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# CRYPTO ANALYSIS

Crypto Pre-drink: May 6, 2024

Crypto Pre-drink

KEYTAKEAWAYS

  1. Investor Behavior: Bank of America reports a $600 million withdrawal from crypto funds, the largest since June 2022, indicating heightened investor caution.
  2. Market Dynamics: JPMorgan notes a retail-driven sell-off in cryptocurrencies, with Bitcoin experiencing a sharp 16% decline in April.
  3. Technical Analysis: 10x Research suggests a possible false breakdown in Bitcoin’s price, revisiting their strategy at a pivotal $68,300 threshold.

CONTENT

In the Crypto Pre-drink, we serve up a daily shot of the hottest crypto news and market insights to fuel your investment decisions.

 


INVESTOR WITHDRAWALS PEAK AT BANK OF AMERICA

 

Bank of America has observed a significant movement in the cryptocurrency space, with investors pulling out $600 million from crypto funds over the past week, marking the largest withdrawal since June 2022. This trend underscores the growing caution among investors amidst market volatility.

 

RETAIL-DRIVEN SELL-OFFS NOTED BY JPMORGAN

 

JPMorgan’s recent analysis highlights that the sharp downturn in the cryptocurrency market has been predominantly driven by retail investors. The bank maintains a cautious stance as Bitcoin experienced its largest monthly decline since June 2022, falling 16% in April. The market faces challenges such as increased margin positions which could exacerbate volatility.

 

10X RESEARCH FORECASTS POTENTIAL FALSE BREAKDOWN IN BITCOIN

 

According to 10x Research, Bitcoin might see a false breakdown following a period of triangular consolidation, similar to patterns observed since early 2023. The firm is reevaluating its bull-bear threshold, previously set at $68,300. Earlier in March, CEO Markus Thielen also stated that if Bitcoin stabilizes at $68,330, it could form a technical base for a potential surge to new highs, forecasting a run towards $83,000 or even up to $100,000.

 

US LABOR MARKET SHOWS SIGNS OF COOLING

 

The US Department of Labor reported a slowdown in job growth and a surprise increase in the unemployment rate for April, signaling a cooling labor market after strong growth earlier in the year. Non-farm employment rose by only 175,000, the smallest increase in six months, with the unemployment rate rising to 3.9%.

 

CRYPTO TRADING INSIGHTS

 

Despite the broader economic slowdown, Bitcoin has managed to recover losses from late April, pushing back above the $60,000 mark with minimal market pressure. Short-term support levels for Bitcoin are suggested at $61,500 to $60,500.

 

Investors might consider these price levels as potential entry points for altcoins, based on current market conditions.

 

  • ETH: Around $3,100
  • SOL: Around $140
  • BNB: Around $580
  • BCH: Around $460
  • DOGE: Around $0.15
  • PEPE: Around $0.000008
  • WLD: Around $5.10

 

binance ref


DISCLAIMER

CoinRank is not a certified investment, legal, or tax advisor, nor is it a broker or dealer. All content, including opinions and analyses, is based on independent research and experiences of our team, intended for educational purposes only. It should not be considered as solicitation or recommendation for any investment decisions. We encourage you to conduct your own research prior to investing.

 

We strive for accuracy in our content, but occasional errors may occur. Importantly, our information should not be seen as licensed financial advice or a substitute for consultation with certified professionals. CoinRank does not endorse specific financial products or strategies.


WRITER’S INTRO

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