August 17, 2021

​​$BTC 24 Hour High $47,880
$BTC 24 Hour Low $45,420
$BTC -5.0% past 24 hours; -1.7% past 7 days

Leverage picking up as markets test new local highs

Good morning. The momentum of the crypto markets is starting to drop off — MACD on both $BTC and $ETH are flashing the first sell signal since the rally began on July 20. Support levels are being tested as the markets pull back. 

$BTC is currently at 45-46k support. As prices moved downwards, it tested the lower level of this range. The 200d MA is acting as support, for now. We are keeping an eye on the 44K resistance area as the short-term target. $BTC tested this level on Aug 13, and the upward trending resistance line has been in place since July 20 also there. Over the next few weeks, should 42.5K fail to hold, we see a potential drop to 36-37K, finding support there before moving higher.

When we look at $ETH, there was a death cross several weeks ago where the 50d MA moved below the 200d MA. This led to a price rally of 30% over the following 15 days all the way through to Aug 16. Well done if you used it as a buying signal. After testing $3300, $ETH is receding to the 3100 area, and testing the short-term upward sloping resistance line (see graph). $ETH is still making higher highs and lower highs. It’s worth noting that the support levels of $ETH are in pretty even $100 splits. Nonetheless, we can’t rule out the possibility of $ETH moving back down to 3100. Should $ETH fail to hold, 3000 will be the next target. 2800 can be considered as a possible entry position since it is the support level created by the highs of May 26 and June 3. Our recommendation is keeping some money ready too, if $ETH drops to 2650 — but that looks relatively unlikely for now.

On a side note, Mike Novogratz’s investment management firm Galaxy Digital has reportedly participated in a $50 million funding round for Figment, a crypto-staking startup. Figment is now worth roughly $500M with the latest round of capital injection and has received investments from the likes of Anchorage, Bonfire Ventures, Senator Investment Group, and Liberty City ventures. Figment has staked more than $7B worth of digital assets on behalf of its 100 over institutional clients and will be using the fresh funds to enhance its service solutions and expand its workforce.

Learn more from today’s Trader View video.

Digital assets market:

  • Total crypto market capitalization stands at $2.02T, -2.9% from yesterday
  • $BTC is down 1.3% at time of writing, support / resistance – 41,150 / 48,480
  • $BTC liquidations and funding: $116.19M, 0.0037% average
  • $ETH is down 1.1% at time of writing, support / resistance – 2,890 / 3,530
  • $ETH liquidations and funding: $53.96M, 0.0012% average

Alts and DeFi watch:

  • DeFi TVL: $80.91B
  • $DOGE down 8.12% in the last 24 hours, up ~22.05% in the past week 
  • $UNI down 5.21% in the last 24 hours, up ~0.07% in the past week
  • $LINK down 3.18% in the last 24 hours, up ~13.61% in the past week
  • $MATIC down 6.16% in the last 24 hours, up ~23.75% in the past week

More news that caught our eye:

OSL Trader View is contributed by Emilia Lee, Ethan Fu & Stefan von Haenisch.

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