PayPal drives up the price of Bitcoin
PayPal drives up the price of Bitcoin
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PayPal drives up the price of Bitcoin

By Federico Izzi - 23 Jun 2020

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In a context that continues to highlight lateral movements, yesterday the calm was affected by the news that PayPal seems to be increasingly interested in integrating cryptocurrency services in the coming months. In a few minutes, this news made Bitcoin’s price rise

PayPal is the global payment giant with over 300 million active users and a payment app that is the most used in the US with 50 million users. 

It would seem that Bitcoin, along with a small basket of altcoins, are part of the research being done by the PayPal team that, despite the rumour, has not confirmed or denied the news at the moment. 

This has once again brought back optimism and intraday euphoria to Bitcoin’s prices, which yesterday, for the first time after more than 10 days, have returned to review $9,800, a level where the short-term profit-taking has begun to prevail.

This brings back again bullish momentum to the entire sector which is awakening with a clear prevalence of green signs. 

coin360 20200623
Source: COIN360.com

This morning about 85% of the first 100 tokens are in positive territory.

The best rises among the top 10 are Bitcoin (BTC) and Ethereum (ETH), which rose by 2.5% and 3%. 

Another good rise is that of Crypto.com (CRO) which rises by 3% and returns to 10th position, where the head-to-head with Cardano continues with a difference in capitalization of 30-40 million dollars. 

Scrolling the list of the big ones, the first red sign is in 16th position where Leo Token (LEO) drops by 1%. Compound (COMP) slides in 22nd position and today loses 6%. 

After the strong rally of the last few days, which in a few hours has seen the prices gain more than 400%, multiplying by 5 times its value in 5 days, this morning the profit-taking prevails. 

This at the moment does not affect the strong bullish excursion that in a few days has seen Compound become a leader in the DeFi sector.

DeFi continues to be in the spotlight, thanks to Compound that leaps to the top, undermining the domain held by Maker. 

In a few days, Compound has seen deposits jump over 600 million dollars, 40% of the dominance of the DeFi sector. A sector that sees the value of locked tokens reach 1.530 billion dollars.

This very morning there are still strong excursions for the tokens of the DeFi universe. Among the best rises in fact there are Ren (REN) and Bancor (BNT) with rises of over 15%. 

Slightly less impressive is the performance of Synthetix (SNX) which goes up by 8%. 

Among the worst of the day, besides Compound, Aave (LEND) does worse, losing 11%, as do Loopring (LRC) and Zilliqa (ZIL), which lose 2%. The worst drop is FlexaCoin (FXC) which loses 15%.

Among the major increases, there is also Digibyte (DGB) which rises 27%, benefiting from the listing on Binance which features zero fees for trading on this token, now in 35th position with over 290 million dollars of capitalization. 

The attention of traders is particularly focused on options trading, which has seen strong growth in the last month. Yesterday this attention shifted to the news of PayPal and Venmo. 

The rise in the last 24 hours sees the capitalization rise above $270 billion. Volumes are up 20% from yesterday’s levels, at 65 billion dollars

Bitcoin trading volumes are also growing, reaching $2 billion in dollars, a level higher than last week. 

The dominance of Bitcoin is back close to 65%, whereas Ethereum in the last few hours is close to 10%, a level that Ethereum had abandoned at the beginning of March. Ripple, despite holding just above parity today, continues to lose market share down to 3.1%.

BTC 20200623
Bitcoin chart by Tradingview

Bitcoin (BTC) price

Bitcoin now gains 2% by remaining caged in the range that sees it swinging around the $9,500 balance. 

In the last 24 hours prices have returned to test the threshold of $9,800, a level abandoned with the break of June 11th that marked the neckline of the bullish channel started with the lows of mid-March. 

For Bitcoin the analysis does not change: it is necessary to go above the highs of the last hours, 9,800 dollars, and regain the threshold of 9,900 dollars to give a first bullish signal on the current monthly cycle started with the lows of mid-June.

On the contrary, a fall below $9,200, levels that in the last 5 days have confirmed a solid base of support in the short term, would open space to go to test the lows of the middle of last week, precisely at $8,900. 

It is these last two levels that need to be monitored carefully for a continuation of a possible consolidation before the next attack at $10,000. 

An extension below $8,900 would open up additional downward space to the next support area between $8,500 and $8,200.

ETH 20200623
Ethereum chart by Tradingview

Ethereum (ETH) price

Today Ethereum earns 3%. With the rise of the last 24 hours, it is back with strength within the bullish channel that seemed to have been abandoned with the fall of the weekend that had seen the break of $230. 

Ethereum benefits from the general euphoria of the last few hours, with quotations that regain the $245, a step from the highs of the last 3 months, recorded in early June, at $254.

For Ethereum the trend remains solid upwards, it would only be affected with a return below the weekend lows at $225. In the medium-long term, the former resistance now support of $215 remains valid.

EDO 20200623

Eidoo (PNT)

In the DeFi sector, the rise of Eidoo continues and in the last few hours it has set a new record in the last 11 months, going beyond 76 cents on the dollar, a level that 

Eidoo hasn’t recorded since last July. 

Eidoo, now called PNT, since early June has seen its prices gain more than 150%, from $0.30 until the push of these last few hours to $0.76.

In these hours, Eidoo is changing ticker from EDO to PNT. The market seems to be definitely rewarding this choice. 

Despite burning 28 million tokens, Eidoo is in the top 120 again. If they hadn’t been burned, Eidoo would have been in the top 90 today. 

This is a projection that does not consider the real impact of the token after the burning. In fact, between supply and demand, when the market supply is reduced, the price of the good (the token) tends to depreciate. 

Therefore, despite the burning, the capitalization of Eidoo goes beyond 42 million dollars and enters among the first 120 of the most capitalized. 

 

Federico Izzi
Federico Izzi

Financial analyst and independent #trader – S.I.A.T. & Assob.it partner. He operates actively on stock and derivatives markets (futures and options) since 1997. A precursor of cyclic-volumetric analysis he is known for having identified the most important upward and downward movements in the financial markets of recent years. He participates annually as a speaker at the ITForum in Rimini since the 2010 edition and InvestingRoma and Napoli since the first edition of 2015. He is a guest and market expert on the "Trading Room" and "Market Driver" broadcasts of Class CNBC, Borsa Diretta.tv and on the evening news of Traderlink. Since July 2017 he is a permanent guest on LeFonti.TV, the only weekly national space dedicated to cryptocurrencies alongside the most important international experts in the field. He was interviewed as a cryptocurrency expert for Forbes Italia, Panorama, StartupItalia and DonnaModerna. He was recognized as the first Italian technical analyst to have published the first secular cyclic analysis on Bitcoin. Periodically publishes articles on ITForum News, Sole24Ore, MILANOFINANZA, TrendOnLine and Wall Street Italy. Federico Izzi is... "Zio Romolo".

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