Weekly Cryptocurrency Market Brief

Bitcoin’s consolidation has continued over the past week. Operating in a narrower range than in previous weeks, a breakout could be imminent. BTC has been constantly moving between several resistance and support levels, while remaining within the $32-34.7k range. For several weeks now, when Bitcoin has threatened to break upwards into new highs, sellers take control and push the price back downwards. Yet, Bitcoin has found considerable buying strength at the $32.5k level over the past week, as shown by successive 4h candlesticks with long shadows at the bottom.

KuCoin Token (KCS) has made substantial gains this week. Rising from about $8 to $14.5 per token in a matter of days, it has been one of the best performers in the cryptocurrency market over the past week. KuCoin Token had been consolidating for almost two months since its drop in price in mid-May, and has now soared in price after holding support at $7. Since its rise, it has fluctuated within the $10.5-14.6 price range, with a potential pattern under formation and suggesting another significant move.

Another high-performing coin over the past week has been Terra (LUNA). It has risen in price from $5.9 on July 5, 2021, to a high of $8.75 on Sunday, July 11, 2021, representing a 50% price increase. In similar fashion to KCS, it had been consolidating since May, after its heavy price correction in the middle of the month. It has finally broken out of the pattern which it had formed over the past month and a half, during which it operated in the $4-7.5 price range.

Monero (XMR) has remained above the critical $200 support level since mid-May, after its heavy price correction at the time. This level has been a significant level for Monero in 2021, as it had also acted as a support level between mid-February and the end of March, and previously as a resistance level in January. Should XMR break the support, it is likely that it will revisit previous lows at about $140. Yet, holding this level could serve as a base from which the price could spring upwards to the mid-May highs at over $500.

(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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