The Weekly Results: Disappointment in Bakkt and Bitcoin`s Fall

How was the week for Bitcoin?

Last week (21—27 September) was one of the worst for bitcoin. The rate has decreased by 21.3%. As a result, bitcoin`s price fell from $ 10.205 to $8,035. Also, there was a decrease in capitalization of $39 billion to $143 billion. The last time such indicators ​​were observed in June, 2019, before the growth up to $13,000. Bitcoin dominance has increased by 0.5%, and now it is 68%. The trading volume has increased by 10%, reaching $19 billion, while after the Black Tuesday it has increased in 2 times to $30 billion.

The bear triangle finally worked out, and we saw a sharp spill in the price of one candle more than $1,000 on Monday, September, 24. At this moment, a massive number of traders' stop-orders were issued. That`s why we saw a jump up in volume. The positions, which total sum was more than $ 710 million, were liquidated that day on BitMEX.

On the weekly timeframe, the chart worked out the double top figure and stopped on the 0,5 Fibonacci level. Because of the strength of this level, a struggle between buyers and sellers should unfold here, on the outcome of which the further trend will depend

On the daily timeframe, we see that the moving averages EMA20 and EMA50 turned around to break through the EMA200, which could negatively affect the BTC. In addition, the price of bitcoin was fixed under the EMA200. This is a sign of a bearish trend. As you remember, the price of bitcoin has been based on EMA200, but this time it did not happen.

RSI showed a positive trend, indicating a strong oversold. Its current indicators ​​are identical to the indicators ​​of November—December, 2018. Then the price was fluctuated between $ 3,200—$ 4,000.

Nowadays there is an unstable situation on the market, which is not predictable. Bitcoin often shows movements contrary to TA.

It can be seen on the example of Bakkt. For more than a year, crypto community has been waiting for the launch of this platform and has prophesied financial viability for it. The X day has happened: Bakkt started its trading activities on September, 23, the result of which — 28 bitcoins — unpleasantly surprised lots of people, so BTC rate began to decline. It continues to fall during 5 last days.

In addition, community was worried about news of the decrease in bitcoin hashrate by 40%, to 67 exams, which was immediately connected with Chinese government checks in Inner Mongolia. However, the next day, the indicator returned back its positions. This helped to avoid widespread panic.

The outgoing week will be remembered for big amount of negative news. For example, as it was said in a report, issued by the Blockchain Transparency Institute, 73 exchanges from Top-100 according to CoinMarketCap version falsify more than 90% of their trading volumes. According to BTI, only 11 exchanges publish the correct data. In addition, BTI accused OKEx in providing fabricated indicators. The report said that only 10% of the trading volumes, indicated by OKEx, are true. The representatives of OKEx proposed a bet to BTI. If OKEx exchange will be unable to confirm the figures, it will have to pay 100 bitcoins ($ 1,000,000 at the time of announcement) to BTI. However, there was no response from BTI.

How was the week for coins from the Top-10?

At first glance, it becomes clear that the week was very bad for the coins from Top-10. Almost all coins lost more than 20%, and many of them fell relative to bitcoin. The exception was XRP, which grew by 3%, compared to bitcoin. Such a terrible fall allowed Tether (USDT) to rise to fourth place in terms of capitalization.

The worst indicators were shown by the fork of Bitcoin: Bitcoin Cash (BCH) and Bitcoin SV (BSV), each of which lost more than 30%. Stellar, which grew by 31% last week, lost almost 25% this week, which practically wholly neutralized its growth. Despite this, it was on the 10th line, because his closest competitor, Monero, fell by 25.57%.

A significant change in the structure of dominance did not occur. The dominance of the Top-10 coins is still above 90%, and no signs of decline are visible. For several consecutive weeks, permutations within this ten can take place, the dominance of all the others stably stays near the level of 9.5%.

How was the week for cryptocurrencies from Top-100?

This week was difficult for all altcoins from Top-100. Only 9 coins have increased in price, among them only 4 are not stablecoins. Besides, all of them are at the end of Top-100.

The average rate of price`s change of the coins from Top 100 was -23.4%. And this is considering stablecoins, as well as growing coins. Thus, altcoins have lost almost a quarter of their value.

As you remember, an absolute growth of the majority of coins was observed last week. Many people spoke about the completion of bitcoin correction and the beginning of a new altseason. But the outgoing week has demonstrated the failure of these opinions. The past altcoin growth has been a harbinger of a fall.

Growth leaders

Usually, on our list are the Top-5 growth leaders, but this time not so much. It would be possible to include the grown stablecoins in this list, but we consider this incorrect since they have a different structure and purpose.

The pronounced leader was the Loom Network, which added 45.65%. The growth of this token was provoked by the launched bounty program, which is designed to increase the popularity of the network by deploying new applications on the Loom Network and creating content on the platform. A thoroughly thought-out bounty campaign allowed to increase the price of the token by one and a half times.

On the second and third lines are also located the strongly grown BitCapitalVendor and Crypterium. Both coins showed an increase of over 25%.

BitCapitalVendor increased by 400% within two months, thanks to a partnership with XMAX and participation in the launch of an eco node. Besides, the company released a new, fifth, release of their digital wallet. The growth this week is associated with the opening of membership in the project, which gives significant advantages when using their product.

Fall leaders

The average drop in these coins is 37%, which is 2,5 times more than in the previous week when this value was 14.9%. It indicates the current market situation.

Beam, a project using the new Mimble/Wimble protocol, has lost almost half its value, and now its capitalization has decreased from $58 million to $31 million. The growth of the coin was associated with listing on the largest Binance exchange after the excitement around adding to this crypto site has subsided, Beam's popularity began to decline. And the drop in bitcoin, even more, provoked a decrease in the price of this altcoin. As a result, Beam price returned to the value of three months ago.

Algorand has been the leader of the weekly drop several times in recent months. The price of the coin continues to fall steadily and updates the historical minimums.

In conclusion

The launch of Bakkt was a major disappointment of the week. Against this background, Bitcoin collapsed to the values ​​of June, 2019. As a result of such a rapid fall, traders, holding long positions, began to close them by stop loss. That`s why the total loss of traders amounted to hundreds of millions of dollars.

Altcoins, which showed a positive trend last week, were hard-pressed. Thus, many of them fell to historical lows.

The total market capitalization has decreased by $ 55 billion in just a week. Moreover, the trading volume has not changed during this week. That`s why lots of market participants are at a loss and do not know, what to do next. Many traders have taken a waiting position.

But for investors the week was rather positive. Bakkt is finally launched. It should be mentioned that this futures platform is on the stage of development. Over time, institutional money will come to the crypto industry through the aforementioned platform. It may take years, but the first step has already been taken.

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