Bitcoin, Ethereum, Dogecoin Sluggish Over Holiday Weekend: Stocks Could Define Crypto Direction In Key Earnings Week

Photo by Dmitry Demidko on Unsplash

Bitcoin (BITCOMP) and Ethereum traded below key psychological levels on Sunday evening as the global cryptocurrency market cap decreased 2.1% to $1.85 trillion at press time.

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Why It Matters

Risk assets such as cryptocurrencies slid, while stock futures dropped ahead of a week filled with earnings activity. Some of the companies set to report this week include Netflix Inc (NFLX) and Tesla Inc (TSLA). On the equities side, investors will pay attention to the guidance given out by companies.

At press time, the S&P 500 and Nasdaq futures, which began trading earlier in the evening, slipped 0.7% and 1.1%, respectively. Bitcoin hovered around the $40,000 mark over the long holiday weekend. On Easter Sunday eve, the apex coin touched an intraday low of $39,620.89.

The cryptocurrency market could take direction from stock futures, according to Benzinga’s Melanie Schaffer.

Investor sentiment was poor at press time, with the Alternative.me’s “Crypto Fear & Greed Index” indicating “Extreme Fear.” The index was at “Fear” last week. 

On the futures side, traders are slightly more overweight on the short side than the long side, tweeted the purveyor of data=driven insights Santiment citing exchange funding rate data.

“Both Bitcoin and altcoins have consistently been in the green for most of the past week, and this is historically #bullish to #short liquidation possibilities,” said Santiment.