Bitcoin, Ethereum Rise, Dogecoin Flat: Why This Analyst Finds Apex Crypto’s ‘Modest’ Weakness ‘Quite Impressive’ – Bitcoin (BTC/USD), Ethereum (ETH/USD), Dogecoin (DOGE/USD)
Bitcoin and Ethereum saw gains Monday night as the global cryptocurrency market capitalization climbed 1.55% higher to $938 billion at 8:03 PM EDT.
| Coin | 24 hours a day | 7 days | Price |
|---|---|---|---|
| Bitcoin BTC/USD | 2.2% | -1.9% | $19,191.91 |
| Ethereum ETH/USD | 3.1% | -3.3% | $1,334.36 |
| Dogecoin DOGE/USD | -0.1% | 3.85% | $0.06 |
| Cryptocurrency | 24-hour % change (+/-) | Price |
|---|---|---|
| Terra Classic (LUNC) | +59.1% | $0.0003 |
| Terra (LUNA) | +23.5% | $2.70 |
| TerraClassicUSD (USTC) | +16.9% | $0.033 |
See also: How to get free crypto
Why it matters: The two biggest cryptocurrencies fared well on Monday despite risk assets falling sharply.
The S&P 500 closed at 3,655.04, its lowest since 2020 as investors were rattled by market turbulence, which originated in Britain. US stock futures were in the green and largely unchanged at the time of writing.
OANDA senior market analyst Edward Moya said: “Chaos in fiat currencies is starting to make crypto look more attractive. Bitcoin’s modest weakness is quite impressive given the panic selling occurring across a wide range of risky assets.
“Tech stocks rallied earlier today, and that shows you that the correlation with crypto remains intact. Bitcoin won’t trade on its own fundamentals overnight, but it’s starting to show some signs of resilience here,” Moya said in a note, seen by Benzinga.
Michael van de Poppe shared a Bitcoin chart saying it was “narrow”. The cryptocurrency trader said: “Use and reversal at $19.3K is likely to trigger a new trend already.” The analyst said that turning the $19,500 level would indicate strength towards $20,000 and even $22,500.
Very narrow chart on #Bitcoinas we can see here.
Break and flip at $19.3K is likely to trigger a new trend already.
Turning $19.5K preferably would indicate strength towards $20K and potentially even $22.5K. pic.twitter.com/eDdjpnrD4E
— Michaël van de Poppe (@CryptoMichNL) 26 September 2022
Bitcoin’s user base is at its “basic level,” according to a recent blog post from Glassnode. The analyst firm on the chain said that a “constructive observation would be the expulsion of retail participants from the network leaving only the HODLers class, career traders and everyday Bitcoin users.”
Bitcoin unit-adjusted unused realized price distribution — courtesy of Glassnode
Glassnode observed that the majority of the current market exit is due to the short-term holding class, which is in an equilibrium period.
Bitcoin: Total Supply in Profits Held by Short-Term Owners (BTC) — Courtesy Glassnode
“With such a large concentration of supply in the current consolidation area, there remains a risk of a breakout should prices lose the June lows of $17.5,000.”
Meanwhile, Terra Classic (LUNC) trading volumes have seen a massive increase after Binance said it would implement a burning mechanism on trading fees, Santiment, a market intelligence platform, noted. LUNC was the highest intraday gainer on Monday evening.
#TerraClassic finally got some positive news when #Binance announced that it would implement a burn mechanism on trading fees. Something is better than nothing for $LUNC traders these days and we expect volatility to continue throughout the week. pic.twitter.com/vHobvAuHRq
— Santiment (@santimentfeed) 26 September 2022
A statement from Binance indicated that it would burn coins equivalent to a trading fee when a trader buys or sells LUNC, but it should be noted that the trading fee for large traders on Binance ranges between 0.1% and 0.02% – significantly lower than LUNC’s 1, 2% transaction burn rate.
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