The crypto market finally has something to celebrate again, because the total market cap has risen above the trillion again. After months of sell-offs that eventually took Bitcoin below $18,000, the market’s largest cryptocurrency stands at around $22,000 at the time of writing.
What is going on?
It seems that the market is gradually getting used to the macroeconomic situation. The past period was a bit of a shock with the high inflation and the aggressive response of the Federal Reserve. By now we seem to have reached the point where most people who don’t trust it have sold their Bitcoin and only the steadfast hodlers are left.
A new rate hike by the Federal Reserve is scheduled for the coming week, on July 27. We are currently expected to face an increase of 75 basis points (0.75 percent). However, that information is already so public that it will probably have little effect on the price. The only thing that can knock Bitcoin is if the Federal Reserve decides to raise interest rates by 100 basis points.
According to most analysts, the pumps we see now are also no reason to go completely into the polonaise. Officially we are still in a bear market and it is nothing more than a “bear market pump” as we call it. If we break above $30,000 again, things will start to look like something.
Battle with 200 Week Moving Average
After rising 16 percent in the past seven days, Bitcoin is back at an interesting point. Around the current price level, we encounter the 200-week moving average. A line that often acts as an important support level in bear markets. We lost support from this line last month, but now Bitcoin seems to be getting another chance to regain the line.
