Market Wrap: Bitcoin Drops to Near $56K as Spot Trading Volume Remains Low
- Bitcoin (BTC) trading around $56,140.49 as of 20:00 UTC (4 p.m. ET). Slipping 3.72% over the previous 24 hours.
- Bitcoin’s 24-hour range: $55,541.91-$58,645.77 (CoinDesk 20)
- BTC trades below its 10-hour and 50-hour averages on the hourly chart, a bearish signal for market technicians.
Bitcoin slid for a second day as the No. 1 cryptocurrency saw flat trading volume, typical of a rangebound market.
Bitcoin’s spot trading volume on eight U.S.-focused crypto exchanges tracked by CoinDesk was largely unchanged on Wednesday. The trading volume has been around or below $3 billion for seven days now.
The oldest cryptocurrency is looking at a price support level around $54,000, as CoinDesk reported earlier, with resistance around $60,000.
On the buyers’ side, bitcoin’s “kimchi premium,” the difference between prices on South Korean exchanges and other global avenues, dropped significantly on Wednesday, an indication of weakened bitcoin demand from traders and investors in the East Asian country.
Bitcoin fell by over 6% against the Korean won (KRW) after South Korean exchange Upbit suspended KRW withdrawals and deposits before markets opened in the U.S. on Wednesday morning.
Some analysts remain positive on the long-term price trend. Katie Stockton, a technical analyst at Fairlead Strategies, told CoinDesk that the intraday declines of between 3% and 6% are less impactful on the price charts. Instead, the losses suggest ongoing support from trend and momentum indicators.
Ether and altcoins
- Ether (ETH) trading around $1,981.56 as of 20:00 UTC (4 p.m. ET). Slipping 6.29% over the previous 24 hours.
- Ether’s 24-hour range: $1,933.91-$2,129.39 (CoinDesk 20)
- Ether trades below its 10-hour and 50-hour averages on the hourly chart, a bearish signal for market technicians.
After having logged three days of gains, ether saw a price pullback Wednesday, slipping below $2,000 for the first time since April 3.
Other alternative cryptocurrencies (“altcoins”) also suffered losses, according to CoinDesk 20.
Analysts at the cryptocurrency data firm Messari have highlighted the so-called “Coinbase effect” where new digital tokens such as cardano tend to receive a quick price pump after they become available on the U.S. crypto exchange giant Coinbase.
The average return after tokens being listed on Coinbase stands at around 91%, according to Messari. It is much higher than the exchange pump effect on other major exchanges such as Binance, FTX, OKEx and Gemini.
Other digital assets on the CoinDesk 20 are mostly in the red Wednesday. Notable winners as of 20:00 UTC (4:00 p.m. ET):
- omg network (OMG) + 7.04%
- ethereum classic (ETC) + 5.16%
Notable losers:
Other markets
Equities:
- Asia’s Nikkei 225 closed up 0.12%.
- The FTSE 100 in Europe was higher by 0.91%.
- The S&P 500 in the United States closed in the green 0.15%.
Commodities:
- Crude oil (WTI): +0.44% to $59.59/barrel.
- Gold: -0.39% to $1,738.38/ounce.
Treasurys:
- The 10-year U.S. Treasury bond yield climbed Wednesday, in the green 1.666%.
Recommended News
-
Duke University’s Early Coinbase Investment Could Now Be Worth $500M: Sources
The endowment fund of Duke University, the alma mater of Coinbase co-founder Fred Ehrsam, was one of the fortunate few to have made an early investment in the soon-to-list cryptocurrency exchange, CoinDesk has learned. Two people familiar with the matter said the $3.9 billion Duke Endowment was included early on in the cap table of Coinbase, which is expected to command a price tag of around $100 billion when its shares debut on Nasdaq. Those shares are now worth a small fortune, on the order of nine figures, the sources…
-
IPFS Mining Tides, MEM Middle East Mining will build one of the world’s largest information storage service industrial parks
According to the Middle East News Agency, nine consortia including Saudi Sidra Capital, Olayan, Abu Dhabi’s sovereign wealth fund and UAE real estate company Al Ain Properties have jointly created a MEM-IPFS storage service industrial park, which can be called one of the world’s largest information storage service industrial parks. It is understood that MEM Middle East Mining was jointly built by nine consortia including Saudi Sidra Capital, Olayaan, Abu Dhabi sovereign wealth fund, and UAE real estate company Al Ain Properties, with a total investment of US$800 million…
-
B2W Create a safe, transparent and standardized trading environment
B2W has the world’s leading financial technology research and development, blockchain research and development, artificial intelligence systems, big data platforms, the world’s top financial data docking center, currency market transactions, professional asset management, and core ICO community technologies and services. In the field of professional encrypted assets, it provides a series of services for global investment institutions and investors, combines the global currency revolution with financial cutting-edge technology, and provides members of the world with prosperous, healthy and sustainable wealth. Six advantages Avoid human weakness Make decisions objectively…
-
NFT’s with True Ownership and Asset Backed Utility
Viviverse X ME Holdings join in an exclusive partnership to develop the worlds first real estate NFT collection in the metaverse. Each NFT gives the owner true ownership of an actual property that is developed by ME Holdings and rewards them with asset backed yields in terms of rental and capital gains generated. In addition owners simultaneously earn staking and utility rewards in Viviverse. The first batch will be minted on Aug 31st and made available throughout the Summer of 22. List pricing and whitelisting procedures will be made known on…
-
Jaringan utama koin SYW telah diluncurkan dan merealisasikan sirkulasi global
Recently, something great happened within blockchain network. SYW coin completed the deployment on the ETH public chain and successfully launched the mainnet. This means that SYW has successfully realized global circulation and can be transferred in any blockchain networks. From now on, global investors can freely purchase or sell SYW coins. As a blockchain 2.0 application network, ETH’s related ecology has attracted the attention of many blockchain users and cryptocurrency owners. Ethereum holds the vast majority ofr DeFi protocols and stable coins. Due to its characteristics of having stable…
-
The most anticipated chain game at the end of 2021–islandswap
If 2020 is the first year of DeFi’s explosion, then 2021 is undoubtedly the first year of GameFi’s explosion. Axie has become a phenomenon product whose monthly income has surpassed that of Honor of Kings, depicting a broad prospect of chain games for the public. The fitting concept “metaverse”, as well as the upgrading of policy and supervision, have pushed the chain games to a new climax. The shift from the traditional “Free to Play” to “Play to Earn” (P2E) mode has allowed many chain players to take advantage of GameFi. If you…
-
US Inflation Rate Accelerates in February, Could Go Higher as Economy Reheats
The U.S. Consumer Price Index (CPI) rose 0.4% in February, leaving it up 1.7% over the last 12 months, in line with economists’ expectations, a Labor Department report Wednesday showed. The 12-month rate represents an acceleration from January’s 1.4% clip, a pickup partly driven by higher gasoline prices, which rose 6.9% in February, accounting for over half of the seasonally adjusted increase in the all-items index, according to the Labor Department’s Bureau of Labor Statistics. Core CPI, which excludes food and energy prices, rose 0.1% in February, the report showed. That level was…
-
Staking as an Asset Class? This Swiss Institutional Fund Is Jumping In
While institutional investors around the world are just getting their heads around bitcoin (BTC, +5.09%), asset managers in crypto-friendly Switzerland are heading into staking on next-generation blockchain networks. Announced Friday, Zurich-based investment firm Tavis Digital has partnered with Singapore-based Persistence, a bridge for traditional firms into undiscovered realms such as token staking and decentralized finance (DeFi). Tavis Digital is a spin-off of Tavis Capital, an asset manager regulated by the Swiss Financial Market Supervisory Authority (FINMA) with about $1.07 billion in assets under management. Nimble and financially sophisticated countries like Switzerland and…
-
US Government Sues Decentralized Content Platform LBRY Over $11M in Token Sales
The U.S. Securities and Exchange Commission (SEC) is pursuing yet another case of a blockchain company allegedly selling unregistered securities. According to court documents filed Monday, peer-to-peer content distribution network LBRY is being accused of selling “millions of dollars worth of unregistered securities to investors” beginning in 2016. The securities regulator is seeking a permanent injunction against LBRY from selling further tokens in addition to a disgorgement of “ill-gotten gains” plus prejudgement interest. The SEC says the securities were sold in the form of LBRY Credits (LBC), which were communicated to investors as…
-
If Bitcoin Starts Closing Below the 50-Day SMA It May Mean Deeper Pullback Ahead
Bitcoin fell sharply on Sunday, dipping well below the 50-day simple moving average (SMA) support for the first time in six months. While the decline looks typical of a bull market correction, it could be extended further if prices find acceptance under the 50-day SMA, according to one analyst. “The loss of [bullish] momentum is only short-term in nature, but we would view consecutive closes below the 50-day SMA as a reason to move to the sidelines,” Katie Stockton, technical analyst and managing partner of Fairlead Strategies, told CoinDesk in…