Pan-African crypto exchange Mara reportedly lost approximately million out of the million raised from investors. Following the exchange’s collapse, founder and CEO Chinyere Nnadi is said to have launched a new entity called Jara. Nnadi reportedly argued that the exchange depleted its raised capital by paying high salaries to attract talent. CEO Avoids […]
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Is Avalanche (AVAX) Nearing Collapse? Analyst Predict Further 60% Correction — Here’s Why
In recent trading sessions, Avalanche (AVAX) has seen a significant drop in its market value, with its price tumbling to a six-month low.
Over the past month, AVAX has plummeted by 25%, with a 14.7% drop in just the past week and a further 0.3% decrease in the last 24 hours, bringing its current trading price to .23. This decline marks a stark turnaround for an asset that has otherwise shown strong performance in previous months.
Additional 60% Correction Ahead For AVAX, But Why?
The persistent downward trend has not gone unnoticed in the crypto community. Technical analysis reveals troubling signs, with the AVAX chart displaying a potential for further declines.
Crypto analyst Patel, referencing the current chart patterns, speculates that AVAX could soon face an additional 40% to 60% drop in its value. The formation of a head-and-shoulder pattern, a classic technical indicator of future price decreases, drives this bearish outlook.
Patel pointed out the critical nature of the head-and-shoulder pattern forming on the AVAX chart, noting that the neckline support has already been breached. This break suggests a bearish continuation, with Patel forecasting potential declines to as low as and possibly even .
AVAX/USDT Chart Analysis:$AVAX is forming a head & shoulder pattern. The NECK LINE support is broken, indicating a bearish trend.
Expecting a 40%-60% downside move. Targets: & .
Not saying don’t open long scalps, but use strict stop loss. Trade wisely!#Crypto… pic.twitter.com/FFetHS2GZc
— Crypto Patel (@CryptoPatel) June 23, 2024
Given these predictions, Patel advises traders and investors to exercise caution, particularly those considering opening long positions. He emphasizes the importance of implementing strict stop-loss measures to manage risks associated with the anticipated volatility.
External Influences And Optimistic Counterpoints
Further compounding AVAX’s market woes is the activity of significant holders moving large volumes of AVAX to major exchanges.
Prominent on-chain investigator ZachXBT has recently linked the ongoing decline in AVAX’s value to significant transactions by a specific entity identified as ‘0x32…4f30.’
This entity has reportedly transferred approximately 1.96 million AVAX, valued at .2 million, to major exchanges, including Coinbase, Binance, and Gate, and has also facilitated transfers via THORChain.
This type of large-scale movement typically indicates a bearish sentiment among major holders, potentially leading to further declines if the trend continues.
Despite the prevailing downturn in AVAX’s performance, some analysts remain optimistic about the broader altcoin market. Analyst Captain Faibik suggests the current correction period could be a prime investment opportunity for long-term investors.
According to Faibik, the altcoin sector has shown resilience and growth over the past several months and is merely undergoing necessary corrections after significant gains.
He predicts that the latter half of the year could witness a robust recovery, advising investors to “buy the dips” in anticipation of a bullish resurgence in Q3 and Q4.
Q3 & Q4 gonna be EPIC for the Altcoins..!!
I understand that this period is very Challenging for Altcoin Holders, given that altcoins are down 40-50%.
However, let’s not Forget that we have made Significant gains over the last 7-8 Months (since October 2023).
From October 2023… pic.twitter.com/w5tterrE8O
— Captain Faibik (@CryptoFaibik) June 23, 2024
Featured image created with DALL-E, Chart from TradingView
Economist Jim Rickards: The Global Clearance and Settlement System Might Collapse After Seizure of Russian Assets
Jim Rickards, an economist and author of the best-selling book ‘Currency Wars,’ has issued an alert about the possible collapse of the global clearance system. In a recent interview, Rickards noted that Euroclear, a settlement service, holds 0 billion in Russian assets. He further explained that Euroclear could face lawsuits if Western countries seize these […]
Bitcoin News
Only 8 Altcoins Have Broken ATH Against Bitcoin Since FTX’s Collapse – Analyst Weighs In
During this bull cycle, the crypto market has been surfing off Bitcoin’s crest and enjoying the bullish momentum. However, investors hope for a seismic explosion to impulse Altcoins to new highs.
As the crypto industry awaits, online reports revealed that, since FTX’s fall, only eight altcoins have hit a new all-time high (ATH) against Bitcoin. A crypto analyst shared his thoughts on the matter.
Altcoins Underperforming Against Bitcoin This Cycle
On Friday, Crypto analyst Miles Deutscher shared an interesting fact about the crypto market. Since November 2022, just eight altcoins have broken their previous ATH against the flagship cryptocurrency.
To achieve this feat, tokens include Render (RNDR), Tellor (TRB), Injective (INJ), Astar (ASTR), SSV Network (SSV), SingularityNET (AGIX), True Wallet Token (TWT), and Binance Coin (BNB).
It’s worth noting that RNDR was the latest one to accomplish this on March 11 and that the list only contains altcoins launched before FTX’s collapse.
Deutscher explained that despite his initial shock, the news made sense to him and highlighted some takeaways based on the singularities of this run.
First, the analyst considers that asset selection dynamics changed from previous cycles. Investors have been “punished” for being overexposed to certain sectors like L2 and gaming and “rewarded” for participating in others like Memecoins and AI.
In contrast, in the last cycle, “you could basically bet on anything and beat $BTC.” According to the analyst, the market will likely continue experiencing specific sector outperformance despite the retail liquidity injection.
He also explained that “crypto is an attention economy,” and money will flow where attention is. As a result, even the projects with the best technology won’t perform if there isn’t an exciting reason to buy.
Deutscher’s second takeaway highlights the market’s current ATH dilution. As he points out, thousands of new products are being launched daily, and “low float/high FDV VC coins are launching in the billions.” These launches are seemingly outpacing the new liquidity, resulting in Altcoins struggling with performance.
More Room To Catch Up
The analyst’s third point explains that the bull run has been led by Bitcoin and spot BTC exchange-traded funds (ETH). Based on this, he considers it unsurprising that altcoins have “hardly pumped” so far.
Various crypto analysts and experts share this opinion. Alex Krüger previously stated that the cycle has been “almost entirely” driven by the Bitcoin ETFs’ momentum.
Deutscher sees Altcoins’ underperformance as a bullish signal since Bitcoin’s dominance has been instrumental in previous cycles. To him, this performance allows “more room to play catch up” and could drive altcoins to unseen highs.
The analyst believes the market needs another catalyst for a true Altcoins season. Despite this, he highlights that many investors have had a record Q1 “even in mildly bullish conditions for most alts.”
Ultimately, Deutscher considers there is still room to make big profits this cycle “even without the face-melting altseason we all crave.”
Parabolic Rally In The Making? Bitcoin Regains $70,000 As Traders’ Paper Profits Collapse To 3%
The world’s largest cryptocurrency, Bitcoin (BTC), has been consolidating over the past week, trading between ,000 and ,000 after experiencing a brief 20% price correction that sent it as low as ,400 in early May.
This consolidation period comes as inflows into the US spot Bitcoin ETF market have reignited, and selling pressure appears to have cooled off, both in the ETF market and among Bitcoin investors more broadly.
Bitcoin Selling Pressure Fades
According to Julio Moreno, head of research at on-chain market analytics firm CryptoQuant, the current Bitcoin price level of ,000 differs from when it last reached that mark in March.
Moreno notes that traders are now exerting much lower selling pressure, as unrealized profits are only around 3%, compared to 69% in early March. This suggests that much of the “heavy selling” has been exhausted, as seen in the chart below.
Santiment data also shows that Bitcoin has once again eclipsed a ,000 market capitalization, even as the US stock market took a hiatus for the Memorial Day holiday.
Market intelligence platform Santiment sees this as an encouraging sign, as it demonstrates BTC’s ability to perform positively on days when it is not closely correlated with the primary stock market, which has been the case for much of 2022.
Final Pre-Breakout Consolidation Phase
Despite this positive momentum, crypto analyst Rekt Capital has noted that Bitcoin’s latest weekly candle closed below the range high resistance of its ongoing “re-accumulation” phase, which spans roughly ,000 to ,000.
This likely sentences the leading cryptocurrency to further consolidation within this range, aligned with Rekt Capital’s thesis that two phases remain in the current bull cycle: the post-halving re-accumulation phase and the “parabolic rally phase.”
Historically, Bitcoin has tended to consolidate around all-time highs before embarking on the most illustrative stretch of its bull cycles. According to the analyst, Bitcoin has indeed been consolidating at these highs for quite some time now, especially by the standards of previous cycles.
While there is still room for further sideways trading at these elevated price levels, the time remaining in this phase is slowly running out. This leads to the belief that the long-awaited post-Halving rally, coupled with renewed investor sentiment, is poised to take the largest cryptocurrency on the market to even higher levels than the current ,700 reached in mid-March.
As such, Bitcoin appears to be entering a critical juncture in its current bull cycle. The consolidation and re-accumulation that has dominated the market in recent months could soon give way to the next parabolic surge, should historical patterns hold.
As of now, BTC has gained 2% in the past 24 hours, adding to its 10% positive movement in the past month alone. Bitcoin is currently trading at ,200.
Featured image from Shutterstock, chart from TradingView.com
Former Bank CEO Pleads Guilty to Embezzling $47M to Buy Crypto, Leading to Bank Collapse
Former Heartland Tri-State Bank CEO Shan Hanes pleaded guilty on Thursday to embezzling .1 million for personal cryptocurrency purchases, leading to the bank’s collapse. From May to July 2023, Hanes executed at least 10 wire transfers from the Elkhart-based bank to cryptocurrency accounts. The bank’s failure resulted in a total loss of equity for investors. […]
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Despite FTX’s Collapse, FTT’s $535M Market Cap Highlights Crypto Absurdity
Ten days ago, the FTX estate overseeing the bankrupt company’s proceedings informed customers they would receive more than 100% repayment. Following this announcement, the exchange token FTT from the defunct trading platform rose above per unit. Astonishingly, despite being tied to a failed crypto exchange, this token still holds a market valuation of 5 […]
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Robert Kiyosaki Warns of US Dollar Collapse if BRICS Crypto Happens
Rich Dad Poor Dad author Robert Kiyosaki has issued a cautionary statement regarding the possible downfall of the U.S. dollar in the event of the BRICS economic bloc launching a gold-backed cryptocurrency. Kiyosaki predicts a scenario where trillions of U.S. dollars flood back into the country, leading to hyperinflation and the eventual collapse of the […]
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Analyst: Gold and Silver Set to Rally Amidst a Collapse of the US Financial System
Egon von Greyerz, a former banker and gold analyst, claims that gold and silver are set for a price rally amidst an upcoming collapse of the U.S. financial system. Von Greyerz states that interest rates will exceed 10% in a hyperinflationary environment, fueled by the issuance of unlimited debt and the loss of trust in […]
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Sam Bankman-Fried Breaks Silence: ‘Haunted’ by FTX Collapse, Vows to Appeal and Criticizes Legal Process
The fallen founder of FTX, Sam Bankman-Fried (SBF), broke his silence for the first time since being sentenced to 24.25 years in prison, engaging in an email conversation with ABC News. SBF expressed that he is “haunted” daily by the events that transpired, emphasizing his stance that he “never intended to hurt anyone.” Former FTX […]
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