Frustrating for bitcoin holders, the benchmark crypto asset hasn’t been spurred into a sharp correction by the surge in US equities, instead opting to remain discounted due to bruising headwinds following FTX’s shocking collapse.
Currently, changing hands at US$16,800, Bitcoin faces a resistance level at US$16,900, which looks like it will be harder to breach than expected.
BTC’s correction could be slower than expected – Source: currency.com
However, at least one big-name investor is buying the dip opportunity- Cathie Wood’s Ark Investment Management snapped up US$2.8mln in the Grayscale Bitcoin Trust, though with the trust at a 42% discount to bitcoin’s underlying value, it’s not hard to see her reasoning.
Ethereum remains significantly below its 20-day moving average at US$1,240, with US$1,300 market at the point of resistance.
As expected, Trust Wallet Token (TWT)’s recent rally following Binance’s head Changpeng ‘CZ’ Zhao’s endorsement has hit a brick wall. After doubling its market capitalisation in a matter of days, the token pared back 20% this morning, with volumes more than halving.
Most large-cap altcoins opened – albeit only minimally – in the red today, with Cardano (ADA), Polygon (MATIC), Polkadot (DOT) and BNB falling between one and two percent.
Solana (SOL) dipped closer to 3% while Ripple (XRP) inch higher.
Shiba Inu (SHIB) has had a good morning, with the meme coin adding 2% to bring its market cap closer to US$5.2bn.
Other top risers included Terra Classic and decentralised finance (DeFi) protocols Compound and Lido.
All in all, global crypto market capitalisation has stabilised at US$840mln, roughly 60% down year to date.