Crypto Market Pulse - December 16, 2024

LAST WEEK RECAP:

• U.S. CPI accelerated to 0.3% MoM and 2.7% YoY in Nov, the same as estimated.
• U.S. Core CPI was 0.3% MoM and 3.3% YoY in Nov, also in line with estimates
• U.S. PPI increased to 0.4% MoM in Nov, higher than the 0.2% estimated, the annual rate was 3%
• U.S. Core PPI was 0.1% MoM in Nov, lower than the 0.2% estimated, the annual rate was 3.5%
• Microsoft shareholders vote against BTC investment
• Microstrategy has been added to the Nasdaq 100 index
• Grayscale launched the Lido and Optimism investment fund
• Microstrategy bought another 21,550 BTC with an average of $98,783. So far, MicroStrategy holds a total of 423,650 Bitcoins, with an average cost of $60,324

LEGACY MARKETS – DXY

DXY has nearly fully recovered from its previous decline and is gearing up to break into new highs again, which may pressure risky assets.

LEGACY MARKETS – VIX

The VIX remained confined to a tight range, indicating subdued market volatility. The absence of notable surges suggests stable investor sentiment.

BTC WEEKLY VIEW

After consolidating around the 100K level, BTC retested the daily MA30 and broke through to a new ATH on Sunday, reaching approximately 105K. We may see an uptrend after the correction.

ETH WEEKLY VIEW

ETH experienced a sharp hit last Monday, dropping nearly 10% in a single day. Over the week, the price gradually recovered to its previous levels but has yet to reach a new high. This also indicates strong buy interests and, thus, a sign of strength.

ETH/BTC

In the context of BTC continuously setting new highs, ETH has yet to show significant strength. However, ETH/BTC is currently breaking the previous downtrend line, and we should keep an eye on whether it can play the catch-up.

TOTAL3 USD MARKET STRENGTH

TOTAL3 was also hit hard on Monday, similar to ETH, and it found support at lower levels and rebounded.

TOTAL3 BTC MARKET STRENGTH

We did see the pullback we mentioned from last week, mainly because BTC has continuously set new highs while other coins are still recovering from Monday's decline. This also proves that other coins don't seem to have much upside momentum before Bitcoin shows any weakness.

SUMMARY

• BTC continues to set new highs and dominate the cryptocurrency market, making other coins relatively weak.
• After experiencing a sharp decline, ETH has returned to the price level before the drop.
• Altcoins also experienced a sharp decline last week but found some support at lower levels. However, there hasn't been a strong rebound yet. BTC may need to weaken before gaining any momentum.
  
  

DISCLAIMER:

The information in this report is for information purposes only and is not to be construed as investment or financial advice. All information contained herein is not a solicitation or recommendation to buy or sell digital assets or other financial products.

This post was prepared by Kairon Labs Trader Patrick Li and Travis Su.

Edited by: Marianne Dasal