January 17, 2022

​​$BTC 24 Hour High $43,497 / Low $42,600    |   $BTC +0.4% Past 24 hours; +3.5% Past 7 days

Lowest BTC dominance since 2018, altcoins outperform

Good morming. Over the weekend, $BTC traded sideways while several Layer-1 coins, namely $LUNA, $MATIC, $NEAR and $AVAX performed strongly. BTC dominance has decreased to 39.38%, a level not seen since May 2018, indicating a continuation of capital moving from $BTC into the altcoin space. If this trend sustains, altcoins will continue outperforming $BTC.  

Nevertheless, $BTC managed to clear the $44,500 upside hurdle while $42,500 and $40,500 continue acting as current support. The support formation at $40,500 is highly important though, and we expect this level to hold. The death cross finally took place over the weekend, with no negative impact on the prices. The Crypto Fear and Greed Index has indicated ‘Extreme Fear’ in the market for almost a month now; investors are looking for a trend reversal sign. Funding rates have become more negative across most exchanges, indicating a higher preference among shorts to use leverage rather than longs. The longer we consolidate at these levels, the more likely the bottom we saw on January 10 is indeed the local bottom. 

$ETH tested $3,400 several times in the last week after grinding higher. As shown by the negative funding rates, the overstretched shorts we saw in the market seem to be receding. Although the current market is short of liquidations, market participants have likely placed higher leveraged longs. Last Friday, $ETH saw a retest of $3,200 which successfully held at 0.5 Fibonacci retracement level between May-high and July-low of last year, while the 0.618 Fibonacci retracement is acting as current resistance. 

Jack Dorsey former Twitter CEO and Block founder revealed plans to create a “Bitcoin Legal Defense Fund”, along with Chaincode co-founder Alex Morcos and academic Martin White. The fund aids BTC developers facing countless litigations from regulators and governments, and aims to defend them from lawsuits arising from their involvement in activities within the BTC ecosystem. Dorsey remarked that ongoing litigations and threats are causing individual defendants to capitulate due to the lack of legal support. 

Last but not least, we are excited to share that eight new tokens – BAND, DAI, MANA, MATIC, OGN, SNX, SUSHI and YFI have just landed on OSL. First movers get the edge, trade them via the OSL Exchange, iRFQ platform and OTC desk now.  

Learn more from today’s Trader View video

Digital assets market:

  • Total crypto market capitalization stands at $2.2T, +0.8% from yesterday
  • $BTC is -0.46% at time of writing; 24H liquidations and funding rates: $19.10M, -0.01278% average
  • $ETH is -0.63% at time of writing; 24H liquidations and funding rates: $16.73M, -0.01126% average
  • Stablecoins market dominance: USDT 46.13%; USDC 26.73%; BUSD 8.49%; TerraUSD 6.29%; DAI 5.44%

Alts and DeFi watch:

  • DeFi TVL: $96B
  • $SOL -0.4% in the last 24 hours, +4.8% in the past week 
  • $SHIB -1.8% in the last 24 hours, +7.3% in the past week
  • $SAND +0.2% in the last 24 hours, +2.8% in the past week
  • $ENJ +0.9% in the last 24 hours, +8.6% in the past week

More news that caught our eye:

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