The crypto market rose by 2.2% to $2.76T, returning to the 50-day MA. Bitcoin held support at $80K, while broad gains across altcoins bolstered bullish sentiment.
Market Overview
The crypto market rose by 2.2% to $2.76T over the past day, as bargain hunters stepped up their activity late on Thursday across a wide range of financial markets. The market managed to return to its 50-day moving average, suggesting bullish sentiment. In the world of traditional finance, October has a reputation as the 'bear market killer', while in the cryptocurrency world, it is even referred to as 'Uptober'. Given this backdrop, the psychological edge lies with the bulls, despite a rather disheartening first half of the month. This likely explains why cryptocurrencies have turned upwards across the board, with only two of the top 100 coins down over the past 24 hours. Among the most liquid coins, gains range from 16.9% (Basic Attention Token) and 11.7% (Aptos) to 1% (Bitcoin) and 0.6% (Tron). The market is moving like a flock of birds, abruptly shifting direction from a general decline to broad-based growth.
Fig. 1. The crypto market capitalisation has returned to its 50-day moving average.
Bitcoin has been one of the weaker performers in terms of growth over the past day. Trading at $82K, the leading cryptocurrency once again saw a steady influx of buyers during the dip below $80K, avoiding a close below the 50-day moving average, which continues to act as support for the uptrend. This time, the global backdrop is favouring buyers, given the increase in bond purchases, the weakening of the dollar and the rally in key US indices on Thursday.
Fig. 2. Bitcoin once again found strong support during a downturn, clinging to the bullish trend.
News Background
Standard Chartered Bank has revised its growth forecast for the stablecoin market over the next two years, expecting the market capitalisation of stablecoins to reach $2T only by 2030, due to a slowdown in the growth of token supply caused by weak activity in the crypto market.
Asset management firm VanEck has withdrawn its application to the SEC to register the VanEck Lido Staked Ethereum ETF. The fund was intended to track the value of stETH — an Ethereum liquid staking token via the Lido protocol.
Ripple has announced the launch of perpetual real-world asset (RWA) swaps via its Ripple Prime service for institutional clients. The products cover more than 100 reference markets, including equities, stock indices, exchange-traded funds, metals, energy and currencies.
Losses from hacks on crypto projects over the past three months have reached $1.18 billion, according to Hacken. The biggest losses were suffered by the Bitget crypto exchange ($387 million), the Liquid Network ($120 million) and the Tectonic lending protocol ($120 million).
Gold has a much better chance of increasing tenfold over the next five years than Bitcoin, according to Peter Schiff, head of Euro Pacific Capital and a crypto-sceptic. In his view, the first cryptocurrency could even crash entirely if demand for it falls.
The FxPro Analyst Team