February 24, 2022

​​$BTC 24 Hour High $39,303  / Low $36,737   |   $BTC -3.5% Past 24 hours; -16.2% Past 7 days

Stablecoin supply soared to $180B amidst uncertainty

Good morning. The digital asset market has turned sluggish since Ukraine declared a state of emergency. This fuels the bullish momentum of stablecoins as more investors flee to safety. The total supply of stablecoins has soared to over $180B, a 32% rise from mid-November 2021.

In the past 24 hours, $BTC failed to make any significant price movement and is now trading at $36,000. Trading volumes have decreased steadily, showing a lack of liquidity in the market. The bulls are hoping for some major catalysts on the horizon to bring the No.1 digital asset back to life. We are now at a crossroads – either $BTC rebounds quickly upon reaching $3,000, the 0.382 Fibonacci retracement levels as seen in May 2021, or plunges into a long-term descent if the support levels fail to hold. $BTC is now trading below the 200D MA since early January and the previous death cross is possibly playing out now.

$ETH’s support at the 0.5 Fibonacci retracement level is holding strongly. However, if the near-term support fails to hold, we may slip to $1,850 at the 0.386 Fibonacci retracement level. RSI remains healthy and is about to reach the oversold levels soon. The current market sentiment is largely bearish as prices are trading below the 50D MA and 200D MA. Further, ETH’s daily transactions have dropped to 1.2M now, compared to a peak of 1.7M and 1.5M in May 2021 and Nov 2021, respectively.

According to a recent BNY Mellon study conducted in Q4 2021, 77% of family offices said they had already invested or were interested in getting into the digital asset space. Under half (40%) of those 200 participants believed that digital assets can complement their investment strategy, and two-thirds of the group planned to increase their exposure within the next 1-2 years. The family offices surveyed manage over $150M in assets, with 50% from the U.S. and the rest from Australia, Brazil, Canada, India, Italy, Germany, South Africa and the UK.  

Learn more from today’s Trader View video

Digital assets market:

  • Total crypto market capitalization stands at $1.77T, -0.8% from yesterday
  • $BTC is -2.47% at time of writing; 24H liquidations and funding rates: $50.92M, -0.00502% average
  • $ETH is -1.76% at time of writing; 24H liquidations and funding rates: $40.65M, -0.00098% average
  • Stablecoins market dominance: USDT 43.57%; USDC 28.93%; BUSD 9.99%; TerraUSD 6.78%; DAI 5.28%

Alts and DeFi watch:

  • DeFi TVL: $196.98 (+1.39% over last 24h)
  • $SOL -2.9% in the last 24 hours, -18.7% in the past week 
  • $SHIB -1.0% in the last 24 hours, -19.5% in the past week
  • $SAND -7.3% in the last 24 hours, -31.4% in the past week
  • $ENJ -5.6% in the last 24 hours, -29.1% in the past week

More news that caught our eye:

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

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