CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

Crypto market wrap: Bitcoin defies gloomy outlook

By Monte Stewart


Bitcoin defied gloomy predictions of its future and sparked an altcoin price surge – Photo: Getty Images

Bitcoin defied pundits’ gloomy outlook on its fortunes Tuesday, sparking an altcoin price surge, while one leading market commentator predicted the end of the algorithmic stablecoin concept

The world’s largest cryptocurrency and most altcoins spent the day in the green during conventional trading hours in North America, according to data.

What is your sentiment on BTC/USD?

Vote to see Traders sentiment!


Eth posts gains

Both bitcoin (BTC) and ether (ETH), the world’s second-largest cryptocurrency based on market cap, which is backed by the Ethereum blockchain, were up more than 3% in the morning and about 5% in the afternoon, according to data.

Bitcoin surpassed $21,000, viewed by investors as a pivotal benchmark, after falling below $20,000 – its lowest price since 2020 – on the weekend. As the market leader and trendsetter battles uncertainty and volatility since the beginning of 2022. However, the bellweather crypto is still way short of its November 2022 high.


Shiba Inu price skyrockets

Popular meme coin Shiba Inu (SHIB), named after the breed of Tesla founder Elon Musk’s dog, was among the biggest gainers, skryrocketing more than 40%. Relative unknown WAVES mushroomed about 44%, before falling back, and Uniswap (UNI) jumped about 18%, during trading in East Coast markets around the traditional close of business.

Pundits have predicted that a prolonged bitcoin stay below $21,000 could lead to a much deeper plunge as rapidly rising inflation and a US interest-rate increase hamper the crypto sector and conventional investment markets.

“I would summarize that the feeling of [traders on our company’s] trading desk, including myself, is that if bitcoin stays in this $20,000 range, $18,000 to $20,000, it's going to be a long drawn out [period], and we could be in this trading range now for weeks,” said Chris Terry, vice-president of enterprise solutions at US-based crypto trading and lending platform operator SmartFi, in comments provided to

BTC at $12,00 would cause a ‘market shake-out’

Bitcoin is down about 70% from its November 21 high. Terry noted that the price has retreated severely three or four times, if not more, in bitcoin’s history, if not more, and an 80% retracement, which the coin “likes,” is “typical.”

Bitcoin, he added does not have a clear high or a clear low. He does not expect a considerable rally to occur until the coin reaches a further low.

“If Bitcoin hit $12,000 to $13,000, then I’d say that's what it took to shake the markets out,” said Terry. “So, most investors are waiting for the other guy to make a move.”

O’Leary covets crypto

But Canadian billionaire Kevin O’Leary, who stars in the US business television program Shark Tank, could be an exception. O’Leary revealed to Markets Insider on the weekend that he’s buying the dip on bitcoin and other crypto assets.


3,497.55 Price
-0.100% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00


0.61 Price
+2.200% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168


67,501.65 Price
-0.410% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 106.00


181.29 Price
-1.100% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.2652

“I'm not selling anything,” he told Market Insider. “Long term, you just have to stomach it. You have to understand you'll get volatility, and that some projects aren't going to work.”

O’Leary told the publication that he holds 32 positions in the digital-asset space, including polygon (MATIC) and solana (SOL), which were both up about 11% on Tuesday.

End of the algorithmic stablecoin?

He said the collapses of stablecoin terra and its sister token luna, which has seen been replaced by LUNA2, provide important lessons, teaching investors caution, and can benefit technology the underpins digital assets.

“Luna raised $30bn-plus,” he said. “No one's going to use their idea of an algorithmic stablecoin again. [The collapse] educated everybody that this isn't the way to build a stablecoin. It's important for the education and the maturation of the market.”


Cardano postpones hard fork

Meanwhile, Input Output, the company behind cardano (ADA), wants to learn more about its highly anticipated upcoming Vasil hard fork before implementing it. Input Output announced Tuesday that it is postponing the hard fork, a blockchain network upgrade that is designed to accelerate the coin’s production, for a month.

Vasil was originally slated to occur June 29, and buzz about it prompted cardano to rise a number of times before the crypto market nosedived last week on the Celsius Network’s decision to freeze deposits and transfers of its CEL coin.

The market was also stymied by speculation surrounding the financial woes of the Three Arrows crypto hedge fund before its co-founders finally shed light on them.

But investors showed little concern for the hard fork postponement on Tuesday as cardano rose about 2.5% before falling back moderately.

Markets in this article

Bitcoin / USD
67501.65 USD
-274.5 -0.410%
Ethereum / USD
3497.55 USD
-3.65 -0.100%
Shiba Inu / USD
0.00001848 USD
-0.00000038 -2.090%
Cardano / USD
0.43972 USD
0.00266 +0.610%
0.56327 USD
-0.00254 -0.470%

Rate this article

Related reading

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 630,000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading