Tropical trading conditions will prevail over Bitcoin over the next 24 hours, indicating clearly bullish market conditions and attractive buy opportunities. However, rain is forecast to fall over Ether, Solana, Binance Coin and Avalanche signaling bearish market conditions and sell opportunities.

Over a one-week time horizon, drizzle is forecast over both Bitcoin and Ether. This translates into slightly bearish market conditions.

The trading signals available at 08:30 CET are the basis for the projections mentioned above. Please check whether ATTMO's signals have changed since then, before making an investment decision.

Cryptocurrencies extend gains as rate cut hopes reemerge

The cryptocurrency trend was positive over the past 24 hours following double-digit declines in June and as the Federal Reserve gave hopes of interest rate cuts.

The US inflation data to be released tomorrow are forecast to head in the right direction. Analysts expect the June inflation to drop to 3.1 percent compared to 3.3 percent in May.

“Reducing policy restraint [interest rates] too late or too little could unduly weaken economic activity and employment,“ the Chairman of the Federal Reserve, Jerome Powell, said in his testimony before the US Senate. Analysts expect the Fed to cut rates in both September and December.

US interest rates are currently set at 5.25 percent, a 23-year high. This means that less risky assets such as bonds generate relatively high returns. Lower rates would make riskier assets such as crypto assets more attractive to hold.

The price of Bitcoin rose 2.9 percent to $59,003 over the past 24 hours, after reaching a five-month low on Friday. Trading View’s Bitcoin chart shows.

“Oversold indicators suggest a short-term reversal in anticipation of a possible mini-rally,” 10xResearch writes in its daily market report. “The $55,000-$56,000 range is forming a base from a technical analysis perspective.”

Inflows into crypto financial products on recent price weakness

The past month’s 15 percent decline of the price of Bitcoin has attracted investors to crypto asset funds.

“Digital asset investment products saw inflows totaling $441m, with recent price weakness prompted by Mt Gox and the German Government selling pressure likely being seen as a buying opportunity,” CoinShares writes in its weekly report, noting volumes remain relatively low reflecting the slower pace of activity during the summer months.

Wait for final ETH ETF approval continues

All applicants for spot Ethereum exchange traded funds (ETFs) have filed updated listing registration (S-1) forms, signaling that the approval of the Securities and Exchange Commission (SEC) may be imminent.

“The total #Crypto market capitalization has likely bottomed as the Ethereum ETF applicants have filed their final documents and are ready to launch in less than a week,” Michaël van de Poppe, the CIO and founder of MN Trading noted.

The price of Ether put on 0.9 percent to $3,112 over the past 24 hours.

DISCLAIMER

ATTMO, a weather-inspired AI tool, makes cryptocurrency predictions. It also forecasts longer-term cryptocurrency trends. These forecasts are not trading advice; they are only decision support tools. They do not include information that is specific to the user; in particular they do not account for their personal risk appetite or market assessment. The forward-looking weather-inspired predictions part of this report may have changed by the time you read this edition of ATTMO Times. So always check the latest ATTMO predictions before making any investment decision.