Weekly market recap
Weekly market recap(from September 15th to September 20th)
CPI,8.3% released last Tuesday was higher than market expectations, which means that the marginal impact of hikes on inflation has weakened. The market has to get into thinking of strengthening QT or extending QT. It also contributed to the dump in risk assets.
In addition, the cryptocurrency also faced the merger of ETH last week. Although the merger process was smooth, the price fell sharply after the merger. We see the exchange balance of ETH remain very high both before and after the merger, and it didn’t drop even yesterday, which could constitute a lot of selling pressure.
This week, the FOMC will be announced, and decide how much the rate rise and the size of the terminal interest rate, which will greatly affect the trend of risk assets.
BTC
After the BTC was affected by the higher-than-expected CPI, there was a dump, and the price returned to the bottom again. It fell nearly 10% in a single day on Sep.13 and ended the rebound. Although the earlier rebound had piled up a lot of chips around 20,000, which could provide some support, the price still moved lower over the last week. The bulls’ confidence was lost.
Conclusion: Mostly falling. For the price, the bottom has been tested several times, and this process of drop took less time. Unlike previous drops, bears weren’t consumed in the process. While the needle formed yesterday by the bottom support, the risk of the bottom being broken has still increased. This week we set the resistance level at 20000, as bears were confirmed during the decline, and 20000 is also a particular number. We are placing the support level at 19000 based on where the bulls increased yesterday, but in fact, the bottom become a weak level.
ETH
The advantage of the merger created a good base, but the same, with no additional surprises, making the decline crazy. ETH fell 25% in the last week. The candles were not the same as BTC’s, there was no sign of slowing down, and the price fell step by step. We can see that even on a low-circulation day like Sunday, the price fell through the strong support at 1400. Although a needle formed yesterday and was accompanied by high volume, the bears did not have a significant decay process at the daily level.
Conclusion: Mostly falling. Relative to BTC, except for the bottom support, ETH has a strong support level at 1230, so we set 1230 as the support level this week. For the resistance level, we set it down to 1460, which is the last bearish confirmation point, and also the open price of the candle which has broken 1400.
SOL
SOL was also attacked by bears last week and the rebound was over. But unlike BTC and ETH, we can see that during the last week’s decline, the bulls were consuming the bears, and the integral green candle made the weekly change drop not much. The bulls at the bottom of SOL are stronger than it in BTC or ETH.
Conclusion: Mostly fluctuation. We give the best view of the three because the bottom of the SOL is strong. However, it should be noted that, perhaps due to the bear market, the volume of SOL has been decreasing. So the strength of the bulls is only at the current volume level. This week we lowered the support level to 30 and the resistance level to 37.
Disclaimer: Nothing in the article constitutes investment advice. The article objectively expounded the market situation and should not be construed as an offer to sell or an invitation to buy any cryptocurrencies.
Any decisions made based on the information contained in the article are your sole responsibility. Any investments made or to be made shall be with your independent analyses based on your financial situation and objectives.
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