October 18, 2021

​​$BTC 24 Hour High $61,728
$BTC 24 Hour Low $59,228
$BTC +1.0% past 24 hours; +12.7% past 7 days

$BTC closes the week at highest ever price level

Good morning. $BTC is entering uncharted territory, with the highest ever weekly close at 61.5K earlier today.   

Despite the high weekly close, $BTC had a quick overnight move down to the resistance at 59.4K after moving persistently higher over the last two days. The upward trending resistance-turned-support line is still holding.

$BTC may start seeing a pullback to wipe out some leverage. But there is no change to the funding rates as they started to swell, with some exchanges’ funding rates at the highest since May. However, investors need to be cautious as the Fear and Greed Index entered the “extreme greed” zone at 79. Should there be a pullback, $BTC is likely to test several key support levels at 60K, 57.5K and 53K before exploding higher to set new ATH (see the chart). The first real target will be at USD74,470 (see the chart) if we do break above the ATH.

$ETH is also on the upward trend, soaring to within 1% of $4,000. $ETH’s moved lower overnight to test the first critical support area at $3,680 which held. We are now back above the 0.786 Fib retracement (May High, June Low) at $3,810. Price consolidation at this level would build a strong block from which to move higher and test the third September local top at $4,026. Although it’s not as bad as $BTC, closely monitoring $ETH’s funding rates would be recommended as it appears to have started overstretching. Any sudden pullback in $BTC would filter through to $ETH and other altcoins.  

El Salvador, the world’s first nation to make $BTC legal tender, is seeing a higher conversion rate from USD to $BTC as interest in the cryptocurrency continues to soar. The Chivo wallet, the wallet of choice for the El Salvadorians, also saw a significantly higher usage rate than local bank accounts. The wallet also allows the general population to receive subsidies such as discounts on fuel purchases and other basic activities, thus encouraging further interaction between the government and its people.

Learn more from today’s Trader View video

Digital assets market:

  • Total crypto market capitalization stands at $2.58T, +0.1% from yesterday
  • $BTC is up 0.2% at time of writing, support / resistance – 58,427 / 62,945
  • $BTC liquidations and funding: $57.95M, +0.0227% average
  • $ETH is up 0.3% at time of writing, support / resistance – 3,600 / 4,050
  • $ETH liquidations and funding: $67.28M, +0.0289% average

Alts and DeFi watch:

  • DeFi TVL: $98.07B
  • $DOT up 1.8% in the last 24 hours, up 23.3% in the past week 
  • $MATIC down 2.7% in the last 24 hours, up 16.2% in the past week
  • $OHM down 10.1% in the last 24 hours, down 19.8% in the past week
  • $STX up 23.4% in the last 24 hours, up 13.9% 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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