In crypto news today, Bitcoin (BTC) is trading at , barely scraping by above the $100,000 mark. It is up by 1.2% on the daily chart, and still down by 6.95% on the weekly.
However, all hope is not lost. Bitwise’s Chief Investment Officer, Matt Hougan, believes that BTC’s steep selloff, causing its price to dip temporarily below $100,000 for the first time since June this year, is more panic than based on the fundamentals.
In an interview with CNBC, he said, “It’s almost a tale of two markets.” He said that retail traders have faced months of losses and failed leveraged bets, causing the market to become downbeat.
On the flipside, financial advisers and institutions are scooping up BTC at low prices through ETFs like iShares Bitcoin Trust (IBIT), Fidelity Wise Origin Bitcoin Fund (FBTC), and Grayscale Bitcoin Trust (GBTC).
Although the pace of accumulation has slowed down since mid-year, Hougan pointed out that the inflows are still positive, meaning institutional investors have not lost confidence in the digital gold.
“When I talk to advisors and institutions,” he said, “they’re still excited to allocate to an asset class that, if you zoom out, is delivering strong returns over the past year.”
For now, BTC has stabilized above the $103,000 level. However, it is still not in the clear. It is still trading below its recent high at $110,000. However, technical signals suggest that BTC might be gearing up for a potential uptrend.
Trading volumes highlight that investors are buying and holding near the $103,000 level. According to a crypto analyst SatochiTrader, BTC formed a higher low, meaning the price did not fall as much as before, and that it might be looking to climb again.
(Source: TradingView)
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Crypto News Today: ETH Targets $4k, Short Sellers Cornered?
Currently, is trading at after bouncing back by 2.23% in the last 24 hours from $3,055, which triggered over $1.3 billion in long liquidations.
The sudden crash wiped out many overleveraged bullish positions, especially around $3,200 levels. The market is currently heavily tilted towards short positions, setting the stage for a $7 billion short squeeze if the price rebounds.
(Source: CoinGlass)
Technical indicators suggest that ETH might be bottoming out. However, a hidden bullish divergence on the daily chart suggests a potential trend reversal.
ETH is testing long-term support levels between $3000 and $2,800 that have historically held strong. If its price starts to recover, it could trigger a wave of short liquidations that can potentially push the price towards $4,000.
