FameEX Weekly Market Trend | June 29, 2023

1. Market Trend

Between June 26 and June 28, the BTC price fluctuated between $29,930 and $30,995, with a volatility of 3.55%. Based on the 1-hour candle chart, after the BTC price broke through the significant psychological level of $30,000, its price has been consolidating at high levels for the past few days. During this period, there have been instances where the price briefly dropped below $30,000, but without exception, it quickly recovered and rose above $30,000, indicating a strong bullish signal. However, many other cryptocurrencies had significant retracements, indicating that market funds primarily focus on BTC. In the near term, it is crucial to monitor the support level around $30,000, as it will greatly influence the market’s short-term direction. BTC may oscillate around this level, trading time for space to complete its technical adjustment. For users who do not hold positions, it is advisable to observe more and act less at this level, looking for a breakthrough and stabilization above $31,000 or the support effect around $30,000 to make the right decisions.

Source: BTCUSDT | Binance Spot 

Between June 26 and June 28, the price of ETH/BTC fluctuated within a range of 0.06131 to 0.06243, showing a 1.82% fluctuation. Looking at the hourly candlestick chart, the ETH/BTC price continued to follow its previous trend, operating within a descending channel without any breakthrough. The downward diverging moving averages suggested possible new lows. Therefore, It’s prudent to avoid this currency in the short term and adopt a more observant approach.

Source: ETHBTC | Binance Spot 

Based on overall analysis, after a strong rally in BTC, the market has entered a period of consolidation. Many cryptocurrencies have experienced retracements, and the magnitude of the retracements has been significant. In comparison, BTC has shown more stability and is consolidating at high levels. It is crucial to continue monitoring the support effect of BTC around the 30,000 level in the later stages. In terms of trading strategy, it is advisable to wait for BTC to choose a direction before considering entry into the market.

The Bitcoin Ahr999 index of 0.73 is above the buy-the-dip level ($23,980) but below the DCA level ($39,150). It is viable to purchase popular coins through DCA.

Source: OKLink

From the perspective of MVRV Z-Score, the value is 0.68. When the value is greater than 6, it enters the market tops, while a value below 2 indicates that it enters the market bottoms. Currently, the present value exceeds the buying-the-dip range (-0.44-0.03).

Source: coinsoto

2. Perpetual Futures

In general, the 7-day cumulative funding rates for the popular coins across major exchanges are positive, indicating that long leverages are relatively high.

Source: coinsoto

Between June 26 and June 28, there were no significant changes in the contract open interest of BTC and ETH from major exchanges, remaining at a relatively stable level.

Exchange BTC Contract Open Interest:

Source: coinsoto

Exchange ETH Contract Open Interest:

Source: coinsoto

3. Industry Roundup

1. 1) On June 26, data showed that over $32 million worth of OP tokens would be unlocked this week.

2. 2) On June 26, HSBC Hong Kong allowed customers to trade virtual asset ETFs listed on the Hong Kong Stock Exchange.

3. 3) On June 26, according to data, Blend, a trading platform under Blur, surpassed $1 billion in total trading volume with over 70,000 matched lending transactions.

4. 4) On June 27, FTX CEO stated that FTX has been lying to banks about commingled funds for years.

5. 5) On June 27,  the co-founder of Circle highlighted monitoring regulatory developments closely in Hong Kong.

6. 6) On June 27, HKVAC, a virtual asset rating agency in Hong Kong, published the methodology for calculating virtual asset indices.

7. 7) On June 27, the Head of CBDC at the Bank of England stated that the digital pound will be anonymous, with privacy being a key focus.

8. 8) On June 28, the People’s Bank of China Shanghai Headquarters stated it is crucial to reject illegal financial activities related to virtual currency trading speculation.

9. 9) On June 28, FTX began negotiations for the relaunch of an international cryptocurrency exchange.

10. 10) On June 28, CEO of Golden Finance, Wang Yukun announced that Golden Finance officially established its Hong Kong branch.

Disclaimer: FameEX makes no representations on the accuracy or suitability of any official statements made by the exchange regarding the data in this area or any related financial advice.