All eyes on the US to lower interest rates, which could support a bullish crypto market.

Week of September 17-23, 2024

On Friday, Spot Bitcoin ETFs saw inflows of $263.1 million, marking the highest single-day inflow since July 22, which was then a massive $485.9 million. Additionally, the funds experienced a total inflow of $403.8 million last week, bouncing back from net negative outflows for the past two consecutive weeks.

MicroStrategy, a business intelligence company, announced that it had purchased approximately 18,300 BTC in the past week at an average price of $60,408. This brings its total Bitcoin holdings to 244,800 BTC—which is worth approximately $14.14 billion—with an average purchase price of around $38,585 per BTC.

Matt Hougan, Chief Investment Officer of Bitwise Asset Management, noted that financial advisors are adopting and recommending investments in Spot Bitcoin ETFs more quickly than any ETF in history. Previously, investment researcher Jim Bianco had mentioned on the X platform that only a few financial advisors recommend investing in Bitcoin ETFs. Of the $46 billion invested in Bitcoin ETFs, only $1.45 billion of it was a result of financial advisor recommendations.

Stablecoin trading volume on the Ethereum (ETH) chain surged to a record high of $1.46 trillion. Moreover, the trading volume of stablecoins has more than doubled from the $650 billion mark earlier this year, with Tether (USDT) and USD Coin (USDC) leading the market. Dai (DAI) saw its trading volume reach $960 billion, marking the highest growth, followed by PayPal USD (PYUSD) from PayPal.

Matthew Sigel, Head of Digital Asset Research at VanEck, reported that the value of Ethereum (ETH) could potentially reach between $12,000 and $22,000 by 2030, which could generate up to $66 billion in revenue from transaction fees by then.

Grayscale Investments launched its XRP Trust last week, which is available to both individual and accredited institutional investors. According to Fox Business, the launch of the Grayscale XRP Trust could pave the way for a future Spot Ripple ETF.

Technical Graph Analysis

technical-en-01@1-Sep-17-2024-10-26-45-4228-AM

Bitcoin (BTC)

The price of Bitcoin (BTC) has tested its previous low but is managing to hold steady. Despite the price decline, the Relative Strength Index (RSI) is showing momentum for a potential upward reversal. This week, there is a chance for the price to recover and test the first resistance level at $60,000. If it breaks through, the next target is at $65,000, and if it surpasses that, there is potential to continue rising and test its previous high.

Support : 1,760,000 THB / 49,000 USD
Resistance : 2,200,000 THB / 65,000 USD

technical-en-02@1-Sep-17-2024-10-26-45-5571-AM

Ethereum (ETH)

Ethereum (ETH) continues declining and has yet to show a reversal point. If it drops below the $2,100 level, it is advisable to cut losses, as the downtrend may continue further towards $1,600. Wait for a price reversal if ETH can consistently hold above the resistance level of $2,750.

Support : 72,000 THB / 2,100 USD
Resistance : 96,000 THB / 2,750 USD

technical-en-03@1-Sep-17-2024-10-26-45-6720-AM

Terra (LUNA)

Terra (LUNA) achieved 15.64% returns over the past week. The trend currently shows signs of a potential recovery. In the short term, watch for the support level at $0.300; if it falls below this level, it is advisable to cut losses. Meanwhile, resistance is at $0.480. A breakout above this level would confirm the reversal.

Support : 10 THB / 0.300 USD
Resistance : 16 THB / 0.480 USD

technical-en-04@1-Sep-17-2024-10-26-45-4320-AM

Sui (SUI)

Sui (SUI) posted 15.6% returns over the past week. The price is currently trending sideways. However, it needs to break through the resistance level at $1.177 for the trend to turn bullish. Meanwhile, the support level, which is considered a buying point, is at $0.7455. If the price drops below this level, it may test its previous low.

Support : 26 THB / 0.7455 USD
Resistance : 44 THB / 1.177 USD

Investment Trends

The U.S. inflation rate for August measured at 2.5%—slightly lower than expected—causing the U.S. dollar to continue weakening. This has positively impacted assets like gold, which has reached new highs, while the price of Bitcoin (BTC) remains around the $60,000 level.

The market is closely watching the Federal Open Market Committee (FOMC) meeting scheduled for this Wednesday, September 18. According to the FED Watch Tool, there is a chance the Fed might decide to cut interest rates by 0.5% during this meeting. If this occurs, it could lead to market volatility due to concerns about a potential economic downturn. However, a 0.25% rate cut could positively impact Bitcoin's price.

Investors may also be concerned about the U.S. presidential election results, particularly if Kamala Harris leads Donald Trump in the polls, as the Democrat party's stance on cryptocurrency is less clear compared to the Republican party's. Therefore, even if Kamala Harris wins, it might not have a significant impact on the market.

September remains a period to gradually accumulate Bitcoin in preparation for a potential bull market. While short-term volatility may persist, the downtrend appears limited. Investors can consider accumulating Bitcoin at support levels starting from $50,000 and above.

References

Disclaimers

Cryptocurrencies and digital tokens are highly risky; investors may lose all investment money. Investors should study information carefully and make investments according to their own risk profile.
Past returns or performance of digital assets do not guarantee future returns or performance.

Remark: views, information, knowledge, and opinions are considered as content that come from individuals involved. They do not constitute an expression of Bitazza and its employees. Neither the email nor the content presented constitute investment advice.

Topics: Crypto Weekly

Share this