16 February 2021
Investors Rush to Buy Bitcoin BTC and Ethereum ETH
It has been quite an eventful rally in the crypto space last weekend as investors rushed to buy Bitcoin (BTC) and Ethereum (ETH) with both the cryptocurrencies pushing the overall cryptocurrency market above $1.5 trillion.
On Sunday, February 14, the Bitcoin price surged all the way to its new all-time high of $49,400 levels with its market cap crossing $900 billion for the very first time. This sets Bitcoin (BTC) on the track to become the first trillion-dollar cryptocurrency asset. However, Bitcoin (BTC) has seen some marginal pullbacks and is currently trading at $48,289 levels at press time.
After Elon Musk’s Tesla announcing its $1.5 billion purchase of BTC, a number of big corporate players have expressed their interest in Bitcoin. Even traditional banking giants like BNY Mellon, JPMorgan, and Morgan Stanley have been looking ahead to offer Bitcoin-based services to their clients.
Investors also rushed to buy Ethereum (ETH) as the world’s second-largest cryptocurrency topped new all-time highs of $1868 levels over the weekend. While we move further to check some altcoin news, let’s look at some of the key on-chain indicators for Bitcoin (BTC) and Ethereum (ETH).
Bitcoin (BTC) Tops New All-Time Highs As Futures Funding Rate Reach Peak
As said, Bitcoin (BTC) touched its new all-time high moving closer to $50,000 levels. The world’s largest cryptocurrency surged another 25% in a week’s time after Tesla announced its BTC purchase.
The BTC price is now up nearly 66% year-to-date at this stage. Let’s take a look at the Bitcoin (BTC) price analysis considering some on-chain developments. The stablecoin reserves for all exchanges have reached an all-time high as CryptoQuant CEO Ki Young Ju states that now is the right time to buy Bitcoins for long-term investors.
Bitcoin-BTC-Stablecoins-Exchanges (Courtesy: CryptoQuant)
The very high funding rates show that the Bitcoin futures market is overheated with buyer domination and too much greed. However, data from Glassnode shows that there’s enough spot demand to back up the leverage. Thus, chances of any sharp correction in the BTC price look less at this stage.
In comparison to January 2021, the ‘futures to spot volume ratio’ is much healthy at this point.
Bitcoin-BTC-futures-sport-volume-ratio (Courtesy: Glassnode)
Also, the Bitcoin network development activity has surged to its two-month high as per data on Santiment. Also, data from Bybt shows that that institutional buying of Bitcoin continues even at these price levels. Over the last weekend, the Grayscale Bitcoin Trust (GBTC) added 3500 additional Bitcoins taking its total holdings to 653.83K BTC coins.
The world’s second-largest cryptocurrency Ethereum (ETH) also surged to hit its new all-time high of $1868 last Saturday, February 13. Although ETH entered a sharp correction on Monday dipping below $1700 levels, it has managed to pull back itself to $1800 levels.
Interestingly, as ETH hits new all-time highs, on-chain data provider Santiment notes that the top-100 ETH whale addresses have the lowest balance in the last 27 months. Thus, the cumulative ETH held by top-100 exchanges is the lowest since November 2018.
Ethereum-ETH-Whale-Addresses (Courtesy: Santiment)
On the other hand, as per Glassnode data, the ETH balance on exchanges has dropped to a 16-month low.
Ethereum-ETH-Exchange-Balance (Courtesy: Glassnode)
Altcoins News And Top Crypto DeFi News In the Market
After almost a week of pumping Dogecoin (DOGE) Elon Musk asks big holders to part with their DOGE holding. Interestingly, Elon Musk is also ready to pay DOGE holders if they void their accounts completely.
“If major Dogecoin holders sell most of their coins, it will get my full support. Too much concentration is the only real issue imo. I will literally pay actual $ if they just void their accounts,” tweeted Musk.
Following Musk’s call to sell, DOGE price tanked 20% on Monday taking a momentary dip below $0.050.
UniSwap has now become the first decentralized exchange (DEX) to hit $100 billion in cumulative trading volumes. The UNI platform has also set another milestone in the crypto DeFi space as the platform hits $4 billion in total value locked (TVL). Hayden Adams, the founder of Uniswap has officially tweeted about the same.
Cryptocurrency payments service provider BitPay has recently announced support for Apple Pay. Using Apple Pay’s integrated feature, BitPay cardholders can now make purchases in stores, in apps, and online directly via their crypto holdings. BitPay said that it will soon bring support for Google Pay and Samsung Pay later this quarter.
Bitcoin price analysis – 76.36
Altcoin News – 62.16
Top Altcoins – 78.68
Ethereum Price Prediction – 68.58
Buy Ethereum – 76.67
Ethereum 2.0 – 75.52
Buy Dogecoin – 74.89
Dogecoin Prediction – 69.47
Dogecoin Price Prediction – 67.28