Bitcoin failed to gain traction – needs confirmation

Bitcoin failed to gain traction – needs confirmation

Market picture

Bitcoin rose 0.9% over the past week, finishing near $19.5K. The markets' reversal to growth on Friday afternoon and the pummelling on Sunday significantly contributed to this growth. However, the effect of the latter has been almost completely wiped out.

The 50-day moving average continues to effectively play its role as a resistance, triggering a new selling wave when it tries to go higher early on Monday. The price rally on Sunday formally took the quote outside the triangle, but we still need a confirmation of the upside exit. Such a confirmation signal should be a consolidation above the previous highs at $19.6K, which has so far failed.

Ethereum added 1.5% to $1330. Other leading altcoins from the top 10 showed mixed dynamics: from a 5.1% decline (Solana) to a 1.2% increase (Dogecoin).

Total crypto market capitalisation, according to CoinMarketCap, rose 0.9% over the week to $933bn. The Cryptocurrency Fear and Greed Index fell 1 point over the week to 23 and remains in 'extreme fear'.

News background

Weak trader activity suggests that cryptocurrencies are at the bottom, Bianco Research believes. Stagnation can be seen as a positive, and we are unlikely to see a more profound plunge.

In Brazil, 24,000 ATMs in the Banco24Horas network will add support for Tether (USDT) stablecoin. The stablecoin operator has partnered with SmartPay to do so.

Analyst service DappRadar published a report showing that NFT trading volume in metaverses fell 80% y/y in the third quarter of this year.

Lastly, Bitcoin Group announced plans to acquire one of Germany's oldest banks, Bankhaus von der Heydt.

By the FxPro Analyst Team