$BTC jumps 17% to reclaim $20K after massive sell-off

$BTC 24 Hour High $20,790 / Low $17,932 |   $BTC -9.8% Past 24 hours; -32.1% Past 7 day

Good morning. It was a rollercoaster weekend for $BTC after nosediving to the market bottom of $17,700. It then bounced back by 17% and reclaimed the psychological threshold of $20,000. The Fear & Greed Index continued to fixate at the historically low level within the ‘extreme fear’ zone.

Many investors tried to buy the dip when $BTC slid below $20,000. The strong relief bounce shows significant support at these levels. Though we expect the markets may pick up in the near term, we likely see highlighted volatility to continue whipsawing the markets. Investors should keep an eye on on-chain metrics when transactions start picking up again. Meanwhile, MACD continues to trend downwards sharply while $BTC’s weekly (14-period) RSI is standing at 25, one of the lowest levels of all time. $BTC may slide towards $18,500 and $17,700 should the $19,300 support fail to hold.

Similarly, $ETH is trading below the $1,000 mark after plunging to $883 over the weekend. The No. 2 digital asset saw an 82% price loss over the last six months. Its RSI dropped to 27, the second lowest price in the last five years. Many investors see this as an opportunity to buy the dip, but not enough evidence is slated for a rebound soon.

In other news, El Salvador President Bukele instructed crypto traders to ‘stop looking at the BTC chart and enjoy life’. His stance is that BTC holders should rest assured knowing that their investment is safe and its value would tremendously increase after the bear market. According to BTC Treasuries, the country’s BTC purchases have undergone a 62.2% decline in value, which is $53 million in unrealized losses, despite the president’s confident outlook.

Learn more from today’s Trader View video.

Digital Assets Market:

  • Total crypto market capitalization stands at $926B, +5.3% from yesterday
  • $BTC is -2.39% at time of writing; 24H liquidations and funding rates: 130.65M, -0.00329%
  • $ETH is -3.74% at time of writing; 24H liquidations and funding rates: 114.13M, +0.03047%
  • Stablecoins market dominance: USDT 44.16%; USDC 36.44%; BUSD 11.16%; DAI 4.07%

Alts and DeFi watch:

  • DeFi TVL: $72.79B (-3.48% over last 24 hours)
  • $SOL +7.3% in the last 24 hours, +8.3% in the past week
  • $SHIB +5.5% in the last 24 hours, -6.9% in the past week
  • $SAND +4.6% in the last 24 hours, -13.7% in the past week
  • $ENJ +5.7% in the last 24 hours, -12.1% in the past week

More news that caught our eye:

OSL Trader View is contributed by Hans-Stefan Vonhaenisch, Tiffany Wee & Ethan Fu.

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