Daily market update: FED’s inflation update sparks Bitcoin movement?

It’s Friday! Another week, another SAT. There was big news for the US economy yesterday as Federal Reserve Chairman Jerome Powell said the central bank will readdress its previous 2% inflation target over the next decade. But will it have long-term implications for crypto?

Here are all the latest metrics so you can see if there’s been any impact from the announcement in the short term, at least. If you’re new to the world of crypto trading, take a look through our beginner’s guide to crypto trading series, starring in-depth explorations of common strategiesmarket analysis techniques, and more.

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 08:00am BST

Bitcoin price

We closed yesterday, 27 August 2020, at a price of $11,323.40 – with a daily high of $11,570.79 and a low of $11,185.94.

The closing price is the lowest it’s been since 4 August, 2020. On the same date last year, the closing price was $10,185.50.

We’re 43.63% below bitcoin‘s all-time high of $20,089 (17 December 2017).

As of today, buying bitcoin has been profitable for…

95.4% of all days since 2013-04-28.

Bitcoin volume

The volume traded yesterday was $23,240,415,076 – up from $22,466,660,958 the day before.

Market capitalisation

Bitcoin’s market capitalisation as of yesterday was $209,172,436,817, up from $212,210,534,428 the day before. To put that into context, Jeff Bezos’s net worth is $188,500,000,000, which means he could only buy 90.12% of all Bitcoin. You can’t have everything, Jeff!

Fear and Greed Index

We’re back down another 1 point to 74, the lowest the index has been since 4 August. This is the first time since 12/13 August we’ve spent 2 consecutive days in the Greed zone. 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.

Bitcoin’s market dominance

Bitcoin’s market dominance stands at 61.52. Its lowest recorded dominance was 37.09 on 8 January, 2018.

Relative Strength Index (RSI)

The daily RSI is currently 50.16. 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…

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