Weekly Cryptocurrency Market Brief

Bitcoin’s price action in the past week has been the most dramatic in recent memory. From closing a daily candle below $30k for the first time in this consolidation pattern on July 20th, 2021, to rocketing to $39.8k in the early hours of the morning of Monday, July 26th, 2021, an incredible picture has been painted, marked by a staggering level of volatility in the market. The dip below $30k proved to be a fake-out, which serves as a bullish sign, and which prompted a stunning formation of a bullish engulfing candle on the weekly chart on the morning of Monday, July 26th, 2021, prior to an mouth-watering surge in the price in the subsequent hours of a dramatic night.

Reserve Rights (RSR) printed a bullish engulfing candle on the weekly chart. Currently trading at about $0.030, it has done well to bounce off its bottom at $0.016, yet faces strong resistance levels at $0.033 and $0.043 should it continue rising to previous highs. RSR had originally fallen from above $0.080 per token in mid-May, to lows of $0.022 after its drop at the time.

Fetch.ai (FET) has been consolidating in the $0.18-0.43 range since mid-May, and has now broken a bullish flag pattern during the past week. Should it continue its bullish move, it would need to break the next resistance level at $0.401. Should this happen, a potential retest of the $0.31 level could be on the cards. However, a plunge below the $0.29 level would indicate a failed setup for the bullish scenario as well as further price consolidation in the upcoming period.

Travala (AVA) had been on the descendancy in the recent period, prior to its rise from the recent bottom it reached on July 21st, 2021, when it traded at about $1.54. It seems to have broken the downward trend and should it remain in a bullish mode, it would need to break past the resistance level at $2.36. A big move could be on the horizon, as it has printed dozens of small-body candlesticks with short shadows over the course of the past month, reflective of relative low trading volumes for the asset.

(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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