Major cryptocurrencies traded in the green on Monday evening, despite a prevailing bearish sentiment among crypto traders and the absence of new catalysts to drive a market rally.
| Cryptocurrency | Gains +/- | Price (Recorded 9:30 p.m. EDT) |
| Bitcoin BTC/USD | +0.27% | $26,080 |
| Ethereum ETH/USD | +0.28% | $1,653 |
| Dogecoin DOGE/USD | +1.12% | $0.063 |
What Happened: A hefty sum of over $10 million was spent by the 1inch Investment Fund’s crypto wallet as it acquired a significant amount of Ether. Not long after cashing out on its dollar-cost averaging buys in the first quarter of 2023, the wallet made this substantial purchase.
Lookonchain, a blockchain analysis platform reported that the affiliated wallet associated with 1inch obtained 6,088 ETH at a price of $1,655 per unit.
Top Gainer (24 Hour)
| Cryptocurrency | Gains +/- | Price (Recorded 9:30 p.m. EDT) |
| XDC Network | +7.42% | $0.05598 |
| Curve DAO | +7.23% | $0.4906 |
| Polkadot | +4% | $4.65 |
Currently, the global crypto market capitalization stands at $1.05 trillion, a 0.29% increase in the last day.
Stocks opened the final trading week of August on a positive note, as Wall Street aimed to recover from a month of losses. The Nasdaq Composite showed a solid gain of 0.84%, while the S&P 500 climbed 0.63% to start the week.
See More: Best Crypto Day Trading Strategies
Analyst Notes: Crypto analyst Michael Van De Poppe said the recent market collapse and liquidation cascade resulted in over $1 billion being wiped out of the markets. This is the largest cascade witnessed in the current bear cycle. Looking ahead, Van De Poppe suggests two different strategies: investment thesis and trading thesis.
Regarding the investment thesis, Van De Poppe said, “August and September aren’t the greatest period for Bitcoin, as it usually corrects. However, October-December are great periods. Not to mention the case of a potential approval of the ETF or the Futures ETF’s on Ethereum.” He also advises, “It’s currently the period to DCA and accumulate your positions and I’d be taking a weekly/monthly DCA approach on this, through which you can get a balanced position into the markets. Timing the bottom is simply impossible.”
Regarding the trading thesis, Van De Poppe explains that “the 200-Week EMA lies beneath us. It’s at $25,650 (Bitstamp) or $24,750 (Binance).”
Van De Poppe also provides specific entry strategies, saying, “Two strategies can be deployed: 1 – Sweep at $25,750 for an aggressive long entry towards the other side of the range (entry can only be taken after the sweep and when $25,750 is reclaimed). 2 – Sweep of $25,200 towards $24,700-25,000 (the 200-Week EMA on Binance) and bullish divergences on higher timeframes. That’s the golden trade and could be the start of a reversal. However, $25,750 should be reclaimed in the bounce, otherwise this trade could be invalid/stopped out.”
Crypto analyst Chris Burniske said that “sentiment is signaling that digital asset markets are gearing up for a reversal to the upside.”
He believes that the current correction in the crypto market will likely be just another minor obstacle in the grand scheme of things.
"Getting close to people being too consensus bearish – everyone timid. Perhaps we get a credit event and flush, but in the context of how far we've already fallen, it'll likely be minor. To be honest, I wouldn't be surprised to instead get some upside surprise that catches people off guard. Either way… I'm comfy, long, and accumulating."
Photo by FellowNeko on Shutterstock
Read Next: Jim Cramer Advises Against Using Binance, Provokes Strong Reactions From Twitter Users
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