Bitcoin (BTC) remained near the $16,500 level at the Wall Street open on Nov. 23 as US markets waited for Thanksgiving signs.
Grayscale, GBTC still dominate the crypto mood
Data from Cointelegraph Markets Pro and TradingView showed that the BTC/USD pair avoided volatility after hitting fresh two-year lows the day before.
The pair left analysts in doubt the day before US markets closed for the Thanksgiving holiday, with cryptocurrency commentators still focused on Digital Currency Group (DCG).
Potential liquidity problems at DCG-owned Genesis Trading continued to agitate those already expecting further losses in Bitcoin and altcoins.
As Cointelegraph reported, Concern had already spread to doubt the future of the Grayscale Bitcoin Trust (GBTC), the largest institutional Bitcoin investment vehicle with assets under management worth more than $10 billion.
On November 22, former Grayscale CEO Barry Silbert published a letter to DCG shareholders, widely shared on social networks, in which he sought to shore up morale.
“Not sure how to interpret the mixed reports around DGC, GENESIS, Grayscale, but Barry Silbert’s letter yesterday gave the cryptocurrency market some hope”wrote the Material Indicators analysis resource in part of a Twitter thread that day.
He added that GBTC announcements could, however, come after hours a potential volatility catalyst.
An accompanying chart of buying and selling pressure on the largest global exchange Binance showed stiff resistance instead just below $17,000.
On the buy side, only $15,000 was solid support at the time of writing, with the bulk at $14,000.
“I’ve never seen such a bad feeling”
Meanwhile, commenting on the general state of the crypto market after the FTX debacle, popular commentator William Clemente said that sentiment should not be confused with underlying Bitcoin strength.
“I’ve never seen such a bad feeling” acknowledged.
“Concerns about all the centralized companies in the industry, people giving up, losing hope, depression. Meanwhile, the fundamentals of Bitcoin remain completely unchanged. Posting this to review when BTC is hitting new highs in a few years.”
According to the classic criteria of the Crypto Fear & Greed Index, there was room to fall, with a score of 22/100, more than double what traditionally accompanies bear market funds.
“The dead word has been circulating rapidly among crypto platforms in November,” added the research firm Santiment on their own ideas on November 22.
“As one of the more bearish sentiment words, this is a sign that traders are giving up on the rebound in the markets. Ironically, this capitulation is historically when markets rally.”
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