Weekly Crypto Market Report 

 

What is the general sentiment for Crypto?

The sentiment towards the cryptocurrency market continues to remain in the GREED zone. Compared to last week, the Fear & Greed Index has changed from “64” to “63”. 

 

SOPR

Another data to evaluate the sentiment of the general public would be to look at Spent Output Profit Ratio (SOPR). What is SOPR? In layman terms, it indicates if people have sold their BTC at a profit or if they sold at a loss. An SOPR value above 1 indicates that profit booking dominated loss booking and below 1 indicates that loss booking dominated profit booking. A value of 1 indicates that the coins were sold at their purchase price. Adjusted SOPR filters out transactions that are younger than 1 hour, thus, clearing out noise from the metric.

aSOPR for this week stands at 1 which means the coins were sold at their purchase price

 

Is This The Start of the Bull Market?

CVDD-TERMINAL PRICE CHART INDICATOR

CVDD  tracks the cumulative sum of this value-time destruction as coins move from old hands into new hands as a ratio of the market age. It is then multiplied by 6 million, which is a somewhat arbitrary number as it is not linked to any relevant Bitcoin data. The result is that it has historically correctly forecasted the major lows of Bitcoins price with good accuracy. 

Terminal price is calculated, it is first necessary to calculate Transferred Price. Transferred price takes the sum of Coin Days Destroyed and divides it by the existing supply of bitcoin and the time it has been in circulation. The value of Transferred Price is then multiplied by 21. Remember that there can only ever be 21 million bitcoin mined. This creates a ‘terminal’ value as the supply is all mined, a kind of reverse supply adjustment. Instead of heavily weighting later behavior, it normalizes historical behavior to today. By normalizing by 21, a terminal value is created. This Terminal Price has historically been very effective at forecasting the tops of Bitcoin price cycles.

 

The Bitcoin price has broken out of the descending trendline. Bitcoin is expected to continue the upward movement.

 

Overall Market Performance

Dow Jones

The Dow Jones Industrial Average gained by over 3% in the previous week. The immediate support is expected at 32,000 and next resistance is expected at 34,500 levels.

 

Gold

Gold gained by 0.1% in the last week. It is trading within an ascending triangle pattern, the next resistance is expected at $2,000 and immediate support is expected at $1935. 

 

BTC

BTC Price is consolidating within a tight range, the volume has dried up due to which Bitcoin price may move sharply. Bitcoin price support is expected at $29,200 and resistance is expected at $26,500

 

ETH/BTC

ETH/BTC broke the support levels, retesting towards 0.065 could be seen in the week. An immediate support is expected at 0.055 and the next resistance is expected at 0.065 levels.

 

Pick of the Week – $PUSH

 

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