Crypto Market Pulse - May 13, 2024

LAST WEEK RECAP:

• According to the University of Michigan Survey of Consumers, the US consumer sentiment index dropped to 67.4 in May, down from 77.2 in April and well below the estimated 76. The one-year inflation outlook increased to 3.5% from 3.2% in April.
• Robinhood Crypto received Wells notice from US SEC.
• Donald Trump said he'd accept crypto for campaign donations and vowed to end hostility toward crypto.
• Binance and OKX launched Notcoin (NOT) on the Binance launchpool and the OKX Jumpstart.

LEGACY MARKETS – DXY

DXY is still at the top of the range but has shown some signs of weakness. Currently, the market is waiting for it to choose a direction after this smaller consolidation at the top of the range.

LEGACY MARKETS – VIX

VIX has completely died out again to low 13s. Looking at multiple assets BTC / Tech stocks, it seems likely VIX will stay muted, and assets will start trending again after 2-3 months of range.

BTC WEEKLY VIEW

BTC has been consolidating on the previous ATH since mid-March. With support on the ATH seemingly holding, BTC seems to have a decent shot at resuming its upward trend.

ETH WEEKLY VIEW

ETH has a deadline of May 23rd for possible ETF approvals. ETH is still heavily underperforming any real strength BTC is having. This is also reflected in the slow bleed price action on the ETH/BTC ratio.

ETH/BTC

ETH/BTC is still slowly bleeding down. With the breakdown under a 3-year range seemingly happening, either ETH/BTC snaps back in range and gets real relative strength, or it will start accelerating downwards on the breakdown (This would also imply strong movement upward on BTC).

TOTAL3 USD MARKET STRENGTH

TOTAL3 follows the same picture BTC and ETH are showing. TOTAL3/BTC looks much stronger than the ETH/BTC ratio. This would indicate more underlying strength in alts, and ETH is underperforming the general alt market relative to it.

TOTAL3 BTC MARKET STRENGTH

ALT/BTC is still pushing the downtrend and will likely break out. In comparison, ETH/BTC is still massively failing and showing no relative strength.

SUMMARY

• BTC/USD is looking good for trend continuation, with prior support still holding strong.
• ETH/BTC is still underperforming. This week and next week, many ETH ETF deadlines for May are approaching.
• ALT/BTC is pushing to break out of downtrends.

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 is prepared by Kairon Labs Traders: Joshua van de Kerckhove and Patrick Li.

Edited by: Marianne Dasal