Market Wrap: Bitcoin, Ether Near Record Prices as Crypto Market Celebrates Coinbase’s First Trading Day

Bitcoin buying and selling on Coinbase.
Source: TradingView

  • Bitcoin (BTC) buying and selling round $62,174.12 as of 20:00 UTC (4 p.m. ET). Slipping 1.38% over the earlier 24 hours.
  • Bitcoin’s 24-hour vary: $61,400.28-$64,829.14 (CoinDesk 20)
  • BTC trades between its 10-hour and 50-hour averages on the hourly chart, a sideways sign for market technicians.

Fundamentals appear to be taking the again seat to the hype of the second; Coinbase’s direct itemizing in the present day on Nasdaq appears to be like just like the one factor that’s driving up the entire crypto market. Nonetheless, there are certainly basic elements at play as bitcoin and different cryptocurrencies commerce close to all-time highs. 

Bitcoin, the No. 1 cryptocurrency by market capitalization, rose to close $65,000 throughout early buying and selling hours within the U.S. on Wednesday, hours earlier than Coinbase shares started buying and selling on the Nasdaq.

Spot buying and selling quantity on eight crypto exchanges tracked by CoinDesk, though barely decrease than a day in the past, continued to indicate elevated exercise and was close to $4 billion at press time.

Source: CoinDesk, CryptoEvaluate

While it could look like Coinbase’s Nasdaq itemizing has been pumping costs in bitcoin and different cryptos, Mati Greenspan, founder and CEO of Quantum Economics, views it the opposite means round. According to him, Coinbase timed the itemizing with bitcoin bull’s run. “Coinbase isn’t pumping bitcoin. Bitcoin is pumping Coinbase,” he mentioned in his e-newsletter Wednesday.

At press time, 98 cryptocurrencies on Messari are value greater than $1 billion – the quantity was 100 throughout early buying and selling hours within the U.S. on Wednesday.

Coinbase’s direct itemizing “is well timed,” wrote Philip Gradwell, chief economist at blockchain knowledge agency Chainalysis in his e-newsletter on April 14. “The market has radically modified within the final six months with the entry of latest, usually very massive, institutional traders, who’ve paid excessive costs for his or her cryptocurrency.”

Indeed, regardless of the hype, bitcoin’s market fundamentals could give a extra significant rationalization on why bitcoin’s worth has continued to triumph.

More than 2 million BTC have modified fingers on the blockchain at costs above $50,000, in line with Gradwell, whereas about 608,000 BTC have been acquired at costs at or above $57,000.

“It demonstrates the extent of funding in cryptocurrency: these 2.3 million at or above $50,000 for bitcoin price $125 billion,” Gradwell wrote. “Such ranges of funding require massive firms that may face the scrutiny of the general public market.”

At the identical time, the so-called coin years destroyed (CYD) metric tracked by Glassnode additionally indicates that bitcoin long-term holders (“HODLers”) are nonetheless within the accumulation section, offering additional bullish assist to the worth.

Read More: Bitcoin Uptrend Intact as HODLers Seem Less Tempted to Sell

Ether and altcoins

Ether buying and selling on Kraken.
Source: TradingView

  • Ether (ETH) buying and selling round $2,334.94 as of 20:00 UTC (4 p.m. ET). Climbing 1.49% over the earlier 24 hours.
  • Ether’s 24-hour vary: $2,268.57-$2,399.61 (CoinDesk 20)
  • Ether trades between its 10-hour and 50-hour averages on the hourly chart, a sideways sign for market technicians.

Ether, together with many different different cryptocurrencies (“altcoins”), additionally logged extra positive aspects on Wednesday.

Besides ether, which is the No. 2 cryptocurrency by market capitalization, one of the crucial staggering progress spurts was seen with dogecoin (DOGE), the beloved meme cryptocurrency that was created again in 2013.

As a end result, dogecoin now has a market capitalization of greater than $16 billion, surpassing that of bitcoin money (BCH) and chainlink (LINK), per Messari knowledge.

Dogecoin’s sudden worth surge additionally got here with escalating buying and selling exercise: knowledge from Coingecko additionally exhibits that dogecoin is the No. 5 most traded token of the day, solely behind tether (USDT), bitcoin (BTC), ether (ETH), and xrp (XRP).

Other digital belongings on the CoinDesk 20 are principally in crimson on Wednesday. Notable winners as of 20:00 UTC (4:00 p.m. ET): 

Other markets

  • Asia’s Nikkei 225 closed within the crimson 0.44%.
  • The FTSE 100 in Europe was up by 0.71%.
  • The S&P 500 within the United States closed within the crimson 0.41%.
  • Crude oil (WTI): +4.55% to $62.92/barrel.
  • Gold: -0.51% to $1736.58/ounce.
  • The 10-year U.S. Treasury bond yield climbed Wednesday to 1.629%.

The CoinDesk 20: The Assets That Matter Most to the Market

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