Welcome to another crypto market outlook for the 11th of August!
From BTC breaking above the $60,000 round number to ETH surging as if there’s no tomorrow, and the Fear & Greed Index still signaling ‘Fear’ throughout the entire week, this article covers it all.
Are you ready?
Today, we will cover the following topics:
- Market Heatmap and Fear and Greed Index
- US500, DXY and Gold Analysis
- USDT.D, Bitcoin and Ethereum Analysis
- Quotes / Advices
- Closing Remarks
Market Heatmap and Fear and Greed Index
Following a bloody week due to fundamental factors, the crypto market is finally recovering slowly, with BTC managing to close the week positively at +0.82%.
ETH and altcoins followed BTC’s movement, creating new weekly highs with gains ranging from 1% to 10%.
Even though the market is recovering, trader sentiment remains pessimistic, with the Fear and Greed Index signaling “Fear” throughout the entire week.
After breaking above the last 4-hour highs, the index typically begins shifting to “Greed” and then “Extreme Greed,” repeating the cycle.
US500, DXY and Gold analysis
I always begin my analysis by going over the US500, DXY, and Gold to get a sense of the international financial market, which, in fact, directly affects the crypto market.
As per our previous market outlook, the US500 has been bearish, especially after the Japanese stock market crashed following an increase in Japanese interest rates.
However, the US500 remains overall bullish in the long term, trading within the rising channel marked in orange.
On the 4-hour timeframe, for momentum to shift to bullish again, following the long-term trend, a break above the last major high at $5,360 is needed.
In this case, a bullish correction toward the $5,500 round number would be expected.
The DXY is still hovering around the lower bound of the large symmetrical triangle marked in red.
As long as the $102 support level holds, we expect a bullish continuation toward the upper bound of the triangle.
On the 4-hour timeframe, the DXY is currently in a correction phase, trading within a rising channel marked in orange.
If the market behaves as it has in the past, we expect bearish pressure as the DXY approaches the upper bound of the falling blue channel.
Gold remains bullish in both the long-term and medium-term, trading within the rising channels marked in red and orange.
However, this month, it has been rejecting the upper bounds of these channels and the $2,500 psychological level.
On the 4-hour timeframe, Gold has been trading within a flat symmetrical triangle marked in orange.
Currently, Gold is trading in the middle of the triangle, which is a no-trade zone, also known as no-man’s land.
USDT.D, Bitcoin and Ethereum analysis
As per our previous market overview, USDT.D encountered resistance around the 6.4% - 6.6% zone and has been trading lower since then.
Lately, USDT.D has been rejecting a strong support zone at 5.5%, so we expect the bulls to kick in soon, which would negatively affect the crypto market.
For momentum to shift from bearish to bullish, a break above the last major high, marked in red at 5.66%, is required.
In the meantime, USDT.D would remain bearish, which is, of course, bullish for the crypto market.
As per our previous market overview, BTC remains bullish, especially after breaking above the $60,000 round number.
As long as the bulls maintain control, a continuation toward the upper bound of the falling orange channel is expected.
On the 4-hour timeframe, BTC has been bullish in the short term, trading within the rising wedge pattern marked in red. For the bulls to maintain control, a break above the $63,300 structure is needed.
However, if the $60,000 support level and the lower red trendline are broken to the downside, a bearish impulse would be expected.
As expected, ETH found support around the $2,000 round number and traded higher as if there were no tomorrow.
Currently, ETH is trading above the $2,500 support level, so we expect bullish pressure to persist.
From a medium-term perspective, ETH is bullish, trading within the rising channel marked in blue.
As long as ETH remains within the channel, a bullish continuation toward the $3,000 mark is expected.
Quotes / Advices
The goal of a successful trader is to make the best trades. Money is secondary.
~ Alexander Elder
Closing Remarks
In summary, BTC closes slightly positive, hovering around $60,000, with ETH following at $2,500 and altcoins also gaining.
Despite this, trader sentiment remains cautious, as the Fear and Greed Index lingers in the "Fear" zone.
USDT.D’s resistance around 6.6% could signal a potential reversal, impacting the broader crypto market.
US500 is trading above $5,360 while DXY near $102 support, showing mixed trends.
