Daily market update: Bitcoin drops into ‘Fear’ zone for first time since July

by Team Luno
· 3 minute read

It’s Friday! Get your dancing shoes on. The market may have dropped yesterday, but at least it’s the weekend. So knock up a raspberry daiquiri, feast your eyes on today’s bitcoin stat invasion, and work out what market moves you want to make.

If you’re new to the world of crypto trading, don’t forget to take a look through our beginner’s guide to crypto trading series, starring in-depth explorations of common strategies, market analysis techniques, and more. It will help you use the data in this update to make your crypto trading decisions.

The content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. Luno always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.

All information is correct as of 9.30am BST

Bitcoin price

We closed yesterday, 3 September, 2020, at a price of $10,245.30 – with a daily high of $11,443.02 and a low of $10,182.47.

That’s down from $11,414.03 the day before. It’s the lowest closing price we’ve seen since 26 July, 2020.

We’re 49% below bitcoin‘s all-time high of $20,089 (17 December 2017).

As of today, buying bitcoin has been profitable for…

92.4% of all days since 2013-04-28.

Bitcoin volume

The volume traded yesterday was $31,927,261,555 – up from $28,037,405,299 the day before.

Market capitalisation

Bitcoin’s market capitalisation as of yesterday was $189,322,069,063, down from $210,909,793,681 the day before. To put that into context, Jeff Bezos’s net worth is $196,000,000,000, which means he could only buy 103.5% of all Bitcoin. You can’t have everything, Jeff! Oh wait, you can. Great. Jeff wins, everyone, let’s all go home.

Fear and Greed Index

Yesterday’s price drop coincided with an equally dramatic drop in sentiment, as we fell below 75 for the first time in what feels like years and crashed down to 40, in the ‘Fear’ zone. This is actually the lowest it’s been since 6 July. On that day, the price closed at $9,653.68, before bouncing back to $9,758.85 the day after.

Extreme fear can be a sign that investors are too worried, which could be a buying opportunity. When Investors are getting too greedy, that means the market may be due for a correction.

Global In/Out of the money

For any address with a balance of tokens, ITB identifies the average price (cost) at which those tokens were purchased and compares it with the current price. If the current price is higher than average cost, address is ‘In the Money’. If the current price is lower than the average cost, the address is ‘Out of the Money’.

Info provided by IntoTheBlock.com

Volatility

Annualised price volatility using 365 days.

Info provided by IntoTheBlock.com

Bitcoin’s market dominance

Bitcoin’s market dominance stands at 60.04. Its lowest recorded dominance was 37.09 on 8 January, 2018.

Relative Strength Index (RSI)

The daily RSI is currently 37.15. Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience correction in price – an RSI reading of 30 or below indicates an oversold or undervalued condition.

Resistance and support

What they said yesterday…

What other data points would you like to see covered in our Daily Report? Let us know on Twitter.

Did you find this useful?

2
1