FOMO was seen on the rise as the price of Bitcoin (BTC) rebounded to trade above its 200 weekly moving average (WMA), with the U.S. equity market. also recovered. The recovery of the crypto market comes amid the Fed taking steps to raise interest rates and give confidence that an economic recession can be avoided.
Meanwhile, the U.S. stock market. increased after a strong corporate earnings report. The Dow Jones stock index rose more than 750 points, the Nasdaq rose 3.11%, and the S&P 500 rose 2.76%.
A broader recovery in crypto markets as well as global stock markets, particularly the U.S. equity market, has initiated FOMO among investors. This has prompted investors to move money into the crypto and stock markets.
The crypto market saw a massive recovery this week after Federal Reserve officials ruled out the possibility of a 100 basis point hike at the FOMC meeting in late July. In addition, Ethereum developers who announced a ‘merger’ in mid -September also supported the recovery. Plus the chances of an economic recession are diminishing.
The prices of Bitcoin (BTC) and Ethereum (ETH) have jumped more than 20% in a week. There are even some whale groups who believe the market has reached its lowest point. In addition, the Crypto Market Fear & Greed Index increased significantly.
While the price of Bitcoin (BTC) has even moved above 200-WMA now, with the price now trading at $ 23,640, up 9% in a day. Meanwhile, the price of Ethereum (ETH) has stabilized above the $ 1500 level, up 4% in the past 24 hours but a handful of investors are starting to be wary.
Based on BitInfoCharts data, the Bitcoin ‘Whale’ has unloaded over 60k Bitcoins in the past two days. The current balance is 71,381.79 BTC, with a profit of $ 132.76 million. Concerns that the ‘Whale’ group will increasingly aggressively take advantage.
Moreover, Grayscale in its latest report “Bear Markets in Perspective” has revealed that the bearish market could end in another 5-6 months. Profit Blue, a BTC investor since 2014, believes that the market is still in a downtrend. He thinks this is just a ‘bull trap’.
