Weekly Crypto Update: Key Events and Market Trends
London: 17 July 2024 (TraderMade): This past week in the crypto world has been eventful, marked by dramatic news and notable market movements. From an attempted assassination of a former president to significant shifts in Bitcoin sentiment, here's a comprehensive review of the key events.
Key Takeaways
- Former President Trump survives an assassination attempt, impacting crypto markets.
- Bitcoin struggles with resistance; market sentiment dips to "extreme fear".
Assassination Attempt and Market Reactions: Trump Survives Attack at Pennsylvania Rally
Former President Donald Trump narrowly escaped an assassination attempt during a rally in Pennsylvania. The attacker, a 20-year-old local, was killed on the scene.
Unfortunately, an audience member lost their life in the chaos. This incident, highlighting the political climate's volatility, has also affected market sentiments.
Impact on Crypto Markets
The failed attempt on Trump's life has stirred the markets, with many crypto investors viewing the event as a potential catalyst for a risk rally. Trump's promises to pardon Ross Ulbricht and support the crypto industry if re-elected have further fueled speculation.
Bitcoin's Struggle and Sentiment: BTC Faces Resistance
Bitcoin continues to face significant resistance at the $66,000 mark. Despite attempts to break through, the cryptocurrency has struggled, resulting in a plunge in market sentiment to "extreme fear".
Analysts believe that the market's anticipation of a dovish Federal Reserve and a strong earnings season may eventually aid Bitcoin's recovery.
Technical Analysis
Bitcoin's technical setup shows a double false break of the inside trendline from late 2023, with support touching from a long-term trendline dating back to mid-2021. This confluence of factors often leads to significant market movements.
Major Developments in the Crypto Space: US House and SEC Crypto Guidance
The US House of Representatives failed to overturn President Biden's veto on ending the SEC's controversial crypto guidance. This development maintains the regulatory status quo, much to the dismay of many in the crypto community.
JPMorgan's Market Outlook
According to a JPMorgan report, the crypto market is expected to rebound in August, with current liquidations likely to conclude by the end of July. This optimistic outlook is giving a glimmer of hope for investors amid the current market turbulence.
Global Crypto News: UK Labour Party's Victory
The Labour Party's recent victory in the UK has rekindled hopes for the crypto market. The party's promise to make the UK a global leader in tokenisation has been met with enthusiasm, potentially signalling a more crypto-friendly regulatory environment.
Germany Sells Final Bitcoin Holdings
The German government has reportedly sold its final Bitcoin holdings, marking the end of an era. This move, combined with recent sales from the Mt. Gox trustee, has contributed to the current market dynamics.
Ethereum's Promising Outlook: ETH's Technicals and ETF Anticipation
Ethereum is showing promising signs, with a rally through trendline resistance and eyeing the $3,350 mark. The much-anticipated approval of ETH ETFs could further bolster its position in the market.
Conclusion
This week has been a rollercoaster for the crypto market, with significant political events and market movements shaping investor sentiment. While Bitcoin faces challenges, there is cautious optimism for a rebound in the coming months.
As the crypto world navigates these turbulent times, investors will need to keep an eye on both technical indicators and broader economic developments.
