Weekly Cryptocurrency Market Brief

The cryptocurrency market has continued its consolidation over the past week. Bitcoin has continued its price action within the $34-40k range and has been showing signs of stabilization, despite Elon Musk’s provocative statements on Twitter regarding Bitcoin. Musk has been the subject of derision in the cryptocurrency space and his influence on the market has also waned, as the Bitcoin price fell by just about $2k due to his most recent tweets on Friday June 4th, a smaller amount than previous dips. From his debunked energy argument amidst further controversies, his interventions have only succeeded in liquidating long positions in the market over a span of hours, without causing a fundamental shift in market dynamics.

THETA (THETA) has broken the previous resistance at $8.3 on the way to reaching mid-May levels at $10 per token. Since March, it had been forming a bullish flag after reaching new highs at about $15, due to its parabolic rise from a price of just over half a dollar in November 2020. Should it continue in its bullish path, there is much room for it to manoeuvre should it reach its April peak at $15.9, which is its all-time high.

Filecoin (FIL) underwent a price increase of about 60% over the past week, jumping from lows of $64 to $102 per token. This was the biggest bullish move experienced by Filecoin since late April and signals a potential bullish reversal to the upside. Currently trading at around $90, it will seek to make more gains on the way to reaching previous highs of $240 which it attained on April 1.

Over the past week, Monero (XMR) has been consolidating in the $250-315 price range and has registered successive higher lows since its drop in mid-May, when the cryptocurrency market suffered a heavy dip. It will seek to break its current pattern and recover previously lost ground while aiming for previous highs at about $520, which it reached in early May. Having undergone a sustained period of consolidation and pattern formation, it could be sooner rather than later that Monero and other cryptocurrencies experience a break-out in one direction or the other.

(Note: The above thought piece covers the wider VA industry, and may not be an activity that Arabian Bourse Limited (ABX) is looking to be licensed to undertake.

 

ABX has received in-principle approval from Financial Services Regulatory Authority of Abu Dhabi Global Market (ADGM) and is currently in the process of obtaining an FSP. ABX aims to be the first of its kind fully regulated, virtual asset MTF and custodian in the region focused on institutional and retail investors.)

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