Q3 Earnings Alert! Plan early for this week’s stock reports with all key data in 1 placeSee list

Bitcoin trades higher, Shiba Inu outperforms

Published 01-11-2021, 06:58 pm
BTC/USD
-
ETH/USD
-
ADA/USD
-
DOGE/USD
-
SHIB/USD
-
SOL/USD
-

By Samuel Indyk

Investing.com – Most major cryptocurrencies were trading higher on Monday with Bitcoin trading in close proximity to $62,000. Outperformance was observed in some of the more prominent meme-based coins with Shiba Inu retracing some of the losses from the weekend to rise by over 15% in the last 24 hours.

Monthly cryptocurrency performance

October was a great month for cryptocurrencies with Bitcoin once again hitting an all-time high after previously trading at its peak in April. For the month, Bitcoin was up almost 40% and recorded its best monthly gain since December last year.

The second-largest cryptocurrency by market cap, Ethereum, had a similar performance, rising by around 43% in October.

Other cryptocurrencies with Decentralised Finance (DeFi) applications and smart contracts were mixed. Cardano, which was the third-largest cryptocurrency at one stage, shed over 7% of its value in October after falling 24% in September. However, the losses came amid a run in August that saw the coin’s value more than double.

Solana, which also uses DeFi apps on its network had slightly stronger gains than Bitcoin and Ethereum with the value increasing by 43% during the month.

Dogecoin gained marginally less, rising by 37% during the month, however, this was still its best performing month since April this year when the dog-based cryptocurrency rose over 500% amid a surge in interest from retail traders.

However, there was one coin that ruled them all in October, Shiba Inu. The cryptocurrency rose almost 830% during the month as the coin rocketed into the top 10 largest cryptocurrencies by market cap, overtaking Dogecoin.

Outlook for cryptocurrencies

In the immediate term, focus could well fall on the key macro events in the US this week, including the Federal Reserve interest rate decision on Wednesday and Friday’s Nonfarm Payrolls report. A particularly hawkish Fed could put a cap on the rally especially if equities were to sell off in the wake of the decision. A decision that is perceived as dovish by the market could see Bitcoin retest its record high from 20th October.

On a technical level, the zone around $62,300-$62,500 remains key resistance for Bitcoin, which a break above could open the door to $65,000 and eventually the recent all-time high just below $67,000.

On the downside, support lies at the $61,300 pivot point before the psychological $60,000 level.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.