• Mon. May 20th, 2024

Bitcoin (BTC) Crowd Calling For ‘Moon’, ‘Lambo’ During Price Drops Was ‘True Irony,’ Says Analysis Firm

ByShivdeep Dhaliwal

Aug 7, 2022
Bitcoin (BTC) Crowd Calling For 'Moon', 'Lambo' During Price Drops Was 'True Irony,' Says Analysis Firm


Major coins were buoyant Sunday evening as the global cryptocurrency market cap rose 0.9% to $1.1 trillion at press time.

Price Performance Of Major Coins
Coin 24-hour 7-day Price
Bitcoin BTC/USD 1.4% 0.01% $23,315.92
Ethereum ETH/USD 1.2% 2.1% $1,714.47
Dogecoin DOGE/USD 1% 1.4% $0.07

Top 24-Hour Gainers (Data via CoinMarketCap)
Cryptocurrency 24-Hour % Change (+/-) Price
Oasis Network (ROSE) +26% $0.11
Loopring Token (LRC) +10.4% $0.48
Cosmos (ATOM) +6.8% ​​$11.34

See Also: Best Crypto Debit Cards 

Why It Matters: Bitcoin and Ethereum traded in the green at press time, even as S&P500 and Nasdaq futures were down 0.2% and 0.3%, respectively, at press time. 

On Friday, U.S. Labor Department data indicated that nonfarm payrolls for July grew by 528,000, against an expectation of a 250,000 rise, Reuters reported.

As a result, expectations arose that the U.S. Federal Reserve will maintain its hawkish course, and 10-year Treasury notes shot up 11.2 basis points to 2.788%.

“Bitcoin might be ending its correlation with equities. After a robust nonfarm payroll report, Wall Street sent Treasury yields skyrocketing, which sent stocks sharply lower, but not Bitcoin,” said Edward Moya, a senior market analyst at OANDA.

“If we were still in a crypto winter, Bitcoin’s typical reaction would have delivered a steeper drop than what happened with U.S. stocks,” wrote Moya, in a note seen by Benzinga. 

Moya’s colleague at OANDA, Craig Erlam, said that Bitcoin continues to trade near the $23,000 mark, with a “break above $25,000 now the next big test to the upside.”

Chartist Ali Martinez said he is watching out for two critical areas of support for the apex coin: $22,560 and the other, the coin’s relative strength index on the daily chart at 51. If both are lost, the analyst expects Bitcoin to drop to $21,400. 

Going forward into a fresh trading week, investor sentiment continues to be dominated by “Fear,” according to Alternative.me’s “Crypto Fear & Greed Index.” Last week, the index was at 33, while at press time, it had a value of 30. A value of 0 on the index represents “Extreme Fear,” while 100 reflects “Extreme Greed.” 

Long-term holders of Bitcoin are continuing to spend coins at a net loss, which ranges from -11% and -61% on average, said Glassnode, in a weekly blog post. 

“The recent rally has given allowed Long-Term Holders an opportunity to exit a fraction of their holdings at their cost basis, at prices which essentially ‘get their money back’,” said Glassnode.

Bitcoin, Long-Term Holder Net Position Change — Courtesy Glassnode

The on-chain analysis firm said over the last three weeks, the aggregated behavior of long-term holders has changed from accumulating at a rate of 79,000 BTC/month to distributing up to -47,000 BTC/month. 

Behaviorally, words like “moon” and “Lambo” are used in a sarcastic fashion by investors during a slide, but they often mark moments when Bitcoin is about to rise, said on-chain and financial analysis platform Santiment on Twitter. 

Read Next: Kevin O’Leary’s Crypto Market Outlook: ‘The Mega Opportunity For Bitcoin’


Image and article originally from www.benzinga.com. Read the original article here.