U.Today – As it approaches $55,000, the Bitcoin price continues to show signs of weakness and a drop to $52,000 seems increasingly likely. Recent market data is evidence of a bearish attitude, especially among institutional investors, who have been withdrawing their money from Bitcoin-related exchange-traded funds.
On September 5, 2017, there were $211 million in net withdrawals from Bitcoin spot ETFs, the seventh consecutive day of outflows. Among the most notable ETFs, there were $23.2 million withdrawals from Grayscale’s GBTC ETF and a significant loss of $149 million from Fidelity’s FBTC ETF. Bitwise’s BITB ETF saw a $30 million withdrawal following the same pattern.
As a result, the market’s declining institutional interest is reflected in the total net asset value of Bitcoin spot ETFs, which currently stands at $50.7 billion. The asset is currently trading below its 200-day EMA, indicating a medium- to long-term bearish trend, according to the Bitcoin price chart.
The price is currently inside a descending price channel and this downward trajectory is expected to continue unless there is a notable change in market sentiment. The $52,000 level, which is at the bottom of the descending channel, is the next important level to watch out for. An even sharper sell-off may occur if the price breaks this level and continues to fall.
The bearish view is further supported by the declining volume, which indicates that the bulls do not have enough strength to push the price higher at the moment. The dearth of supportive market catalysts and institutional outflows seem to be the main causes of the immediate selling pressure seen in Bitcoin. On the horizon, $52,000 is a critical level to watch out for. Investors should brace for further declines.
Still sleeping
The Shiba Inu market continues to show signs of stagnation, moving in a tight sideways range that indicates the current lack of interest from both sellers and buyers. The lack of substantial movement in either direction supports the idea that investors are mostly ignoring the asset in favor of other opportunities.
Looking at the chart provided, it can be clearly seen that SHIB is trading in an extremely narrow range and has not experienced any significant price movements. Normally, volatility is a crucial signal of market activity and its absence indicates that SHIB is having trouble generating enthusiasm.
Regarding the 10% threshold, there has been no movement, suggesting that institutional and retail investors are apathetic. Another impediment to any bullish momentum is the technical position of SHIB’s price, which is stuck below the important moving averages. It is difficult for the asset to stage a significant recovery due to the strong resistance levels of the 50-day, 100-day, and 200-day EMAs.
The narrative that few traders are currently interacting with the asset is supported by the low volume that persists. Due to the lack of short-term profit opportunities presented by the price action, SHIB holders are likely feeling like they are in an eternal slumber during this period of inactivity. SHIB appears to be left out in the cold and in a state of uncertainty, even though the broader cryptocurrency market can be volatile.
falls
XRP has broken above the 200-day moving average, considered a key indicator of market direction, signaling a sell-off. This drop below such a significant level suggests a more bearish outlook for cryptocurrencies, suggesting that XRP may experience further declines in the near term.
XRP price is struggling to maintain its momentum as it has fallen below a number of important moving averages including the 50-day and 100-day EMAs, with the 200-day EMA now serving as resistance, as per the provided graphical analysis. The fact that XRP has not been able to hold the $0.55 level is a sign that buying interest is waning and selling pressure is increasing.
Although not to the point of triggering a significant reversal, the relative strength index of 39 indicates that XRP is approaching oversold territory. The idea that buyers are reluctant to step in and offer support for a recovery is further supported by the low trading volume, which indicates that bears are currently controlling the market sentiment.
The recent troubles that the cryptocurrency market as a whole has been experiencing are reflected in the collapse of XRP in the broader market. Along with a general decline across all assets, institutional investor withdrawals from Bitcoin have also indicated weakness.
These broader market dynamics have likely had an impact on XRP’s recent price action. As there doesn’t seem to be a clear catalyst to break the trend, XRP’s path of least resistance appears to be more downwards.
This article was originally published on U.Today
