Mooners and Shakers: Can a US dollar ‘double top’ help Bitcoin and Ethereum break out?

Coinhead Rob Badman
US dollar double top

This Bitcoin metaphor might not get very far in the current macro police state. (Getty Images)

ethereum pumps

Bitcoin and Ethereum are lying flat in a tight tunnel, inching their way towards the end of the week. You know… like Steve McQueen in The Great Escape. Maybe a flagging US dollar is the light they need.

Some analysts are seeing the US Dollar Index (DXY) potentially forming a double top on its chart right now. If that’s the case, then shackles will likely break and a risk-asset bust-out could ensue, as US trader/analyst Scott “Wolf of All Streets” Melker posits below in the “party time” side of his coin flip.

And although we admit we’re headlining this hopium-filled thought (rebellions, hope and all that), we’d probably best not get too carried away with the idea. There’s still a very strong chance a hawkish US Federal Reserve awaits escaping crypto prisoners emerging through the Jackson Hole in, oh… roughly 14 hours or so.

But, the short-term fact (subject to immediate change) is that the DXY has hit some resistance and is showing the very initial stage of a trend down with some sign of bearish divergence on its RSI (relative strength index).

Guess we’ll find out very soon enough if this is pure fantasy of the not-particularly-sexy inverse-correlation kind, and your favourite cryptographically secured assets are bound for more pain.

Onto some daily price action…

 

Top 10 overview

With the overall crypto market cap at US$1.09 trillion and up about 1.5% since yesterday, here’s the current state of play among top 10 tokens – according to CoinGecko.

Another analytical Crypto Twitter account meanwhile thinks US$1,700 is the mark for ETH to act as a rising tide for altcoin boats…

Not bearishly realistic enough for you? Then just for balance, here’s not such a great sign… According to crypto market-intelligence platform Santiment, Ethereum whales (big bag holders), have been moving a good deal of their holdings onto large crypto exchanges such as Binance just lately, ahead of the Merge…

What does this mean? Inflows of crypto onto exchanges is considered bearish and can foreshadow traders/investors looking to dump/take profit on their tokens.

Maybe, though, as another American crypto analyst Alex Krüger suggests, Ethereum’s pre-Merge narrative still has some pumpage to go, before a potential “sell the news” pullback. The Merge, by the way, is now slated to begin as early as September 6, completing somewhere between September 10-20, according to the Ethereum Foundation.

Uppers and downers: 11–100

Sweeping a market-cap range of about US$8.8  billion to about US$459 million in the rest of the top 100, let’s find some of the biggest 24-hour gainers and losers at press time. (Stats accurate at time of publishing, based on CoinGecko.com data.)

DAILY PUMPERS

• Shiba Inu (SHIB), (market cap: US$8.2 billion) +7%

• BitDAO (BIT), (mc: US$600 million) +7%

• Ethereum Classic (ETC), (mc: US$5 billion) +5%

• Aave (AAVE), (mc: US$1.3 billion) +5%

• Decred (DCR), (mc: US$489 million) +4%

 

DAILY SLUMPERS 

• Celsius (CEL), (market cap: US$487 million) -8%

• Lido DAO (LDO), (mc: US$1.16 billion) -8%

• Chiliz (CHZ), (mc: US$1.198 billion) -7%

• Helium (HNT), (mc: US$849 million) -5%

• Leo Token (LEO), (mc: US$4.8 billion) -3%

 

Around the blocks

A selection of randomness and pertinence that stuck with us on our morning moves through the Crypto Twitterverse…

 

Related Topics

BitcoinCryptocurrencyEthereum

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