Bitcoin (BTC) dipped below the $65,000 level early today after registering a drop of almost 2.50% over the past 24 hours and is currently trading just below the $65,000 mark. Spot Bitcoin ETFs also registered a surge in inflows, attracting around $449 million, fueling even further demand as speculation about a rate cut and soft US landing bets.
The overall crypto market capitalization dropped almost 2% to $2.27 trillion, with major cryptocurrencies like Ethereum (ETH), Solana (SOL), Dogecoin (DOGE), Toncoin (TON), and Polkadot (DOT) sliding into the red.
Recapping An Eventful Week For Crypto
The cryptocurrency ecosystem saw several developments over the past week. Celestia and other crypto startups attracted significant attention from venture capitalists, with over $253 million going to crypto startups. A significant chunk of this funding went to the Celestia Foundation, which raised $100 million to support its blockchain network. Decentralized exchange Infinex also raised just over $65 million.
Meanwhile, Changpeng Zhao finished a four-month prison sentence after admitting Binance failed to adhere to and enforce adequate Know Your Customer (KYC) checks during his tenure as CEO. In separate developments, Caroline Ellison was sentenced to two years in prison for her involvement in the FTX collapse and its associated hedge fund, Alameda Research.
The United States Securities and Exchange Commission Chair Gary Gensler reiterated that Bitcoin is not a security. Regulatory filings have called the asset a non-security commodity. Additionally, TrueCoin and TrustCoin settled charges with the SEC, which alleged unregistered offering and investment contract sales between November 2020 and April 2023.
Lastly, PayPal has announced plans to enable US merchants to buy, sell, and hold cryptocurrency directly through their PayPal business accounts. PayPal and Venmo have allowed consumers to buy, sell, and hold assets such as Bitcoin and Ethereum since 2020. They have now extended these capabilities to business account holders, giving them access to digital assets.
FTX Creditors Only Getting Back 10-25% Of Their Assets
Newly revised bankruptcy documents revealed that FTX creditors will receive only 10% to 25% of their cryptocurrency back. According to FTX creditor Sunil Kavuri, creditors will receive reimbursements according to the petition date, when prices were significantly lower than they are today. The price of BTC was around $16,000 when the petition was filed.
“Crypto holders are not whole at petition date prices as confirmed by the debtors, the United States Department of Justice, and Judge Kaplan. Many FTX customers continue to suffer from mental distress, panic attacks, divorces, and suicidal thoughts as their life savings have been stolen and property still has not been returned.”
Several others have agreed with Kavuri, calling the move disgusting and disgraceful and stating that investors had been scammed twice. Kuvari also stated that Sam Bankman-Fried violated FTX’s terms of service and property rights by using client funds to pay outstanding debt.
“The terms of service are unambiguous that the title of digital assets is owned by the FTX customer. Sam was convicted beyond reasonable doubt for breaking the terms of service and transferring customer funds to pay off Alameda loans and buy Robinhood shares.”
Coinbase Forecasts Strong Q4 For Bitcoin
Coinbase has reported strong optimism for Bitcoin and the crypto market in Q4, driven by expectations of US rate cuts and China’s recent monetary stimulus. Both factors could significantly boost Bitcoin’s performance in Q4 2024. However, Ethereum (ETH) faces significant challenges, as seen by the limited impact of spot Ethereum ETFs. The prediction was published in the latest Takeaways from Token2049, co-authored by David Duong, the Head of Institutional Research, and David Han, Institutional Research Analyst.
“We anticipate a constructive Q4 2024 due to US rate cuts and significant fiscal and monetary stimulus from China, which should enhance market liquidity and support BTC performance.”
They also discussed Ethereum’s recent struggles, particularly its rising fees.
“Onchain activity is growing, with rising DEX volumes and higher Ethereum gas prices. Although many market players were bullish on BTC, we encountered a few skeptics on ETH, as the token appears to not have benefited from the launch of spot ETH ETFs in the US over two months ago.”
Spot Bitcoin ETFs Pulled In $1.1 Billion
US-based spot Bitcoin ETFs have raked in over $1.1 billion since September 2023, making it the largest weekly inflow since July. Data from Farside Investors showed that the inflows included #494 million on September 27, the best-performing day for spot Bitcoin ETFs since June 4. The ETFs had registered inflows worth $366 million on September 26. The weekly inflows were led by BlackRock’s iShares Bitcoin Trust, the ARK 21Shares Bitcoin ETF, and the Fidelity® Wise Origin® Bitcoin, which pulled in $499 million, $289.5 million, and $206.1 million, respectively.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) fell by almost 2% over the past 24 hours as it slipped below $65,000. The new week started on a bearish note for the world’s largest cryptocurrency, with liquidity presently low. BTC’s push to $65,000 and above stalled over the weekend despite a strong showing at the end of the previous week, which allowed it to push above the 200-day SMA. As we can see in the price chart, BTC has been struggling to push above the 200-day SMA since September 20. It managed to go above it on Tuesday but fell back on Wednesday, dropping by 1.72% to settle at $63,167.
Source: TradingView
It finally pushed above the 200-day SMA on Thursday after bulls took control and pushed it above $65,000 with an increase of 3.19%, allowing it to settle at $65,183. Bullish momentum persisted on Friday as well, with BTC rising by another 0.95% and settling at $65,805. However, momentum waned over the weekend as BTC could register only a marginal increase on Saturday before falling back into the red on Sunday and ending the previous week at $65,634, down by 0.38%. The current session has seen bearish sentiment intensify, with BTC slipping below $65,000 and trading at $64,472.
According to market analysts, a BTC bull run is unlikely as long as social sentiment is at an all-time high. According to Santiment, investors expecting a new all-time high must first slow down their own expectations. For the moment, bears are in control and will look to push BTC back below the 200-day SMA and $64,000. Should this happen, BTC could drop to $62,000 or even $60,000. On the other hand, buyers will look to keep BTC above the 200-day SMA. If BTC rebounds from the moving average, it will likely test the $66,000 level again. A break above $66,000 could take BTC to $70,000.
Ethereum (ETH) Price Analysis
Ethereum (ETH) has fallen into the red after failing to get past $2,700 over the weekend. The altcoin is down just over 1.50%, even though it has reported a significant increase in trading volume because of significant sell-offs reported over the weekend. Despite a slight decline over the past 24 hours, the altcoin could see another short-term bullish shift, according to most technical indicators. The exchange net flow for ETH reflects a dominance of outflows, which means more ETH has been withdrawn from exchanges, signaling buyer interest and reduced selling pressure.
Source: TradingView
As we can see in the price chart, ETH pushed above the 50-day SMA last Friday (September 20) and rose above $2,600 to $2,647 by Monday. However, thanks to strong selling pressure, ETH could not push above $2,700. But Wednesday, it had dropped below $2,600 to $2,580 after a decline of almost 3%. However, buyers were able to push ETH back above $2,600 on Thursday as ETH registered an increase of just over 2% and moved to $2,633. Buyers continued to dominate on Friday, pushing ETH up by 2.39% to $2,696. However, with the resistance at $2,700 coming into play, ETH fell back into the red over the weekend, dropping by 0.72% on Saturday and 0.68% on Sunday to settle at $2,659.
The current session sees ETH remain bearish, with the price down by 0.93% and trading around the $2,634 mark. Sellers will look to drive ETH back below $2,600 and toward the $2,500 level. A break below this level could see ETH drop to $2,400. On the other hand, if buyers can regain momentum, ETH could retest the $2,700 level. A break above this level could seeETH push to the crucial $2,850 resistance level.
Solana (SOL) Price Analysis
Solana (SOL) is trading in a narrow range since pushing above the 200-day SMA last week. As a result, it has been unable to push above $160 as sellers defend the level vigorously. SOL was quite bullish last week, registering a significant jump of 5.50% on Tuesday. However, the 200-day SMA was acting as a resistance level at this time. As a result, SOL fell back in the red on Wednesday, dropping by 3.12% to $148. However, it quickly recovered on Thursday, pushing back above the 200-day SMA and $150 after an increase of 5.14%, and settled at $155.
Source: TradingView
SOL attempted a push above $160 on Friday, reaching a day high of $161. However, buyers lost steam, with sellers active at $160. As a result, SOL fell back below $160 and settled at $157, an increase of 1.37%. The weekend was a mixed bag for SOL as it registered a marginal drop on Saturday and fell to $156. Sellers attempted to push the price back below the 200-day SMA but were unsuccessful. On Sunday, buyers assumed control and attempted another move past $160, pushing SOL to a day high of $161. Once again, selling pressure at $160 prevented a break, and SOL fell back below $160 to $158, an increase of 1.10%.
The current session sees SOL down by 0.76% as sellers make another attempt to push SOL below $155. As is evident from the price chart, SOL is trading in a narrow zone. Buyers have been unable to move above $160, while sellers have been unable to push SOL below $155. If sellers can push SOL below $155, it could drop to $150 or even $140. On the other hand, if buyers can force a break above $160, SOL could surge to $180 or $190.
Dogecoin (DOGE) Price Analysis
Dogecoin (DOGE) fell back into the red over the weekend after failing to push above $0.130. As we can see in the price chart, DOGE was incredibly bullish during the previous week, with sentiment picking up considerably towards the end of the week. DOGE surged by almost 10% on Thursday, surging past $0.110 to $0.118. Buyers also maintained control on Friday, with DOGE surging to a day high of $0.128. However, with sellers active at higher levels, it fell back and eventually settled at $0.123 after an increase of almost 4%.
Source: TradingView
The weekend began with DOGE posting an increase of 4.39% despite facing significant volatility and selling pressure to eventually settle at $0.128. However, with sellers active at this level, buyers lost momentum, and DOGE fell back in the red on Sunday, dropping almost 3% to $0.124. The current session sees DOGE down by just over 1% as sellers look to drive the price below $0.120. Buyers will try to keep DOGE above this level and test $0.130 again. On the other hand, sellers will look to drive DOGE below $0.120 to $0.110.
Dogwifhat (WIF) Price Analysis
Dogwifhat (WIF) has been up an incredible 43% over the past week as meme coins lead the altcoin rally, which is looking to capitalize on the Federal Reserve’s recent shift in policy. Following the rate cut, interest in meme coins has surged once more, giving a significant boost to the sector. As we can see in the price chart, WIF has been bullish all of last week, beginning with a 2.95% jump on Monday. Bullish sentiment picked up on Tuesday as WIF surged over 14%, settling at $1.99. Sellers attempted to prevent a push above $2 on Wednesday but were unsuccessful as WIF rose to $2.01 after an increase of 1.45%.
Source: TradingView
Bullish sentiment picked up once again on Thursday as WIF surged over 9% and moved to $2.20. Buyers also attempted a push above $2.50 but were unsuccessful, unable to push above $3.20. Friday saw yet another attempt by WIF to push above $2.50. WIF managed to reach a day high of $2.42 but was again thwarted by sellers. The price eventually dropped back to $2.26, managing an increase of just under 3%. Saturday saw WIF continue to push higher as it rose to $2.37 after an increase of 4.68%.
WIF experienced significant volatility on Sunday, reaching a day high of $2.57 and a day low of $2.25, as buyers and sellers struggled to establish control. In the end, buyers emerged on top as WIF registered an increase of 3.43% and settled at $2.45, pushing above the 200-day SMA. The current session sees WIF down marginally as sellers look to drive the price down towards $2.
Polkadot (DOT) Price Analysis
Polkadot (DOT)’s push to $5 and above lost steam once again on Friday as sellers prevented a decisive break above the resistance level, leading to DOT falling back into the red. DOT was quite bullish all of last week, pushing above the 50-day SMA on Monday and settling at $4.46. It moved past $4.50 on Tuesday to $4.64 after rising just over 4%. Sellers attempted to regain control on Wednesday as DOT experienced significant volatility. However, buyers were able to counter the volatility and selling pressure and prevent a drop. Bullish sentiment resumed on Thursday, with DOT rising by 3.66% and settling at $4.81.
Source: TradingView
DOT attempted to move past $5 on Friday but lost steam after reaching a day high of $4.96. As a result, DOT fell back and settled at $4.89, registering an increase of 1.66%. Buyers lost momentum over the weekend after failing to push above $5. As a result, DOT dropped by 2.04% on Saturday and 0.42% on Sunday to settle at $4.77. The current session sees DOT remain in the red, down by just over 1% and trading at $4.72. Sellers will look to drive DOT below $4.50. A breakdown of this level could see DOT slip to $4.40. On the other hand, if buyers regain control, they will look to test the $5 level once again. For now, however, $5 seems to be a bridge too far for DOT.
Ripple (XRP) Price Analysis
Ripple (XRP) surged past the $0.60 resistance as its price witnessed a significant pump following a buying spree by XRP whales. As a result, XRP is up almost 10% over the past week as it finally broke out of its sideways phase. As we can see in the price chart, XRP had been unable to push above $0.60 since September 14, when it surged past the 50-day SMA. Since then, it had been trading in a narrow range of $0.55 to $0.60. This trend also continued last week, with XRP registering a marginal decline on Friday.
Source: TradingView
However, sentiment changed over the weekend, as XRP rose by 4.41% on Saturday to push above $0.60 and settle at $0.61. Bullish sentiment also persisted on Sunday, as XRP posted an increase of 4.29% to settle at $0.64, with the $0.65 level being the next target. The current session sees buyers remain in control, with XRP up by almost 1%. The weekend surge was the result of XRP whales going on a massive buying spree, leading to a significant price jump. Ripple whales have purchased over 470 million XRP in the past ten days, with buying activity picking up considerably over the weekend.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
