindling optimism for Bitcoin ETF approval to blame as weekly crypto outflows hit $55M
Even altcoins slumped, with only Ripple and Cardano registering inflows.
Even altcoins slumped, with only Ripple and Cardano registering inflows.
Bitcoin price just experienced one of its fastest and sharpest corrections in over a year, dropping 10% in a matter of minutes. The mass liquidations and panic from the selloff caused BTCUSD daily charts to reach the most oversold level since the COVID crash in early 2020. BTC Panic-Selling Reaches Extremes Not Seen Since COVID Crash As much as people try to fight it, investing and trading is an emotion-driven process. Few emotions cause humans to take action more urgently than those associated with fear and panic. This is precisely why selloffs tend to be sharper and scarier than bull markets. “Bulls take the stairs, bears ride the elevator” is just one adage that symbolizes this noted market behavior. Related Reading: This Bitcoin Continuation Pattern Points To 3-6 Months Of Uptrend Ahead For example, the COVID collapse in March 2020 took only a matter of days to erase 70% of Bitcoin’s price. This instance was the last time the Relative Strength Index technical indicator on the daily timeframe became this oversold. After Bitcoin’s recently drop this week, the daily RSI is back at a similar extreme for the first time in more than three years. What isn’t clear quite yet, is if the extreme represents another ideal buying opportunity, or if this is the onset of a deeper decline. The RSI has reached the deepest reading in years | BTCUSD on TradingView.com Bitcoin Daily RSI Plunges To Most Oversold Level Since 2020 The Relative Strength Index is a momentum indicator that tells investors and traders when an asset is overbought and oversold on a relative basis. When the tool reaches extremes above 70 or below 30, it can present an opportunity to buy or sell. The RSI is now lower than the LUNA or FTX collapse, or at any point since March 2020. During especially strong moves, however, the RSI can remain elevated for extended phases despite reaching such overheated readings. Such was the case in December 2018, the previous instance of the daily Bitcoin RSI reaching such a low. Related Reading: This Long-Term Bitcoin Price Average Is Setting ATHs In that case, the RSI stayed hot for two full weeks, cutting down BTCUSD price by another 40% before it was all said and done. A 40% correction in Bitcoin would take prices back to the November 2022 bottom. If Bitcoin instead rebounds and reacts more akin to 2020, new all-time highs could be just months away. If not, a deeper reset is possible. #Bitcoin daily RSI is now the most oversold in all of 2023 Act accordingly pic.twitter.com/GpKFAvsonc — Tony “The Bull” (@tonythebullBTC) August 17, 2023 Tony is the author of the CoinChartist (VIP) newsletter. Sign up for free. Follow @TonyTheBullBTC & @coinchartist_io on Twitter. Or join the TonyTradesBTC Telegram for daily market insights and technical analysis education. Please note: Content is educational and should not be considered investment advice. Featured image from iStockPhoto, Charts from TradingView.com
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The crypto advocacy group’s suggestions included a de minimis exemption for crypto transactions and having the IRS provide guidance on block rewards, airdrops and hard forks.
Shiba Inu (SHIB) token has witnessed high-value transactions again, leading to intrigue among its community. As significant amounts of SHIB change hands, many wonder if these moves signal a forthcoming positive shift in its market position or a rebound, as the asset is currently in a downtrend. Whale Alert, a renowned blockchain tracking platform, disclosed that a transaction of 4.65 trillion SHIB tokens, equating to approximately $38.39 million, moved from Bitvavo to an unidentified wallet. 🚨 🚨 4,653,778,173,637 #SHIB (38,391,343 USD) transferred from #Bitvavo to unknown wallethttps://t.co/KFZzJIvU5q — Whale Alert (@whale_alert) August 21, 2023 High-Value Transactions Coincide With Shibarium’s Developments It’s worth noting that this isn’t an isolated event. A similar transaction occurred just a day prior, where an almost equivalent amount of 4.6 trillion SHIB tokens (around $38.70 million) was transferred from one undisclosed wallet to another. 🚨 🚨 4,669,778,173,637 #SHIB (38,707,791 USD) transferred from unknown wallet to unknown wallethttps://t.co/c6LPXZFq2h — Whale Alert (@whale_alert) August 20, 2023 These high-value transfers correlate with the start of Shibarium, the Ethereum-based layer-2 blockchain, which has been the cause of a spike in SHIB transactions. The surging activity, especially after introducing the Shibarium blockchain, naturally raised eyebrows within the Shiba Inu community. Related Reading: Shibarium Launch Saga: Block Production Resumes Despite Stuck ETH To address rising concerns about the safety of assets, the Shiba Inu team came forward in its “All Is Well” blog post, offering clarity on the technical issues, and emphasizing the security of the users’ assets. SHIB Rebound On The Horizon? While it’s undeniable that there may be growing attention on Shiba Inu, especially after these whale activities and the Shibarium blockchain’s developments. It may be too soon to forecast the exact trajectory SHIB will take. However, analyzing the Shiba Inu price chart suggests there could be a potential rebound, though it might not be imminent. On the 4-hour chart, Shiba Inu displays a pronounced downward wick. This indicates the presence of more liquidity in this downside range, which could suggest further decline as market makers may seek to capture this liquidity. To clarify, a wick refers to the thin line/vertical line above or below the main body of a candlestick. The wick represents an asset’s highest and lowest prices during a specific time frame, such as the candle marked above. Related Reading: How High Can Shiba Inu (SHIB) Rise When Shibarium Restarts? Regardless of the above analysis, significant whale purchases highlight the commitment of Shiba Inu’s investors. Such activities underscore their interest in adding to their SHIB holdings. This growing attention on SHIB is especially noteworthy given its recent Shibarium project launch. Featured image from Unsplash, Chart from TradingView
SEC is likely to approve multiple applications for Ether futures exchange-traded funds simultaneously.
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Last Thursday saw the return of volatility to the charts, after a lengthy period of crabbing. But how big was the liquidation cascade? Well, here is a quick look at that move compared to other similar historical events. Below you see the total $ value allocated in futures contracts (non-expiring), making last Thursday's the 5th…
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BTC futures and options data show pro traders’ sentiment was not impacted despite last week’s 11.4% correction.
The very 1st Gold ETF was introduced in 2003 by State Street Global Advisors, it was also known as the "SPDR Gold Trust". Since then the price of gold did a remarkable 5x. Gold chart 1980 to now This commodity ETF opens up the ability for people to invest in gold without having the need…
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