Bitcoin, Ethereum, Dogecoin On A Knife's Edge As ETF Decision Looms: 'Weak Weak Weak' Market, Says Trader

Author: Khyathi Dalal | May 23, 2024 04:31pm

Cryptocurrency markets are slightly down in anticipation of the Ethereum ETF decision, while on the broader economic front, the S&P Global US Services PMI rose to 54.8 in May, up from 51.3 the previous month and exceeding market expectations of 51.3. The S&P Global US Manufacturing PMI increased to 50.9 from 50 in April, exceeding forecasts of 50.

What Happened: Major cryptocurrencies are trading lower at the time of writing.

Prices as of 4 p.m. Eastern Time:

Cryptocurrency	Price	Gains +/–
Bitcoin (CRYPTO: BTC)	$67,392.85	-3.3%
Ethereum (CRYPTO: ETH)	$3,729.12	-0.6%
Solana (CRYPTO: SOL)	$171.76	-3.6%
Dogecoin (CRYPTO: DOGE)	$0.157	-5.2%
Shiba Inu (CRYPTO: SHIB)	$0.00002402	-5.0%

Notable Statistics:

Charles Schwab’s latest Trader Sentiment survey noted that 79% of traders perceive cryptocurrencies as risky, speculative investments while two-thirds are uncertain about the future of cryptocurrencies as an asset class.
The House passed a bill to ban the Federal Reserve from establishing a Central Bank Digital Currency (CBDC).
Coinglass data notes Bitcoin long liquidations peaking at a two-week high of $35.2 million. In the past 24 hours, 81,345 traders were liquidated for a total of $228.69 million.
IntoTheBlock data notes a drop of 23% and 4.3% in large transaction volume and daily active addresses, respectively. 86% of Bitcoin holders are in profit at current levels, compared to 97% yesterday.

Notable Developments:

Top Losers:

Cryptocurrency	Price	Gains +/–
Render (CRYPTO: RNDR)	$10.11	-14.2%
SingularityNET (CRYPTO: AGIX)	$0.9755	-12.6%
Fetch.ai (CRYPTO: FET)	$2.35	-12.4%

Benzinga Future of Digital Assets conference

Also Read: An Ethereum ETF Could Return ‘Animal Spirits’ To Crypto Reminiscent Of The 10x DOGE, SHIB Runs In 2021, Predicts Trader

Analyst Notes: Rekt Capital, in their latest tweet, noted that Bitcoin will retrace deep enough to convince the market that the Bull market is over. However, it will resume its uptrend thereafter.

Crypto trader Kevin sees the current market as "weak weak weak." The trader highlights that recent moves in the crypto market have come in from the unemployment report, then the inflation report, then the ETF news. And if not for these moves, the market would be much lower.

The tweet adds, "Every litte pump we get continues to sell off. If Total-3 loses the golden pocket here again then we are in trouble."

Scott Melker sees Bitcoin as a high-risk/reward buy based on technical analysis.

$BTC DAILY

There is the retest of the range EQ that I have been talking about in the newsletter for the past few days.

Bulls want to see the $67,000 area (center of range) hold as support, which would indicate we will now range in the top half.

Technically a high R/R buy. pic.twitter.com/Tsv4b2stbJ
— The Wolf Of All Streets (@scottmelker) May 23, 2024

What's Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga's upcoming Future of Digital Assets event on Nov. 19.

Image: Shutterstock

Posted In: $AGIX $BTC $DOGE $ETH $FET $RNDR $SHIB $SOL