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Bitcoin stays out of fear for 11 straight days as price tips near 24K

Bitcoin's huge price surge in January has meant that 64% of Bitcoin investors are in profit, according to data from IntoTheBlock.

Bitcoin (BTC) has just clocked its 11th consecutive day outside the “Fear” zone in the Crypto Fear and Greed Index, cementing its longest streak out of fear since last March.

This comes as Bitcoin hit $23,955 at 8:10 pm UTC time on Jan. 29, its highest level of the year. It has since come back down slightly, to $23,687 at the time of writing.

Meanwhile, Bitcoin sentiment is currently sitting firmly in the “Greed” zone with a score of 61, its highest level since the height of the bull run around Nov. 16, 2021, when its price was about $65,000.

Bitcoin Fear and Greed Index over the last 12 months. Source: Crypto Fear and Greed Index.

However, despite Bitcoin’s strong resurgence in recent weeks, market participants continue to debate whether the recent price surge is part of a bull trap or whether there is a real chance for a bull run.

Regardless, the current rally has pushed a lot more BTC holders back into the green.

According to data from blockchain intelligence platform IntoTheBlock, 64% of Bitcoin investors are now in profit.

Those who first bought BTC back in 2019 are now — on average — back in profit too, according to on-chain analytics platform Glassnode.

The average first-time buy price for BTC investors in 2019 was $21,800, which means those investors are on average up about 9% at the Jan. 29 price of $23,687.

Related: Bitcoin eyes $25K as BTC price nears best weekly close in 5 months

Meanwhile, a Jan. 29 poll from crypto market platform CoinGecko has revealed that 57.7% of 3,725 voters believe BTC will exceed $25,000 this week, while only 21.2% of voters believe BTC is primed for a pullback below $22,000.

A CoinGecko poll on BTC price prediction for the upcoming week. Source: CoinGecko

The founder and CEO of Vailshire Capital, Dr. Jeff Ross, also provided a technical analysis of his own on Jan. 29, suggesting that a price surge toward $25,000 in the short term may be on the cards:

Other analysts have called for excited investors to taper some of their expectations, however.

Head analyst Joe Burnett of Bitcoin mining company Blockware told his 43,900 Twitter followers on Jan. 29 that BTC won’t reach and surpass its all-time high of $69,000 until after the next Bitcoin halving event, which is expected to take place in March 2024:

Macroeconomist and investment adviser Lyn Alden also recently told Cointelegraph that there may be “considerable danger ahead” with potentially risky liquidity conditions expected to shake the market in the second half of 2023.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Bitcoin steps out of ‘Fear’ for the first time in nine months

The Bitcoin Fear and Greed Index reached an index score of 52 over the weekend, marking the first time its hit neutral territory in three quarters.

The highly-referenced Bitcoin Fear and Greed Index moved into neutral territory over the weekend following several months of fear.

On Jan. 15, the index reached a neutral level of 52, its highest since April 5. The move follows a 24% gain for the BTC over the past seven days.

The market sentiment tracker hit a multi-year low of 9 in June 2022. Since then it has been hovering between 20 and 30 in the “Extreme Fear” category. Furthermore, it registered its longest-ever streak of extreme fear in mid-2022, as reported by Cointelegraph.

The fear and greed index uses “motions and sentiments from different sources” including current volatility, market momentum and volume, social media and Google Trends data, among others.

Together, data from these sources is used to create a straightforward number to summarize the emotional state regarding Bitcoin and crypto markets.

It consists of five categories ranging from extreme fear to extreme greed, the latter not been seen since October 2021.

As at the time of writing, the index has dipped back down to 45, which puts it back into the “Fear” category, suggesting that confidence has yet to make a full return.

Meanwhile, Bitcoin has seen its second-longest streak of gains in history with a 12-day run this month. The asset has gained 28% since the beginning of this year, wiping out all losses in the crash that followed the FTX collapse in early November.

The massive momentum has created a large movement in technical indicators such as the RSI (relative strength index) which has hit its highest level for four years on the daily timeframe.

High RSI figures can suggest that an asset is overbought and a correction is due.

Related: Bitcoin fails to convince that bottom is in with $12K ‘still likely’

Several analysts have labeled the recent move as a bull trap but a solid weekly close has led some to believe the momentum will continue.

Professional trader and chart guru Peter Brandt summed it up on Jan. 16, tweeting:

“Any idiot can make wild guesses about markets, so here is my dunce-hat prediction. In reality, nobody has a clue what any given market will do. $BTC.”

Bitcoin was trading up 2.2% on the day at $21,1652 at the time of writing, according to CoinGecko.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Popular Analyst Justin Bennett Says Latest Crypto Bump Is a Bull Trap – Here’s Why

Popular Analyst Justin Bennett Says Latest Crypto Bump Is a Bull Trap – Here’s Why

A closely followed crypto analyst is warning investors to avoid getting overly excited after the markets bounced off a flash crash during the weekend. In a series of posts, Justin Bennett tells his 107,100 Twitter followers that he expects crypto prices will continue to fall, noting that the recent recovery could be a bull trap […]

The post Popular Analyst Justin Bennett Says Latest Crypto Bump Is a Bull Trap – Here’s Why appeared first on The Daily Hodl.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Leading Ethereum Rival Could Crash by Over 35% After Failed Breakout, Says Crypto Analyst

Leading Ethereum Rival Could Crash by Over 35% After Failed Breakout, Says Crypto Analyst

Popular crypto analyst Justin Bennett thinks Ethereum (ETH) competitor Solana (SOL) could be in for some rough days ahead. In a new video update, Bennett says that Solana’s chart flipped bearish and its positive price action earlier in August appears to be a “confirmed fakeout,” or a bull trap. “A fakeout to one side of […]

The post Leading Ethereum Rival Could Crash by Over 35% After Failed Breakout, Says Crypto Analyst appeared first on The Daily Hodl.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Will Ethereum Merge hopium continue, or is it a bull trap?

ETH has gained 48% over the past week, leaving most of its crypto brethren behind — though it's still risky days ahead given the macroeconomic factors still at play.

Ethereum is outperforming the broader cryptocurrency market as the highly anticipated Merge approaches, but the bigger picture is still largely bearish.

Ethereum (ETH) has gained a whopping 48% over the past seven days, outperforming its big brother Bitcoin, which has only managed to achieve 19% in the same period. It's also up 66% from its market cycle bottom of $918 on June 19, reaching its current price of $1549.

However, the current Ethereum rally could be a bull trap with the macroeconomic clouds darkening. A bull trap is a signal indicating that a declining trend in a crypto asset has reversed and is heading upwards when it will actually continue downwards.

The primary driver of recent momentum for the asset has been linked to announcements regarding its final switch to proof-of-stake, which has been slated for September 19.

The Merge will reduce the network’s energy consumption by more than 99%. However, it will not necessarily reduce transaction fees significantly as this will occur when scaling takes place via sharding which is expected sometime next year.

On July 19, a Coinbase report on the Merge explained that the next major step, and last dress rehearsal, is the Goerli testnet Merge which has been planned for August 11.

Goerli is the most battle-tested Ethereum environment with the most user activity and the closest simulation of the real thing.

While the major upgrade is the fundamental driver of current Ethereum market sentiment, the asset is still trading down 68% from its November 2021 all-time high.

There have also been concerns that a significant amount of ETH may flood the market after the Merge and its release from its staking smart contracts.

However, director of research at 21Shares, Eliézer Ndinga, told Cointelegraph that this is unlikely to happen:

“The withdrawals of Ether won't occur until 6-12 months post Merge after the Shanghai upgrade. The withdrawals will be limited to six validators every epoch or ~ 6 minutes to avoid bank runs and keep the network secure.”

Related: Ethereum devs confirm the perpetual date for The Merge

A recent survey by Finder, conducted before the most recent rally sai there is still a lot of negative sentiment regarding short-term Ethereum prices. 

The panel of 54 industry experts polled thought ETH would be worth $1,711 by the end of 2022, climbing to $5,739 by 2025, before hitting $14,412 by 2030. However, they also thought it would dump to $675 before the year was out.

Finder said there are a couple of macroeconomic factors that could cause this retreat. The U.S. Federal Reserve is expected to hike rates again by 75 basis points during their July 26-27 meeting, which is generally bearish for crypto markets. If Bitcoin takes a dive, Ethereum is sure to follow.

Additionally, the U.S. Bureau of Economic Analysis (BEA) will release its advance estimate of second-quarter GDP growth on July 28. Another negative quarter, which is expected, will mean that the country is in a technical recession which is also very bad for risk-on assets such as Ethereum.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Analyst Who Saw 2022 Bitcoin Crash Coming Updates BTC and Ethereum Forecast, Issues Fresh Alert for Crypto Traders

Analyst Who Saw 2022 Bitcoin Crash Coming Updates BTC and Ethereum Forecast, Issues Fresh Alert for Crypto Traders

A popular crypto strategist who has accurately sounded the alarm on crashing crypto prices this year is now updating his forecast for the top two digital assets. The pseudonymous crypto trader known as Capo says that Bitcoin (BTC) has been experiencing a pattern of support/resistance flips, where the previous support low becomes the next ceiling […]

The post Analyst Who Saw 2022 Bitcoin Crash Coming Updates BTC and Ethereum Forecast, Issues Fresh Alert for Crypto Traders appeared first on The Daily Hodl.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Trader Who Nailed Bitcoin Meltdown Unveils Fresh Warning for Crypto Traders

Trader Who Nailed Bitcoin Meltdown Unveils Fresh Warning for Crypto Traders

A crypto analyst who called Bitcoin’s meltdown below $30,000 is issuing a fresh warning to traders, and says today’s market rally is likely a bull trap. The pseudonymous analyst known as Crypto Capo tells his 321,000 Twitter subscribers that he still expects sizable price drops for altcoins and BTC in the short term. pic.twitter.com/dV7lzFSUba — […]

The post Trader Who Nailed Bitcoin Meltdown Unveils Fresh Warning for Crypto Traders appeared first on The Daily Hodl.

BlackRock’s tokenized fund registers over $240 million in inflows within a week

Popular Crypto Analyst Issues Warning to Bitcoin Bulls, Says Latest BTC Dip Could Be a Trap

A closely followed crypto strategist says that Bitcoin (BTC) bulls could be in trouble as the latest crypto market dip could be setting up a trap for them. The pseudonymous trader known as Capo tells his 244,000 Twitter subscribers that the top crypto asset by market cap’s next support level looks weak and that a […]

The post Popular Crypto Analyst Issues Warning to Bitcoin Bulls, Says Latest BTC Dip Could Be a Trap appeared first on The Daily Hodl.

BlackRock’s tokenized fund registers over $240 million in inflows within a week