The crypto market has been in a disarray – to say the least. So far, the market has not been able to sustain any momentum and continues to oscillate between prolonged bearish spells with brief upside moves. During the daily timeframe, the global cryptocurrency market capitalization suffered a loss of 2% – with the capitalization at $1.95 trillion currently.
Highlights of the week
Here are some of the top developments of the week:
- Bitcoin continues its bearish trend and lost 2% of its value during the day – currently standing at $43,248. Ethereum follows suit with the king of the market and declined by 2%, now at a price level of $3,061
- United States senators have introduced a bill that mandates the State Department to study El Salvador’s legalization of Bitcoin and its potential impacts on the US economy so timely steps can be taken
- A new report by Chainalysis reveals that 4,068 criminal whales hold a cumulative total of $25 billion Bitcoin. Moreover, criminal crypto balances have increased from $3 billion in 2020 to $11 billion in 2021
- Switzerland’s Financial Stability Board believes that cryptocurrencies pose high risks to the global financial ecosystem
- Crypto exchange ByBit has been reported to have signed a deal worth $150 million with Red Bull Racing
- MasterCard has decided to offer crypto and NFT consulting services and can also potentially help governments develop their central bank digital currencies
- Russia’s Ministry of Economic Development is pushing towards the legalization of Bitcoin mining in some areas of the country
Crypto fear & greed index
The crypto fear & greed index’s reading indicates a possible revival of the earlier-seen bullish trend of the cryptocurrency market. Throughout the previous month, the index has been sustaining in the range of extreme fear to fear. However, the past week has seen some bullish momentum in the market which has led to the crypto fear & greed index suggesting a neutral sentiment. If the bearishness does not overtake the market once again, the neutral sentiment can easily shift towards a bullish tone.
The index is one of the most-used tools to help gauge the sentiment of the market. It utilizes various indicators of sentiment to present one accurate figure. The index ranges from 0 to 100 with 0 signifying extreme fear – and buying opportunities – and 100 signaling towards extreme greed & overheated conditions.
