Thursday was a grim day for crypto enthusiasts, with constant selling pressure shadowing the market, both technically and macro. Noteably, Bitcoin dipped below its 2023 uptrend, touching new multi-month lows below the $28,000 mark, hitting a disappointing decline of nearly 3%. Ether fared no better, plunging around 3.7% and trading under $1,750.
This downturn could be attributed to the rising long-term inflationary pressures, evident due to a surge in various strong US data. Additionally, the hawkish penetration of the Fed meeting minutes released early this week may be another considerable factor. However, as US government bond yields rise, risk-averse investors opt to sell off riskier non-yielding assets, such as stocks and crypto, alluding to the omnipresent assumption that the US government would not default on its debt.
Nevertheless, despite the disheartening performance of crypto markets, a handful of tokens managed to swim against the tide. THORChain’s native token, RUNE scaled up a promising 10%, breaking through a year-long downtrend and its 200 DMA. It now seeks a resurgence towards yearly highs in the $2.0 area.
Kava, the lending and borrowing protocol’s token, rose nearly 3%, trading at approximatelye $0.75, having robust support at its June lows of $0.73. Cosmos’ ATOM also saw a gentle increment of over 2%, its current trading point of around $8.0 per token is a potential starting point for an overthrow of its downtrend.
For those crypto investors attempting to broaden the horizons, crypto presales might indicate a fresh investment strategy teeming with high-risk-high-reward incentive. Through this method, investors can purchase tokens of potential crypto projects to aid their developmental phase. Often sold at economic prices, these tokens have been consistent in dispensing enormous exponential gains for early investors. Flaunting impressive teams and revolutionary crypto applications, they display an admirable risk/reward profile. Cryptonews, for instance, provides an extensive list of 15 optimum crypto presales of 2023 for investment considerations.
While this provides an exciting opportunity, it is not without its risks. Crypto remains a high-risk asset, where one could stand to lose all capital. Hence, careful consideration and expert advice are necessary before any plunge into this volatile world. Despite the prevailing challenges, understanding the opportunity, risks and rewards crypto offers will surely define the true winners in the arena.
Source: Cryptonews
