Last Week’s Market Wrap  

Last week the cryptocurrency market went through a slight correction as uncertainty spilt from legacy markets. Although the retreat was weak as we mentioned throughout the week and despite the minor decline, cryptocurrencies have recovered and stood strong without sharp movements. Bitcoin started last week trading above the $23,000 level and closed the week above it as well, despite retreating to $22,000 due to the FED’s latest interest rate hike, and ongoing tension between China and Taiwan.

Ethereum has been showing even stronger bullish signs, despite retreating to the $1,500 level last week. Buyers reclaimed the $1,700 level toward the end of the week, after a consolidation of several days. In an interesting turn, Binance has announced that it will add Shiba Inu coin, Ripple coin, and Avalanche as a means of payment with the Binance Card, which is already available only for the residents of the European Economic Area. Although, that didn’t help these crypto coins much.

Cryptocurrencies have been showing bullish signs for more than a month and charts signal that the uptrend might pick up further pace as the demand for cryptocurrencies increases. According to The Balance, almost 40% of American investors are investing even more in digital coins as they look into new ways to invest and preserve their wealth as the economic and political/social situation becomes more unclear.

Besides that, around 75% of retailers plan to accept either cryptocurrency or stablecoin payments within the next two years, according to Deloitte. So, we will observe the crypto market and probably make a few purchases this week, especially if we see a retrace lower.

Crypto Signals Update

Cryptocurrencies continue to remain bullish despite the small retreat last week, so we are keeping the bullish bias and plan on opening several buys crypto signals this week. Last week we opened two crypto signals, buying Bitcoin, although that signal closed in a loss as BTC retreated lower.

MAs Have Turned into Support for ETHEREUM

Ethereum pushed higher by the middle of July after trading in a range above $1,000 for about a month. Buyers pushed above the 50 SMA (yellow) which was the first bullish signal and after the first failure at the $1,700 support and resistance level, ETH/USD pushed above it, as the 20 SMA (gray) turned into support. This shows that the buying pressure is picking up.

ETH/USD – 240 minute chart

 BITCOIN Respecting the Bullish Channel

Bitcoin has been recuperating slowly since it fell below $20,000 in June. Although there was no follow-through lower since then, which indicated that the support zone is holding. BTC has been making higher highs and higher lows since then which is another bullish signal. So a bullish channel has been forming here, and we are already long on BTC.

BTC/USD – Daily chart