Newsletter
Cryptoscout
  • Home
  • Altcoin
  • Bitcoin
  • Ethereum
  • Litecoin
  • Cryptocurrency
  • Blockchain
  • Regulation
  • Market
  • ICO
No Result
View All Result
  • Home
  • Altcoin
  • Bitcoin
  • Ethereum
  • Litecoin
  • Cryptocurrency
  • Blockchain
  • Regulation
  • Market
  • ICO
No Result
View All Result
Cryptoscout
No Result
View All Result
Home Market

Market Wrap: Bitcoin Hangs Around $18K While Ether Locked in DeFi Declines

by The Crypto Scout
November 19, 2020
in Market
0
Market Wrap: Bitcoin Hangs Around $18K While Ether Locked in DeFi Declines
Share on FacebookShare on Twitter


Bitcoin steadied around $18,000 after record volumes on Wednesday while Ethereum 2.0 may be causing some investors to move ether out of decentralized finance (DeFi).

  • Bitcoin (BTC) trading around $18,026 as of 21:00 UTC (4 p.m. ET). Gaining 2.1% over the previous 24 hours.
  • Bitcoin’s 24-hour range: $17,364-$18,170
  • BTC above its 10-day and 50-day moving averages, a bullish signal for market technicians.

Bitcoin trading on Bitstamp since Nov. 17.
Source: TradingView

Bitcoin’s price rise stalled somewhat Thursday, with the world’s oldest cryptocurrency hitting as high as $18,170 before dipping below the $18,000 level, but back to $18,026 as of press time. 

Volume contributed to the weakening price action. At $1.79 billion, Wednesday was the highest volume day for major USD/BTC spot exchanges since way back on March 13, when volumes hit $1.98 billion the day after the “Black Thursday” crash. Today, daily volume on these exchanges were at a comparably tepid $867 million. 

volumesnov19

Daily bitcoin volumes on major USD/BTC exchanges.
Source: CoinDesk Research/Shuai Hao

A volume pullback from the second-largest day on the USD/BTC spot market in 2020 isn’t deterring analysts on their bullish prognostications. 

“The current upward move seems more sustainable than the 2017 bull run as institutional investors are now positioning in bitcoin whereas it was only retail speculation back in 2017,” said Elie Le Rest, partner at quant firm ExoAlpha. “Bitcoin confirms by its recent price move that it has a place in a diversified portfolio.”

Read More: Deutsche Bank Says Investors Increasingly Prefer Bitcoin Over Gold

“The market’s infrastructure, regulatory regime and overall maturity is much more robust than previously,” said John Willock, CEO of crypto asset manager Tritium. “I fully expect a couple of pullbacks from these nominal mile markers such as $18,000, $19,000 and $20,000, but I do expect we should see the overall momentum continue through the rest of the year.”

Since Oct. 20, bitcoin’s 30-day volatility has been steadily rising, indicating that some price gyrations may still be on the horizon.

btcvolatilitynov19

Bitcoin 30-day volatility in 2020.
Source: Shuai Hao/CoinDesk Research

“No assets go parabolic forever,” noted Michael Gord, chief executive officer for trading firm Global Digital Assets. “Bitcoin has gone up over 50% in the past month and is due for a correction.”

btcpastmonthnov19

Bitcoin’s performance on Bitstamp the past month.
Source: TradingView

“Long term I’m still very bullish and still seeing increasing interest from more traditional investors in bitcoin and other digital assets,” Gord added. 

Read More: OKEx Exchange Says Crypto Withdrawals to Restart by Next Friday

Investors are certainly looking at the derivatives market, with bitcoin futures (over $6 billion) and options (over $4 billion) open interest hitting new highs. CME, a professional investor venue, has flirted with $1 billion in bitcoin open interest this week, a sign institutions are increasingly hedging crypto positions.

skew_btc_futures__aggregated_open_interest-30

Bitcoin futures open interest the past year.
Source: Skew

Even permabulls like Henrik Kugelberg, a Sweden-based over-the-counter crypto trader, are prepared for some bumps in the road should bitcoin work its way to an all-time high. 

“I expect a much larger drop pretty soon,” Kugelberg told CoinDesk. “But in all I can see BTC going to $23,000-$24,000 in the next month or two.”

Ether moving out of DeFi

The second-largest cryptocurrency by market capitalization, ether (ETH), was up Thursday, trading around $475 and climbing 0.55% in 24 hours as of 21:00 UTC (4:00 p.m. ET).

The amount of ether “locked” in decentralized finance, or DeFi, is declining. The fall began Nov. 14, going from 8.9 million to 7.7 million ETH as of press time, according to aggregator DeFi Pulse.

defipulsenov19

Total ether locked in DeFi the past three months.
Source: DeFi Pulse

Jean-Marc Bonnefous, managing partner for investment firm Tellurian Capital, suspects some of the ether movement out of DeFi might have to do with Ethereum’s ambitious “2.0” project. This requires some capital allocation to a smart contract set aside for staking something known as the “beacon chain” to launch the new network. 

“There is the need to find another 400,000 ETH to fill the first phase of staking into ETH 2.0 by the end of November,” said Bonnefous. “So this might explain some of the leakage out of DeFi.”

Other markets

Digital assets on the CoinDesk 20 are mixed Thursday, mostly green. Notable winners as of 21:00 UTC (4:00 p.m. ET):

Read More: Solidus Believes Its Crypto Surveillance Tool Can Help Launch a Bitcoin ETF

  • Oil was up 0.71%. Price per barrel of West Texas Intermediate crude: $41.88.
  • Gold was in the red 0.30% and at $1,866 as of press time.
  • The 10-year U.S. Treasury bond yield fell Tuesday, dipping to 0.855 and in the red 2.7%.
coindesk20november



Source link

Related articles

Nvidia Redesigns Graphics Cards to Limit Their Use in Ethereum Mining

Nvidia Redesigns Graphics Cards to Limit Their Use in Ethereum Mining

February 18, 2021
Who ISN’T Dabbling as Bitcoin Passes $52K, Ether Tops $1,900

Who ISN’T Dabbling as Bitcoin Passes $52K, Ether Tops $1,900

February 18, 2021
Tags: 18KBitcoinDeclinesDeFiEtherHangsLockedMarketWrap
Share76Tweet47

Related Posts

Nvidia Redesigns Graphics Cards to Limit Their Use in Ethereum Mining

Nvidia Redesigns Graphics Cards to Limit Their Use in Ethereum Mining

by The Crypto Scout
February 18, 2021
0

Nvidia is also launching Cryptocurrency Mining Processors (CMP) specifically for Ethereum miners. Source link

Who ISN’T Dabbling as Bitcoin Passes $52K, Ether Tops $1,900

Who ISN’T Dabbling as Bitcoin Passes $52K, Ether Tops $1,900

by The Crypto Scout
February 18, 2021
0

Price PointBitcoin (BTC) was lower after surging on Wednesday to a new all-time high price above $52,000, while ether...

Ether Looks Overleveraged as Cryptocurrency Hits New High Over $1,900

Ether Looks Overleveraged as Cryptocurrency Hits New High Over $1,900

by The Crypto Scout
February 18, 2021
0

Ether soared to new record highs Thursday, but an overheated derivatives market may suggest higher volatility is on the...

Market Wrap: Bitcoin Rallies On After Passing $50K Psychological Level to $52K

Market Wrap: Bitcoin Rallies On After Passing $50K Psychological Level to $52K

by The Crypto Scout
February 17, 2021
0

Bitcoin broke above $52,000 Wednesday, with a market capitalization nearing $1 trillion.Bitcoin (BTC) trading around $52,231.69 as of 21:00...

Ajit Tripathi: How to Bring Off-Chain Assets to DeFi

Ajit Tripathi: How to Bring Off-Chain Assets to DeFi

by The Crypto Scout
February 17, 2021
0

The recent GameStop short squeeze has brought decentralized finance (DeFi) into mainstream public consciousness. Well-known crypto influencers such as...

Load More

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
A Fund Manager Just Bashed XRP, Bitcoin Cash, and Other Altcoins

A Fund Manager Just Bashed XRP, Bitcoin Cash, and Other Altcoins

October 21, 2020
What We’re Getting Wrong About Druckenmiller and Bitcoin

What We’re Getting Wrong About Druckenmiller and Bitcoin

November 15, 2020
Closing Time for Bitcoin’s Iconic Room 77 – ‘And That’s OK,’ Says Owner

Closing Time for Bitcoin’s Iconic Room 77 – ‘And That’s OK,’ Says Owner

October 20, 2020
3 Reasons Why XRP is Unlikely to Benefit From Ongoing Altcoin Surge

3 Reasons Why XRP is Unlikely to Benefit From Ongoing Altcoin Surge

October 22, 2020
Here’s why Bitcoin will boom in the “biggest overhaul” of finance

Here’s why Bitcoin will boom in the “biggest overhaul” of finance

0
Pantera Capital CEO: Bitcoin (BTC) Could Hit $115k after Halving

Pantera Capital CEO: Bitcoin (BTC) Could Hit $115k after Halving

0
Closing Time for Bitcoin’s Iconic Room 77 – ‘And That’s OK,’ Says Owner

Closing Time for Bitcoin’s Iconic Room 77 – ‘And That’s OK,’ Says Owner

0
India Plans Bitcoin Ban Even as Its Banking System Gradually Collapses

India Plans Bitcoin Ban Even as Its Banking System Gradually Collapses

0
How the crypto industry is moving closer to going green

How the crypto industry is moving closer to going green

April 22, 2021
Square says Bitcoin mining is “key to clean energy future”

Square says Bitcoin mining is “key to clean energy future”

April 22, 2021
Huobi Group launches 4 crypto funds targeting $100M in assets

Huobi Group launches 4 crypto funds targeting $100M in assets

April 22, 2021
Texas wants to protect privacy elements of blockchain companies, says Blockcap

Texas wants to protect privacy elements of blockchain companies, says Blockcap

April 22, 2021

We have all the latest updated and legitimate information related to Blockchain, Cryptocurrency, latest market rates & trends, prices, new regulations along with every other thing that somehow related to crypto or digital currency market. Our main idea is to provide the kind of news that is original and at the same time, it can prove to be beneficial for our audience.

Categories

  • Altcoin
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Ethereum
  • ICO
  • Litecoin
  • Market
  • Regulation

Archives

  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020

Newsletter

  • About Us
  • Privacy Policy
  • Contact Us

© 2020 cryptoscout.io

No Result
View All Result
  • Home
  • Altcoin
  • Bitcoin
  • Ethereum
  • Litecoin
  • Cryptocurrency
  • Blockchain
  • Regulation
  • Market
  • ICO

© 2020 cryptoscout.io