New Updates January 19, 2023
1. Bitcoin To Reach $161,800, According To Fibonacci Extension, Elliott Wave Theory. Bitcoin price is struggling to maintain above $20,000 per coin — a level that few expected the top cryptocurrency to trade at ever again once it passed the key resistance the first time.
In a new prediction, the next target for BTCUSD might also reach a level that very few at this point would consider or expect. However, ages-old mathematics and Elliott Wave Theory could suggest the next cycle may possibly peak much sooner than many would believe — and at price of $161,800 per coin.
Bitcoin price is struggling to maintain above $20,000 per coin — a level that few expected the top cryptocurrency to trade at ever again once it passed the key resistance the first time.
In a new prediction, the next target for BTCUSD might also reach a level that very few at this point would consider or expect. However, ages-old mathematics and Elliott Wave Theory could suggest the next cycle may possibly peak much sooner than many would believe — and at price of $161,800 per coin.
Finding Price Targets With The Mysterious Power Of Fibonacci
Cryptocurrency traders commonly use Fibonacci retracements and extensions to make decisions about where and when to buy or sell. It isn’t known why prices tend to gravitate toward these levels, but the ratios are found all throughout the natural world.
For example, Venus orbits the sun in 224.6 days, while Earth at 365.2 days. This creates a ratio of 8/13 — both Fibonacci numbers — which is roughly 0.618. This is precisely why the golden ratio is also referred to as the divine proportion. It’s almost magical.
Fib ratios are derived from the Fibonacci sequence — a series of numbers where the next number in the sequence is the sum of the previous two numbers. The sequence reads 0, 1, 1, 2, 3, 5, 8, 13, 21, and so on.
2. C-C-C-Combo breaker: Bitcoin ends ‘ridiculous’ 14-day winning streak
Bitcoin was on the road to breaking a nearly 10-year-old record but the price dip over the past day put a stop to the multi-day win streak.
The two-week-long Bitcoin
BTC $21,141 winning streak has finally come to an end, after the cryptocurrency formed its first red candle on Jan. 18.
The day prior, BTC was shaping up to match or even beat its November 2013 record of 15 consecutive days of positive price movement, the longest of such streaks in its history.
While the record wasn’t beaten, Bitcoin did post the longest win streak since the 2013 record in a “ridiculous” run-up, according to some commentators on Twitter.
"IncomeSharks
@IncomeSharks
Bitcoin - One red daily candle doesn't erase 2 weeks of bullish green candles. We needed one already, that up only run was ridiculous. It's as bad as celebrating a bounce after missing a whole move down (I've done it). I expect you give the bears the same treatment."
Cointelegraph data shows Bitcoin neared a 2.4% loss over the day and was back under $21,000, a value it hadn’t reached since the bankruptcy of crypto exchange FTX in early November last year.
3. Trump NFTs Back From the Dead: Daily Sales Surge by 800%
After collapsing demand, former U.S. president Trump's digital trading cards are on the rise again. What’s happening?
Artwork from one of Donald Trump's NFTs. Image: Donald Trump
Trump NFTs Back From the Dead: Daily Sales Surge by 800%
Artwork from one of Donald Trump's NFTs. Image: Donald Trump.
Donald Trump’s NFT collection has condensed much of the wild volatility of the NFT space into its first five weeks of existence: it faced widespread ridicule but ultimately sold out, then saw prices and sales surge before quickly crashing. Now, sales are suddenly skyrocketing again.
Total daily sales volume for the official Trump Digital Trading Cards collection rose nearly 800% from Tuesday to Wednesday, jumping from about $34,000 worth on Tuesday to over $306,000 worth yesterday.
That’s according to data from analytics platform CryptoSlam, which shows continuing momentum with some $241,000 worth of sales so far today. At one point this morning, the site showed a 1,900% rise in 24-hour trading volume compared to the previous reporting period.
The number of NFTs traded rose day over day, but so did the average sale price. On Tuesday, CryptoSlam recorded 115 total transactions at an average sale price of $296 worth of ETH per NFT. Yesterday, however, the tallies surged to 704 NFTs traded at an average of $435 apiece. So far today, the average sales price is about $670.
According to data from NFT Floor Price, which tracks the price of the cheapest-listed NFT for projects across top marketplaces, the starting price has nearly doubled from $235 worth of ETH at the start of Wednesday to $454 as of this writing. It briefly topped $500 this morning.
While there’s no concrete reason for the sudden jump in activity, some on Crypto Twitter believe that rising demand is tied to a report that the disgraced former United States president is planning a return to mainstream social media networks. He was banned from Facebook and Twitter for inciting the January 6 attacks on the U.S. Capitol Building.
Trump trading card NFTs quietly up 2x overnight... I think the boomers still don't know how to use Polygon.
4. Bullish crypto traders maintain the upper hand despite the total market cap rejecting at $1T
Former BitMEX CEO Arthur Hayes says catastrophe is coming for the crypto sector, but derivatives data shows bulls slowly taking control of the market.
The total crypto market capitalization soared by 29.4% in two weeks, although Bitcoin's
BTC $21,128 price stabilized near $21,000 on Jan. 19.
As a result, it became increasingly difficult to justify that the five-month-long bearish trend still prevails after the $930 billion total crypto channel top has been breached. Still, the psychological $1 trillion resistance remains strong.
The move possibly reflects investors becoming more optimistic about risk assets after weaker-than-expected inflation metrics signaled that U.S. Federal Reserve’s interest rate hiking strategy should ease throughout 2023.
However, Klaas Knot, who serves as the governor of the Dutch central bank, stated on Jan. 19 that the European Central Bank (ECB) “will not stop after a single 50 basis point hike, that’s for sure.”
At the Davos forum, Knot added: “Core inflation has not yet turned the corner in the Euro area.”
In essence, investors fear that another round of interest rate increases could further pressure corporate earnings, triggering unemployment and a deep recession. In this case, a sell-off on the stock market becomes the base scenario and the crypto markets would likely follow the bear trend.
To further prove the strong correlation between cryptocurrencies and the stock markets, the Russell 2000 index declined 3.4% between Jan. 18 and Jan. 19. The movement coincides with the total crypto market capitalization correcting by 4% after flirting with the $1 trillion mark on Jan. 18.
The 10.4% gain in total market capitalization between Jan. 12 and Jan. 19 was impacted mainly by Bitcoin’s 10.4% gains and Ether
ETH $1,563 which traded up by 8.7%. The bullish sentiment was more eventful for altcoins, with eight of the top 80 coins gaining 20% or more in the period.
5. Gemini’s Bitcoin Inflows From Other Exchanges Dropped to Roughly Six-Year Low, CryptoQuant Data Shows
The data suggests traders may be finding Gemini to be less desirable than other exchanges.
Executives at Gemini, the crypto exchange led by Cameron and Tyler Winklevoss, have insisted in a blog post that the halt in customer withdrawals on the company’s $900 million Earn program “does not impact any other Gemini products and services.”
But a close look at blockchain data reveals a recent slowdown in incoming bitcoin (BTC) transfers to Gemini from accounts at other exchanges, which analysts see as a possible sign some crypto traders have become more leery of sending their assets to the main platform.
Bitcoin holders might not be making the distinction that the yield-focused Earn program is separate from the exchange.
On-chain data sourced from CryptoQuant shows that the 30-day simple moving average (SMA) of BTC inflows to Gemini has ranged between roughly 100 BTC and 200 BTC in so far in 2023, down from roughly 1,100 BTC to 2,300 BTC about six months ago. The average dropped to 106.5 BTC on Jan. 8, the lowest in almost six years.
“Declining BTC inflows from other exchanges to any particular exchange could suggest investors/traders see that particular exchange as less desirable to have their coins on,” said CryptoQuant in a report.
