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Bitcoin Price Looks to Ride Gold’s Momentum — Crypto Market Daily

2020.07.23 Robbie Liu

It was another day of gains across the board in global markets. The S&P 500 gained 0.57%, and the Nasdaq added 0.24% overnight. Gold and silver futures prices continue to rise, primarily due to increased international geopolitical risks. Silver futures closed at their highest levels since 2013. 

All of the top 10 cryptocurrencies in terms of market capitalization are in the green. The Bitcoin (BTC) price is up 2.17% in the last 24 hours and has surpassed $9,500 for the first time since June 24, as per the OKEx BTC Index price. Ether (ETH), on the other hand, surged 8.38% following news that the ETH 2.0 final testnet is set to launch on Aug. 4.

The total cryptocurrency market capitalization surged 2.5% to nearly $289 billion. Meanwhile, Bitcoin’s dominance dropped 0.5% and is now at 60.6%, according to data from CoinGecko

ChainLink (LINK) bounced 8% to $7.80 from yesterday’s $7.20, overtaking Litecoin (LTC) as the eighth largest cryptocurrency by market capitalization. Right now, LINK is trading above the middle line of the Bollinger bands, with a healthy daily RSI reading of 62.8. 

Other large-capitalization coins also performed well — with Bitcoin Cash (BCH) up 4.32% and Ethereum Classic (ETC) gaining 3.57%. 

OKEx Token Index Board as of 8:00 am UTC. Source: OKEx

Bitcoin’s correlation with gold rises to four-month high

Due to the recent rise in the price of gold and Bitcoin, the one-month correlation between the two assets has hit a four-month high of 40.4%. At the same time, Bitcoin’s one-month correlation with the S&P 500 dropped from its July 8 high of 78.8% to a one-month low of 42%. 

Though the stock market is still rising these days, the rate of increase has slowed. The price of gold, meanwhile, has surged from above $1,700 to nearly $1,900 in the past month. 

Looking back at the first quarter of this year, BTC and gold both experienced a rapid rise amid tensions between the United States and Iran. The assets’ one-month correlation soared to more than 50%.

Bitcoin-Gold Realized Correlation. Source: skew

New listings on OKEx

OKEx has added perpetual swaps to two recently popular tokens — Polkadot (DOT) and Filecoin (FIL). Swaps trading has been live on the website from 7:00 am UTC on July 22. 

Top gainers and losers

  • MITH/USDT +30.45%
  • DGB/USDT +11.55%
  • LET/USDT +8.34%
  • GNT/USDT -5.41%
  • AERGO/USDT -6.65%
  • MOF/USDT -11.50%

Mithril (MITH) is the biggest winner today, gaining 30.45%. Yesterday’s loser, Linkeye (LET), realized a quick rebound of 8.34%. DigiByte (DGB) added 11.55% in the last 24 hours. 

The extremely volatile Molecular Future (MOF), on the other hand, once again took the bottom spot. The altcoin is down 11.50%.

BTC technical analysis

The price of BTC continues to rise after briefly retracing to the 60-day moving average on the daily chart. Some are expecting it to extend gains after a brief consolidation. 

The intraday threshold is sitting at $9,420. As long as the price does not clearly fall below that level, the bullish momentum could continue. The upper resistance level is at $9,700, which is the high from June 23. 

 OKEx BTC Perpetual Swap 4h chart. Source: OKEx, TradingView

ETH technical analysis

As we noted yesterday, ETH remains stronger than BTC. ETH broke a two-month consolidation phase last night, jumping straight up to its highest level of $270 since late February. 

The new threshold to watch is around $255. The upper resistance level is near the February high of $280.

OKEx ETH Perpetual Swap 1D chart. Source: OKEx, TradingView


Disclaimer: This material should not be taken as the basis for making investment decisions, nor be construed as a recommendation to engage in investment transactions. Trading digital assets involve significant risk and can result in the loss of your invested capital. You should ensure that you fully understand the risk involved and take into consideration your level of experience, investment objectives and seek independent financial advice if necessary.


OKEx Insights presents market analyses, in-depth features, original research & curated news from crypto professionals.

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Disclaimer: This material should not be taken as the basis for making investment decisions, nor be construed as a recommendation to engage in investment transactions. Trading digital assets involve significant risk and can result in the loss of your invested capital. You should ensure that you fully understand the risk involved and take into consideration your level of experience, investment objectives and seek independent financial advice if necessary.

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