01/22 Afternoon Briefing
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Cryptocurrency futures liquidated 240 million dollars in 24 hours... Bitcoin short positions concentrated at 107,000 dollars.
2025-01-22T11:38:09.000Z
In the past 24 hours, the crypto futures market saw liquidations totaling $245.8 million, affecting over 119,000 traders. The largest liquidation occurred at HTX, revealing a disparity in how long and short positions fared under the turbulence. Despite the anticipated volatility due to Trump's presidency, market steadiness was surprisingly maintained, likely kept stable by expectations for positive crypto policies and ETF investments. Positions in assets such as Bitcoin and Solana contributed to notable short position liquidations due to their price rises. Meanwhile, Ethereum, Dogecoin, and Ripple saw drops, leading to significant long position liquidations. These market dynamics expose crucial resistance and support levels in Bitcoin trading, presenting new levels for strategic investor positioning.
This article highlights a major event in the crypto futures market with a $245.8 million liquidation, emphasizing the continuing volatility within the cryptocurrency market. Despite geopolitical developments like Trump's presidency, the expected volatility did not materialize as profoundly, potentially due to expectations of pro-crypto policies favoring market stability. The data from CoinGlass provides a detailed breakdown of long and short positions affected, indicating that Bitcoin, referencing Trump, and Solana experienced gains, impacting short positions more significantly. In contrast, assets like Ethereum, Dogecoin, and Ripple faced losses and volatility, leading to a noticeable liquidation of long positions. Such market behaviors are intricate indicators of underlying investor sentiment and potential future market directions. What's notable is how different exchanges experienced varying liquidation patterns, emphasizing the importance of strategic positioning based on specific market exchanges. The Bitcoin short position hitting a resistance level at around $107,300 marks a critical inflection point for future price movements of Bitcoin, creating a notable resistance level indicating possible future price pullbacks or sustained upward momentum if broken. On the other hand, the $103,500 level as a support point for long positions underscores where investor sentiment might stabilize upon market corrections. Such data-driven insights are invaluable for both institutional and retail investors in planning trades with an understanding of market depth and positioning. The overall analysis provides a layered understanding of interconnected market events and their implications, brief yet reflective of the complex dynamics at play in the current crypto environment.
[Block Media Reporter Myung Jeong-sun] On the 22nd, approximately $246.58 million worth of liquidations occurred in the cryptocurrency perpetual futures market over a 24-hour period. The total number of traders affected by the liquidations on that day reached 119,055. # Trump made no remarks on cryptocurrencies, but the market remains stable Source: CoinGlass. Despite concerns over increased volatility in the cryptocurrency market following the inauguration of former President Trump, the market showed unexpectedly stable trends, with the scale of liquidations decreasing compared to the previous day. Expectations of pro-cryptocurrency policies and new inflows into Digital Asset Exchange-Traded Funds (ETFs) are evaluated to have contributed to market stability. According to CoinGlass, the volume of long position liquidations was $123.79 million, while shorts were $121.89 million. The largest single liquidation occurred on the HTX (formerly Huobi) exchange, with a $2.14 million scale in BTC-USDT trading. There were mixed results by coin. Price increases in Bitcoin, Trump, and Solana hit short positions, while Ethereum, Dogecoin, and Ripple suffered long position liquidations due to price drops and increased volatility. Divergent trends were also observed by exchange. Binance, Bybit, and Bitfinex showed a high proportion of long position liquidations, while Gate.io, OKX, and HTX were notable for short position liquidations due to declines in Bitcoin, Solana, and Trump Coin. # Bitcoin Short Position Resistance at 107K Source: CoinGlass. According to the liquidation heat map visualizing Bitcoin price and leverage liquidity, there is strong pressure for short position liquidations near $107,300, forming a potential strong resistance line. This area is where short positions are densely accumulated, likely obstructing upward trends. Conversely, around $103,500 is a zone where long position liquidations are concentrated, likely acting as a support line. This price level could serve as a key support zone preventing downward movement due to potential stop-loss clustering for long positions. Particularly, the $105,500 to $107,500 range concentrated with trading volume in major exchanges such as Binance, OKX, and Bybit holds a high potential for extreme volatility due to overlapping long and short position liquidations. This area is likely to act as a major short-term pivot point, necessitating investor caution.
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[Main News] Institutionalization of Bitcoin becomes a subject of reevaluation for investors.
2025-01-22T11:36:21.000Z
WisdomTree's analysis portrays the evolving perception of Bitcoin, driven by its institutionalization, shifting from a niche holding to a mainstream asset class. This shift encourages investors to reassess Bitcoin’s place within diversified portfolios. Recent regulatory improvements and the introduction of Bitcoin ETFs in the U.S. have buoyed this perception. Incorporating Bitcoin is now seen as a strategy for achieving superior portfolio performance, reflecting its maturation within the financial markets. Simultaneously, Ethereum is highlighted for its significant role in underpinning DeFi and NFT developments, despite facing scalability challenges. The report foresees asset tokenization growing significantly as institutional frameworks evolve, marking a maturity milestone in the cryptocurrency narrative.
According to WisdomTree's detailed analysis, we're witnessing a pivotal shift in the perception of Bitcoin due to increasing institutional engagement. This movement towards institutionalization is transforming Bitcoin from being seen as a niche asset to one considered essential within diversified multi-asset portfolios. As regulatory frameworks become more favorable, exemplified by the rollout of a Bitcoin ETF in the U.S., the acceptance of Bitcoin as an integral component within diversified investment strategies is growing. This evolution is re-evaluating traditional investment paradigms, with heightened expectations of superior performance from portfolios incorporating Bitcoin. WisdomTree’s analysis indicates that this structural shift could enhance overall institutional and retail investor engagement, cementing Bitcoin's position as a mainstream asset over niche classifications. Furthermore, Ethereum’s role in decentralized finance (DeFi), NFTs, and Web3 developments is acknowledged, though challenges with scalability remain yet potential breakthroughs via Layer 2 solutions are anticipated. The report further acknowledges the substantial role of stablecoins in global finance and projects the significant growth of asset tokenization by 2025. This analysis provides a rich context for understanding the contemporary and future landscape of cryptocurrencies, marked by growing institutional confidence and technological advancements redefining asset classification and strategic niceties in global finance.
According to WisdomTree's analysis, the institutionalization of the cryptocurrency market means that Bitcoin is no longer considered a niche investment. This development encourages hesitant investors to reevaluate Bitcoin. On the 21st (local time), CoinDesk reported that WisdomTree revealed these insights in its recently released 2025 cryptocurrency market trends report. The report analyzed that portfolios holding Bitcoin are performing better than those without. Dovile Silenskyte of WisdomTree warned that failing to integrate digital assets into a multi-asset portfolio poses the risk of falling behind. Since the launch of Bitcoin spot ETFs in the United States, the regulatory environment has become more favorable, and altcoin exchange-traded products (ETPs) such as Solana and XRP are also getting approved in various countries. The report also pointed out that while the Ethereum blockchain serves as the foundation for decentralized finance, non-fungible tokens (NFTs), and Web3, it still faces scalability issues. However, recent upgrades are expected to accelerate Layer 2 adoption. Furthermore, stablecoins play a crucial role in the global financial system, with networks like Solana deemed suitable for stablecoin payments and remittances. The tokenization of ownership of physical assets on the blockchain is expected to proliferate rapidly by 2025. *This article was published on January 22, 2025, at 01:08 and is being retransmitted in summary. See original text ⇒
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[Video] Key to Altcoin: Defending the Core Support Level… Analysis of Ethereum and Solana Market Trends (Song Seung-jae, Lee Hyun-ji)
2025-01-22T11:34:47.000Z
The article explores the fragile support levels of major altcoins, especially focusing on Ethereum and Solana during recent market volatility. Ethereum's support at the $3100 level is crucial; a break could push it to $2900, whereas a rebound could see it surge above $3500 again. Similarly, Solana is stabilizing at $230, with this zone being pivotal for further bullish moves. XRP and Dogecoin continue their upward trends, targeting key resistance levels that could impact future gains. Additionally, the looming interest rate decision by Japan could significantly affect market dynamics, prompting the need for strategic risk management. These technical analyses combined with macroeconomic observations provide insights into price directionality and risk factor considerations for investors.
This article delves into the critical technical levels of major altcoins like Ethereum and Solana amidst an environment of market volatility. Ethereum, testing the $3100 support level, dictates crucial price movements that could swing downwards to $2900 or potentially rebound upwards over $3500 depending on this level holding firm. This situation is indicative of a market awaiting confirmation of direction following recent volatility. Solana's position around the $230 price point showcases its adjustment phase, with the potential for sustained upward movement if this zone holds. Meanwhile, XRP and Dogecoin are highlighted for maintaining upward momentum, showcasing specific resistance points crucial for further continuation of this trend. The report emphasizes the potential transformative impact of Japan's upcoming interest rate decisions on the global crypto market, suggesting this as an immediate external factor to watch out for. Investors are thus encouraged to implement risk management strategies to navigate anticipated fluctuations. In essence, this analysis provides an invaluable lens into technical market dynamics and how external financial policies can exacerbate or mitigate inherent market volatilities, influencing future altcoin trajectories. This combined technical and macroeconomic understanding is essential for investor strategy formulation amid evolving global market conditions.
Video Link: https://youtu.be/ngugbzCtfSI [Block Media Hyunseong PD] As the cryptocurrency market shows volatility, whether major altcoins can maintain their support levels has emerged as a key factor in determining the market's direction. Ethereum: Importance of the $3,100 support level Ethereum recently tested the $3,100 support level as its upward momentum stalled over the weekend due to increased liquidity and selling pressure from TrumpCoin. The analysis suggests that if this support level breaks, there is a possibility of further decline to $2,900 or below, making the rebound at the $3,100 level crucial. On the other hand, if the support level holds and strong rebounds occur, Ethereum may have the potential to surpass $3,500 again. Solana: Adjusting after a surge Solana had recently shown a strong upward trend, but is currently undergoing adjustments around the $230 range. This range acts as a key support level, and if maintained, Solana is expected to gradually continue its upward trend. Conversely, leaving this range is expected to lead to further downward adjustments. XRP and Dogecoin: Potential to maintain upward trend XRP has shown a strong upward movement in recent months and has held onto its major support level. Experts analyze that if XRP maintains its current level and breaks through the 5,000~6,000 KRW resistance level, there is potential for further upward movement. Dogecoin is also continuing its rebound by forming an upward channel. It is likely to maintain support in the 530~490 KRW range and transition to an upward trend, with the critical factor being whether it can surpass major resistance zones. Market outlook and investment strategies Market analysts foresee that Japan’s interest rate decision on January 24 could significantly impact the cryptocurrency market. During this period, major altcoins are likely to exhibit short-term volatility, and investors are advised to implement thorough risk management and develop responsive strategies.
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[Main News] Bitcoin, which stalled after Trump's inauguration, rises on hopes for clarity in SEC regulations
2025-01-22T11:33:18.000Z
Bitcoin's price has shown a marked rally upon news of the SEC forming a digital asset task force aimed at improving regulatory clarity. This comes after an initial drop following President Trump's inauguration, restoring market optimism. As of the morning, Bitcoin rose by approximately 2.89% on domestic exchanges and 4.29% globally. The SEC, with Hester Peirce at the helm, aims to create a regulatory framework balancing investor protection and market innovation, which has positively influenced market sentiment. Short position liquidations have been significant, highlighting bullish expectations. This regulatory news has not only driven immediate market gains but also bolstered hopes for sustainable long-term growth in the cryptocurrency sector.
In this article, the market reactions following regulatory updates from the SEC are closely examined. Bitcoin's price rise, catalyzed by the SEC's announcement of a digital asset task force, signifies a shift towards regulatory clarity that platforms and investors have long anticipated. The SEC's move, intended to pave a clearer regulatory path, has restored confidence in the cryptocurrency market, enabling Bitcoin to recover from its lows following Trump's inauguration. This task force, comprising critical voices like Commissioner Hester Peirce, underscores the critical push for a balanced regulatory environment that considers both investor protection and capital growth encouragement. The digital market responded positively, with significant short liquidations indicating renewed bullish sentiment among traders. This rally, however, is not only a response to immediate news but also reflects a broader anticipation of a more structured regulatory landscape that could potentially foster long-term growth and adoption of digital assets. Additionally, sentiment indices like the Fear and Greed Index saw an uptick, reflecting heightened optimism among market participants. This environment demonstrates how regulatory developments can substantially impact market dynamics, not just in the immediate sense but potentially influencing long-term trends and adoption rates in the crypto sphere. Such updates provide investors with much-needed foresight into policy directions shaping the future fiscal environment for digital currencies.
Since the inauguration of U.S. President Donald Trump, Bitcoin, which had been on a downward trend, is rising again and approaching its previous high. The major reason seems to be heightened expectations for regulatory clarity as the U.S. Securities and Exchange Commission (SEC) forms a digital asset task force (TF). As of 8:50 a.m. on the 22nd, Bitcoin was trading at 157.52 million KRW on the domestic digital asset exchange Upbit, up approximately 2.89% from 9 a.m. the previous day. In the same period, it reached 106,202 USD, reflecting an increase of 4.29% on the global digital asset market data platform CoinMarketCap. According to Coinglass, Bitcoin had about 84.46 million USD (approximately 121.3 billion KRW) liquidated in the past 24 hours, with about 63% coming from short positions. The total liquidation amount in digital assets reached about 303.89 million USD (approximately 436.6 billion KRW). There was an expectation that a digital asset-related executive order would be issued on Trump's inauguration day, but Bitcoin reversed into a downward trend amidst disappointment. However, news of Acting Chairman Mark Uyeda of the SEC forming a digital asset TF led Bitcoin to turn upwards. Mark Uyeda has been serving as acting chairman following the resignation of former SEC Chairman Gary Gensler. The SEC announced on the 21st (local time) that the TF aims to establish a clear regulatory framework. SEC Commissioner Hester Peirce is set to lead the TF, signaling a change in regulatory approach. Commissioner Peirce stated, "This TF will operate successfully by accommodating diverse opinions," and "will create a regulatory environment that protects investors and promotes capital formation." Meanwhile, the Alternative Fear & Greed Index, which indicates investor sentiment in the digital asset market, rose significantly to 84 this day, from 76 the previous day. This index suggests a stronger tendency to sell when closer to 0 and a higher buying trend when closer to 100. *This article was originally published on January 22, 2025, at 09:16, and has been summarized and retransmitted. View the original text ⇒
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Final Viewpoint
In the recent week, Bitcoin has experienced robust fluctuations, primarily influenced by regulatory developments and market positioning. The announcement of a new SEC task force focused on digital assets has invited a wave of optimism, pushing Bitcoin's price upward by roughly 4% globally, a recovery attributed to hopes for clearer regulatory frameworks. Meanwhile, institutionalization trends and the introduction of Bitcoin ETFs continue to solidify Bitcoin's status as a core asset in diversified investment portfolios, further stabilizing market sentiment. The technical analysis underscores key support and resistance levels currently being tested, notably with Bitcoin showing resistance around $107,300, with a critical support at $103,500 suggesting strategic entry points for investors. Over the past 24 hours, despite facing overall market volatility, Bitcoin settled with minor price changes hovering around $106,143, showcasing resilience amidst the news-driven turbulence. Given these dynamics and assuming continued favorable regulatory news, Bitcoin might trend towards $110,000 in the short term if it can break through resistance consistently while maintaining its support levels.
Viewpoint