The crypto market has once again a solid surge moving up 4% and registering a $2 trillion market cap once again. Thanks to the two big crypto juggernauts Bitcoin (BTC) and Ethereum (ETH) that have shot up by 5% each moving closer to their all-time highs.
At press time, Bitcoin (BTC) is trading 4.85% up at $61,035 with a market cap of $1.139 trillion. This is for the first time that the BTC price has confidently breached $61K levels after hitting its all-time high on March 14.
As per on-chain data provider Santiment, today’s move was on the cards. As per its study, Santiment noted that the crowd mood for Bitcoin (BTC) and Ethereum (ETH) dropped to negative territory during the first week of April. The data provider wrote:
“The crowd mood toward #Bitcoinand #Ethereum appears to have dropped to extreme negative territory after $BTC fell back under $60k & $ETH dipped back under $2k this week. Historically, buying during this level of #FUD & fear is a #bullish opportunity”.
BTC and ETH Funding Rates Suggested Buying Opportunity
In its study, Santiment cites the BitMEX perpetual contracts funding rates for the first week of April.
Explaining the above chart, Santiment notes: “When bars are high, greed is taking place (a good time to sell). When low, shorts are paying long, indicating fear is kicking in (a good time to buy)”.
As we can see when the funding rates drop with rising FUD, it has been a good opportunity to enter the market. Well, this has also been testified with Bitcoin’s latest price movement. Similar has been the case with Ethereum (ETH) at this point.
In the latest developments, it turns out that institutional activity in Bitcoin continues to remain high even at these price levels. Third Point, a $17 billion hedge fund recently revealed that it has been holding Bitcoin for a while now.
BREAKING: @DanielSLoeb1 and Third Point have revealed that they are holding Bitcoin.
Third Point is a $17 billion hedge fund.
Bitcoin is inevitable.
— Pomp 🌪 (@APompliano) April 9, 2021