An overview of what is happening in the crypto markets, summarised daily by Crypto Finance AG Senior Trader Patrick Heusser in the market commentary.
Market commentary
Good Morning!
I asked for it (in the TA-Tuesday Report) and I got it. The pullback happened faster than I anticipated. The 11.5k level has been holding so far.
With yesterday's profit taking, we saw a cooling off phase in terms of perpetual funding rates and term future premiums (see images below). They are still in the bullish zone with funding rates positive and the future curves in contango.
Liquidations over the past 24 hours were rather orderly:
$210 mio in Bitcoin (BTC) and $37 mio in Ethereum (ETH). EOS surprised a bit with liquidations of over $29 mio (just to give you a comparison to ETH).
On the infrastructure side, I saw a few tweets pointing out that the hashrate is moving lower due to extreme flooding in certain regions of China. This is now also visible on the chart below, with the drop on August 17th (coinmetrics.io).
In terms of the traditional market, we saw some profit taking on the overstretched tech stock market and also some pressure on gold. If you like the narrative that the crypto market correlates with risk-on assets and that bitcoin is digital gold then yesterday was that kind of day.
