Major cryptocurrencies traded mixed on Tuesday evening, withBitcoin exchange-traded funds recording the highest trading volume since their introduction in the U.S. last month.
What Happened: The BTC ETFs trading volume surged to almost $2 billion on Tuesday, marking the highest total since the initial day of trading on January 11, as reported by Eric Balchunas, a senior ETF analyst at Bloomberg Intelligence.
VanEck’s HODL ETF recorded just under $400 million in volume, while the WisdomTree Bitcoin Fund (BTCW) observed a substantial $221.9 million in trades. BitWise’s fund registered a $178.29 million in trading volume.
Bitcoin experienced a surge during the early hours of Tuesday, climbing from $51,600 to nearly $53,000, only to encounter swift selling pressure that led to a reversal, driving prices down to as low as $50,700. Simultaneously, Ethereum, the second-largest cryptocurrency by market capitalization, faced a slight downturn, plummeting to $2,900 after surpassing the $3,000 mark for the first time since April 2022.
Top Gainer (24 Hour)
The global cryptocurrency market cap now stands at $1.97 trillion, showing a 0.28% decrease in the past 24 hours.
The stock market took a hit on Tuesday as NVIDIA spearheaded a broader decline in the tech sector, just ahead of the chipmaker’s earnings report.
The Dow Jones Industrial Average experienced a decrease of 64.19 points, or 0.17%, settling at 38,563.80. Similarly, the S&P 500 slipped by 0.60%, at 4,975.51. The Nasdaq Composite also registered a decline, losing 0.92% to close at 15,630.78.
SeeMore:Best Cryptocurrency Scanners
Analyst Notes: Cryptocurrency analyst Michael Van de Poppe foresees a rapid market downturn, with Bitcoin maintaining its position above $50K.
"Probably a broader correction happens once that area is lost. If highs are taken, I still expect $54-58K to be a local top."
According toAli Martinez’s analysis of the 10-minute Bitcoin chart, the TD Sequential indicates that the support trendline is situated at $51,700, with the resistance trendline at $52,515. "A sustained close outside of this zone will determine the direction of $BTC next move."
A TD Sequential Chart refers to a technical analysis indicator used to identify potential price reversals based on the TD Sequential theory by Tom DeMark. The chart is made up of a series of numbers and countdowns that help traders forecast the resistance points of a current trend, indicating when it might be a good time to buy or sell.
Pseudonymous analyst Dave the Wave sees BTC breaking above the upper limit of the Logarithmic Growth Curve indicator before experiencing a sharp corrective movement. The LGC indicator in cryptocurrency trading is a technical analysis tool that helps traders visualize the exponential growth phases of a cryptocurrency’s price and can be used to identify long-term trends, potential buy/sell zones, and areas of market consolidation.
The analyst utilizes Fibonacci extensions to forecast a price target of $180,000 for BTC in 2025. Fibonacci extensions are employed in technical analysis to project profit targets and price pullbacks, relying on Fibonacci ratios.
"BTC Fib extension gives target of $180,000,” the analyst said.
Photo by FellowNeko on Shutterstock
Read Next: Jim Cramer Advises Against Using Binance, Provokes Strong Reactions From Twitter Users
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
