Price analysis 1/15: BTC, ETH, XRP, DOT, ADA, LTC, BCH, LINK, XLM, BNB – BTC Ethereum Crypto Currency Blog

January 15, 2021 by No Comments

Altcoins have entered a slight correction after Bitcoin’s relief rally lost steam and the price dropped below $35,000.

Grayscale products witnessed $3.3 billion in inflows in the fourth quarter of 2020, a large jump over the $1.05 billion seen in the preceding quarter. According to Grayscale, institutional investors accounted for 93% of the new investments. 

The significance and magnitude of the investments can be gauged from the fact that in 20, Grayscale received $5.7 billion in investments, which is four times the cumulative inflow between 2013 and 2019

Data from Glassnode also shows that since July 2020, only about one-third of the 900 Bitcoin (BTC) mined each day have made their way to exchanges. During that period, Grayscale alone purchased about 1,200 Bitcoin every day. This shows how demand exceeded supply by a huge margin, resulting in the sharp rally which was ignited in the latter half of 2020.

Daily cryptocurrency market performance. Source: Coin360

However, after Bitcoin’s recent rise, larger inflows are needed to sustain the momentum. If this does not happen, select investors may be tempted to lock in their gains and that could start a correction with speculators and short-term traders rushing to the exit.

Let’s analyze the charts of the top-10 cryptocurrencies to determine the path of least resistance.