After the U.S. Federal Reserve (Fed) announced a sharp interest rate cut of 2 basis points (50 basis points) last week, the cryptocurrency market continued to rebound and the U.S. Bitcoin spot ETF has continued to see net inflows in recent days.
Bitcoin broke through $64,500 at around 11 a.m. yesterday (23), reaching a high of $64,750. However, it then entered a consolidation range again, and before writing, it had fallen back to around $63,000, with no clear trend direction yet.
Technical indicators suggest Bitcoin may continue to rise”
Bitcoin's multiple on-chain data indicators have reached their average support levels, suggesting that Bitcoin will rise further in the long term. Specific indicators include:
1. 7-day Simple Moving Average (SMA) of Fund Flow Ratio
The indicator has already touched 0.05 and is showing signs of a slight rebound, indicating that investors are starting to return to the exchanges to trade:
Historically, the 0.05 level has been the primary support line where the Funding Liquidity Ratio stops falling and begins to recover. This rally usually occurs at the end of a bear market or Bitcoin halving event and marks the beginning of a bull market, resulting in a significant long-term increase in Bitcoin price.
2. 30-day SMA of Estimated Leverage Ratio
This indicator has formed a critical support level between 0.15 and 0.175 and is currently showing signs of recovery and upward movement:
Following the approval of futures ETFs in 2021 and recent positive news regarding Bitcoin options trading, I believe this indicator will continue to grow in influence.
The altcoin season is not far away. Every bull market in the cryptocurrency market is a big market in the fourth quarter. Last year, Bitcoin also started a bull market in October. Here are some high-quality varieties in some popular sectors:
ETH Ecosystem
ETHFI and SSV, pay attention to these Ethereum innovation projects, the potential is unlimited!
RWA Sector
Ondo: As a tokenization leader backed by BlackRock, ONDO is in its early stages. Market attention to RWA is increasing, and any positive news will help drive its price up.
Polyx: An institutional-grade permissioned blockchain RWA segment built specifically for institutional assets, with a market cap of $395 million and 80% circulation.
tru: a16z investment, founder and Google engineer, market value 148 million, 80% circulation
BTC Layer 2 Network
STX: A BTC scalability solution that helps Bitcoin’s future development.
AI Section
AI-related projects such as ARKM, AR, NEAR, LPT, and FET are on the rise and have broad prospects.
FET: Fetch.ai's original token FET is gradually gaining momentum with the help of Bitcoin's rebound. As the market recovers, the hype potential of FET still exists, especially before the launch of the second phase of the three-coin integration plan, investors should keep an eye on it.
SOL Ecosystem
Active programs such as SOL, JUP, RAY, and JTO stand out among SOL students.
Blockchain Games
YGG, GALA and IMX, the three leading projects in the blockchain gaming field, have huge potential in the future.
Public chain sector
Public chains such as FTM, SUI, SEI, and APT have good potential for future development.
SUI: By vigorously strengthening the training of DeFi and game projects, introducing the compliant stablecoin USDC, and carrying it out globally, we will form a strong marketing capability.
To get to the point, you can stock up some and wait for SUI to explode. If Ton relies on Telegram's powerful user base, then SUI relies on pure technical skills.
DeFi
CAKE: As the token of PancakeSwap, PancakeSwap has an unshakable position on the BNB Chain, and is also expanding to other chains such as Aptos and Arbitrum.
XVS: As the lending leader on BNB Chain, Venus has experienced some turmoil, but with the support of Binance, it is currently developing steadily and ranks first in TVL.
Meme board
BONK, WIF, PEPE, FLOKI, BOME, these popular meme coins are not to be missed, and the rise is expected
FOUR: Inspired by CZ’s iconic hand gesture, FOUR currently has a market cap of $24.3M.
Binancedog: Following SUNDOG, Binancedog’s market value has reached 6.8M USD. We look forward to its subsequent performance.
BNB itself, as an important asset of Binance, is still some distance away from ATH and should also be paid close attention to.
