ETHEREUM & BINANCE Sentiment Analysis
Hello and welcome, everyone. It's Martin Petkov here at CryptoGains. For a second or third consecutive day, we're registering new all-time highs across major cryptocurrencies, but for today's discussion, I want to focus on the sustainability of the rally of Ethereum.
First of all, data from Santiment indicates that the perpetual contract funding rate has increased, which typically indicates that the bulls are confident and they're willing to pay more for holding long positions.
In addition to that, if we zoom out a little bit on the Social Volume of Ethereum, we can see that there aren't any major spikes, so this rally is not driven by hype but rather by more sustainable trading behaviour.
In addition to that, what we can also see is that the Weighted Social Sentiment for Ethereum is also negative, which once again suggests that we're not merely witnessing some short-term hype or euphoria but merely funds consistently flowing into Ethereum and driving the prices higher.
Another reasonable question that may pop into some people's minds is whether Binance Coin dominating in trends and is this the top for the rally in Binance Coin. Of course, this is one of the new cryptocurrencies, one of the new coins that you can now trade on StormGain.
And let's take a look at what we're seeing. We're seeing still continually increasing social volume, a bit of stabilization over the last few days, dropping somewhat. But the price is maintaining its highs. In addition to that, we can see that the social dominance is very spiky but somewhat increasing in parallel with the rate with the increasing price of Binance Coin. And the on-chain activity is gradually going up, as well.
However, what we can see is that we don't have any huge spikes in terms of Network Realised Profit, so not a lot of profit-taking going on. So, most traders willing to hold their coins.
The final interesting insight that I wanted to share with you today is that ShapeShift has launched decentralised trading through the THORchainplatform. And, of course — the coin name is RUNE. It's at an all-time high, and it's another coin that you can trade on StormGain. So let's take a look at the technical charts and see how you can trade some of these insights.
Beginning with Bitcoin on the one-hour chart, we can see that we're fairly stable above $63,900, giving us opportunities to initiate long positions. We targeted $65,000, and, of course, it can rally even higher. Conversely, if we break below $63,900, we could see further declines all the way down to $63,060 and $62,450.
Now let's move to Ethereum, which we discussed from a sentiment perspective. In Ethereum, to me, the pivot point is $2,380. Above that level, opportunity to initiate long positions with targets at $2,400 and $2,420. Conversely, below $2,380, we could see declines taking us down to $2,350. However, what I wanted to share with you is that finally we have broken into overbought territory on the daily chart. This is both for Ethereum and Bitcoin, and I've said before, some of the major rallies that we see in these cryptocurrencies occur exactly when the daily chart is overbought.
So, now let's move to Ripple.
We can see a very robust uptrend in the last few trading days. To me, the pivot point is $1.90, at the moment. We can see that it's stabilizing, it's a very robust support area. Above that level, you could buy Ripple with the target at $2. However, if we fall below $1.90, it's more than likely that the bears will prevail with a Take Profit target at $1.84, which used to be a resistance area that now turned into support. It's a reasonable Take Profit target for a short position
Now we're moving to Binance Coin, which we discussed at the start of the video
Binance Coin has only been available on StormGain for a few days, so we don't have a lot of historical data. But, based on what we have, we can see that $574 is a good pivotal point to give us an opportunity to initiate long positions. Above that level, with the first target at $588 and then at $606. Conversely, below $574, to me, the downside where the bears are likely to prevail with targets at $559 and $547.
And finally, of course, we're moving to THORchain.
Similar to Binance Coin,THORchain, with the ticker RUNE, is only available on StormGain for a few days now, but what we can observe is that $14.50 tends to be that critical pivot or level above which you can initiate long positions based on the fact that it seems that the bullish sentiment prevails above that level, with the first target at $15 and then $15.40. And, of course, we can rally to as high as $20. In the midterm, conversely, below $14.50, we could see declines taking us all the way down to $14.
Thank you very much for joining me today. Keep learning with the video education section and the CryptoGains market insights subsection. And, as always, remember to join the Crypto Signals Made Easy channel on Telegram, where you can get a lot of insightful articles, research and trading ideas.
Thanks for joining us. Trade wisely, and I'll see you soon. Bye bye.