Bitcoin changed little above $ 44,000 despite Japan’s liquid exchange hack

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Bitcoin held its own above $ 44,000 even after Japan’s Liquid exchange said a hacker took off with millions of dollars in crypto during trading hours in Asia.

The world’s largest cryptocurrency by market cap is down 2% the same day after hitting a 24-hour high of around $ 45,986, according to data from CoinDesk. At the time of going to press, bitcoin was changing hands at around $ 44,400.

Bitcoin fell squarely below its 200-day moving average, invalidating a breakout on August 13.

Related: Polygon to form a decentralized autonomous organization

“We still have support at $ 44,000 and $ 42,000, which is the limit for short-term momentum,” Jon de Wet, chief investment officer of digital asset firm Zerocap told CoinDesk via Telegram.

The company highlighted the flows to safe-haven assets in light of the instability in Afghanistan that has been triggered by the exit of the US military as well as concerns over the COVID-19 Delta variant.

Headwinds in China, along with the downturn in the economy and the crackdown on the tech sector, are also affecting crypto markets, but so far the Liquid hack has had little impact. This is a sign of a lingering bullish sentiment, the firm noted.

“A daily break below $ 42,000 would give bears some confidence, but overall we think [the] the price will hold above that level for the next week or so, ”said de Wet.

Related: Bitcoin Declines; Approaching support below $ 42,000

Chain indicators indicate that bitcoin is holding above this level, at least in the short term, as so-called smart money flows from exchanges continue to reign supreme, according to data from Glassnode.

Typically, “smart money” dominates exchange flows, according to Zerocap. If bitcoin leaves trading, it may indicate an intention to hold. Conversely, when bitcoin moves on exchanges, it can indicate an intention to sell.

“Ethereum even more so, with currency balances hitting an all-time low this week,” de Wet said. “The leverage is not excessive in this market right now – all of this is very supportive of a dynamic week ahead, despite the macro landscape.”

The story continues

Other notable cryptocurrencies in the top 20 by market cap were mixed on a 24-hour basis with cardano, terra and internet computer showing the highest gains, while uniswap, polygon and chainlink were deep in the red. .

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