Bitcoin are Primed to Test 50k

GB Market Commentary 05/10/2021

by Jonas Luethy

Bitcoin is currently trading between 49-50k dollars and has pushed back to levels lost last week following the Evergrande situation. The next key level to reclaim for bitcoin is 50k, then 52k dollars, while the range high is $55’000. Support remains at $48’700 and $45’500. If these levels are lost, bitcoin could drop to as low as 42K. Ethereum is trading at $3400, as bears try to pull the coin below the 50-day simple moving average of 3’300. If ETH breaks $3500, the coin could rise to $4000. Most altcoins are in the green as the total crypto market cap is 2.1 trillion and the bitcoin dominance rate is 42.7%. Data now confirms bitcoin is the best performing asset of 2021.

Chainalysis has released a report that found that crypto transactions have increased by 706% in Central and Southern Asia between July 2020 and June 2021. Crypto adoption in this region comes mainly out of Vietnam, Pakistan, and India, where over 30% of respondents stated they had purchased cryptocurrency. Vietnam has the world’s highest adoption rate with 41%, while the UK and the US are at the other side of the spectrum with 8% and 9% respectively. Asian institutional adoption is also very prominent, as crypto transfers above 10 million dollars represented 29% of all transactions in Vietnam, 28% in Pakistan and 42% in India. Another report by the same firm has shown that central, northern, and western Europe is the world’s largest crypto economy, with over $1 trillion transactions in the same 1-year period. Although Europe is the world leader in total crypto transactions, Asia dominates overall adoption with Vietnam, India and Pakistan ranking in first second and third in peer-to-peer transaction volumes. P2P transactions are also prominent in Africa, with Kenya and Nigeria leading the way.

Finally, the market cap of Axie Infinity has reached $30 billion, making it the 5th most valuable game company in the world. The native token AXS is currently changing hands at $140, an increase of over 100% from last week’s opening of $63. The company plans to launch a DEX to permit the exchange of in game items, which was likely one of the causes of the price increase.