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The vast majority of retail client accounts lose money when trading CFDs.

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Important Notice - Fraud awareness
Important Notice - Scam alert
The vast majority of retail client accounts lose money when trading CFDs.
Important Notice - Fraud awareness
Important Notice - Scam alert
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading CFDs. You should consider whether you can afford to take the high risk of losing your money.
Important Notice - Fraud awareness
Important Notice - Scam alert
The vast majority of retail investor accounts lose money when trading CFDs / Spread betting with this provider.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail investor accounts lose money when trading CFDs / Spread betting with this provider. You should consider whether you understand how CFDs / Spread betting work and whether you can afford to take the high risk of losing your money.
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Cryptocurrencies Take a Dent from Significant Market Losses

The crypto market is currently absorbing loss and recovering after witnessing a bloodbath yesterday. The crypto market bled heavily yesterday after Bitcoin dipped to 39k, losing over $3500 of its price value in a single day. Many had earlier supposed that Bitcoin topped at 48k after testing this level in the first week of April. 

This week has become a feast for the bears who recaptured the market and dragged down the price of all crypto assets to dust again. Bitcoin price lost over 6% of its value this week, dragging its price down to as low as $39200 on Monday. Other crypto assets have even witnessed a more significant loss in value than Bitcoin. Ethereum lost over 8% of its value, bringing the price down to as low as $2941. Cardano (ADA) lost over 10% of its value bringing the price to $0.915. Litecoin fell as low as 9.5%, bringing the price to $1.2. The Stellar Lumen (XLM) fell by 6%, bringing the price to $0.1854. 

 

This week's fall in crypto-asset was triggered by concerns over the imminent inflation data and interest rate hikes to take effect soon. Many investors considered it necessary to withdraw their investments from high-risk assets to invest in dollars, given the expected high-interest return. 

 

Consequently, the crypto market saw the most significant decline in its total market Capital in a single day, with over $400million withdrawn by investors on Monday alone. Currently, Bitcoin is gasping for recovery with temporary support created at $39,700. If this support holds, we might expect a return above 40k, probably towards the first resistance at 42k. However, if this support fails, we might be headed for more loss which might take us down to $37,500. 

 

Many believe that the bears are exhausted and feel it is now an opportunity to buy the dip in crypto as we await a revival again.

Last Updated: 13/04/2022

This market commentary and analysis has been prepared for ATFX by a third party for general information purposes only. Any view expressed does not constitute a personal recommendation or solicitation to buy or sell as it does not take into account your personal circumstances or objectives, and should therefore not be interpreted as financial, investment or other advice, or relied upon as such. You should therefore seek independent advice before making any investment decisions. This information has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. We aim to establish and maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. The market data is derived from independent sources believed to be reliable, however we make no representation or warranty of its accuracy or completeness, and accept no responsibility for any consequence of its use by recipients. Reproduction of this information, in whole or in part, is not permitted.


 

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