Bitcoin rally is short-lived as US regulation jangles a few nerves

WE'RE back in the red this morning with Bitcoin down nearly 3% over the past 24 hours, while Ethereum and many other large-caps are following a similar pattern.

Bitcoin has pulled back to the upper reaches of $60,000, down from around $63,000. However, there seems to be support at the key $60,500 level, which has been tested a few times in the early hours of this morning.

The Fear and Greed Index continues to hover in Neutral as volatility persists, also seen in heightened trading volumes. Analysts note that continued uncertainty around US crypto regulation and potential rate cuts in the US are keeping bullish investors in check, who will also be watching US unemployment numbers due on Friday. 

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In the Markets

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Total crypto market cap

$2.26 trillion (-2.15%)

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What Bitcoin did yesterday

Daily high $63,257 |  Daily low $61,797

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Bitcoin market capitalisation

$1.2 trillion (-2.82%)

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Bitcoin volume

$22.39 billion (+1.09%)

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CoinDesk Large Cap Select Index 

-2.53%

The CoinDesk Large Cap Select Index (DLCS) measures the market cap weighted performance of some of the largest cryptocurrencies and gives a general indication of the overall performance of the crypto market. 

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SP500

+0.62%

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Fear and Greed Index

48 (Neutral) 

The Fear and Greed Index measures volatility, market momentum/ volume, social media, surveys, dominance, and Google search trends to gauge market sentiment.

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Bitcoin’s market dominance

54.44

The Bitcoin Market Dominance indicator measures the percentage of total cryptocurrency market capitalisation represented by Bitcoin at a given time.

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Bitcoin Relative Strength Index (RSI)

43

Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience a correction in price, while 30 or below indicates an oversold or undervalued condition.

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Post Script…

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Cautionary Notes

It’s definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.