Bitcoin (BTC) Crowd Shouting for ‘Moon’, ‘Lambo’ During Price Drop Was ‘True Irony,’ Research Firm Says
Major coins were up on Sunday night as the global cryptocurrency market capitalization rose 0.9% to $1.1 trillion at press time.
| Coin | 24 hours a day | 7 days | Price |
|---|---|---|---|
| Bitcoin BTC/USD | 1.4% | 0.01% | $23,315.92 |
| Ethereum ETH/USD | 1.2% | 2.1% | $1,714.47 |
| Dogecoin DOGE/USD | 1% | 1.4% | $0.07 |
| Cryptocurrency | 24-hour % change (+/-) | Price |
|---|---|---|
| Oasis network (ROSE) | +26% | $0.11 |
| Loopring Token (LRC) | +10.4% | $0.48 |
| Cosmos (ATOM) | +6.8% | $11.34 |
See also: Best Crypto Debit Card
Why it matters: Bitcoin and Ethereum traded in the green at press time, although S&P500 and Nasdaq futures were down 0.2% and 0.3% respectively at press time.
On Friday, data from the U.S. Labor Department indicated that nonfarm payrolls for July grew by 528,000, against expectations for a rise of 250,000, Reuters reported.
As a result, expectations arose that the United States Federal Reserve will maintain its hawkish course, and 10-year government bonds shot up 11.2 basis points to 2.788%.
“Bitcoin may end its correlation with stocks. After a robust non-farm payrolls report, Wall Street sent Treasury yields skyrocketing, sending stocks sharply lower, but not Bitcoin,” said Edward Moyasenior market analyst at OANDA.
“If we were still in a crypto winter, Bitcoin’s typical reaction would be a steeper fall than what happened to US stocks,” Moya wrote, in a note seen by Benzinga.
Moya’s colleague in OANDA, Craig Erlamsaid that Bitcoin continues to trade near the $23,000 mark, with a “break above $25,000 now the next major test of the upside.”
Chartist Ali Martinez said he is watching two critical areas of support for the apex coin: $22,560 and the other, the coin’s relative strength index on the daily chart at 51. If both are lost, the analyst expects Bitcoin to fall to $21,400.
#Bitcoin | I look after two critical areas for support. One is at $22,560 and the other is RSI on #BTC daily chart at 51. If both are lost then expect $BTC to dive to $21,400. pic.twitter.com/CPD7ey9zAC
— Ali Martinez (@ali_charts) 7 August 2022
Going into another trading week, investor sentiment continues to be dominated by “Fear,” according to Alternative.me’s “Crypto Fear & Greed Index.” Last week the index was 33, while at press time it had a value of 30. A value of 0 on the index represents “Extreme fear”, while 100 reflects “Extreme greed”.
Long-term owners of Bitcoin continue to use coins with a net loss, ranging from -11% and -61% on average, Glassnode said in a weekly blog post.
“The recent rally has given long-term owners an opportunity to exit a fraction of their holdings on a cost basis, at prices that essentially ‘make it back,'” Glassnode said.
Bitcoin, long-term holder net position change — courtesy of Glassnode
The on-chain analyst firm said over the past three weeks, the aggregate behavior of long-term holders has changed from accumulating at a rate of 79,000 BTC/month to distributing up to -47,000 BTC/month.
Behaviorally, words like “moon” and “Lambo” are used sarcastically by investors during a slide, but they often mark moments when Bitcoin is about to rise, the chain and financial analysis platform said Sentiment on Twitter.
During #crypto race in 2022, the crowd has called for #moon and #lambo in a sarcastic way when prices fall again. However, the true irony is that spikes in these words actually often mark moments when $BTC is about to rise. pic.twitter.com/RGh3cAAl6a
— Santiment (@santimentfeed) 5 August 2022
Read next: Kevin O’Leary’s Crypto Market Outlook: “The Mega Opportunity For Bitcoin”
