Tether (USDT) Sharks & Whales Rapidly Accumulate, Why This Is Bullish For Bitcoin

On-chain data shows that Tether (USDT) sharks and whales have been rapidly growing their holdings since Bitcoin’s volatility started. Tether Sharks & Whales Grow Holdings As USDT Exchange Supply Plunges According to data from the on-chain analytics firm Santiment, these large Tether holders are now carrying a total of $16 billion worth of the stablecoin. The relevant indicator here is the “USDT Supply Distribution,” which tells us how the Tether supply is distributed among the various holder groups in the market currently. Investors or addresses are divided into these holder groups based on the total number of coins that they are holding right now. In the context of the current discussion, the key “shark” and “whale” cohorts are of interest, the combined coin range of which can be defined as $100,000-$10 million. Naturally, this holder group would include all addresses on the blockchain that are carrying at least $100,000 and at most $10 million worth of USDT in their balances. Now, here is a chart that shows the trend in the Tether Supply Distribution specifically for the sharks and whales over the last six months: The value of the metric seems to have sharply gone up in recent days | Source: Santiment on Twitter As displayed in the above graph, the Tether addresses holding between $100,000-$10 million have seen their combined supply shoot up recently. Interestingly, this rise has coincided with Bitcoin observing some high volatility due to Binance being sued by the SEC over alleged fraud. Generally, investors use stablecoins like USDT whenever they want to exit volatile coins like BTC. Thus, investors exchanging their assets for stables can be a sign of selling. It’s possible that the latest rise in the supply of sharks and whales has come because of these humongous holders ditching cryptocurrencies like Bitcoin in these uncertain times. Related Reading: Bitcoin Bearish Signal: Dormant 1,433 BTC Moves After 10+ Years However, usually, whenever holders opt for stablecoins instead of exiting through fiat or other means, it means that they are possibly looking to eventually return back into the volatile markets. When such investors finally feel that the prices are right to step back into the other coins, they shift their USDT into their desired asset, thus providing buying pressure on its price. Because of this reason, the stablecoin supply may be looked at as the available buying power for assets like Bitcoin. As the sharks and whales have loaded up on Tether and have taken their supply to a new all-time high of $16 billion, the potential dry powder for BTC has also gone up. It’s unknown when these humongous holders may finally shift back into the cryptocurrency, but when they do, it’s probable that its price would feel a bullish boost. Related Reading: Bitcoin Bollinger Bands Herald Higher Volatility, What’s Next For BTC? The data for the exchange supply (that is, the amount sitting in exchange wallets) of Tether is also shown as rising in the chart. It looks like this metric has gone up while the sharks and whales have been buying, implying that the coins exiting from these platforms are being picked up by these cohorts. BTC Price At the time of writing, Bitcoin is trading around $26,600, down 2% in the last week. Looks like the value of the asset has been moving sideways recently | Source: BTCUSD on TradingView Featured image from iStock.com, charts from TradingView.com, Santiment.net

ApeCoin Holders Suffer Financial Pain As 95% Endure Negative Returns

ApeCoin (APE), created by Yuga Labs, once soared to great heights, capturing the attention of investors and enthusiasts alike. However, recent developments have cast a dark cloud over the once-promising digital asset. With an astonishing 95% of ApeCoin holders finding themselves deep in the red, the future of this innovative cryptocurrency hangs in the balance. Negative sentiment surrounding ApeCoin has become a prominent concern for its community. Once buoyed by optimism and excitement, investors now face frustration as their holdings plummet in value.  This loss of confidence not only undermines ApeCoin’s credibility but also raises questions about its long-term sustainability. Related Reading: Pepecoin 15% Drop Sparks Speculation: Will Further Pain Follow? Diminishing Network Growth, Trading Velocity Compound APE’s Challenges Founder of NotLarvaLabs, Pauly, has revealed a troubling statistic: an alarming 95% of ApeCoin holders are currently grappling with financial losses, painting a bleak picture for the once-promising cryptocurrency.  Looks like @apecoin is already right around it’s all time low price. Over 95% of the holders are already at a loss. And the @yugalabs team, insiders and “launch contributors” are paying themselves 10s of millions of dollars a month in $ape. See here:https://t.co/toavf11b8v — PAULY (@Pauly0x) June 7, 2023 ApeCoin’s price decline can be primarily attributed to the diminishing growth of its network, which has witnessed a noticeable decrease in interest from new addresses over the past three months. This decline in interest reflects a diminishing enthusiasm for APE among potential investors. In addition to the decline in network growth, ApeCoin’s trading velocity, which measures the frequency of transactions, has also experienced a significant drop during this period. This decline in trading activity further exacerbates the challenges faced by ApeCoin, indicating a lack of liquidity and reduced participation in the market.   Source: Coingecko As per the latest information from CoinGecko, ApeCoin is currently priced at $2.90, with a marginal 24-hour rally of 0.2%. However, the cryptocurrency has undergone a notable decline of 6.6% over the past seven days, underscoring the volatility and uncertainty surrounding its value. Whale Interest Persists Amidst ApeCoin’s Struggles Interestingly, despite the aforementioned challenges, there remains a glimmer of interest in ApeCoin from influential investors known as whales. These large addresses continue to demonstrate their engagement with APE, as evidenced by the increasing percentage of ApeCoin held by them.  This suggests that some prominent investors still perceive potential in the cryptocurrency, although the impact of their involvement on ApeCoin’s overall trajectory remains uncertain. Bitcoin halfway from the $27K territory. BTCUSD chart: TradingView.com MVRV Ratio Declines As APE’s Price Drops The falling price of APE has had a direct impact on its MVRV (Market Value to Realized Value) ratio, indicating that a considerable number of APE holders lack significant incentives to sell their holdings at the current juncture. Related Reading: Polkadot Metrics Surge With Project Launches – Good News For DOT Price? This decline in the MVRV ratio raises concerns about the selling pressure on APE and suggests that many investors are reluctant to part ways with their APE tokens while the price remains low. Meanwhile, the sell-offs by short-term holders could create additional downward pressure on APE’s price and further exacerbate the challenges faced by the cryptocurrency. (This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk) Featured image from iStock

Here’s Why Ethereum Could Be At Risk Of Falling To $1,000 Again

Ethereum is currently following the market trend of Bitcoin and continues to maintain above the $1,800 level. This price level is still bullish for the digital asset which is now only around 60% down from its all-time high. However, there is a threat to the stability that the digital asset has enjoyed so far which could send its price spiraling back down toward the $1,000 level. What Could Send Ethereum Back To $1,000? This week, the United States Securities and Exchange Commission (SEC) brought lawsuits against top exchanges Binance and Coinbase, with more regulatory action expected to come toward crypto firms as time goes on. But one of the most important parts of the lawsuit was the SEC naming some cryptocurrencies as securities. Related Reading: Cardano (ADA) Declines As Market Recovers Amid Security Charges The list which the regulator hinted was not exhaustive included the likes of Cardano (ADA) and Solana (SOL), among others. Interestingly, the SEC did not name Ethereum as a security despite the digital asset’s status being a hot topic of debate over the last year. What’s important about the cryptocurrencies that the regulator named is the fact that they are proof of stake (POS) networks, a mechanism which Ethereum transitioned to back in 2022. This has sparked speculation that while ETH was not listed as a security, it could very well be on the regulator’s radar to do so in the future. If Ethereum does get listed as a security, the cryptocurrency could become a target for the SEC, which is already in a drawn-out battle with Ripple for the same allegations. When Ripple was sued back in 2020, the asset suffered a massive crash of up to 60% of its value. A repeat of such an event for Ethereum could easily see the digital asset fall to $1,000, and even lower. ETH price resting above $1,800 | Source: ETHUSD on TradingView.com However, the SEC has not made any indications of going after Ethereum. Right now, it seems to have its hands full with Ripple, Binance, and Coinbase, all of which have been vocal about fighting the regulator in court as they object to the charges brought against them. ETH Price Still Holding Firmly Even amid speculations that Ethereum would end up being classified as a security, the token is still maintaining a bullish outlook in the mid to long-term. It is trading above its 100-day moving average of $1,758, which shows investors’ willingness to purchase the asset at prices higher than they did three months ago. Related Reading: Not Immune To FUD? Binance Sees $1.5 Billion In Outflows In 24 Hours As long as the bulls continue to maintain momentum, it is possible that ETH could continue to maintain above $1,800 before the next crypto market run-up begins. When this happens, Ethereum could easily clear the $2,000 level. At the time of writing, ETH is changing hands at a price of $1,839, down 0.35% in the last 24 hours with 1.22% losses on the weekly chart. Follow Best Owie on Twitter for market insights, updates, and the occasional funny tweet… Featured image from iStock, chart from TradingView.com

Pepecoin 15% Drop Sparks Speculation: Will Further Pain Follow?

Pepecoin (PEPE) is now facing a daunting challenge as it experiences a substantial decline from its recent major surge.  Despite an impressive rally of over 50,000% between April 15 and May 5, PEPE has seen its value plummet by more than 60%, with a significant 15% drop occurring in the past week alone.  The sudden decline in Pepecoin’s value has triggered a wave of uncertainty among market participants. Many are now questioning whether this dip is just a temporary setback or a sign of deeper underlying issues. Related Reading: FUD Storm: Top 5 Market Losers In Heightened Uncertainty Pepecoin Price Movement Creates Bearish Sentiment Pepecoin (PEPE) witnessed a breakout in its price yesterday, but the momentum was short-lived as it quickly plummeted by over 30%, establishing a new low. This sharp decline has given rise to a large descending triangle pattern, signaling a potentially bearish outlook for the cryptocurrency. $PEPE PRICE BROKE OUT YESTERDAY BUT DID NOT HOLD. WAITING TO SEE A SUCCESSFUL RETEST TO CONFIRM REVERSAL.#PEPEARMY pic.twitter.com/cdsrLBcTOO — 0x1ee7 (@0x1ee7) June 7, 2023 Currently, PEPE faces a support level at $0.0000010, while resistance is encountered at $0.0000013. As the price approaches the apex of this formation, a crucial point where the triangle converges, PEPE could be poised for a significant movement in the coming days. Total market cap of cryptocurrencies currently at $1.07 trillion on the daily chart at TradingView.com PEPE is currently trading at a price of $0.00000112 via CoinGecko, showing a modest 24-hour rally of 2.7%. However, over the past seven days, the coin has experienced a decline of 12.3%. Source: Coingecko Investors and traders closely monitoring PEPE are advised to exercise caution as the price nears a critical juncture. The impending move from the apex of the descending triangle formation could potentially determine the direction in which the coin will head next. Mixed Signals In Trading Volume Pepecoin presents a mixed picture when considering its trading volume and market capitalization. While the price decline raises concerns, other metrics suggest a more optimistic scenario for the meme-based cryptocurrency. According to CoinMarketCap, PEPE has experienced an increase in trading volume, rising by 27% over the past 24 hours to reach $241 million. This surge in trading activity indicates that there is still considerable interest and engagement from market participants, potentially hinting at underlying support for the coin. Related Reading: Polkadot Metrics Surge With Project Launches – Good News For DOT Price? In addition, PEPE’s market capitalization has shown a slightly bullish trend, with a notable jump of 20.23% to reach $492 million.  However, it is important to note that trading volume and market capitalization do not necessarily guarantee a sustained recovery or an upward price movement for PEPE.  These metrics can be influenced by various factors, including short-term trading activity and speculative interest. Therefore, while they provide some positive indications, they should be interpreted cautiously in the context of PEPE’s bearish bias. (This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk) Featured image from mvaligursky/DepositPhotos

Next Crypto To Explode? Mechanism Capital Co-Founder Reveals Altcoin Gem

Andrew Kang, a renowned crypto entrepreneur and investor, has revealed via Twitter his choice for the next cryptocurrency that may soon explode in price. Kang is the co-founder of Mechanism Capital, which invests in cryptocurrencies through prop trading, mining, ventures, and secondary markets. In the crypto community, Kang has made a name for himself with his winning trades. On Twitter, Kang now shared his latest crypto find: Radiant Capital (RDNT). The altcoin has a market cap of just $77.3 million, currently ranking #287 among all cryptocurrencies. According to Kang, Radiant Capital has the potential to become the “new king of the money markets,” toppling market leaders Aave and Compound from their thrones with a TVL of $5 trillion and $2 trillion, respectively. According to the investor, Radiant Capital can succeed because it is innovating while the others are treading water. Next Crypto To Explode A La SUSHI? However, with a current TVL of $260 million via Arbitrum and the Binance Smart Chain (BSC), Radiant has a long way to go. The case for Radiant is strong, however, according to Kang: the platform is the first functional cross-chain market maker (borrowing on the X-chain, lending on the Y-chain). Related Reading: UK Financial Conduct Authority Clamps Down on Crypto Marketing Also boosting RDNT’s price could be its upcoming launch on Ethereum and zkSync. Another advantage Radiant Capital has over its competitors, according to Kang, is the potential yield. While Aave & Compound only yield 1-2% on stablecoins, less than treasuries, Radiant can offer much more lucrative rates. “With >$100B stablecoin mkt cap & $10B+ stables once in MMs now idle, this untapped liquidity is a huge opportunity: as 10-40% stablecoin yields from an audited, year-old protocol become known, expect TVL growth,” speculates Kang. The second biggest opportunity according to him are Ethereum and Liquid Staking Derivatives (LSDs) when the mainnet dApp launches. Once that happens, Kang expects Radiant to capture a piece of Compound & Aave’s $4 trillion pie through sustained, incentivized yield. Another argument: with the rise of Layer Zero and zksync, Radiant could be well on its way to becoming a major beneficiary as people use the platform to farm potential airdrops. Related Reading: Coinbase CEO Takes On SEC, Igniting Crypto Community’s Passion for Clarity Also worth noting, according to Kang, is that Radiant has already surpassed Aave, Compound, and even Solana in 90 day revenue. Looking at the 90 day trend, Radiant is the fastest growing protocol in this field. However, the biggest trigger for an explosive rise in the price of the RDNT token could be a vampire attack on the outdated liquidity of existing money markets, a la Sushiswap. Kang writes in his latest tweet today: Sushiswap’s vampire attack on Uniswap was a core factor in it achieving a billion+ TVL and multi billion valuation. Have we seen a successful one since then? What about a vampire attack on money markets? If billions of stables and LSDs are barely earning 1-2% in Aave and Compound, how much would move for 10% yield? 20%? 30%? Kang Buys $1.11 Million In RDNT As Arkham Intel reports, Kang has followed up his words (after the first tweet on Wednesday) with action. Andrew Kang’s on-chain address has begun acquiring RDNT tokens. Initially, the trader bought 3.922 million RDNT for $1.11M. With Andrew Kang @Rewkang‘s thread about Radiant Capital yesterday, his on-chain address has begun acquiring $RDNT tokens. Over the past 24 hours, his address 0xe8c has bought 3.922M $RDNT for $1.11M. This has since increased in value to $1.19M – a gain of ~$80K in under 24h! https://t.co/sZyFJUWchV pic.twitter.com/2HFfLcjsLL — Arkham (@ArkhamIntel) June 8, 2023 However, Kang’s recommendation has not been met with unanimous enthusiasm throughout the crypto community. Some voices think that Kang’s theses are too far-fetched and not strong enough. On the other hand, it should be noted that the “Binance effect” of a listing already happened at the end of March this year. At press time, Radiant Capital (RDNT) traded at $0.2926. Featured image from iStock, chart from TradingView.com

Bitcoin Price Defies Gravity But Here Is Why It Could Decline Again

Bitcoin price is consolidating above the $26,000 support. BTC could start another decline if it stays below $27,400 for a long time. Bitcoin is struggling to gain pace for a move above the $27,400 resistance. The price is trading near $26,500 and the 100 hourly Simple moving average. There was a break above a declining channel with resistance near $26,420 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could decline again if there is a move below the $26,000 support zone. Bitcoin Price Faces Resistance Bitcoin price remained stable above the $26,000 level. BTC traded as low as $26,139 and recently started an upside correction. It was able to climb above the $26,250 level. There was a move above the 23.6% Fib retracement level of the downward move from the $27,387 swing high to the $26,139 low. Besides, there was a break above a declining channel with resistance near $26,420 on the hourly chart of the BTC/USD pair. Bitcoin price is now trading near $26,500 and the 100 hourly Simple moving average. It seems to be facing resistance near the $26,750 level. It is close to the 50% Fib retracement level of the downward move from the $27,387 swing high to the $26,139 low. A clear move above the $26,750 resistance might start a decent increase. The next major resistance is near the $27,000 level. A close above $27,000 might send the price further higher. Source: BTCUSD on TradingView.com The next key resistance is near the $27,400 level. A clear move above the $27,400 resistance might call for a move toward the $27,500 resistance. Any more gains above the $27,500 resistance zone might send the price toward the $28,500 resistance zone. Fresh Decline in BTC? If Bitcoin’s price fails to clear the $27,000 resistance, it could continue to move down. another decline. Immediate support on the downside is near the $26,140 level. The next major support is near the $25,850 level, below which the price might accelerate lower. In the stated case, the price could drop toward the $25,400 support in the near term. Technical indicators: Hourly MACD – The MACD is now gaining pace in the bearish zone. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is near the 50 level. Major Support Levels – $26,140, followed by $25,840. Major Resistance Levels – $26,750, $27,000, and $27,400.

Coinbase CEO Faces Allegations Of Insider Trading In $1.7 Million Stock Sale

The recent allegations of insider trading against Coinbase CEO Brian Armstrong have raised concerns among investors and industry experts. Armstrong sold nearly 30,000 shares of his company worth over $1.7 million just two days before the Securities and Exchange Commission (SEC) initiated enforcement action against Coinbase. Related Reading: Stablecoin Market Cap Decreases, But Whales Remain Unfazed: Santiment Coinbase Investors Question CEO’s Stock Sale Prior SEC Complaint Coinbase CEO Brian Armstrong has come under scrutiny after selling a massive 29,730 shares of his company’s Class A Common Stock on June 5, 2023, according to a Form 4 filed with the Securities and Exchange Commission. Armstrong made the sale in eight separate transactions, all on the same date, at an average price of $60.3 per share. This netted him over $1.7 million in total. There is speculation that Armstrong’s stock sale was a pre-planned transaction, made before Coinbase’s stock plummeted from $63 per share to $44, a considerable decline of 30%. This has raised concerns among investors about the possibility of insider trading or a planned stock sale by the company’s executives. However, executives at publicly traded companies like Coinbase since 2021, are often required to follow strict rules about when and how they can trade their company’s stocks.  They are typically required to set up a trading plan, which allows them to schedule sales of their stocks well in advance, at times when they do not possess insider information. The plan’s details, including how many shares to sell and when must be pre-determined and followed exactly. If Armstrong’s sale was made according to his plan, the timing of the sale just a day before the SEC lawsuit was made public would be a coincidence. However, some investors are still concerned about the optics of the sale and the possibility of insider trading. Nevertheless, companies are typically bound by disclosure rules that require them to inform the public of significant events as soon as possible. The announcement of the SEC lawsuit likely followed these rules, and it’s possible that the news coincided with Armstrong’s pre-scheduled stock sale. Ripple’s SEC Case Could Have Far-Reaching Implications For The Exchanges The ongoing SEC v. Ripple case has significant implications for the cryptocurrency industry, particularly for companies like Coinbase and Binance. According to crypto-friendly lawyer James Murphy, a ruling in favor of Ripple by Judge Torres could undermine the SEC’s case against Coinbase and Binance. Murphy believes that if Judge Torres rules that XRP tokens traded on secondary markets are not securities, it would weaken the SEC’s argument that Coinbase is operating an unregistered securities exchange, broker-dealer, and clearing broker. The SEC claims that 13 tokens traded on Coinbase are securities, but if those tokens are ruled not to be securities, the SEC’s case would fall apart. While a ruling by Judge Torres would not be binding precedent in other cases, Judge Rearden, who is presiding over the Coinbase case, is a new judge and works in the same court in lower Manhattan with Judge Torres.  Murphy believes that Judge Rearden will pay close attention to Judge Torres’ legal reasoning in ruling whether $XRP is a security, and could follow that reasoning when analyzing whether the 13 tokens cited in the Coinbase complaint are securities. Related Reading: Bitcoin Bearish Signal: Dormant 1,433 BTC Moves After 10+ Years However, if Judge Torres rules that $XRP tokens are securities, the SEC could use that decision to argue that the judges presiding over the Coinbase and Binance cases should follow Judge Torres’ reasoning. Featured image from Unsplash, chart from TradingView.com 

Crypto.com’s CRO Firm Despite SEC Lawsuit Fears, Time To Watch The Token?

CRO, the native token of the Cronos blockchain, an open-source, interoperable, and Cosmos-based platform, a centralized crypto asset exchange, is steady despite some community members fearing that the United States Securities and Exchange Commission (SEC), the primary securities regulator in that country, could soon target Crypto.com, the crypto exchange and developer of the blockchain. CRO Stabilizes Despite Fears The SEC Might Sue Crypto.com As of writing on June 8, CRO is trading at $0.05889, stable in the last 24 hours against the USD, Bitcoin, and Ethereum.  All the same, with the CRO average daily trading volumes at $9,098,498, it is down over 25% in the last trading day.  The double-digit contraction in the previous 24 hours comes less than 72 hours after the SEC sued Binance, a dominant cryptocurrency exchange, alleging that it has been facilitating the trading of unregistered securities and illegally allowing Americans to access the platform. The SEC has filed 13 charges against the Changpeng Zhao-led exchange.  Related Reading: Bitcoin Bearish Signal: Dormant 1,433 BTC Moves After 10+ Years The regulator also sued Coinbase in federal court in New York, claiming that, like Binance, the crypto exchange had listed and profited from the trading of unregistered securities. Tokens the SEC claim are securities include ADA, the native currency of Cardano; MANA, the token behind Decentraland; SAND, the ERC-20 token priming The SandBox; ALGO, the native currency of the Algorand proof-of-stake blockchain, and MATIC by Polygon.  Stablecoin, BUSD; NEAR by the NEAR Protocol; CHZ by Chiliz, are some of the tokens mentioned and which the SEC alleges are unregistered securities.  Even so, there was no express mention of CRO in any of the two lawsuits filed by the regulator against the two largest cryptocurrency exchanges.  At the same time, it should be noted that Crypto.com also allows the trading of most tokens that the SEC alleges are unregistered securities. What’s Common in All Tokens The SEC Alleges Are Securities? Within the Cronos blockchain, CRO is used to pay gas fees. Also, because the platform uses a proof-of-stake consensus algorithm, users can stake CRO and receive rewards. Moreover, users can access the decentralized finance (DeFi) ecosystem in Cronos by holding CRO.  In 2018, Crypto.com completed its initial coin offering (ICO), raising over $26 million, which also saw the launch of the CRO token.  Observers have noted that of all the tokens the SEC claims are securities, they all conducted successful crowdfundings.  Additionally, the projects accused of issuing securities also pledged to their respective communities that they would continue improving the underlying protocol via ongoing development.  Related Reading: Stablecoin Market Cap Decreases, But Whales Remain Unfazed: Santiment With this, some of their funds were used to cater for marketing.  Furthermore, each of these teams used social media channels and forums like Twitter, Discord, and others to highlight the advantages of their respective protocols. The determination of whether a token qualifies as a utility, such as Bitcoin, or an unregistered security rests with the judge. Until a ruling is made, exchanges may take precautionary measures, including delisting the asset, to ensure compliance with applicable regulations. Feature Image From Canva, Chart from TradingView

MATIC Price Shows Bullish Formation – What’s Next?

MATIC has experienced a downward trend over the past few months, but there is a possibility of a reversal. In the last 24 hours, the altcoin attempted a slight 0.2% increase, but the weekly chart showed a 13% depreciation, indicating a strong bearish dominance from a technical standpoint. Both demand and accumulation indicators were negative, despite some buying strength attempting to recover. As Bitcoin surged above the $26,000 mark, many altcoins, including MATIC, are also attempting to move upward on their respective charts. Related Reading: “XRP Very Important,” Top Analyst Predicts Which Tokens Could Profit From The SEC War However, for the altcoin to reverse its price action, it is crucial for Bitcoin to maintain a price above $26,000. Additionally, buying strength needs to enter the market during the immediate trading sessions. MATIC faces an important overhead resistance level that it must surpass in order to experience a significant rally. The decline in MATIC’s market capitalization indicates a low buying strength on the chart. MATIC Price Analysis: One-Day Chart At the time of writing, MATIC was trading at $0.77, which is close to its multi-month low of $0.75, recorded 6 months ago. The coin is facing overhead resistance at $0.80, and if it manages to break past that level, it might attempt to reach $0.93. Notably, the coin has formed a descending wedge pattern, which is typically associated with a bullish price reversal. In the event of an upside breakout, MATIC could potentially rally as high as $1.50. However, there is a possibility that the altcoin may find support at the $0.76 level. Failing to remain above this level could result in MATIC trading below the $0.74 price mark. It is worth noting that the amount of MATIC traded in the last session was low, indicating a higher selling strength on the chart. Technical Analysis Following the rejection at the $0.84 resistance level, buyers have lost confidence in MATIC. The Relative Strength Index (RSI) currently sits below the half-line and below the 30-mark, indicating that the coin is oversold at the moment. Additionally, the price of the coin has fallen below the 20-Simple Moving Average line. This suggested low demand and sellers driving the price momentum. However, if MATIC makes an attempt to rise above the $0.84 mark, it could attract renewed demand and bring back the bulls. This would increase the likelihood of a further rally in the price of the asset. Based on the technical indicators, the coin formed sell signals at the current time. The Moving Average Convergence Divergence (MACD) indicator, which measures price momentum and reversals, displayed red histograms associated with sell signals on the chart. This suggests a potential downward movement in price. Related Reading: Shiba Inu Hits Crucial Barrier – How This May Impact Investor Sentiment The Bollinger Bands, which assess price volatility and potential fluctuations, have diverged. This indicates that there might be increased volatility in the price of MATIC over the upcoming trading sessions, potentially leading to a price reversal. Featured Image From UnSplash, Charts From TradingView.com

Bitcoin Forms Bullish Butterfly Pattern, Targets $32,000

Bitcoin (BTC), the largest cryptocurrency in the market, is currently trading sideways after showing signs of recovery in the wake of the Securities and Exchange Commission (SEC) lawsuits against Binance and Coinbase.  Although BTC managed to briefly recover the $27,000 level on Tuesday, it has failed to consolidate above it and is now stuck in a narrow range between $26,300 and $26,600 over the last 24 hours. The question on everyone’s mind now is whether Bitcoin will be able to regain its bullish momentum or if it will test its 200-day Moving Average (MA) at $25,200 once again. Bitcoin Pattern Points To Further Bullish Momentum Bitcoin traders and investors have reason to be optimistic, as the cryptocurrency appears to be forming a bullish butterfly pattern. According to technical analysis expert Mags, this harmonic reversal pattern is a strong indication of further potential upward movement for Bitcoin. Related Reading: UK Financial Conduct Authority Clamps Down on Crypto Marketing The bullish butterfly pattern is a type of harmonic reversal pattern that is often used by traders to identify potential trend changes in the markets. It is characterized by a series of price movements that form the shape of a butterfly, with a distinct “M” pattern followed by a smaller “W” pattern. The pattern is considered bullish because it suggests that the price of the asset is likely to reverse its previous downward trend and begin moving upward.   In Bitcoin’s case, the bullish butterfly pattern is signaling a potential target of around $32,500. This projection is based on the historical price movements of Bitcoin, as well as the shape and structure of the butterfly pattern itself. While no pattern is foolproof, the bullish momentum of Bitcoin in recent months lends further support to this target. However, Bitcoin faces a potential challenge ahead, as it struggles to surpass its nearest resistance level at $27,500 and consolidate above it. If BTC fails to break through this price point, it may be vulnerable to retesting its 200-day Moving Average.  This key support level is crucial for BTC’s short-term bullish momentum, and failure to hold above it could lead to further price drops. In such a scenario, the $24,000 and $23,000 marks may become the next trading range for BTC. Currently, the bulls’ threshold in the short term is the 200-day MA, which will need to hold if BTC is to maintain its upward trend. Short-Term BTC Liquidations Favor The Bulls Recent data provided by ‘The King Fisher’ indicates that most Bitcoin liquidations are skewed to the upside, signaling possible upside movements in the near term for BTC. As seen in the chart above, the majority of Bitcoin positions in the past few days have been short positions, with 87% of traders betting on a price decrease, compared to only 12% who are bullish on an upward movement.  However, this situation may not favor BTC bears in the long run, as institutional investors historically take advantage of high levels of liquidations, which could lead to what is known as a “short squeeze,” to further fuel a movement in the opposite direction. This dynamic could potentially fuel the bullish momentum that Bitcoin needs to break through its nearest resistance and regain the $30,000 level that was lost in April. Related Reading: FUD Storm: Top 5 Market Losers In Heightened Uncertainty At the time of writing, Bitcoin has a trading value of $26,600, representing a modest gain of 0.8% over the past 24 hours. Bitcoin’s market capitalization currently stands at $516 billion. Featured image from iStock, chart from TradingView.com