Daily Flash | $555M Liquidated in 48HR, Poll Finds 53% US Voters Do Not Support CBDC, Cardano Vasil Hardfork In Final Stage

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Chart of the Day - $555 Million Liquidated in 48 Hours, Predominantly Long Suffers

As of this writing,
Bitcoin (BTC) is changing hands at around $19,409, up 5.13% in the past 24 hours,
while Ether (ETH) is trading at $1,361 or up 4.98% during the same period.

Major Layer-1 Tokens are also trading in the green,
with Cardano (ADA) up by 2.16%,
Solana (SOL) +4.22%,
Polkadot (DOT) +1.63%,
Avalanche (AVAX) +2.18%,
and Cosmos (ATOM) +2.45%.


Notable gainers include:
Zelwin (ZLW) at $0.0353 (121.81%),
QLC Chain (QLC) at $0.0618 (34.08%),
Raiden Network (RDN) at $0.0581 (27.75%).

Notable losers include:
Pocket Network (POKT) at $0.0831 (-13.52%),
Metahero (HERO) at $0.00272 (-7.80%),
Circuits of Value (COVAL) at $0.0138 (-5.54%).

During Monday trading, crypto markets traded lower during Asian and European hours but made a spectacular comeback in the latter half of the day, resonating with the movement of the US Indices.

Bitcoin (BTC) rose from the ashes and came back from a low of $18,256 to a daily close of $19,535, representing a 7% gain from the low. Meanwhile, Ether (ETH) ascended from a low point of $1,279 to a daily close of $1,375, representing a 7.5% gain.

Traditional markets such as the Dow Jones Industrial Average (DJIA), S&P 500 (SPX), and tech-heavy Nasdaq composite index (IXIC) closed moderately higher on Monday, up 0.64%, 0.69%, and 0.76%, respectively.

The highlight of the economic calendar this week will be tomorrow’s Federal Open Market Committee (FOMC) meeting and its expected interest rate decision.

The CME FedWatch Tool now indicates a 20% likelihood of a 100bps hike during Wednesday’s FOMC meeting — up from 0% just one week ago.

The total crypto market cap currently sits around $890 billion, after once again slipping below the $1 trillion dollar mark last week.

A research note from Goldman Sachs indicates the U.S. bond market is also pricing in a 25% chance of a 100bps hike for Wednesday’s meeting, with analysts expecting “50bp hikes in November and December, taking the funds rate to 4-4.25% at year-end.” Crypto prices typically move in the opposite direction of yields.

A support trendline, measured from the weekly close on Oct. 10 2018, and extended from Mar. 09 2020, can be drawn to establish a future point of reference.

As the price of BTC continues to exhibit bearish sentiment, coming into contact with the trendline seems inevitable, and volatility will likely ensue.

By lending help from the Fibonacci extension tool, we can spot a major support zone divided into three layers between the monthly support level of $11,363 and the 161.8% level measured from Mar. 28 - May. 23.

Within the support zone, there are three key levels to pay attention to in the coming weeks, the $13,730 monthly support, the 141.4% ($11,770) Fibonacci extension level measured from Jun. 6 - Jun. 13, and the monthly support of $11,363. This is a likely outcome if the bears manage to break the current range.

On the contrary, if the bulls manage to keep the price of BTC within the current range, and then manage to make a comeback, there are two key resistance levels to pay attention to, first the monthly level of $19,858, then the 1.272% Fibonacci level measured from Mar. 28 - May. 23.


Below this support trendline, a support zone can be derived by using the Fibonacci extension tool, which generates three Fibonacci extension levels (127.2%, 141.4%, & 161.8%) measured from the plunge between Aug. 15 - Aug. 22, which coincide with the opening and close of the weekly candle on Jul. 4.

If the bear were to break ETH below the support trendline, then this is a support zone to be respected before the complete break of a “high wave” between Jul 4 - Aug. 8.
On the contrary, if the bulls sustain above the top layer of the support zone and attempt to make a comeback, then the overhead resistance stands at the $1,428 monthly level.

A close above this level on a weekly candle may indicate short-term bullishness, and the bulls will likely take advantage and make an attempt to bring the price of ETH above the 23.6% ($1,735) Fibonacci level measured from Jul 4 - Aug. 8, in order to invalidate the current bearish wave on a daily timeframe.

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Headline of the Day - Voters skeptical of Federal Reserve digital currency, poll finds: The Block Report

The new survey comes as the Federal Reserve explores issuing a central bank digital currency sometime in the future, and days after the Biden administration released a series of high-profile reports examining digital assets.

According to the new poll, 53% of voters said they oppose a Federal Reserve digital currency, while 11 percent said they support it. More than one-third of voters — 36% — said they were unsure.

Notably, 59% percent of voters said they were less likely to support a digital currency when they were told “the government could monitor all purchases that you make using the digital currency” and prevent it from being used for particular purposes.

In terms of opinions on the environmental impact of cryptocurrency, 42% percent of voters said they were not sure if cryptocurrencies hurt the environment, while 31% yes and 27% nay.

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Today’s Topic - Cardano’s Vasil Hard Fork Enters Final Stage: U.Today Report

Cardano co-founder Charles Hoskinson has announced that a hard fork combinator request has been submitted and successfully accepted, meaning that the implementation of the Vasil hard fork has now entered its final stage.

The Vasil hard fork is Cardano’s most ambitious upgrade to date since it will dramatically improve the blockchain’s scalability. For instance, Plutus V2 _script_s will be able to dramatically enhance Cardano’s smart contract capabilities.

Hoskinson claims that the upgrade is “particularly special” because it is named after his “good friend” Vasil Dabov. The Bulgarian mathematician, who was an active member of the Cardano community, passed away last December.

“I’m glad that we're able to immortalize his legacy forever in the Cardano ecosystem,” Hoskinson said.

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Influencer of the Day - SEC Claims All of Ethereum Falls Under US Jurisdiction in a Civil Complaint Against Crypto Influencer Ian Balina: Decrypt Report

The SEC filed a federal lawsuit Monday against crypto influencer Ian Balina for his failure to register a cryptocurrency as a security before launching a 2018 initial coin offering.

In a bold and potentially unprecedented move buried in the lawsuit’s 69th paragraph, the SEC today claimed it had the right to sue Balina not only because his case concerns transactions made in the United States, but also because the entire Ethereum network falls under the US government’s purview.

The SEC suggests that because more of Ethereum’s validating nodes currently operate in the United States than in any other country, all Ethereum transactions globally should be considered of American origin. Currently, 45.85% of all Ethereum nodes operate from the United States, according to Etherscan. The second-greatest density of nodes is in Germany, which pales at 19%, by comparison.

Last week, in the hours following Ethereum’s successful merge to a proof-of-stake consensus mechanism, SEC Chair Gary Gensler implied that the transition could bring the network closer to the definition of a security in the government’s eyes.

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Buzzes of Yesterday

Highlights:
#ENS says it has regained control of ‘eth.link’ domain name
#Alameda owes $200 million to bankrupt lender Voyager
#South Korean Prosecutors Ask Interpol to Issue Red Notice for Do Kwon
#Crypto market maker Wintermute hacked for $160 million
#U.S. Treasury Asks for Public Input to Shape Crypto Regulations







Author: Gate.io Researcher Peter L.
This article represents only the researcher's views and does not constitute any investment advice.
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