Week 49 – Overview of fundamentals and markets

governments, money, week 49

Welcome to our weekly brief of what is going on on the markets and what are expected events in week 49. It should help you with jumping back on track after weekend. 

Fundamentals and expected events: week 49

  • Cryptocurrencies: Bitcoin is experiencing a typical volatility for the cryptofield. After reaching the highest price of this year, the price declined to levels below $ 16,500. Over the weekend, the value of the primary cryptocurrency began to gradually increase again. Bitcoin earned $ 17,000, and then $ 18,000. Now the price of BTC has risen above $ 18,600. Alternative coins suffered the most during the fall in prices during American Thanksgiving. However, as with Bitcoin, they now remain mostly in green. The above mentioned price development naturally affected the overall market capitalization. The cumulative market capitalization of all cryptocurrencies has risen to $ 555 billion. That represents an increase of $ 70 billion since November 26.
  • Stock and commodity markets: The mood on the stock markets is now completely optimistic. US stock indices pushed again to their all-time highs in November. Given the development of the situation in the economy, this is rather surprising. However, investors hear that the vaccine for covid-19 is approaching, that Joe Biden will be the next president of the USA and they seem to cheerfully ignore the development. It can be said that this is also influenced by the fact that interest rates are now minimal and bond yields so low that it makes no sense to deposit money in banks at all, so investors are more likely to look for ways to spend it.
  • Important events: This week, in addition to a large amount of economic data, will also bring the easing of restrictive measures in several European countries, including the Czech Republic. OPEC meetings are also held today. The statements of the heads of the EU and US central banks are also expected. Last but not least, US unemployment figures will be published.

Cryptomarkets and marketcap: week 49

The total crypto market cap added $17 billion to its value for the last seven days and now stands at $561 billion.

  • Today, we reached a marketcap value of $ 561 billion.
  • Last week we were recording a low of 467 billion and a high 563 billion. Bitcoin is low at $16 600 over the same period. High on Bitcoin at $18 863, now $18 863 .
  • Bitcoin dominance is now 62,3 %.
  • Market sentiment is at 88 points, meaning extreme greed, while last week it was at 90 points.

BTC/USD

The most actual price for one Bitcoin [BTC] is $18 788.60. Bitcoin is listed on 86 exchanges with a sum of 400 active markets. The 24h volume of [BTC] is $20 024 037 820, while the Bitcoin market cap is $348 687 213 096 which ranks it as #1 of all cryptocurrencies. Traders believed that a repeat of the price action of December 11, 2017, may occur. In that year, Bitcoin rallied to $20,000 but dropped sharply after failing to break above the recent high. In the price action of November 26, 2020, BTC plunged to a low of $16,400 low but the candlesticks with long tails are pointing to the support level. Today, if the bulls break above $18,800, a rally above $19,000 is likely. However, if buyers fail to break the resistance, Bitcoin will be compelled to a sideways move.

Chart

ETH/USD

The most actual price for one Ethereum [ETH] is $577.83. Ethereum is listed on 102 exchanges with a sum of 400 active markets. The 24h volume of [ETH] is $18 580 644 398, while the Ethereum market cap is $67 596 677 069 which ranks it as #2 of all cryptocurrencies. ETH/USD is seen trading at $574 after recording an intraday high at $577 today. The Ethereum (ETH) is gaining over 6.7% since the beginning of the day and it is changing hands above the 9-day and 21-day moving averages amid strong bullish bias. If the bulls fail to hold the $495 support, the further bearish drop could roll the market down to the support levels of $480, $460, and $440 respectively.

Timeline

 

LTC/USD

The most actual price for one Litecoin [LTC] is $79.66. Litecoin is listed on 144 exchanges with a sum of 392 active markets. The 24h volume of [LTC] is $2 572 636 345, while the Litecoin market cap is $5 293 577 147 which ranks it as #6 of all cryptocurrencies.

Chart

Litecoin pictured a bullish divergence between the price and the momentum indicator (RSI) and bounced strongly off the support at the 50% retracement level for LTC’s move from $45 to $94 over the past two months. The 61.8%, 50%, and 38.2% retracement levels have performed remarkably as support, and it was likely that LTC would resume the previous uptrend and flip the resistance at $80 to support.

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