Bitcoin has put its strong foot forward, entering the weekend on a high note, and bulls are targeting $25K. At press time, BTC is trading at $23,168 on CoinGecko. This is a -2.8% drop over the last 7 days and a -43.2% drop since August 2021. BTC’s price started to trend lower following a series of bad news against leading cryptocurrency companies and the U.S. Federal Reserve (FED) decision to shift to the monetary policy.
Bitcoin price has bounced back from the $20,000 area to make two higher highs and lows. The pattern may indicate that the market is finally starting to witness an uptrend. The structure is also increasing the positive sentiment across the futures market, but the market sentiment could sour again, sending BTC under $20K.
The leading crypto by market cap continues to hold above the $23,000 price level. This is despite recent hacks that malicious threat actors loot millions of dollars from two cryptocurrency platforms. According to Marcus Sotiriou, despite the exploits, BTC continues to show strength above $23k.
An excerpt from the analyst’s print at GlobalBlock digital asset broker reads, “Despite these hacks, the illicit activity relative to fiat currencies remains low.” Sotiriou’s opined South African professor Steven Sidley supports the scenario. Steven is on record remarking that illicit transactions involving fiat currencies were 50x that experienced in the crypto market.
BTC funding rates
For the past few weeks, the funding rates have been printing positive values, leading to the dominance of positive sentiment within the futures market.
However, despite the bullish market structure and the current short-term price increase, the macroeconomic and geopolitical image remain fixed in an intense state. There is spreading anxiety about another war in the east, causing more wave-like effects.
In time, the ongoing positive funding rates may prove to be a curse, as was the case in April this year. They could set the market on a path to a long squeeze followed by a subsequent liquidation cascade and eventually another significant decline, alongside a bearish trend below the $20K mark. For this reason, it would not be wise to completely ignore the possibility of a bearish outcome, even as higher funding rates may lead to increased volatility over the near term.
Bitcoin’s prolonged rally south has paused in the last few weeks, with Bitcoin price being supported several times at the $17K-$20K range of the 2017 ATH. Bitcoin has been struggling with the 24K resistance level over the last few weeks, following a break above the 50-day moving average (M.A.) for the first time since April.
If the people’s crypto finally breaches the $24K level upside, the 100-day M.A. would be the first obstacle before the $30K supply zone. The other possible outcome is that should the price fail to break above the $24K area, and the 50-day M.A. would now serve as a support.
In the coming week, traders will likely be watching the $24K mark because the price action within this zone would determine the expected short-term market trend.
The four-hour chart
On the 4-hour timeframe, the Bitcoin price remains trapped within the bearish flag pattern, following a failed attempt to test the higher trendline for the third time. This bearish flag continues the bearish pattern, and should the price fall to break above it. Then, the market could be due for another drop towards the $17,000 level and beyond.
BTC/USD 4-hour chart
Currently, the crypto market is witnessing a struggling price action, making it unclear to identify a clear direction. The RSI indicator oscillates around the 50% zone, reiterating the uncertainty in price action. As such, the coming few days are key even as the market hopes for the next big move that could shape amidst these prices.
BTC/USD Technical Indicators chart
The BTC/USD pair now hovers around the $23,200 level posting higher lows on the trading charts. The main concern bothering the day traders is the absence of volume, potentially threatening the ongoing Bitcoin price uptick. On their side, traders now strive to identify more conviction in this rally, sitting on the sidelines alongside institutional buyers who are also currently not taking an active part.
Market sentiment could sour again.
The markets do not show any aggressive bids at the moment that may spur confidence among investors. The rebound has started to move slowly, and the BTC/USD pair is ending consolidation absent any big bang. The ascent from $18,900 is helping bullish sentiment, and the swing high at $24,000 has been a tough nut to crack. The corrective pullback is limiting the BTC/USD’s higher side potential.
Conversely, equities are trading relatively higher, riding against the Fed decision and higher earnings. A reversal from $24,500 levels is indicative that the buying pressure is not very strong, and buyers, too, are not on a certain footing.
The consolidation is heading upwards, with the BTC/USD pair gradually moving towards higher levels. The pair will initially impulse at the 50-day EMA where any decisive purchase will be more evident in the volume data.
The Bitcoin price chart reveals that the pullback is also losing momentum. The daily charts may be compelled to settle down around the $23K zone, allowing BTC to rally north healthily. The resistance zone around $23,400 is another factor keeping the Bitcoin price down. For the price action to go higher past the $25K psychological level, BTC/USD should decisively close above the $23,400 level.
The BTC/USD 4-hour chart (above) displays a scenario with mixed signals, with a bearish flag pattern near the higher trendline. There is potential that the pair may be rejected for yet another time as the continuation pattern may end with the pair going further south in price. Should the price break lower, the BTC/USD pair may swiftly approach the $21,750 level.
Technical indicators show a positive bias
The prevailing price action may be termed “choppy” with a higher bias. So far, the weekend does not show any likelihood of altering the pattern. This is because the volume decreases with no clear directional indication emerging from the ongoing trend. The RSI (above) is also in a stagnant trend near the 50% level, complicating the matter further. The uncertainty witnessed in the price movement on the MACD indicator (above) is also another piece of evidence. This can be seen in the convergence of lines.
Most of the green candlesticks on the charts are enablers of the positive price action. The 20-day exponential moving average and the 50-day exponential moving average do not permit massive price movement. This renders the bullish sentiment mute.
What happens if Bitcoin breaks below $20K?
The Fed’s increased interest rates have prepared the market for more losses. This happens despite BTC operating within a critical support zone. If Bitcoin breaks below $20K, this would mean potential doom for the cryptocurrency market.
Breaking below $20K will trigger massive selling pressure across the spot markets. This is because traders and investors will be looking to hedge themselves. We can also expect huge over-the-counter traders, which will not be able to hedge properly.
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PrivaCrip to Power a Blockchain Network That Could Follow Cardano & XRP
When the first decentralised blockchain was popularised in 2008 by Satoshi Nakamoto, the door was open for people across the globe to transact more securely and seamlessly. Many blockchain networks have been built and powered by native crypto tokens, including PrivaCrip (PRCR).
Native tokens exist for several reasons. Aside from acting as digital currencies, they perform various functions. Helping blockchains improve data traceability, security, transparency, and trustworthiness shared throughout the network. They also assist in reducing costs through their ever-evolving efficient methods.
Cardano (ADA) and Ripple (XRP) are among the best blockchain-based cryptos that this article will discuss. We will also look at how PrivaCrip (PRCR) will power a blockchain network set to launch into the crypto space.
Top Tier Crypto Makes its Mark – Cardano (ADA)
Cardano (ADA) has been around in the crypto space since 2017. The Proof-of-Stake (PoS), Ouroborous Cardano (ADA), was established using a research-based methodology.
Research is the backbone of Cardano (ADA) and is integral to its success in the cryptocurrency market. Cardano (ADA) uses an evidence-driven mechanism and peer-reviewed research to run its ecosystem to drive its evolution.
Among many things, Cardano (ADA) helps establish DeFi products and provides a suite of financial solutions. Crypto enthusiasts can stake Cardano (ADA) for a chance to earn rewards for their holdings.
With 2022 providing challenges in cryptocurrencies across the globe, Cardano (ADA) is one of the few cryptos to see a surge in on-chain trading volume this year. CoinMarketCap lists Cardano (ADA) as the 7th largest crypto by market capitalization at the time of writing.
Making Waves – Ripple (XRP)
Launched in 2012, Ripple (XRP) is a leading provider of crypto solutions for businesses. Ripple (XRP) provides developers with a solid open-source foundation for executing demanding projects. It is fast, energy-efficient, cost-effective, and reliable.
The solutions provided by Ripple (XRP) enable developers to solve inefficiencies, including asset tokenization and remittance. Therefore, individuals and businesses may apply Ripple (XRP) for DeFi, payments, tokenization, and more.
Crypto enthusiasts with a long-term focus may find Ripple (XRP) a valuable investing tool. Token holders can use Ripple (XRP) for staking its mainnet platform for a chance to grow their earnings and maximise profit.
The New Face Of Privacy – PrivaCrip (PRCR)
The soon-to-launch PrivaCrip (PRCR) is a cryptocurrency built for Web3 data privacy. It will allow users to develop and use permissionless and privacy-preserving applications. This unique feature of PrivaCrip (PRCR) secures apps, protects users, and fosters the creation of many new Web3 uses.
PrivaCrip (PRCR) will drive a blockchain that creates a more empowering and inclusive internet. It will enable developers to build secure dApps using private contracts based on original privacy research (OPR) to revolutionise Web3.
PrivaCrip (PRCR) will begin pre-sale soon and has an initial token price of 0.10 USD. According to the whitepaper, there will be a total supply of 190 million tokens, of which 40% of the total supply will go to the pre-sale.
Crypto enthusiasts who purchase PrivaCrip (PRCR) during the pre-sale will receive the most significant long-term rewards and bonuses. Those who buy with Bitcoin (BTC) will receive a 10% bonus. Also, those using Ethereum (ETH) to purchase will receive 15% of the total PrivaCrip (PRCR) they purchase as a bonus.
10% of PrivaCrip’s (PRCR) total supply is up for distribution as staking rewards, meaning that token holders who stake will receive rewards for their contribution to the crypto’s advancement.
Blockchain networks are continuously evolving, and so are the crypto tokens that power them. Cardano (ADA) and Ripple (XRP) have contributed tremendously to the success of their blockchain networks, gathering mass appeal.
PrivaCrip (PRCR), for its part, will drive a security-enabled blockchain and scalability in private DeFi, empower data tokenization, and bring together a fast-growing community. Acting on its promise, it has the potential to become the next big mover in cryptocurrency.
For more on PrivaCrip (PRCR), check below:
Cardano (ADA) Withdrawal Fees Waved by Bitrue Exchange
Singapore-based cryptocurrency exchange made Cardano one of its base trading pairs earlier this year
Singapore-based cryptocurrency exchange Bitrue announced that it had temporarily waived withdrawal fees for the Cardano (ADA) cryptocurrency.
The trading platform says that the move is meant to celebrate the support it received from the community behind the cryptocurrency.
Users will be able to withdraw ADA without paying any fees until mid-September.
Bitrue has stressed that it wants users to have “as much choice as possible” when it comes to custody options. Those who want to hold their ADA tokens will not be able to do so without paying an additional commission.
At the same time, Bitrue has touted its “Power Piggy” yield-farm investment program for those who want to earn passive income with ADA.
As reported by U.Today, Bitrue introduced the token as its base currency back in February.
In June 2021, it also became the first cryptocurrency trading platform to add support for Cardano-based native tokens.
Last month, Bitrue also announced a staking initiative with the ADA cryptocurrency. It decided to contribute a million tokens to some of the top Cardano staking pools in an effort to boost the level of decentralization.
Earlier this year, SundaeSwap (SUNDAE), the native token of the SundaeSwap exchange, also became available on Bitrue.
WingRiders Losses 59% Of Its Total Value Locked, Plunges Cardano TVL Below $100M
Popular Cardano-based decentralized exchange WingRiders has lost its position as the most valuable DEX on Cardano.
WingRiders slumped from the first position to third after losing more than 59% of the total value locked (TVL) on the platform in the past 30 days.
At the time of writing this line, WingRiders is now the third-largest DEX by total value locked, with a TVL of $19.66 million. It is noteworthy that WingRiders maintained the top spot for more than two months, claiming 42% of TVL On Cardano. However, the DEX has fallen from glory ever since.
Minswap Is Now Cardano’s Most Valuable DEX
The development also affected the total value locked on Cardano. The total value locked on Cardano has fallen below $100 million in the last 30 days after the WingRiders TVL slumped.
Interestingly, Minswap has taken the lead to become the most valuable decentralized exchange on Cardano after the massive decline of WingRiders’ TVL.
At press time, Minswap is leading, with a $49.09 million total value locked on the platform. The DEX hit the milestone after recording a massive growth of 30.9% in its TVL in the past 30 days. Minswap accounts for 51.82% of the total value locked on Cardano.
SundaeSwap, the first decentralized exchange on Cardano, is now the second most valuable DEX in the ecosystem. SundaeSwap is second in the ranking, with $19.72 million in TVL.
Like WingRiders, SundaeSwap has also lost a significant amount of its TVL over the past 30 days. In the past month, SundaeSwap has lost nearly 10% of the funds locked on the platform.
Commenting on the development, Cardano Daily, a platform that shares new developments about Cardano, said:
“After the major decline of @wingriderscom, the TVL scenario of the Cardano ecosystem has stabilized back to normal as we have seen in the past few weeks. @MinswapDEX still led the ecosystem with $51M TVL, contributing 50% of the ecosystem.”
CARDANO TVL STATUS
After the major decline of @wingriderscom, the TVL scenario of the @Cardano ecosystem has stabilized back to normal as we have seen in the past few weeks. @MinswapDEX still led the ecosystem with $51M TVL, contributing 50% of the ecosystem#tvl #cardano $ADA pic.twitter.com/xjZ6cHo8jX
— Cardano Daily (@cardano_daily) August 9, 2022
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