Traders eye “sweep of lows” for BTC
A lack of momentum on upticks combined with a failure to reclaim critical support at the 200-week moving average set the scene for fresh weakness on Bitcoin. The largest cryptocurrency thus dived to the support area defined a day prior by Cointelegraph contributor Michaël van de Poppe.
In fresh analysis on the day, meanwhile, traders toyed with the idea of a relief bounce towards $20,000.
I expect more range trading within this prices as breakouts and breakdowns take longer to happen and prices are getting pretty extended from their averages.#BTC using this hourly 50MA for short term retraces of this downtrend, so I’d expect a reversion pretty soon to that mean. pic.twitter.com/ImYg5udA5I
— pedma (@pedma7) June 30, 2022
“We’re looking for a sweep of the lows and a reclaim before we consider longing because this is a very strong downtrend and we first want to see some strength,” trading platform Cryptop told Twitter followers in part of a new update.
News that the United States Securities and Exchange Commission (SEC) had rejected a request by Grayscale to turn its Bitcoin investment instrument, the Grayscale Bitcoin Investment Trust (GBTC) into an exchange-traded fund (ETF) meanwhile did not help sentiment.
Regulatory pressure had also come from the European Union, which voted to increase restrictions on crypto movements in the bloc.
“The agreement extends the so-called ‘travel rule’, already existing in traditional finance, to cover transfers in crypto assets. This rule requires that information on the source of the asset and its beneficiary travels with the transaction and is stored on both sides of the transfer,” a press release about the move explained.
“Crypto-assets service providers (CASPs) will be obliged to provide this information to competent authorities if an investigation is conducted into money laundering and terrorist financing.”
Sentiment gauge the Crypto Fear & Greed Index stood at 11/100, or “extreme fear,” at the time of writing.
UNUS SED LEO gains as Bitfinex longs cool
Altcoins predictably continued the depressed mood on the day, with ETH/USD targeting $1,000 support for the first time in ten days.
Only major exchange Bitfinex’s UNUS SED LEO (LEO) token continued to buck the trend conspicuously, gaining 3.5% on the day and extending monthly returns to above 20%.
The platform had previously made the news for the exponential growth of its BTC/USD long positions, these since plateauing in the second half of June.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
Ray Schuetz received a Masters Degree in computer science from The University of Texas (Austin). Ray has been working as a full-time blockchain consultant for the past 3 years. In his spare time, Ray enjoys writing for EthereumCryptocurrency.com and other crypto news publications.