Bitcoin and Cryptocurrencies Trade Range-Bound Amid US Tax Proposal and Indian Prime Minister’s Comments
Bitcoin and other crypto tokens were trading range-bound as the US Treasury Department’s new proposal on how to handle digital assets taxes will face a long road as it enters a months-long period of public comments and hearings. Similarly, the Indian prime minister, Narendra Modi, called for an integrated approach and the need for a global framework for cryptocurrencies at B20 yesterday.
Bitcoin remained range-bound for the day as the largest crypto token inched up slightly to barely hold $26,000-levels. Similarly, its largest peer, Ethereum, moved on the similar line and crept higher to hold above the $1,650-mark. Price action in the altcoins was mixed on Monday.
Bitcoin hovered near the $26,000 mark throughout the weekend. Market sentiment improved following optimistic remarks by JPMorgan analysts who suggested that the downward trend of Bitcoin might be coming to a close was well received. “This perspective is reinforced by the diminishing open interest in Bitcoin futures contracts on the Chicago Mercantile Exchange, indicating the conclusion of long liquidation. Conversely, Ethereum is currently trading at approximately $1,650. The weekend also saw criticism from crypto Twitter following the US Treasury Department’s new proposal on handling digital asset taxes,” said Edul Patel, Co-Founder & CEO at Mudrex.
All top crypto tokens were trading mixed during the early day on Monday. Shiba Inu, XRP and Polkadot dropped more than a per cent each. Dogecoin was also down about a half a per cent for the day. Among the gainers, Polygon, Solana, Toncoin and BNB gained about a per cent each.
The global cryptocurrency market cap was trading almost unchanged, flat at $1.05 trillion-mark as it inched up slightly in the last 24 hours. However, the total trading volumes dropped as much as 18 a per cent to $17.47 billion.
Tech View by Giottus Crypto Platform
Ripple (XRP) is currently in consolidation phase after facing rejection at $0.54. After recording short-term gains last month, the asset has declined by about 45 per cent since mid-July.
Its 20-day EMA has been on the decline in August as price action finds resistance trading in this area around $0.56. With sufficient buying activity, a break above this level will lead to a rise towards $0.70 and higher. On the other hand, $0.48 is a key support level with $0.40 providing the final line of defence. Its RSI continues to move sideways in the oversold zone reflecting weak buying activity.
Support: $0.45, $0.40
Resistance: $0.56, $0.70
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I have been a full-time professional writer for over 10 years, and have written for some of the biggest publications in the world. My work revolves around cryptocurrencies and blockchain technology, and I am widely considered to be one of the leading experts in these fields.I have written two books on the subject matter, and my articles have been featured in major news outlets such as The Wall Street Journal, Forbes, and Huffington Post. In addition to writing, I also give talks and seminars on cryptocurrency investing, and am a regular commentator on CNBC, Bloomberg, and other financial news networks.
