Bitcoin
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Bitcoin rose just over 14% from June 16 to June 23, 2023. Of the seven trading sessions of the day, five ended with growth and only two with a slight decline. Moreover, on Tuesday, June 20, and Wednesday, June 21, BTC gained more than 5%, which was the main factor that defined the results of the week.
Source: tradingview.com
The main reason for bitcoin growth was the increased activity of big players. There are two reasons. The first was the creation of a new exchange, EDX Markets. The working principle is different from the usual crypto-exchanges: customer funds will be held not on the accounts of the site, but by third parties. The platform is backed by major capital: Citadel Securities, Fidelity Digital Investments, Charles Schwab and others. Given the problems that Coinbase and Binance have faced recently, the creation of EDX Markets was a breath of fresh air for crypto-enthusiasts and added positivity to the market.
The second reason was the initiatives of major investment companies to create spot bitcoin ETFs. While last week the world’s largest asset manager, BlackRock, applied to open such a fund, this week four more organizations filed with the SEC: Fidelity, Invesco, Wisdom Tree and Valkyrie. It is clear that big capital considers the moment profitable to open exchange-traded funds. It is worth noting that there are not many bitcoin funds currently traded on the exchange in the U.S.. Seven in all.. At the same time
they are not allowed to invest directly in BTC.
In terms of technical analysis, everything is quite trivial. The nearest resistance level is the 2023 high, $31 035. The support level is the June 2023 low of $24 756.
Source: tradingview.com
For those who want to limit their potential losses more severely, it would be more relevant to refer to the hourly chart. The distance between $30 000 and $24 756 is over 17%. On the hourly chart, the support level is $29,604, while the resistance level is still $31 035.
Source: tradingview.com
The rise in the value of the first cryptocurrency has had a natural effect on the Fear and Greed Index. If for several weeks in a row it was in the neutral zone, changing by a few points, then this week it immediately increased by 18 points and is 65. This suggests that investors in BTC
greed prevails.
Ethereum
Etherium in seven days showed less growth than bitcoin – just over 9.5%. The dynamics were broadly similar: the same five sessions of growth vs.. On June 21 and 22, the ether even managed to surpass $1,900, but failed to hold.
Source: tradingview.com
The reasons for the rise were similar to those of bitcoin. But the rebound that began on June 22 could be largely attributed to the negative decisions made by the U.S. and British authorities.. Fed Chairman Jerome Powell hinted that there are likely to be multiple rate hikes this year as the
The Bank of England’s key rate hike was announced later in the year.
it was announced that the Bank of England had raised its key rate to 5%.
But Etherium itself may soon get a Lightning Network counterpart. This will be possible thanks to the Volition product. Implementation of the project will significantly reduce commissions in the network. The biggest impact should be on small transfers, which are now simply unprofitable.. The commission reaches $4.23, and back on May 6, 2023, it was over $27.5. Of course, if you carry out large transactions in the tens of thousands of dollars – it is not critical. However to pay for a conditional cup of coffee or tea using Etherium will not be appropriate, because the commission will exceed the purchase price. Volition should solve this problem and make Etherium more widely available.
According to technical analysis, ETH needs to consolidate above $1,927.5 to continue its bullish trend. On June 22, the air was able to exceed this threshold, but could not gain a foothold there. The support level is $1 750.
Source: tradingview.com
Ripple
Ripple cryptocurrency growth over the past seven days has been modest relative to bitcoin and ether – only 3.4%. Up to June 22 all days the cryptocurrency was showing growth. On Thursday, the coin gained more than 6% in the moment, but then it was wiped out.
Source: tradingview.com
That said, Ripple’s relative failures on June 22-23 are in no way consistent with the fundamentals. The crypto project’s subsidiary has been licensed to handle digital assets in Singapore. And the SEC did not mention the XRP token in its lawsuits against Binance and Coinbase. Both of these facts are clearly positive for Ripple.
Thus, the decline is more likely to be technical in nature. It is important enough for Ripple to overcome the range of $0.56-$0.58, which was set at the end of March 2023 and has been unsuccessfully storming for the third month. The level of support is $0.4556.
Source: tradingview.com
In other words, the entire cryptocurrency market rose during the week due to big-cap activity in bitcoin ETFs and the creation of the new EDX Markets exchange. BTC was the main beneficiary of the past seven days, soaring more than $5,000.
This material and the information in it does not constitute personal or other investment advice. The editorial opinion does not necessarily reflect the views of the author, analytical portals and experts.