Crypto at a Glance
It looks like the DeFi circus is back in town and the acrobats are doing backflips and turning heads left, right and centre. AAVE is up more than 15% over the last 24 hours and yesterday set a new all-time high $506. The protocol is now the second-ranked DeFi platform by total value locked (TVL), reportedly driving by an influx of big institutional players (including, rumour has it, billionaire Mark Cuban). Solana has been another big gainer recently, with the blockchain gaining 85% over the last week and breaking into the top 30, while ADA also continues its winning streak and is currently trading at more than $0.50 for the first time since Feb 2018.
It’s been a slightly quiet 24 hours for Bitcoin and Ethereum – if you can call $37k and $16k quiet. Ethereum is now the 67th largest asset by market cap, having not even been in the top 100 at the turn of the year. The big event yesterday for bitcoin was Michael Saylor’s big event, which saw him share intimate details around how he bought cryptocurrency as a corporation with a number of interested entities. Is another influx of institutional investors priced in, or is the bull run only just getting started?
In the Markets
The Bitcoin Economy
What bitcoin did yesterday
We closed yesterday, 4 February, 2021, at a price of $36,926.06 – down from $37,472.09 the day before.
The bitcoin price has now closed over $30,000 for 34 days in a row and over $20,000 for 49 days in a row.
The daily high yesterday was $38,592.18 and the daily low was $36,317.50. That’s the highest daily high since 15 January.
This time last year, the price of bitcoin closed the day at $9,180.96. In 2019, it was $3,459.15.
As of today, buying bitcoin has been profitable for…
99.9% of all days since 2013-04-28.
Bitcoin market capitalisation
Bitcoin’s market capitalisation is currently $699,914,428,733, down from $708,991,905,061 yesterday. That still leaves it lagging behind Facebook and Alibaba as the 12th largest asset by market cap, although it’s by some distance bigger than Goldman Sachs (145th biggest with a market cap of $100 billion.
The volume traded over the last 24 hours was $67,711,201,748, up from $65,102,226,508 yesterday. High volumes can indicate that a significant price movement has stronger support and is more likely to be sustained.
The price volatility of bitcoin over the last 30 days is 93.17%.
Fear and Greed Index
Market sentiment remains high, in Extreme Greed at 81.
Bitcoin’s market dominance
Bitcoin’s market dominance is currently 61.67. Its lowest ever recorded dominance was 37.09 on 8 January, 2018.
Relative Strength Index (RSI)
The daily RSI is currently 60.93. Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience a correction in price – an RSI reading of 30 or below indicates an oversold or undervalued condition.
Convince your Nan: Soundbite of the day
“Bitcoin is not volatile. Fiat is volatile. The price of college is volatile in fiat. But it keeps getting cheaper in bitcoin. The price of prime real estate is very volatile in fiat – but it keeps getting cheaper in bitcoin.”
– Ross Stevens, the founder and Executive Chairman of NYDIG
What they said yesterday…
Giving Elon a day off
Think it’s probably time Goldman got a grip
Lot of suspicion around Goldman’s motives today
Not long now
To the moon?
Crypto AM: Longer Reads
City AM Markets: What is Decentralised Finance (DeFi) by Aave
Crypto AM: Market View in association with Ziglu
Crypto AM: Technically Speaking in association with with Zumo
Crypto AM: Talking Legal in association with INX
Crypto AM: Spotlight
Crypto AM: Founders Series
Crypto AM: Industry Voices
Crypto AM: Deeper Dives with Liam Roche
Crypto AM: A Trader’s View with TMG
Crypto AM: Tiptoe through the Crypto with Monty Munford
Crypto AM: Definitively DeFi
Crypto AM: Events Spotlight
Crypto AM: Recommended Events
Bitcoin for Corporations – MicroStrategy
3 February 2021 – online – 12.00 – 16:45 EST
6th Edition Global Blockchain Conference
9 February 2021 – Dubai
Global DeFi Conference
10 February 2021 – Dubai
Global Investment in Sustainable Development
3 – 4 March 2021 – Dubai
Global Technology Governance Summit
6 – 7 April 2021 – Tokyo
It’s definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. City AM, Crypto AM and Luno always advise you to obtain your own independent financial advice before investing or trading in cryptocurrency.
All information is correct as of 08:30am GMT.
Crypto AM Daily in association with Luno