August 18, 2021

​​$BTC 24 Hour High $46,970
$BTC 24 Hour Low $44,510
$BTC -3.5% past 24 hours; -2.3% past 7 days

Prices move lower, eyes on upcoming support levels to hold 

Good morning. Over the last few days, the GBTC discount massively widened by 15%, whereas the ETHE is at almost 13% discount. With these discounts, some institutional investors may have already taken the chance to buy at much lower than where the physical spot price is currently trading.

The widening discount indicates that the demand might not be as strong as previous levels at the beginning of the year. This may also explain why leverage is still relatively low. Yet, once the discount narrows, we might experience the same euphoria that we had early this year.

$BTC is entering what could be a fifth straight day of declines as its 200d MA has failed to hold support. We are now looking at the next level of support at 44K, which was the low from Aug 13 and the upward trending support line. If it fails to hold, our eyes are on 43,800, the local top from Aug 1. If you want a great guide for price moves in this run, focus on the Fib retracement level.

$ETH’s upward trending support line broke. After dropping out of $ETH’s trading corridor, we’ll probably see prices trading below 3K today. 2982 will be the support level that we need to keep an eye on. Should that fail to hold, 2900 will be our next target. In the interim, our advice is to identify support levels below that by looking for previous local tops since Mar. 

With a decent recovery in prices seen in both BTC and ETH, crypto-related beneficiaries such as DeFi tokens and the derivatives markets have sprung to life once again. Based on Bybt’s data, the open interest on BTC options in various exchanges has more than doubled from this year’s low of $3.63B in June to a high of $7.86B on Aug 14. Similar spikes were seen for ETH options, $2.42B in July to a 2-month high of $4.26B on Aug 14. This spike in derivatives was mainly led by institutional players and third-party OTC platforms, allowing for easier participation in the crypto derivatives market.

Learn more from today’s Trader View video.

Digital assets market:

  • Total crypto market capitalization stands at $1.95T, -3.8% from yesterday
  • $BTC is down 0.7% at time of writing, support / resistance – 41,150 / 48,480
  • $BTC liquidations and funding: $184.97M, 0.0146% average
  • $ETH is down 1.5% at time of writing, support / resistance – 2,830 / 3,530
  • $ETH liquidations and funding: $133.73M, 0.0210% average

Alts and DeFi watch:

  • DeFi TVL: $79.2B
  • $TRX down 7.79% in the last 24 hours, up ~9.50% in the past week 
  • $THETA down 11.62% in the last 24 hours, down ~4.70% in the past week
  • $AAVE down 9.59% in the last 24 hours, down ~5.34% in the past week
  • $CAKE down 4.65% in the last 24 hours, up ~8.32% 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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