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BTC’s Weekend Fakeout Causes Red Market as SUN Surges

2020.09.14 Robbie Liu

The price of Bitcoin (BTC) was stuck in a range between $10,200 and $10,600 over the weekend. It retreated 1.49% over the past 24 hours after four consecutive positive trading days. BTC’s drop has caused major altcoins to dive, except OKEx’s native exchange token, OKB, which is up 2.21% following massive demand for Jumpstart staking

Chainlink (LINK) closed 8.98% down overnight and fell below $12 levels, making it the worst-performing major altcoin. Other altcoins saw a decrease between 3% and 6%. The total crypto market capitalization lost 2.9% and fell to $343 billion, as per data from CoinGecko. Meanwhile, BTC dominance remained at 55.7%.

OKEx's Token Index Board is all red, except OKB, as of 8:00 am UTC on Sept. 14. Source: OKEx

In the decentralized-finance sector, yearn.finance (YFI) climbed to a new all-time high of $44,000 on Saturday before a profit-taking correction to the $32,600 levels. It has since rebounded to above $40,000, adding 1.75% overnight. 

The TRON (TRX) liquidity mining project SUN performed well over the weekend, with the price stabilizing near $30 before a large amount of TRX is unlocked from its farmland in two days. SUN was listed on OKEx last week at an opening price of $20. It retraced to $17 levels before bouncing back. 

Top altcoin gainers and losers 

  • SUN/USDT +43.99%
  • ZYRO/USDT +20.43%
  • YEE/USDT +15.75%
  • ARK/USDT -18.92%
  • IOST/USDT -21.31%
  • TAI/USDT -29.86%

In addition to SUN, ZYRO rose 20.43%. ZYRO is a decentralized trading protocol on the Zilliqa blockchain. Users can stake OKB to get a portion of ZYRO tokens.  

IOST went live with its decentralized exchange yesterday, but the token price failed to stabilize. It suffered a sell-off after a sudden surge, falling 21.31% overnight. TRON ecosystem token tBridge Token (TAI) experienced a similar sell-off and decreased by 29.86%. TAI has lost roughly 60% of its value over the last seven days. 

BTC technical analysis

BTC has shown signs of support when it stepped back on the four-hour MA60 — but it formed a fakeout when temporarily breaking short-term resistance at $10,370 over the weekend. Meanwhile, there were no signs of volume amplification during the weekend's rise. 

An intraday support is located around the $10,200 levels with short-term resistance at $10,450. 

For a snapshot of the changes in institutional investors' positions, readers can jump to OKEx Insights' recently published Market Watch Weekly article. 

OKEx's BTC Perpetual Swap 4h chart — 9/14. Source: OKEx, TradingView

ETH technical analysis

ETH pulled back after printing a bearish divergence on the one-hour MACD indicator. An important support level at $355 has since come into focus. If it breaks, another test of the $340 levels is possible.

OKEx ETH Perpetual Swap 1h chart — 9/14. 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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