FxPro Analyst: Crypto Markets Not Yet Attracting Low Buyers and Counter-Trend Traders

With the U.S. Bitcoin ETF seeing net outflows last week for the first time since early January, the closely watched Cryptocurrency Fear and Greed Index has moved into ‘fear’ territory, down sharply from its peak in November last year, which is an indirect signal that the relatively stable performance of the market is dampening sentiment, according to FxPro's Chief Market Analyst Alex Kuptsikevich. Alex Kuptsikevich, chief market analyst at FxPro, says this is an indirect signal that the relative stability of the market is dampening investor sentiment. Most worryingly, the market has yet to attract low buyers and counter-trend traders at current sentiment and market capitalisation levels. Technical analysis of Bitcoin is said to indicate the possibility of a so-called ‘death cross’, where the short-term trend line breaks below the long-term trend line, which some fear could signal a sharp drop in the price of Bitcoin. Bitcoin price once crossed the $100,000 mark after Trump's election victory, but is currently stagnating below that key level.