Crypto roundup: One Aussie analyst not convinced by latest Bitcoin rally; Axie and Stellar soar
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The crypto recovery has continued for a second day, with Ethereum hitting a 10-day high and Bitcoin at an eight-day high.
But one Aussie veteran trader (and BTC fan) says he’s still sitting on the sidelines, unconvinced.
Carl Capolingua, an analyst with Think Markets in Perth, attributed the crypto gains to the livestreamed “B Word” debate between Tesla chief executive Elon Musk, Twitter CEO Jack Dorsey and ARK Invest chief executive Cathie Wood.
“But that rally is very small in the context of the broader trends,” he told Ausbiz TV this morning.
“I’m still really concerned. I’ve been analysing charts for over decades now. When I see a chart like this, regardless of what my heart says — and I’m a Bitcoin proponent — the head says, this is going lower, despite the best efforts of the lovefest there. I’m waiting to buy.”
Lots going on with personalities, but technical picture only modestly improved!
➡️ST/LT trends still down
➡️Key support/resistance still 28754 vs 36651
➡️< 36651 = downside bias with $20k target
➡️> 41347 req’d to change LT trend$BTC #cryptocurrency #trading pic.twitter.com/zt3fcu7L1c
— Carl Capolingua (@CarlCapolingua) July 22, 2021
Capolingua said he’s looking buy into Bitcoin (with a modest percentage of his portfolio) once it crashes to US$20,000.
But Capolingua said that serious money managers and investment analysts were looking to do the same.
“The problem is, if we all want it to get there, it might not get there. And that’s the angle you have to look at here.”
Capolingua said that if BTC does rally to US$36,500, he might have to buy it, “reluctantly, almost.”
At 12.10am AEST, Bitcoin was trading at US$32,737, up 2.2 per cent from yesterday, while Ethereum was trading was changing hands for $US2,068, up 4.4 per cent.
That’s their best levels since July 15 and July 13, respectively.
The best gainer in the top 100 was the Axie Infinity token, which was up 23.1 per cent to US$28.16.
The gaming coin has had a wild month of July, rising from just over US$5 at the start of the month to an all-time high of US$29.29 last week. It dropped to $15.36 earlier this week but has now risen again.
The Smooth Love Potion also used in the blockchain game was down 7.5 per cent to US30.4c.
Stellar Lumens (XLM) was the second-best gainer among top 100 coins, climbing 19.3 per cent to 26.9c after Bloomberg reported the Stellar Development Foundation had partnered with private equity firm Advent to make a bid for MoneyGram.
Only three top 100 coins were down, the worst performer being THORChain, which had fallen 11 per cent to US$3.67 in the wake of last week’s hack.