This weekend, Bitcoin temporarily hit a record $ 12,000 for this year. After an almost steady rise over the past week, Bitcoin rose sharply above the $ 12,000 mark on Saturday. Almost immediately, the price corrected by almost $ 1000, and currently the cryptocurrency is trading around $ 11,200.
Fear and Greed Index
Bitcoin trading volume has almost doubled in the last month, reaching 30 billion dollars daily. This is practically double the volumes recorded at the end of 2017, when Bitcoin reached a maximum value of over $ 20,000. In addition, the "Fear and Greed" index reached its highest value to date, 80, which is the equivalent of "extreme greed". At the time of publication it was corrected to 75.
Error or sign?
An interesting aspect was registered on the Binance futures market. An investor has placed a large number of orders in his BTCUSD 0925 Quarterly Futures contract. This generated a sharp rise in Bitcoin futures to $ 100,000. Binance CEO Changpeng Zhao announced on Twitter that it was probably a trading bot error and that he would adjust the charts to make them easier to read.
However, the current evolution of Binance may have facilitated the liquidation of traders who use its futures market as a reference. In total, $ 1.4 billion Long positions were liquidated as a result of Bitcoin's price correction, according to Bybt.
In any case, the fact that Bitcoin has managed to maintain its support level at $ 11,000 is a positive signal for future developments. According to Messari data, Bitcoin ended July at the highest level in 2020, with an increase of 24%.
Ethereum temporarily exceeds $ 400
The second market-leading cryptocurrency, Ethereum (ETH), topped $ 400 on Saturday. After a rapid rise to $ 411, ETH recorded a major correction, dropping to $ 360. Currently, the cryptocurrency is trading at about $ 380.
In the last month, ETH has had a very good evolution, registering an increase of about 68%. The market cap exceeded $ 40 billion, signaling investor interest.
Even with high volatility this weekend, Ethereum has positive prospects for the future, according to analysts. DeFi has already reached $ 4 billion in blocked ETH, and the popularity of decentralized financial services is growing. In addition, the cryptocurrency is preparing for a major upgrade to ETH 2.0 in the coming period.