Crypto Market Daily Highlights – June 21 – BNB, DOGE, SOL Impress

Key Insights:

  • After a mixed start to the week, buying momentum gathered pace on Tuesday, with Dogecoin (DOGE) leading the top ten crypto majors.

  • Solana (SOL) extended its winning streak to five days, its best run since March.

  • The total market cap rose by $8.8 billion, another relatively modest rise. For June, the total market cap remains down by $405 billion.

It was another choppy session for the crypto market on Tuesday. Bitcoin (BTC) took a run at $22,000 before easing back. The pullback saw bitcoin end the day at $20,699.

A sharp pickup in risk appetite across the global financial markets delivered support to the crypto market.

With the US markets reopened after Monday’s holiday, the NASDAQ 100 rallied by 2.51%.

While weaker than in previous weeks, a correlation between bitcoin and the NASDAQ was evident, with a late decline in the NASDAQ pulling back the broader crypto market.

An upward swing in crude oil prices tested support for the NASDAQ and the crypto majors late in the session. Market angst over inflation and central bank policies to bring inflation back to target raises the threat of a global economic recession.

NASDAQ BTC WTI 220622 Daily Chart

Despite this week’s uptrend, headwinds persist, which leaves the crypto market at risk of a reversal.

Today, Fed Chair Powell testimony on Capitol Hill will draw plenty of interest and will remind the markets of what lies ahead on the policy and economy front.

Crypto Market Cap Up for Again but Deep in the Red for June

Another mixed crypto session led to a modest increase in the total crypto market cap.

On Tuesday, the total market cap increased by $8.8 billion, following a $4.4 billion rise on Monday.

The upswing was small compared with Sunday’s $62.6 billion jump, leaving the market cap down $405 billion for June.

Total Market Cap 220622 Daily Chart

Total Market Cap 220622 Daily Chart

Poignantly, the crypto market avoided a new June low for a third consecutive day.

However, downside risks remain, with central bank monetary policy, the threat of a recession, and a likely shift in the regulatory landscape the key considerations near term.

Looking at the top ten, ADA (-2.04%) and ETH (-0.18%) gave up early gains to end the day in the red.

However, it was a bullish session for the remainder, with DOGE rallying by 9.50% to lead the way.

BNB (+1.66%), BTC (+0.71%), SOL (+3.30%), and XRP (+1.44%) also found support.

From the CoinMarketCap top 100, Shiba Inu (SHIB) and Waves (WAVES) led the way, surging by 31.20% and 43.04%, respectively.

On the stablecoin front, USDD movements were market positive. While TRON DAO Reserve failed to restore the peg, USDD returned to $0.97, easing market fear of another stablecoin collapse.

USDD 7-Day Chart 220622

USDD 7-Day Chart 220622

The return to $0.97 levels delivered TRON (TRX) support, with TRX ending the day up 6.18%.

TRON DAO Reserve collateral figures continued to ease concerns of a USDD collapse.

At the time of writing, the collateral ratio stood at 326.35%.

USDD Collateral Ratio 220622

USDD Collateral Ratio 220622

Total Crypto Liquidations Eased Back Following Fed Policy Decision

The downward trend in total crypto liquidations continued on Tuesday.

After hitting $1 billion last Tuesday, 24-hour liquidations fell from $315 million on Monday to $199.82 million on Tuesday.

This morning, 24-hour liquidations stood at $170.27 million, a second consecutive morning at sub-$200 million.

One-hour liquidations reflected improving market conditions.

According to Coinglass, one-hour liquidations stood at $1.91 million.

A decline in 24-hour total liquidations to sub-$100 million would deliver crypto market support.

Crypto Daily News Highlights

  • Elon Musk reassurances of support for DOGE delivered a meme coin breakout.

  • Axie Infinity (AXS) became the most searched NFT in 112 countries, outmuscling Decentaland (MANA).

  • Crypto Casino sponsored English Premier League side Everton Football Club.

  • DeFi Pulse Index jumped 13%, driven by a token rebound.

  • Uniswap (UNI) broke out on news of the NFT marketplace launch.

This article was originally posted on FX Empire