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Attention Cardano investors
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Bitcoin hits first three-week winning streak since February, bullish sentiment grows
Key points:
Bitcoin has experienced a significant price increase in recent weeks.
Call option buying activity has surged, indicating a bullish outlook for Bitcoin.
News - Bitcoin has experienced a significant uptick in recent weeks, marking its first three-week winning streak since February.
This surge has been fueled by a combination of factors, including increased investor interest in call options and positive developments in the broader cryptocurrency market.
Factors behind the surge? One of the key drivers of Bitcoin's price increase has been the growing popularity of call options, which provide investors with the right but not the obligation to purchase BTC at a predetermined price in the future.
The recent surge in call buying activity, particularly at the $75,000 strike price, indicates that traders are optimistic about Bitcoin's potential for further gains.
Further, China's announcement of a large stimulus package has boosted investors’ confidence in the global economy, while inflows into US-listed spot Bitcoin ETFs have provided a significant source of demand for the king coin.
In conclusion - Analysts believe that Bitcoin's current price trajectory could signal a potential break out from a long-term corrective trend. If Bitcoin can successfully break above the $75,000 level, it could trigger a rapid rally towards $100,000.
Zilliqa network faces repeated system bugs, disrupting transactions
Key points:
Zilliqa network has faced multiple system bugs, leading to disruptions in transaction processing.
The bugs have caused temporary halts in block production, affecting network operations.
News - The Zilliqa blockchain network has been experiencing significant disruptions due to recurring system bugs, leading to temporary halts in transaction processing.
These issues have raised concerns among investors and community members regarding the network's reliability and security.
The recent distress - On 29 September, Zilliqa reported a critical bug that prevented the network from producing new blocks.
This followed a similar incident on 27 September, where a bug caused a significant slowdown in block production. The persistent nature of these issues has sparked concerns about the network's overall stability.
In response to the ongoing disruptions, Zilliqa has assured users that the team is working diligently to identify and fix the underlying problems.
While the specific causes of the bugs remain unclear, the team has confirmed that they are unrelated to the recent Zilliqa 2.0 upgrade.
Cardano faces potential correction as selling pressure grows
Key points:
Cardano's price has increased significantly in recent weeks.
A potential correction may occur as the broader market cools down.
News - Cardano has experienced a significant price increase in recent weeks, but analysts are warning of a potential correction in the coming months.
As the broader market cools down, increased selling pressure could lead to a short-term decline in ADA's price.
One indicator suggesting a potential correction is the downward trend in Cardano's Chaikin Money Flow (CMF). The CMF measures the flow of capital into and out of the market, and a declining CMF indicates that buying pressure may be weakening.
What’s more? This could signal a shift towards reduced market interest or increased selling pressure. Additionally, Cardano's price daily active-address (DAA) divergence has been negative, suggesting that much of its recent rally has been driven by the broader market surge rather than specific demand for the altcoin.
This indicates that the number of active addresses holding ADA has not kept pace with the price increase, suggesting a potential lack of underlying support.
If these trends continue, Cardano's price could experience a significant correction in the coming weeks.
Crypto funds experience strong net inflows, led by Bitcoin ETFs
Key points:
Global crypto funds have experienced significant inflows in recent weeks.
The inflows are driven by positive market sentiment and rising Bitcoin prices.
News - Global crypto funds managed by prominent asset managers have continued to attract significant inflows, fueled by positive market sentiment and rising Bitcoin prices.
According to CoinShares, these funds have added $1.2 billion in net inflows over the past three weeks, marking the largest inflow in ten weeks.
The surge in inflows can be attributed to several factors, including the expectation of a dovish monetary policy in the United States and the approval of options for BlackRock's spot Bitcoin ETF by the Securities and Exchange Commission.
More details - While trading volumes have remained relatively stable, the positive sentiment surrounding these developments has driven investors to allocate more capital to crypto funds.
Bitcoin-based investment products have been the primary beneficiary of these inflows, accounting for $1.1 billion of the total net inflows last week.
Even short Bitcoin investment products have seen a modest increase, suggesting that some investors are anticipating potential price corrections.
Ethereum-based funds have also rebounded, attracting $87 million in net inflows. This marks a significant turnaround from the previous five weeks of negative flows. However, Solana-based funds have experienced a decline, with $4.8 million exiting these funds.
More stories from the crypto ecosystem
Did you know?
There's an island in Fiji called "Satoshi Island" aiming to become a haven for cryptocurrency enthusiasts and businesses.
Scientists are exploring using body heat to power cryptocurrency mining. They say it’s a more sustainable option.
Some analysts say, the future of Bitcoin could be threatened by advancements in quantum computing, which could potentially crack its encryption.
Top 3 coins of the day
Litecoin (LTC)
Key points:
At press time, LTC was trading at $67.49.
It was up by 0.16% over the last day.
What you should know - Litecoin recently broke out of a descending triangle pattern, which is generally a bullish signal, but has faced immediate resistance near $70. Currently trading at $67.54, Litecoin is experiencing a slight pullback after its breakout. The Relative Strength Index stands at 53.84, indicating neutral market conditions without being overbought or oversold, suggesting further movement in either direction. If LTC manages to hold above the $65 support level, it could attempt another rally toward the $70-$72 resistance zone. A successful break above this zone could push LTC toward $80 in the short term. However, failure to hold the $65 level may lead to further downside, with the next key support level near $60.
Stellar (XLM)
Key points:
XLM was trading at $0.1019, at the time of writing.
It was up by 6% over the last seven days.
What you should know - Stellar (XLM) is currently trading at $0.1013 after facing resistance near the $0.110 level, where the price met the upper trendline of a descending triangle. The Bollinger Bands are tightening, suggesting that volatility could increase soon. The MACD remains in a slightly bullish position, indicating that momentum could favor buyers in the short term. XLM's immediate support lies around $0.090, which has held firm through the last few corrections. A breakout above $0.110 would signal a bullish continuation, with the next target being $0.120. However, if selling pressure builds and the price falls below the support, the next level to watch would be $0.085.
Ethereum Classic (ETC)
Key points:
ETC has been registering unprecedented buying pressure of late.
$22 appears to be a crucial level for bulls to overcome.
What you should know - Ethereum Classic is trading at $19.67, facing rejection at the $20.50 level where it met the descending trendline and 100-day exponential moving average (EMA). The price has seen a 3.72% decline, indicating a potential pullback. The Awesome Oscillator shows a mild bullish momentum, but it’s weakening as the price struggles to maintain its upward push. If ETC fails to break above the $20.50 resistance zone, it may retest support near $18.50, which has acted as a strong base throughout September. A breakdown below this support could lead to further declines toward $17. On the upside, a confirmed breakout above $20.50 would target the $22.00 level as the next resistance. Traders should watch for volume increases and RSI momentum for a clearer direction.
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