Market Wrap: Bitcoin Turns Over $ 10.7,000; Ethereum’s gas consumption hits record highs in September

Bitcoin is making profits on Monday and Ethereum usage hits record highs in September.

• Bitcoin (BTC) starts trading at $ 10,669 as of 8:00 PM UTC (4:00 PM ET). 3.4% increase in the last 24 hours.
• Bitcoin’s 24-hour range: $ 10,250 to $ 10,759
• BTC above its 10-day and 50-day moving averages, a bullish signal for market technicians.

Bitcoin trading on Coinbase since September 12th.

Source: TradingView

The price of Bitcoin reached up to USD 10,759 on spot exchanges like Coinbase Monday. This level has not been seen since September 3rd and the cryptocurrency is now trading in bullish territory.

“The trend is indeed higher,” said Darius Sit, managing partner of quant company QCP Capital.

Continue reading: Bitcoin’s jump to $ 10.7,000 ends the 10-day sideways trend

Buy Liquidations, the crypto-equivalent of a margin call that wipes out short sellers on derivatives exchanges like BitMEX, appeared to help drive Bitcoin price higher. A total of $ 19 million in buy liquidations was more than double the $ 9.1 million in sell liquidations over the weekend and through Monday on BitMEX, fueling the price surge.

Liquidations on BitMEX in the last three days.

Source: Skew

In the options market, some traders remained extremely optimistic that Bitcoin could hit new highs.

“While Bitcoin is currently priced at $ 10,000, traders have still priced in the chance of Bitcoin trading at $ 20,000 by March 2021,” said William Purdy, options trader and founder of analytics firm PurdyAlerts.

Indeed, based on how options are currently traded in the market, it seems like options traders estimate a 10% chance that Bitcoin will be at $ 20,000 by the expiration date in March 2021.

Bitcoin price probabilities when due in March 2021.

Source: Skew

Investor interest seems to have decreased somewhat in the futures market.

Continue reading: Some Bitcoin traders are betting on a price of $ 36,000 by the end of the year

“Open positions in Bitcoin futures have decreased by $ 1 billion, or 20%, since early September,” said Jason Lau, chief operating officer for OKCoin cryptocurrency exchange.

Open interest in Bitcoin futures last month.

Source: Skew

However, according to Lau, a higher Bitcoin price could mean a surge in futures interest. “It seems that the dealers are on hold,” added Lau. “The US markets had a strong opening this morning that pushed BTC up 5% so it will be interesting to see what effect this has on the open interest in the days ahead.”

Ethereum records gas consumption

The second largest cryptocurrency by market capitalization, Ether (ETH), gained 3.2% on Monday, trading at $ 375 and rising 3.2% in 24 hours at 8:00 PM UTC (4:00 PM ET).

Continue reading: Uniswap takes over SushiSwap in less than 24 hours. Fall for rewards

The total amount of “gas” (or cost) used on the Ethereum network for sending transactions and interacting with DeFi (Decentralized Finance) protocols hit new highs in September. On September 6, the network consumed 80 billion gas units at a record level, and Friday (September 11) was the second highest day of use of all time with 79,743,954,147 units.

Total gas consumption per day for the Ethereum network.

Source: Glassnode

Continue reading: SushiSwap users have requested changes but the log cannot be delivered

“I have short-term concerns about the congestion on the Ethereum network, but it’s positive in the long-term as it shows demand,” said Brian Mosoff, CEO of Eth Capital, which invests in the Ethereum ecosystem.

The short-term issues could be painful from a usability perspective, Mosoff added. “Realistically, by the time the second and third phases are introduced in ETH 2.0, high gas costs or the need to use a supporting or competing network will be a reality.”

Continue reading: The Virtual CoinDesk Invest: Ethereum Economy Event October 14th

Other markets

The digital assets of CoinDesk 20 are all on Green Monday. Notable Winners as of 8:00 PM UTC (4:00 PM ET):

Continue reading: How Bitcoin Correlations Drive the Narrative

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• Oil is flat, 0.01% in the red area. Price per barrel of West Texas Intermediate Crude: $ 37.29.
• Gold was in the green at 1% and at $ 1,958 at press time.

Continue reading: Iran can finance auto imports with cryptocurrency mining

• US Treasury bond yields rose on Monday. Yields, which are moving in the opposite direction as price, rose the most on the two-year bond, with the green 3%.

Continue reading: The crypto companies are working together on a Swiss franc stable coin

The CoinDesk 20: The assets that matter most to the market