Macroeconomics and financial markets

On the US New York stock market on the 22nd of last week, the Dow Jones Industrial Average fell 18.3 points from the previous day, and the Nasdaq index closed flat, rising 29.1 points (0.19%).

Among U.S. stocks, mining-related stocks Marathon Digital rose 7.2% from the previous day, Riot rose 5.7%, Hut 8 rose 11.6%, and continued to grow significantly, while Coinbase rose 4.2% and MicroStrategy rose 5.9% from the previous day. As a result, funds are beginning to accumulate in crypto-asset (virtual currency) related stocks.

connection:Fed-focused PCE deflator causes negative inflation since 2020, soaring virtual currency-related stocks | 23rd Financial Tankan

connection:10 major virtual currency stocks in the Japanese and US stock markets

Virtual currency market conditions

In the crypto asset (virtual currency) market, the Bitcoin price fell 2.1% from the previous day to 1 BTC = $42,955.

The price is at a turning point where it will either hit a double top and fall back, or break out and continue to rise.

connection:Even if the futures market is biased, Bitcoin will break out this week. Contributed by a bitbank analyst

Analyst’s view

Ali Martinez pointed out that entities holding more than 1000 BTC decreased by 1.1%. It appears that some whales (large investors) are adjusting and redistributing their portfolio holdings.

Are you anticipating a #Bitcoin price correction? The first indicator would be a sustained close below $43,200. If this happens, $BTC could be headed towards $37,000.

However, as long as the crucial $43,200 support level holds, the odds seem to favor the bulls, potentially… pic.twitter.com/ed6Ok4lMjE

— Ali (@ali_charts) December 23, 2023

According to his perspective, if the $43,200 support line (downside support line) is maintained, buyers will have the upper hand and the price will continue to rise to $47,360, but if the closing price falls below the $43,200 level, it will fall to the $37,000 level. There is a risk of

This analysis is based on Bitcoin’s UTXO Realized Price Distribution (URPD), which visualizes how much Bitcoin is held at which price range.

Are you anticipating a #Bitcoin price correction? The first indicator would be a sustained close below $43,200. If this happens, $BTC could be headed towards $37,000.

However, as long as the crucial $43,200 support level holds, the odds seem to favor the bulls, potentially… pic.twitter.com/ed6Ok4lMjE

— Ali (@ali_charts) December 23, 2023

Amid the growing sense of overheating due to the circulation of altcoins, there are many who are taking a cautious view.

QCP Capital, a Singapore-based crypto asset trading company, expects its Bitcoin ETF (exchange traded fund) to be approved as early as January 5th to 10th next year. He warned that “excessive optimism is prohibited,” as there is a strong possibility that the situation will turn out to be true.

As spot prices have already risen significantly, initial demand immediately after approval of the ETF may be lower than bullish expectations and profit-taking pressure. In that case, 1BTC could drop to $36,000.

As an investment strategy to prepare for such a scenario, one option is covered calls, where you take advantage of increases in futures prices and volatility to sell call options while holding the underlying asset in the options market. Mentioned that. At the same time, investors have the option of buying out-of-the-money puts to profit if spot prices decline after the ETF is approved.

On the other hand, in the long term, we believe that even if there is a temporary sharp decline, the bullish trend toward the next halving will continue.

connection:Learn about Bitcoin ETFs from the beginning: Explaining the advantages and disadvantages of investing and how to buy US stocks

DonAlt offers a similar view.

It is possible that the stock could rise to $48,000 after the ETF is approved, but the steeper it rises, the greater the risk of a pullback. We predict that once the selling has run its course and adjustments are made, there may be large-scale buying by BlackRock, the largest asset management company, etc.

In addition, Peter Brandt, a well-known investor who had pointed out the possibility of Ethereum (ETH) crashing, withdrew his bearish prediction based on the breakout of the rising wedge.

Strong opinions, weakly held
When circumstances change, my changes
My recent appraisal of $ETH called for immediate price collapse – that has not happened
I have withdrawn my bearish outlook based on chart structure. @CointelegraphMT pic.twitter.com/Pb2fUsuiAn

— Peter Brandt (@PeterLBrandt) December 22, 2023

Bitcoin ETF special feature

We have introduced the “Heat Map” function to the CoinPost app for investors!
In addition to important news about virtual currencies, you can also see at a glance exchange information such as the dollar yen and price movements of crypto asset-related stocks in the stock market such as Coinbase.

â– Click here to download the iOS and Android versions
https://t.co/9g8XugH5JJ pic.twitter.com/bpSk57VDrU

— CoinPost (virtual currency media) (@coin_post) December 21, 2023

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