Bitcoin and Ethereum traded just a little above key psychological levels on Sunday evening, as the global cryptocurrency market cap rose 3% to $1.3 trillion.
Bitcoin (CRYPTO: BTC) | 2.7% | -2.65% | $30,247.14 |
Ethereum (CRYPTO: ETH) | 3.2% | -4% | $2,040.33 |
Dogecoin (CRYPTO: DOGE) | 1.7% | 5.95% | $0.09 |
IoTeX (IOTX) | +17.5% | $0.044 |
TerraUSD (UST) | +14.5% | $0.065 |
Convex Finance (CVX) | +11.3% | $10.64 |
Why It Matters: The weekend saw the two largest cryptocurrencies by market capitalization post marginal gains, but Bitcoin and Ethereum are still struggling near the $30,000 and 2,000 levels, respectively.
Cryptocurrencies continue to track stock markets, particularly the S&P 500, which slipped into bear territory on Friday. At press time, futures in the S&P 500 and Nasdaq were up 1% and 1.25%, respectively.
Investors will keep an eye out for a slew of earnings from the retail sector in the week ahead, following lackluster results from Target Corp (NYSE: NYSE:TGT) last week.
Investors can expect some choppiness flowing into the cryptocurrency side due to volatility in equities.
“The S&P 500 has lost over 20% of its value from the January high, and it seems that technical selling will only accelerate,” said Edward Moya, a senior market analyst with OANDA.
“Bitcoin remains a risky asset and headed lower after the S&P 500 fell into bear market territory,” wrote Moya in a note, seen by Benzinga.
Glassnode co-founders Yann & Jann tweeted that Bitcoin is trading like the “most sensitive” S&P500 sectors. They noted that the S&P 500 and Nasdaq could be heading into an eighth straight weekly loss.
The effect of rising prices is starting to hit. #BTC is trading like the most sensitive SP500 sectors.The $SPX and $NDX are setting up for the 7th consecutive losing week. #Bitcoin could mark its 8th week.
See for yourself https://t.co/6l2GtLazpS pic.twitter.com/rNHTDMoT3m
— Negentropic (@Negentropic_) May 20, 2022
Cryptocurrency trader Michaël van de Poppe noted Bitcoin’s price action over the weekend and said the apex coin had a “great breakout” at the $29,300 area, which led to a run towards $30,200, which acted as a resistance. He expects “consolidation now.”
Still good on #Bitcoin.TWTRGreat breakout at the $29.3K area, resulting in a run towards $30.2K, which became resistance (as disclosed in the previous tweet).
Consolidation now.
Break would mean $31.1K and potentially $32.8K + #altcoin momentum. pic.twitter.com/Ia9svBR3Lf
— Michaël van de Poppe (@CryptoMichNL) May 22, 2022
Van de Poppe also said the week ahead would "be massive.”Read Next: Crypto Analyst Predicts 6 To 8 Months Of Downside For Bitcoin: Brace For $11K Bottom
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