The crypto market is up slightly today, August 16, as traders await the release of the Federal Open Market Committee (FOMC) meeting, which will come out on August 19. Bitcoin (BTC) and Ethereum (ETH) are stuck at $63,000 and $1,800, respectively, while Ripple (XRP) is defending the support at $1.
What is Driving the Crypto Market Today?
Geopolitical tensions continue to move crypto prices today as traders remain hesitant and await to see whether the ongoing talks about the reopening of the Strait of Hormuz will bear fruit.
As CoinGape reported, the UAE has reportedly seized billions of assets belonging to Iran, including gold. The seizure comes as prediction markets show that there is only a 13% chance that the US and Iran will extend their ceasefire deal after it expires on August 20.
Besides the US and Iran, Ukraine has also launched a major drone attack in Moscow today, August 16, adding to the geopolitical risks that are facing the crypto market.
Monetary policy decisions are also moving the crypto market as traders await the release of the minutes of the FOMC meeting that occurred in July.
As CoinGape earlier reported, that FOMC meeting had a hawkish tone despite the Federal Reserve leaving interest rates unchanged at between 3.50% and 3.75%. The Fed Chair, Kevin Warsh, opined that inflation remains a concern.
The minutes could affect the odds of the Fed hiking interest rates in September. Currently, prediction markets show that there is a 26% chance that the Fed will not hike or trim rates at that September meeting.
The crypto market today is also awaiting the upcoming meeting of President Trump with crypto executives on August 19. Crypto traders are also pricing in the outcome of that meeting on prices.
Crypto Market Data
- Total Crypto Market Cap: $2.16 trillion (-0.13%)
- 24-hour Trading volumes: $27.32 billion
- Bitcoin: $62,936 (-0.02%)
- Ethereum: $1,878 (+0.04%)
- XRP: $0.99 (-0.38%)
- Bitcoin Dominance: 58.4%
- Ethereum Dominance: 10.5%
- Altcoin Season Index: 50/100
- Fear and Greed Index: 34 (Fear)
Derivatives Market Analysis Today
The total open interest across the crypto market stands at $117 million today, August 16. This OI is a 0.85% drop from the previous day’s reading.
Derivatives trading volumes have recorded the biggest decline of 50% to $61 billion at the time of writing per CoinGlass data.
Meanwhile, the crypto market liquidations today have dropped by 71% to $38 million, with $24 million being long liquidations and $14 million being short liquidations.
The drop in liquidations follows a lack of strong price moves in the crypto market over the weekend due to weak trading volumes.
The majority of derivatives traders in the crypto market are also leaning long today, with 24-hour long buying volumes topping $9.78 billion, with this being higher than the $5.47 billion in short selling volumes.
Bitcoin Price Outlook Today Amid Symmetrical Triangle Pattern
Bitcoin price trades at $62,900 today, August 16. The king coin remains stuck in a narrow range between $62,000 and $65,000, but a symmetrical triangle pattern is forming to suggest that it could escape this consolidation zone depending on whether selling or buying pressure rises.
If selling pressure rises, the price of Bitcoin could move below the support at the lower trendline of this triangle pattern at $61,850. The height of this triangle pattern of 7.9% suggests that the price of Bitcoin could drop to $56,900 if it closes below the lower trendline.
However, the symmetrical triangle pattern can also support a bullish future Bitcoin outlook if the price closes above the upper trendline and triggers a 7.9% move from $66,700.
Still, the RSI reading of 42 suggests that the momentum is still favoring bears, and a move below $61,850 could occur.
Ethereum and XRP Price Forecast Today
Ethereum price is down by 0.02% today, August 16, to trade at $1,878 at the time of writing. However, this drop mimics the falling channel of a bull flag pattern before a strong move upwards occurs.
A recent CoinGape Ethereum price analysis noted that the price of ETH could surge by 28% if it closes above the resistance of the bull flag at $1,947.
Data from CoinGlass shows that Ethereum has a long/short reading of 1.10, suggesting that most of the crypto market futures traders are leaning long. The same long/short reading stands at 2.56 on Binance and 1.89 on OKX, suggesting bullish positioning on the two exchanges.
XRP price is also defending the psychological support of $1. The price remains above this support because of rising network activity that has reached a two-month high per a recent report by CoinGape.
If the price of XRP does not hold this support at $1, it could move to $0.98. However, a strong close above $1 could push the price to the resistance at $1.08.
Data from SoSoValue also shows that institutional demand for XRP has risen after XRP recorded weekly inflows of $2.2 million. The inflows showed that XRP ETFs outperformed BTC and ETH ETFs during the week after the two posted outflows.
Catch up on yesterday’s key developments and the coins that made the biggest moves in our Crypto Market Update August 15.