A comprehensive overview of the latest developments on the ( crypto ) markets. Concisely summarized in a market commentary by the CVJ.CH editorial team.
Market Commentary
Bitcoin $BTC
After the consolidation phase at around 36k, a selling wave took the bitcoin price back to the 50-day moving average (light blue line).
The daily low came in just above the 0.618 Fibonacci point of the move between the old ATH ($20k from 2017) and the new ATH ($42k from January 8).
The support around $29k serves as a first indicator of the extent of the recent correction for now.
Overall market
As usual, the "King" also dragged Ethereum (ETH) and other altcoins down with it, but not to the same extent. In the 7-day comparison, only Polkadot and Cardano remain with appealing gains. The monthly performance figures bring the recent correction into perspective. It becomes clear that so far it is only a minor "reset" in the range of a healthy correction. XRP continues to struggle with the fallout from the SEC lawsuit.
DeFi sector
Coins from the DeFi sector are holding up well. These made further gains during the consolidation of Bitcoin. With a performance of almost +150% in the last month, both Aave (AAVE) and Uniswap (UNI) managed to break into the top 20 crypto assets by market cap. The entire sector continues to look very "green."
How pronounced the correction will be, remains to be seen. A "bounce" is often seen after major setbacks, but says nothing about the macro picture. For the time being, the important support levels of Bitcoin around $29k remain to be observed. The $1k mark is also an important support for Ether.
Disclaimer
All information in this publication is provided for general information purposes only. The information provided in this publication does not constitute investment advice and is not intended as such. This publication does not constitute and is not intended as an offer, recommendation or solicitation to invest in any financial instrument, including cryptocurrencies and the like. The contents contained in the publication represent the personal opinions of the respective authors and are not suitable or intended as a basis for decision-making.
Risk notice
Investing in cryptocurrencies, is fundamentally associated with risk. The total loss of the invested capital cannot be excluded. Cryptocurrencies are very volatile and can therefore be exposed to extreme price fluctuations in a short period of time.
