Bitcoin, Ethereum, Dogecoin Search For ‘Santa Claus’ Rally: Veteran Trader Says Memecoin Doing Circles Around ‘Mulberry Bush’ – Bitcoin (BTC/USD), Ethereum (ETH/USD), Dogecoin (DOGE/USD)
Major coins traded lower on Monday evening as the global cryptocurrency market cap fell 2.2% to $792.8 billion at 7:27 p.m. EST.
|Cryptocurrency||24-Hour % Change (+/-)||Price|
|XDC Network (XDC)||+9.6%||$0.03|
|Bitcoin SV (BSV)||+0.8%||$45.04|
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Why It Matters: Cryptocurrencies followed other risk assets, which were in search of the yearly “Santa Claus” rally that has remained elusive so far this year.
Bitcoin and Ethereum traded lower on a day when the S&P 500 and Nasdaq closed 0.9% and 1.5% lower respectively on an intraday basis.
“Bitcoin is following the broader markets and is down on the day,” said Edward Moya, a senior market analyst with OANDA.
On Monday, Binance.US reached a deal with the bankrupt cryptocurrency firm Voyager Digital to buy the assets of the latter for $1.02 billion.
“Voyager’s distressed assets were supposed to be bought by FTX, but then the collapse occurred,” said Moya in a note, seen by Benzinga.
The analyst said, “Binance might still be in the market to buy more distressed assets, which could also be viewed as an attempt to show some strength in their health given the massive redemptions that have been occurring.”
Kaiko Research said that Binance has regained most of its lost market share. The cryptocurrency data platform noted that during the worse of the “crisis of confidence” the cryptocurrency exchange’s market share fell from 81% to 68% as it saw mass outflows.
Binance Exchange Market Share — Courtesy Kaiko Research
“Over the weekend, Binance regained most of its market share. In fact, since FTX collapsed Binance’s market share has climbed from ~67% to ~80% relative to 11 other exchanges,” said Kaiko.
Michaël van de Poppe said that Bitcoin is moving with the indices. “Let’s see what happens next,” said the cryptocurrency trader.
Factor LLC CEO and notable trader Peter Brandt said that Dogecoin is in a “Mulberry Bush” pattern. Brandt referred to a pattern named after an English nursery rhyme. The trader appears to suggest that DOGE is going around in a circle of price gains and losses.
Santiment noted that altcoins have been particularly hard hit during the most recent downturn with nearly all projects underbought or semi-underbought due to average trader losses compounding.
“Our model, though, indicates, that several projects are now at historical pain points where bounces occur,” said the market intelligence platform on Twitter.