Bitcoin (BTC) went above the crucial $65,000 mark for the first time in four weeks and is up almost 3% over the past 24 hours. BTC’s move past $65,000 comes just ahead of the expiry of over $5.8 billion in options contracts, which analysts believe could increase volatility in the crypto markets. The jump seems to be driven primarily by monetary stimulus in the US and China, which led to crypto markets registering a substantial jump.
Nearly all major cryptocurrencies are in the green, led by Solana (SOL), which has been up over 5% in the past 24 hours, and Dogecoin (DOGE), which has been up almost 12%. Other major gainers include Polkadot (DOT), up 4%; Chainlink (LINK), up 5.35%; Bittensor (TAO), up almost 2%; and Render (RNDR), up just over 5%. The overall crypto market cap also registered a substantial increase, rising by nearly 2.5% to $2.29 trillion.
Bitcoin (BTC) Reaches Critical Level
Bitcoin (BTC) is not the only cryptocurrency that has registered substantial gains, with Ethereum (ETH), SOL, and DOGE registering gains as well. BTC’s jump above $65,000 comes at a crucial time for BTC, just ahead of the expiry of $5.8 billion in options contracts. The $65,000 price had been an important resistance level for BTC, with the cryptocurrency retesting this level. A breakout above this level could lead to a significant rally, while a breakdown could kickstart a selloff. Besides BTC, DOGE also registered substantial gains and is up over 11%, along with SOL, AVAX, and several others.
According to Deribit CEO Luuk Strijers, around 20% of Bitcoin contracts are in the money as traders prepare for the options expiration on Friday. According to Strijers, such a large expiry could have a significant market impact as traders rebalance their trades. CEO of Vertex, Darius Tabai, stated,
“The market should chop around ahead of expiries as gamma hedging takes control of the market around the 60 and 65k levels.”
Solana (SOL) Registers Record Daily Net Inflows
Solana (SOL) has outperformed almost all major cryptocurrencies. It surged past $150 and is up nearly 6% over the past 24 hours. It also registered strong inflows, with net inflows amounting to $992 million. According to data from Artemis Terminal, these numbers have helped the blockchain outshine Ethereum. A positive net flow indicates rising demand, positive appreciation, and a price increase.
Turkey Scraps Planned Crypto Tax
Turkey has scuppered plans to impose a new tax on the stock market and cryptocurrency gains, according to an announcement by Vice President Cevdet Yilmaz. Instead, the government will focus on reducing tax exemptions. Yilmaz stated that with plans to impose a new tax halted, the government does not currently have an agenda to introduce a new stock or crypto tax.
“We don’t have a stocks tax on our agenda. It was discussed previously and fell from our agenda.”
Talks of a potential stock market tax emerged earlier this year to address growing inflation. However, this led to considerable nervousness among investors and a decline in trading volumes. As a result, Treasury and Finance Minister Mehmet Simsek stated the plan would be reassessed. Turkey is facing significant challenges, with its inflation rate at 52%. Yilmaz noted that improving public finances would be key to improving the prevailing fiscal situation and remains a priority.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) pushed above $65,000 for the first time since August, leading to a surge in investor interest in spot Bitcoin ETFs. BTC pushed to a high of $65,687 as markets responded to a monetary stimulus in the US and China. BTC began trudging upwards following the Federal Reserve’s announcement of a rate cut, the first since the Covid pandemic. The Fed opted for a 50 bps rate cut instead of the expected 25. Market watchers expect another rate cut after the Fed’s next meeting, scheduled for November 7.
However, the immediate catalyst for the jump in sentiment across the traditional and crypto markets is China, where the government is contemplating injecting up to 1 trillion yuan ($142 billion) of capital into the country’s biggest banks to revive its struggling economy. The news led to a significant price jump, including that of Bitcoin. BTC’s jump in price has also led to a renewed interest in spot Bitcoin ETFs. BlackRock’s IBIT registered significant inflows on Wednesday as investors pumped in $185 million.
Looking at the Bitcoin price chart, we can see that BTC faced considerable resistance over the weekend and the beginning of the current week as buyers struggled to push above the 200-day SMA and the $65,000 level. BTC also faced significant volatility on Monday after buyers pushed it to a day high of $64,712 before losing steam. As a result, sellers took control and pushed the price to a day low of $62,592. BTC eventually settled at $63,348 after a decline of 0.37%. Buying activity picked up on Tuesday as BTC climbed above the 200-day SMA after registering an increase of 1.46% and moving to $64,275.
Source: TradingView
However, sellers quickly drove the price back below the 200-day SMA and $64,000 as BTC fell back in the red on Wednesday, dropping nearly 2% and settling at $63,167. However, with market sentiment changing due to several positive developments, buyers returned to the market on Thursday. As a result, BTC registered an increase of 3.19% to push above the 200-day SMA and the crucial $65,000 level to settle at $65,183. The current session sees buyers remaining in control, with BTC up by 0.49% and trading around the $65,500 mark. BTC is currently testing the resistance levels. A breakout above $65,000 could lead to a rally to $70,000. On the other hand, a breakdown from this level could spark a selloff and see BTC drop below $60,000.
Ethereum (ETH) Price Analysis
Ethereum (ETH) is showing a bullish bias, with strong ETF inflows and a positive funding rate drawing investors and helping maintain its current bullish momentum. However, investors must remain wary of a potential correction, with ETH’s exchange reserves growing. Spot Ethereum ETFs registered net inflows of around $43 million on Wednesday, bringing the total inflows over the past two days to a healthy $105 million. The inflows indicate renewed investor interest in the asset following months of subdued price action. Investors had predicted that ETH ETF’s subdued price action was possibly the result of their launch occurring during the holiday season.
Looking at the price chart, we see ETH pushed above the 50-day SMA on Friday, going above $2,500 and settling at $2,561. Sellers attempted to push ETH back below $2,500 on Saturday, but it rebounded from the 50-day SMA, registering an increase of 2.04% to go above $2,600 and settle at $2,614. Selling pressure increased on Sunday, allowing sellers to drive the price below $2,600 to $2,583 after a drop of 1.19%. However, buyers again countered the selling pressure as ETH posted an increase of 2.48% on Monday to climb back above $2,600 and settle at $2,647. Volatility spiked on Tuesday as sellers attempted to drive the price below $2,600. However, ETH recovered after dropping to a low of $2,593 and settled at $2,654 after a marginal increase.
Source: TradingView
The price saw a substantial drop on Wednesday, falling to $2,580 after a decline of almost 3%, but recovered on Tuesday, posting an increase of just over 2% to climb back above $2,600 and settle at $2,633. The current session sees ETH up by 1.22% and trading around the $2,665 mark. ETH has support building around $2,500, and buyers will look to prevent a breach of this level. On the other hand, sellers are actively defending the $2,700 level. If ETH can break above this level, it could move to the crucial $2,850 level.
Solana (SOL) Price Analysis
Solana (SOL) has been highly bullish this week after rebounding from the 50-day SMA on Sunday, when it fell to a day low of $141. Since then, it has gone above $150 and pushed above the 200-day SMA. SOL started the current week facing considerable volatility as buyers and sellers struggled to establish control. Eventually, SOL was able to register only a marginal increase. However, buying activity picked up on Tuesday as SOL moved past $150 after registering a jump of 5.50% and settling at $152. With the 200-day SMA coming into play as a dynamic level of resistance, SOL fell back in the red on Wednesday, dropping by 3.12% to $148.
Source: TradingView
With market sentiment changing to bullish and the crypto markets witnessing an uptick, SOL rose by just over 5% on Thursday, pushing above the 200-day SMA and settling at $155. With the $155 level breached, SOL is currently up by almost 2% and trading around the $158 mark as it sets its sights on $160. If buyers can maintain momentum and push SOL above $160, we could see a break towards $180 or $190. On the other hand, sellers will look to drive SOL back below $160. In such a scenario, SOL could dip back below $150.
Dogecoin (DOGE) Price Analysis
Dogecoin (DOGE) has surged past the $0.110 resistance as sentiment changed to bullish over the past few days. The world’s most popular meme token is up almost 16% over the past seven days despite starting the current week experiencing significant volatility. DOGE ended the previous week on a bearish note, dropping over 3% on Sunday. Despite facing volatility on Monday, DOGE registered an increase of 1.41% and moved to $0.107. Tuesday saw buyers maintain control as DOGE rose to $0.110 after an increase of 2.23%.
Source: TradingView
However, with sellers active at this level, DOGE fell back on Wednesday, registering a drop of 1.91% to settle at $0.108. As markets rallied on Thursday, DOGE also picked up, rising by almost 10% to surge past the $0.110 level and move to $0.118. The current session sees DOGE continue to remain bullish, with the price up by almost 5%, having moved above $0.120 and trading at $0.123.
Ripple (XRP) Price Analysis
Ripple (XRP) continues to trade sideways despite market sentiment picking up and other major cryptocurrencies registering a substantial increase. XRP has not been able to push above $0.60 since mid-September, with sellers preventing a substantial breakout. The current week has seen XRP oscillate between $0.55 and $0.60, with neither buyers nor sellers able to dictate any significant price movements. XRP’s inability to push above the $0.60 level indicates strong selling on rallies. Sellers will look to drive the price below $0.55 and the 20 and 50-day SMAs. However, bulls are expected to defend this level, as a breakdown from here could drive the price down to $0.50.
Source: TradingView
On the other hand, buyers will attempt to push above $0.60. A breakout above this level could see XRP rally to $0.64. As we can see in the price chart, sellers attempted to drive XRP below the moving averages on Thursday. However, buyers were able to prevent a breakdown and push XRP to $0.59 after an increase of 1.22%. The current session sees XRP marginally down as buyers and sellers struggle to establish control.
Bittensor (TAO) Price Analysis
AI tokens have surged over the past week, with Bittensor (TAO) leading the charge. At one point, TAO was up almost 90%, registering an incredible surge from a low of $282. While its momentum has waned, TAO remains up by 35% over the past week, with its price increase stalling thanks to resistance at the $560 price level. As we can see in the price chart, TAO started the week on a very bullish note, surging by almost 15% and settling at $540 after achieving a day high of $582. With strong resistance around $560, buyers began losing momentum thanks to strong selling. TAO eventually registered an increase of 1.71% and settled at $550.
Source: TradingView
Buyers attempted a move past $560 on Wednesday but were unsuccessful, falling back after reaching a day high of $582. Eventually, TAO settled at $552, posting only a marginal increase. Sellers took control on Wednesday, driving TAO to a day low of $503. However, buyers prevented a drop below $500 and pushed the price back up, with TAO settling at $529 after a decline of 4.09%. The current session sees TAO up by almost 3%, with buyers having thwarted another attempt to push above the $560 resistance.
Render (RNDR) Price Analysis
Render (RNDR) has been highly bullish this week as it looks to break above $6.50. Bullish sentiment picked up after the price rebounded from a low of $4.62 on September 17. The rally saw RNDR surge past the 20 and 50-day SMAs and move to $5.62 by the weekend. The current week began with RNDR registering a huge jump of over 10% to push above $6 and settle at $6.20. Selling pressure increased on Tuesday as the price fell to a low of $5.95. However, buyers pushed the price back above $6, allowing RNDR to settle at $6.25 after an increase of 0.89%.
Source: TradingView
Sellers took control on Wednesday, driving RNDR down by 5.48% to $5.91. However, it quickly rebounded on Thursday, registering an increase of almost 7% to climb back above $6 and settle at $6.30. The current session sees TAO up by nearly 1%, trading around the $6.37 mark. Buyers will look to push RNDR above $6.50. A break above this level could push the price to $7. On their part, sellers will look to drive RNDR back below $6. Should this happen, the price could drop to $5.80 or $5.50.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
