Market sees pullback after new all-time highs
📉 Market pullback - Crypto markets dipped overnight as investors took profits after Bitcoin hit a new all-time high of $122,800.
📊 Volatility spike - The Relative Strength Index swung from an overbought 80 to an oversold 25 in just 24 hours, signaling sharp sentiment shifts.
🏛️ Regulatory progress - The US House is debating three crypto-friendly bills this week, the GENIUS Act, Clarity Act, and Anti-CBDC Surveillance State Act, which could reshape the regulatory landscape.
🚀 Bullish longer-term trend - Despite the short-term dip, Bitcoin is still up 7% over the week, Ethereum 16%, and XRP 25%, highlighting the broader rally’s strength.
Crypto markets broadly gave up a large chunk of yesterday’s gains as investors took profits following Bitcoin’s new high of roughly $122,800. The Relative Strength Index (RSI) hit above 80 yesterday, well beyond the 70 level that typically signals an overbought market, foreshadowing potential volatility. Today, the RSI has swung to 25, with 30 usually marking an oversold position, signaling a wild shift in sentiment. Despite the sizable overnight dip, Bitcoin and others down 4% or more, it’s worth taking a step back to assess the broader impact of this latest rally.
Even just looking at the top three crypto assets by market cap: Bitcoin is up over 7% for the week, Ethereum (ETH) has added more than 16%, and XRP (XRP) has rallied over 25%. The gains are even more striking over the past 30 days.
Meanwhile, there’s positive momentum on the US regulatory front as “Crypto Week” continues. The House of Representatives will debate three bills that could provide the regulatory clarity the crypto industry has long been asking for: the GENIUS Act, the Clarity Act, and the Anti-CBDC Surveillance State Act, all considered crypto-friendly legislation.
As analysts at Bernstein note, “It is easy to dismiss the current cycle as yet another crypto bull market. But we are seeing real-world adoption and widespread integration with the traditional financial system. You may want to err on the side of our belief this time.” After today’s profit-taking, the question is whether the rally will reignite.
In the markets…
🌍 Total crypto market cap ↘️
The global crypto market cap is approximately $3.68 trillion, down 3.33% over the past 24 hours.
🟠 Bitcoin (BTC) ↘️
Price: $116,793 down 4.08% in the last 24 h
Daily high: $122,838
Daily low: $116,840
📈 S&P 500 ↗️
SPY is currently up about 0.14% since yesterday’s close.
🥳 Fear & Greed Index
The Crypto Fear & Greed Index stands at 70/100, indicating Greed among investors.
📊 Bitcoin Relative Strength Index (RSI) (14)
The 14-day RSI for BTC is approximately 26, an indication of the broader profit-taking in markets.
Data is accurate as at 07:44 GMT, 15 July.
Cautionary Notes
It's definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.
