Total DeFi market cap is defi-ing the laws gravity as number go up and keeps going up; plus more ETH and BTC analysis
- DeFi Total Market Cap – Defi–ying the Laws of Gravity
- Bitcoin/USD – Stuck in a Range
DeFi Market Cap
Defi seems as if it has been making a comeback as of lately. The total market cap of defi has risen from about $129 billion to about $172 billion dollars at the time of writing. Coins such as $YFI have rallied over 100% since hitting its major weekly support at $18.8k! $CRV is another defi project with tons of momentum and I expect for it to go higher in the coming weeks. I am not sure what the reason for the rally is in defi coins other than the sector going through a major sell off and finding relief at high time frame supports, but it is refreshing to see some of our favorite defi projects gaining traction once again! If you are looking to trade coins with momentum and hype, the defi sector is definitely the area you should be focusing on right now.
BTC Daily Chart
BTC Weekly Chart
At the time of writing, one Bitcoin is equal to about $47k. Bitcoin has been rangebound and has been oscillating back and forth between $52k at the high and $46k at the low. This is normal for price to settle and become rangebound after a price nuke like the one we experienced a few weeks ago. (i.e., hence the May 2021 sell off)
Bitcoin Bull Scenario
Bitcoin support at $46k holds up and we break to the upside and reclaim the $52k range high.
Bitcoin Bear Scenario
Bitcoin loses the 46k range low and the level fails. If so, we target the weekly MUST HOLD level of $40.6k
ETH Daily Chart
ETH Weekly Chart
Ethereum is still under its particularly important $4k level and currently in no man’s land. At the time of writing $ETH is about $3800 and price action seems to be very choppy. As I stated in last week’s article, the best move is to wait to trade $ETH at one of the key levels ($4k or $3k area).
Ethereum Bull Scenario
Ethereum reclaims the $4k level on the weekly time frame and then pushes to reclaim $4.3k.
Ethereum Bear Scenario
Ethereum does not reclaim the $4k level and we should aim for either $3.6k or $3.1k.