November 19, 2021

$BTC 24 Hour High $61,053
$BTC 24 Hour Low $58,994
$BTC +1.5% past 24 hours; -6.6% past 7 days

$BTC tumbles, next support at $53K

Good morning and happy Friday. The “Fear & Greed Index” dropped from the “Greed” at 74 to “Fear” at 34 in such a short period of time, some consider it a shakeout of market confidence. Don’t forget that $BTC is still hovering at around $56K. The silver lining maybe that there is not much further downside to come. 

Nevertheless, $BTC’s sell-off continued overnight, and tumbled to a three-week low under $60K. It’s likely to drop further until funding rates are lowered to clear out the leverage. On November 5, we highlighted how the price action since October seemed like a more compact version of what we had seen for the first six months of the year. Should the downward momentum persist, 54K will be the next critical support area, with 0.5 Fib retracement of the run from September to now, on a more macro view, the 0.786 Fib retracement for the entire bull run since March 2020.

$ETH followed $BTC’s dip and got dragged lower due to the spot market sell-off and involuntary liquidations. $ETH’s forced liquidation is around half of $BTC’s liquidation amount over the last 24 hours. After breaking $4,200, $ETH is testing support at $4,000. Given the speed of the move lower, we wouldn’t be surprised to see a drop further to $3,800. $3,800 is not only the bottom of the 2021 trading corridor, but also where support comes through from the two highs in May and September. It is also the 0.786 fib retracement for the entire bull run since March 2020. Should the RSI drop to 34, this could represent a prime buying opportunity for the bulls, given the overall macro bullish view of the market.

Two fintech giants have announced a partnership to launch the first syndicated loan in DeFi. Alameda Research will utilize Maple Finance’s (a corporate capital marketplace for digital assets) development tools to access loans to accredited non-US corporates via a single-borrower DeFi lending pool, mirroring TradFi’s loan syndication of single borrower, multiple lenders model. The first deal sees Alameda as the sole borrower, and with its current strong reputation, pays competitive interest rates to lenders in this pool which includes Abra, Ascendex & CoinShares.

Learn more from today’s Trader View video.

Digital assets market:

  • Total crypto market capitalization stands at $2.61T, -5.7% from yesterday
  • $BTC is +0.21% at time of writing; 24H liquidations and funding rates: $227.58M, +0.01088% average
  • $ETH is +0.48% at time of writing; 24H liquidations and funding rates: $123.56M, +0.01567% average
  • Stablecoins Market Cap: USDT 51.91%; USDC 23.91%; BUSD 9.09%; DAI 4.56%

Alts and DeFi watch:

  • DeFi TVL: $91.13B
  • $SOL -10.4% in the last 24 hours, -16.4% in the past week 
  • $SHIB -11.6% in the last 24 hours, -24.2% in the past week
  • $SAND +16.7% in the last 24 hours, +80.3% in the past week
  • $ENJ +0.8% in the last 24 hours, +2.0% in the past week

More news that caught our eye:

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

OSL is Asia’s most comprehensive digital asset platform providing brokerage, exchange, software-as-a-service and insured custody solutions to professional investors.

Home to one of the world’s largest and most experienced digital asset trading desks, OSL has its finger on the pulse of the market. The Trader View newsletter is a short, easily digested summary of market activity and eye-catching news of the day.

Feedback is important to us, and we’re keen to learn more about the types of insights and intelligence that matter to you most. Please share your thoughts with us.

And be sure not to miss future OSL news and insights by following us on Twitter, Linkedin, Facebook, and Telegram.Please refer to OSL’s relevant disclaimers and disclosures associated with this note, including restrictions on redistribution.