💹 Market overview April 6, 2021

12 days ago
4 Min Read
721 Words

Have a nice and productive day for everyone, and for some of them, more recently, fruitful work on the "farm"! As always, I offer you a daily review of the market news:

BTC. The movement of the instrument occurs within the ascending channel indicated on the chart. After the correction, the instrument found support at the lower border of the trading channel, from which an upward impulse occurred with the overcoming of the resistance block at $58,000, the movement was confirmed by an increase in trading volumes. Bitcoin failed to overcome the resistance level of $59,400, which was followed by a pullback to the upper limit of the trading channel. On the two-hour timeframe, a local uptrend signal was formed: the intersection of the fast exponential moving 21 EMA 2H from the bottom up and the slower one – 50 EMA 2H. The most likely is the consolidation of the instrument over the $58,000 accumulation block with a repeated assault on the resistance at $59,400.

ETH. The asset has set a new record value - $2151 on the Binance exchange, at the moment the ether is gathering strength for further price expansion, the nearest support level is $2090.

The investment company Grayscale Investments intends to convert its bitcoin trust into an exchange-traded fund (ETF). Grayscale did not specify how long this process will take, but noted that its duration will depend on the decision of regulators. As of April 3, 2021, Grayscale managed digital assets valued at $46.6 billion. At the same time, most of the assets are concentrated in the Bitcoin Trust tool — its volume reached $38.8 billion. The company noted that there are only two public funds in the cryptocurrency industry that report on their activities to the US Securities and Exchange Commission (SEC). Both of these funds — Bitcoin Trust and Ethereum Trust — are owned by Grayscale.

It is worth noting that Grayscale Investments first approached the regulator about registering an ETF for bitcoin back in 2016, and the whole of 2017 was spent in discussions on this issue with the SEC. In the end, the company was forced to withdraw its application, as the US regulatory framework for digital assets had not yet reached the level that would allow such a product to be successfully introduced to the market. Now Grayscale has stated that it is " 100% ready to convert GBTC to a Bitcoin ETF." Representatives of the firm hope that the new chairman of the SEC will allow investors to trade products on bitcoin. In addition, the positive experience of Canada can also play a role. The approval of an ETF-level financial instrument based on digital gold in the United States will certainly become a powerful driver of the growth of the entire cryptocurrency market, preparatory work is being carried out by influential organizations, which increases the likelihood of such an event.

The listing on the largest Korean Upbit exchange of the Stacks Ecosystem project, together with the announcement of an increase in the reward for stacking, caused the STX to grow by 100% (against the dollar).

The news about the official launch of Mdex based on Binance Smart Chain led to an increase in the price of MDX by 20% (against the dollar).

The Dow Jones and S&P 500 indexes hit new record highs after Friday's report from the US labor market. Statistics released on Friday showed the highest increase in the number of jobs in the United States since August in March - by 916 thousand. Unemployment in the country last month fell to the lowest for the year 6% from 6.2% in February. Positive dynamics in the technology, consumer goods and consumer services sectors also had an impact on the stock market trading on Monday. At the close on the New York Stock Exchange, the Dow Jones rose 1.13%, the S&P 500 index rose 1.44%, and the NASDAQ Composite index rose 1.67%.

Over the past 24 hours, the total capitalization of digital assets has increased by 1.3%, and the dominance of bitcoin has decreased by another 0.5%. Ether, as the main indicator of the altcoin market, demonstrates strength in the pair against BTC, and the movement on its part in the right direction-to establish new price highs-will show the way for the alt.

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