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Crypto markets bounced and sentiment improved, but retail has yet to FOMO

Published 08/12/2022, 01:15 PM
Updated 08/12/2022, 03:20 PM
Crypto markets bounced and sentiment improved, but retail has yet to FOMO

An ascending triangle formation has driven the total crypto market capitalization toward the $1.2 trillion level. The issue with this seven-week-long setup is the diminishing volatility, which could last until late August. From there, the pattern can break either way, but Tether and futures markets data show bulls lacking enough conviction to catalyze an upside break.

Total crypto market cap, USD billion. Source: TradingView

Investors cautiously await further macroeconomic data on the state of the economy as the United States Federal Reserve (FED) raises interest rates and places its asset purchase program on hold. On Aug. 12, the United Kingdom posted a gross domestic product (GDP) contraction of 0.1% year-over-year. Meanwhile, inflation in the U.K. reached 9.4% in July, the highest figure seen in 40 years.

Crypto Fear & Greed Index. Source: alternative.me
Weekly winners and losers among the top-80 coins. Source: Nomics
Tether (USDT) peer-to-peer vs. USD/CNY. Source: OKX
Accumulated perpetual futures funding rate on Aug. 12. Source: Coinglass

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