Could Bitcoin hit $73,000 in July? AMBCrypto's June report explores possibilities



IMAGE%202024 06 27%2020%3A54%3A56

June proved to be a turbulent month for cryptocurrencies, with Bitcoin, Ethereum, and Cardano each facing unique challenges and trends. Despite some positive signals, the overall sentiment was dampened by geopolitical tensions, regulatory uncertainties, and shifting market dynamics.

Bitcoin’s struggles and market response

Bitcoin experienced a notable downturn after the Federal Reserve’s June FOMC meeting, where the Fed Chair’s skepticism about the U.S. economy’s strength led to a market retreat. Bitcoin prices fell to a weekly low of $66,249, with significant long liquidations amounting to $32.92 million. Despite this, Bitcoin ETFs hold 4.33% of the total supply, with a projected annual absorption rate of 2.43%, suggesting a looming supply shock as production trails behind demand. If July doesn’t see short-term headwinds then Bitcoin could steadily climb up to test $73,000 level. Well, this can only be possible if the BTC spot ETF netflows are healthy.

Ethereum’s decline and investor movements

Ethereum also faced setbacks, with the total value locked (TVL) on its platform tumbling to $60.74 billion by mid-June. The number of whale accounts holding over $100,000 in ETH dropped significantly, reflecting a broader sell-off amid uncertainties over Ethereum ETFs. Despite these challenges, Ethereum’s futures open interest indicated heightened market speculation, which could lead to increased short-term volatility.

On the other hand, Cardano presented a mixed bag of outcomes. While its treasury balance grew by 3.5% to 1.48 billion ADA, on-chain transaction volumes plummeted, reflecting a sharp drop in profitability and market engagement. However, Cardano’s decentralized exchanges like Minswap showed resilience, maintaining a robust position within the ecosystem. Meanwhile, a lot of memecoin investors were in profit during mid-June. AMBCrypto conducted a survey to find out traders’ winning strategies.

7,259 memecoin investors surveyed

AMBCrypto’s detailed survey of 7,259 memecoin investors reveals varied strategies and motivations within the unpredictable memecoin market. As of mid-June, memecoins such as SHIB, DOGE, and PEPE constituted 2.13% of the cryptocurrency market, attracting a growing number of investors globally.

Interestingly, 50% of those surveyed reported profits throughout most of June. The survey disclosed that more than 30% of investors are drawn to memecoins for their potential for high returns and the prospects for long-term growth of the projects. In contrast, a smaller group of about 6% engages with memecoins purely for their entertainment value.

The survey results also highlight a division in investment rationale; 43% of investors emphasize the importance of real-world use cases, while 47% predominantly value hype and community engagement, pointing to the substantial influence of social dynamics on memecoin popularity. Furthermore, a significant 8.6% disregard real-world applications entirely, concentrating only on the financial outcomes of their investments.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice. 

 



Source link

About The Author

Scroll to Top