Daily review and thoughts on the market: January 18
#BTC (daily timeframe). The chart shows that the exponential moving average 13 EMA D stops attempts to develop an upward movement, on the way of which there was also another resistance yesterday in the form of EMA 400 D, so the trajectory of the instrument developed according to the most likely scenario from yesterday's review. Bitcoin fell beyond the lower boundary of the rising channel, where asset buyouts began at $41,600.
At the time of writing the review, the price is trying to return to the boundaries of the trading channel. The RSI indicator line once again failed to overcome the exponential moving average 50 EMA and it is gradually approaching the support trend line. I think that we will still see another downward momentum to the $40,800-$41,000 area before returning to the ascending channel. In the short term, I expect the price to fix above EMA 13 and move Bitcoin to $46,000.
#ETH. The asset has decreased its value against #BTC by 1.25% in the last 24 hours. Ethereum is consolidating under the resistance of $3,200, the nearest support is around $3,050.
Since the beginning of the year, the trading volume of the marketplace of non-fungible tokens OpenSea has reached $3.67 billion according to the Dune Analytics portal, updating the record set in August 2021 (1). Last month, the indicator reached $ 3.2 billion. The last time the monthly trading volume of the site set a maximum in August last year at $ 3.42 billion.
A record was also set for the number of active users of the main NFT marketplace - according to Dune Analytics, for incomplete January, the figure exceeded 365 thousand, and in December it amounted to 362 thousand. In early 2022, OpenSea attracted $ 300 million investments from Paradigm and Coatue. After that, the marketplace valuation exceeded $13.3 billion. The platform will use the funds raised to create new products, hire employees and improve the quality of user service.
Let us remind you that in 2021, the NFT trading volume exceeded $13 billion. The indicator increased by almost 400 times compared to 2020, 88% of the trading volume was provided by the OpenSea marketplace. If the dynamics of the beginning of the year continue, the market for non-fungible tokens is waiting for a new record in terms of trading volume.
The main drivers of the growth of the NFT market will remain the GameFI spheres and projects that develop metaverses, which will be joined by large companies and luxury brands to transfer their products to the virtual world. We believe that the hype around non-fungible tokens will also contribute to the development of interest in the cryptocurrency industry itself, helping its formation.
The total capitalization of the cryptocurrency market decreased by 1.9% over the past day, the dominance of bitcoin added 0.65%. For trading on a rebound, one can consider buying altcoins when #BTC drops to the $40,800 - $41,000 area.
Techspeedy does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.