October 22, 2021

​​$BTC 24 Hour High $66,838
$BTC 24 Hour Low $62,179
$BTC -4.1% past 24 hours; +9.8% past 7 days

$ETH retreats after hitting ATH 

Good morning and happy Friday. $BTC’s upward-trending support line has broken. Will we see a test of 57K, resembling the 38K test we experienced in September, resulting in the latest price breakout? 

Funding ratios have dramatically spiked, indicating a leg of spot buying power in the market. To continue the bull run, a pullback is perhaps required to shake out this excessive leverage. But before soaring to 60K, bulls need to defend $BTC’s initial support at 53K. We are only 20% from the latest ATH — it is easily achievable, given $BTC’s volatility. All of these levels present good buying opportunities for the bulls. 67K serves as the resistance to our 68K target.

After testing the top of the trading corridor, $ETH neared its ATH of $4,366 but then retreated aggressively within a short time span yesterday. While its funding ratios are unsustainably high, stay cautious as we may see a 13% drop immediately after the ATH down to $3,810. 

$ETH’s support levels are at $4,000, $3,850 and $3,680, with the latter being about 10% away from the current spot price. $ETH has had more room for price consolidation, thus we see stronger support in general. That said, if $BTC moves 15-20% lower, if not more, $ETH may well find itself in the low $3,000s in the short term. If these drastic moves lower do occur, they can present great buying opportunities for $ETH. The bottom of the 2021 trading channel, for example, appears to be a decent target to keep an eye on. 

The team behind Polygon (formerly Matic), a scalability solution for $ETH, has awarded a $2M bounty to a white hacker who found a critical vulnerability in its transaction channel, otherwise it would have resulted in a total of $850M worth of losses using just $100K to launch the attack. Polygon’s bounty programme launched on Immunefi welcomes white hat hackers to test and report vulnerabilities in its smart contracts and DApps, and has so far shown to have paid dividends.

Learn more from today’s Trader View video

Digital assets market:

  • Total crypto market capitalization stands at $2.69T, -2.5% from yesterday
  • $BTC is up 0.7% at time of writing, support / resistance – 58,427 / 65,037
  • $BTC liquidations and funding: $202.94M, +0.0387% average
  • $ETH is up 1.3% at time of writing, support / resistance – 3,971 / 4,511
  • $ETH liquidations and funding: $104.76M, +0.0521% average

Alts and DeFi watch:

  • DeFi TVL: $101.88B
  • $XLM down 4.1% in the last 24 hours, up 2.9% in the past week 
  • $FTT up 2.0% in the last 24 hours, up 14.8% in the past week
  • $OKB up 0.8% in the last 24 hours, up 53.3% in the past week
  • $SOL up 7.8% in the last 24 hours, up 53.3% 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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