NEW DELHI: Major cryptocurrencies continued the downtrend, trading with cuts on Thursday. Crypto investors have turned cautious in the last 48 hours after Elon Musk’s tweet. Led by Bitcoin and Ethereum, all top 10 digital tokens were trading with cuts at 9.30 hours IST.
After another weekend of wild price swings, the crypto market has turned skeptical. The sell-off in top cryptos has dented the sentiments of other peers as well.
Central bank digital currencies will complement cryptocurrencies rather than competing with them, despite not being structurally different from fiat currencies, a survey from the Bank for International Settlements showed.
“More often than not, BTC’s bullish stance is not in tandem with most altcoins, in a larger more general sense. This has become a rather common occurrence, and a pattern has started to emerge to some extent. Altcoins will tend to pull back during a BTC rally, and after BTC stabilizes, an altcoin uptrend starts, and gradually gains momentum,” said ZebPay Trade Desk.
According to an opinion poll, more than nine in ten independent financial advisers in Britain would never recommend cryptocurrencies or so-called meme stocks to their clients. Meme stocks and digital coins have soared in popularity as the pandemic triggered a surge in stock investing by non-professionals.
Crypto Cart: Quick Glance (Source: coinmarketcap.com, data as of 09.30 hours, IST on June 17, 2021)
- Bitcoin: $38,870.86, down 2.93 per cent
- Ethereum: $2,434.01, down 3.56 per cent
- Tether: $1.00, down 0.02 per cent
- Binance Coin: $356.84, down 0.98 per cent
- Cardano: $1.53, down 0.72 per cent
- Dogecoin: $0.314, down 0.69 per cent
- XRP: $0.8573, down 0.93 per cent
- USD Coin: $1, down 0.03 per cent
- Polkadot: $23.63, down 0.73 per cent
- Uniswap: $22.75, down 2.27 per cent
Note: Price change in last 24 hours
Tech View by Giottus Cryptocurrency Exchange
Exciting developments are expected from ChainLink (LINK), the Ethereum-based decentralized oracle network. ChainLink announced their shift to smart contracts in their latest whitepaper, and this could mean more decentralized applications (dApps) being built. This will further boost ChainLink’s market capitalization and increase its price in the long term.
LINK has seen a dip from its early June high of $32 to the $23 range as it navigates a symmetrical triangle formed after May’s crash, much like Bitcoin. While Bitcoin staged a breakout above $38,000 earlier this week and tested $41,000 several times, LINK was rejected from its 200-DMA of 26.7 and quickly began a descent to the lower 20s. LINK is also seeing a crossover event with its 200-DMA. Should LINK break its support at $21, it could head to the $18 range.
Support: $21, $18, $16
Resistance: $36, $32, $26
LINK’s Relative Strength Index (RSI) on the weekly time frame is hovering in the 45-47 range, levels previously witnessed in the May 2021 crash. LINK’s price ratio with ETH and BTC is also nearing historic lows, placing it in a good position compared to the two largest cryptocurrencies in the market. Long term, LINK shows promise.
In the short to mid-term, there may be some bearishness as it continues to trade below its 200-DMA. While LINK will also be subject to local resistances, a disproportionate influence may be felt from BTC’s price action – which itself has been bullish recently and is hinting at a relief rally, should it break out of the $43,000 mark.
(Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial adviser before taking any position in the asset/s mentioned.)