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After a week of euphoria, major cryptocurrencies bitcoin (btc) and ethereum (eth) ended Sunday in the red with selling continuing into this week's open. Currently, bitcoin is trading at $42.1K, down 4.07% today, while ethereum is at $2.23K, down 4.87%.
However, traders continue to support the bitcoin ETF Token as its pre-sale increases towards $3.5 million.
Market overconfidence corrected, but analysts fear another wave
Warning signs of a sharp correction have appeared everywhere in recent days. Many analysts urged market participants to proceed with caution, but some believe another surge is imminent even after the recent correction.
CoinMarketCap crypto Fear and Greed Index entered the “extreme greed” zone, indicating that the market may be overbought. This represents a high-risk time for new buyers to enter the market, as a liquidation is necessary to restore balance.
Meanwhile, crypto funding rates recently reached a local high. This indicates significantly more long orders than short in the market, causing bulls to pay a premium to rebalance. <img decoding="async" src="https://technicalterrence.com/wp-content/uploads/2023/12/Bitcoin-and-Ethereum-prices-cool-traders-bullish-on-this-altcoin.png" width="624" height="173" alt="bitcoin and ethereum prices cool, traders are bullish on this altcoin – 1″/>
High funding rates are often followed by a “flow,” in which futures positions are forcibly closed, causing prices to cascade in the opposite direction.
This is what the analyst highlighted Mr. cryptowho suggested that bitcoin's high funding rates were “signaling a cap.”
In the analysis, Mister crypto noted that bitcoin's price retreated by 20% every time its funding rates reached their recent levels.
Given that bitcoin has retraced less than 5% so far, this could indicate that a much deeper correction is imminent.
Meanwhile, prominent X commentator Mr boss predicts that the market “will pull back enough to stop the early buyers and get the bears very excited and then pull back.”
However, other analysts believe that the cryptocurrency market may be primed for a long-term pullback. One is RektCapitalwho referenced price action from previous market cycles to suggest that “bitcoin's pre-Halving high may be very close.”
That said, there are only 137 days left until bitcoin halving and bitcoin spot ETFs are about to be approved by the Securities and Exchange Commission (SEC). As such, the market appears poised for a strong medium-term trajectory.
Still, market participants looking for growth appear to be considering the bitcoin ETF token, the pre-sale of which is ongoing.
bitcoin ETF Token Pre-Sale Raises $3.4 Million in 1 Month
crypto-news.care/?referrer=bitcoin-and-ethereum-prices-suffer-losses-but-traders-remain-bullish-on-bitcoin-etf-token” target=”_blank” rel=”noopener”>bitcoin ETF Token has raised almost $3.5 million in one month. The project features multiple use cases, rewarding holders as the SEC approves spot bitcoin ETFs.
The project presents a deflationary mechanism. 25% of its supply is reserved to be burned in five bitcoin ETF milestones.
Additionally, there is a 5% burn tax on transactions, which is reduced by 1% on each target.
These scarcity-focused characteristics, combined with foresight bitcoin-etf-approvals-could-add-1-trillion-to-crypto-market-cap-cryptoquant-says/” target=”_blank” rel=”noopener”>$1 Trillion in Liquidity Entering the crypto Market of bitcoin ETFs, could support the bitcoin ETF token.
This is supported by the current initial phase of the project and its low market capitalization at the time of launch, of only $12.39 million.
bitcoin ETF Token also has a staking mechanism, offering an APY of 79%. Still, this will decrease as more tokens are staked, incentivizing buyers to enter early to maximize their profits.
The project also offers a bitcoin ETF alert service. This is a news service that brings together the latest bitcoin updates from around the web in one place. The feature aims to foster a more active and engaged community.
crypto-news.care/?referrer=bitcoin-and-ethereum-prices-suffer-losses-but-traders-remain-bullish-on-bitcoin-etf-token” target=”_blank” rel=”noopener”>Visit the bitcoin ETF Token Pre-Sale
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