Wednesday saw the announcement of the ETF withdrawal in the cryptocurrency market.
It was expected that the sudden announcement would have an impact on the price of cryptocurrencies, but there was no such movement.
Blockchain ETFs have been at the center of recent debates due to how much they could impact the overall market. These ETFs would allow investors to invest in a basket of blockchain-based companies and trade in real-time with tick by tick price changes. When the ETF withdrawal was announced, most thought that there would be a massive drop in the price of the digital coins but that did not happen.
No effect on selling
New investors who follow the Bitcoin Trader Review remained unfazed as they held on to their currencies even till the end of the day. Although the total growing volume of the cryptocurrencies, in general, had dropped significantly in the last few weeks, there were not enough unsettling moments after the ETF news.
The experts believe that the low volume is a sign that investors are not confident about investing big and even if they do, they will not hold the coins for a long time. However, their idea was overturned entirely by the decisions of the investors to stay put on the coins when the ETF withdrawal was declared.
One of the noticeable things about the market has been the $800 price range that became stagnant for almost 36 days at a stretch. This raised the concern that the market was not able to hold the current price levels. Previously, the target was $3000 per week. But it seemed as if time had stopped after the market couldn’t break free from the $800 range, something that has never happened before.
Market momentum
The momentum of the market is often judged by the relative strength index (RSI). Quite recently, the RSI showed that the market was going down because the investors had low interest in cryptocurrencies. While it was expected that the bullish market will be around 55, the resistance that was earlier moving around 54.9 came down to 43.10. This was significant proof that even the established RSI resistances were not being able to make a move because of the resistance.
The silver lining
There is no doubt that 2018 was a dull year for crypto investors because the market was towards the downside for the greater part of the year.
However, the period between December 10th and December 31st did provide some light at the end of the tunnel. The market was considerably on the brighter side with almost all the currencies reaching their weekly targets. However, the start of 2019 has not been something to cheer about.
But the experts are of the opinion that 2019 will be a better year for the investors as more cryptocurrencies are expected to hit the market and give the big guns a competition. It is time to see how the first quarter of 2019 plays out. If the ETF withdrawal did not put a dent on the market, then it could be a sign of a promising year for crypto.
