[US Market]Bitcoin Breaks $21,000 | coindesk JAPAN | Coindesk Japan

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Cryptocurrency broker Genesis Global Capital is preparing to file for bankruptcy (Chapter 11), whose lending arm has suspended withdrawals in the aftermath of the FTX bankruptcy. Bloomberg reported.

Genesis is in behind-the-scenes discussions with various creditor groups, the people said. The company has already warned investors that it could file for bankruptcy if it fails to raise capital.

Since the collapse of the cryptocurrency exchange FTX in November, Genesis has been busy raising new capital and dealings with creditors. The company’s institutional lending arm was forced to suspend client withdrawals and new loans.

In addition, parent company Digital Currency Group (DCG) is under pressure to secure $900 million in deposits. Genesis reached out to investment bank Moelis & Company late last year to help weigh its options.

Market trend

Source: CoinDesk

Bitcoin (BTC): 18 days early, it rose to a high of $ 21,602 since mid-September, but fell 2% in 24 hours, near $ 20,700.

Ethereum (ETH): down 3%, near $1532.

Optimism (OP): Ethereum’s layer 2 network, Optimism’s native crypto asset Optimism (OP) temporarily fell from $ 1.80 to $ 1.50 on the 18th. Over the 24-hour period, it is down 5% to close to $1.79. Despite the price drop, volumes have risen steadily in recent weeks, outpacing rival Arbitrum, which has fallen nearly 50% from its peak in November.

Shiba Inu Coin (SHIB): On the 18th, temporarily increased by about 20%. Both centralized and decentralized exchanges saw an increase in trading, according to data site Nansen. Over the 24-hour period, it rose 7% and fell slightly.

stock marketUS Producer Price Index (PPI) fell sharply in December, suggesting inflation continues to slow, while stock markets fell. The Dow Jones Industrial Average fell 1.8%, the S&P 500 1.5% and the Nasdaq 1.2%.

latest price

● CoinDesk Market Index (CMI): 987.47, -3.5%
Bitcoin: $20,775, -2.5%
Ethereum: $1,530, -3.2%

● S&P500: 3,928.86, -1.6%
Gold: $1,907, -0.0%
10-Year US Treasury Yield: 3.38%, -0.2

market analysis

Source: TradingView

Both Bitcoin and copper are making strong moves in the technical analysis. Relative Strength Index (RSI) is 75 and 77. When the RSI is above 70, it is believed that the asset is overvalued and prices may fall.

However, there is one difference in the most recent COT (Commitment of Traders) report. The COT report is a weekly report of the holdings of futures market participants, which provides insight into investor sentiment.

In the most recent report, commercial copper investors were short, reflecting concerns about future price declines. In contrast, Bitcoin institutional investors are long.

A drop in copper prices may be correlated with Bitcoin’s recent rally pausing.

｜Translation: coindesk JAPAN
｜Editing: Takayuki Masuda
| Image: CoinDesk
｜Original: Crypto Markets Today: Bitcoin Falls Below $21K; Genesis Nears Bankruptcy Filing; Bitzlato Founder Arrested