Cryptocurrency Market Overview
Monday, May 13, 2024
Bitcoin Activity: Over the past 24 hours, Bitcoin has fluctuated between $60,600 and $61,800.
Market Metrics:
- Capitalization: $2.17 trillion
- Dominance Index: 55.22%
- Fear Index: 57
Stock Market Trends: The stock markets opened with no significant changes. Movements in bond yields, the dollar index, and S&P 500 futures are minimal, while Asian indices showed mixed results.
Key Economic Data Releases:
- Today: US inflation expectations
- Tomorrow: US Producer Price Index (PPI) and a speech by Powell
- May 15: US Consumer Price Index (CPI)
- May 16: US labor market data
Altcoins Dynamics: Negative trends are noted as Ethereum drops below $2,900 and the dominance index rises above 55%. Only Core showed gains, while IMX, W, and Pendle led the declines. This dump of altcoins increases market fear, potentially exacerbated by anticipated SEC rejections of an ETH-ETF, mirroring the lack of consultations that occurred with the BTC-ETF.
Support Levels: If Bitcoin loses its current support at $60,600, the next supports are at $58,600, $56,000, $55,000, and potentially down to $52,000 to $50,000. To rally, Bitcoin must surpass resistance levels at $63,000 - $63,500 and $65,000 - $65,500.
Future Prospects: This week's inflation data could drive Bitcoin towards either $55,000 or $65,500. However, the likelihood of reaching $65,000, $70,000, and setting a new all-time high in the near future remains high at 98.8%. A brief dip to $55,000, if it occurs, would likely be short-lived.
Investment Strategy: The best approach is to maintain Bitcoin holdings and buy on dips, remembering that Bitcoin's significant gains typically occur over just 10 days annually. The only way to capitalize on these days is by continuously holding Bitcoin.
❗️Advice: Success in the cryptocurrency market depends 20% on intellect and 80% on courage.
Today's Trading Strategy: Bitcoin is expected to trade between $59,000 - $58,600 and $63,000 - $63,500. An alternative scenario is Bitcoin settling below $58,600.