🟢 Crypto Market Update
The cryptocurrency market faced renewed volatility yesterday, with Bitcoin sliding during the late U.S. session as Wall Street retreated from the recent post-Jackson Hole rally. Investors are now focused on the upcoming Nvidia earnings report, a key event for broader risk sentiment given the company’s heavy weighting in the NASDAQ and its symbolic role in the AI-driven rally.
If Nvidia delivers strong results, confidence in the AI boom could extend to crypto markets. However, analysts have set the bar high, meaning any disappointment could spill over into risk assets.
At present, Bitcoin remains under pressure around the $109,000–114,000 range. Holding above these levels is critical to avoid a deeper correction that could extend below $100,000 — an outcome that would weigh heavily on altcoins.
On the other hand, recent positioning data suggests that the market may have absorbed much of the forced selling. Last weekend marked the largest wave of long liquidations this year, often a feature of local bottoms. There are also signs of improved demand on the bid side of order books, a pattern that has historically preceded sharp rebounds.
From a technical perspective, Bitcoin needs to reclaim the $114,600–116,000 zone to restore momentum. A move above this threshold could trigger a rally toward the $117,000 CME gap — a level closely watched by traders as a potential rebound target.
The broader crypto market cap dipped below its 50-day moving average, a warning sign, but the presence of an inverted head-and-shoulders structure keeps bullish hopes alive as long as prices can stabilize above $4 trillion.
In short:
Near-term, the market must bounce decisively this week to avoid cascading downside.
Watch retail long positioning — a capitulation by smaller traders could pave the way for stronger recovery.
Key resistance remains at $116,000, while support sits near $108,500–109,000.
🌍 Global Macro & Market Developments
Political headlines are once again taking precedence over data in shaping sentiment this week.
U.S. Politics: Former President Trump has floated removing Federal Reserve Governor Lisa Cook, raising questions about central bank independence. Meanwhile, Intel announced a strategic partnership viewed as supportive for U.S. technology. The U.S. dollar strengthened sharply, with the dollar index rising 0.72% to 98.43.
FX: The euro fell 0.84% to 1.1618 against the dollar, while USD/JPY advanced 0.60% to 147.77.
Commodities: Precious metals slipped — gold down 0.16%, silver down 0.90% — though a rebound trend is expected into the week. Brent crude gained 1.34%, settling near $68.82.
Bonds: The U.S. 10-year yield remained elevated at 4.27%, reflecting continued uncertainty about policy and inflation.
Europe: Trump’s tariff threats against the EU, a confidence vote in France, and potential consolidation moves in Germany’s banking sector (Unicredit–Commerzbank) added to political noise. Ongoing Russia–Ukraine tensions remain a risk factor.
Overall, expect political and geopolitical developments to outweigh data releases in shaping investor sentiment this week.
📌 Key Takeaways
Crypto markets are at a critical juncture: either stabilize above $109k and aim for $116k, or risk breaking lower.
Nvidia’s earnings will be a major catalyst for risk assets, including Bitcoin.
Macro sentiment is fragile, with politics overshadowing data — dollar strength and U.S. yields remain central to global market direction.
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