Good morning/evening/night guys. As every Monday, find here your weekly dose on market analysis, the most relevant industry stats, and our best tips to profit from this exciting market while learning from it!

Bitcoin

Back with more action!

Bitcoin got chilled during the weekend and stopped the advance. Now is looking to consolidate testing the previous $42,500 resistance as local support. If during this whole week manages to set a new floor there would be amazing for altcoins and to consolidate this new range.

If it does and defines $42,500 I will look to add positions for the new expansion wave, which has a target on the $46,000 level. The overall move continues lacking volume, but that's something usual during summer, so I'm not really concerned about it. The breakouts over $39,000 and $41,000 were relevant enough to signal the reversal. Even with all that, my focus will remain on altcoins during this week.

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Taking a look now into the Bitcoin Dominance chart so we can provide some context to the altcoins’ possible moves. We can see how after the initial breakdown, during the next days it tried to recover, but all the time is getting rejected on the previous support now turned resistance.

A severe rejection here would lead to the final bullish reversal on altcoins. Bitcoin Dominance keeps looking bearish to me as long as it doesn't recover the previous uptrend or the 48% level:

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Big Caps index

We can see a really similar structure to BTC; after the double top on the horizontal resistance is getting a correction which might find really strong support on the 29,500 sats level. This would be really really healthy and bullish, bounce there would lead to the mid-term bullish reversal.

I will continue looking to add altcoins positions during this week. Also, the risk/reward is really interesting at this stage.

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Mid Caps index

Keeping an eye on the Mid Caps Index too, took a bigger hit than the Big Caps But is now on the final squeeze of the local wedge, confluence with horizontal support on the 4,000 sats, no reasons to be concerned, but being more careful here. To recover the bullish reversal range, it needs to claim the 4,300 sats level.

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Crypto Stats

Weekly Trade Volume of NFT

NFT madness is on the boom lately with all the new NFT tokens coming into the market and sale purchase of NFT in the open market. At the start of June weekly trade volume of NFT tokens was around $50 million which is currently more than $500 million.

Games-based NFT like Axs has gained more volume due to the increasing trend of playing games to earn tokens. NFT is a huge industry and the crypto industry has just jumped into it.

Top 10 Gainers of Last Week

ACH: Alchemy Pay, a payment gateway solution gained more than 1700% after the announcement of a partnership with Shopify and Binance.

FIX:FIX network that looking to implement a new blockchain-based security protocol on existing cellular infrastructure is in 2nd place with a 190% gain in last week.

TRU: TrustToken, operator of decentralized finance (DeFi) lending protocol TrueFi has gained more than 175% in the last week.

Top Projects by TVL Growth in Last Week

TRUEFI: TrueFi, a DeFi protocol for transparent and stable, high return lending achieved the highest growth of 280% ($738m) in total value locked in the last week.

OPYN: Opyn, a capital-efficient DeFi options protocol that allows users to buy, sell, and create options gained more than 182% ($93.5m) in total TVL in the last week.

STAKE DAO: Stake DAO, a new multi-service DeFi platform that leverages the entire DeFi ecosystem to give users access to the most effective investment strategies gained 159% ($125m) TVL last week.

Top 10 coins mentioned on Twitter Last Week

BTC: Bitcoin is on the top of the list with more than 1.8 million mentions on Twitter last week while its price bounce reached $45k.

ETH: Eth is in 2nd place with more than 616k times mentioned on Twitter while it gained more than 25% during the last week.

CAKE: Cake maintaining its position in the top 5 coins mentioned in a week reached $18.80 price after gaining more than 15%.

Skin in the game

Avoid reactive decision making in trading

It is equally important what you trade and how you trade. Everyone can learn technical and fundamental analysis but trading psychology and mindset is where most fails. Greed and fear are the major part of our emotions that come into play while trading. You can use them to your advantage otherwise you might end up getting used by the theme. These two factors are the major source of developing bad as well as good trading habits. According to a survey, the biggest reason for making losses in trades was the forced trades. That is, they did not wait for the proper setup to enter a trade and resulted in burning themselves.

Usually, here's what happens when a trader forces himself into a trade.

Personalizing a market situation: 

We personalize a market situation in some manner. Like we had a plan to enter in a trade at a particular price but we missed that opportunity and the market is already moved or the market stopped you out before taking the intended route and left you concerned about taking a loss or making you feel like losing a bigger chunk of profit if you kept away from the market. Fear and greed got involved here and you seem to be losing patience and self-control.

Emotional Reaction

The situation that you have personalized will lead to an emotional reaction. That outcome or reaction can be the result of fear, greed, frustration, or overconfidence. The emotional reaction destroys our way of thinking from a practical perspective to an emotional perspective and we personalize it in a way that it no longer remains a trade rather becomes a fight of our body and mind with our feelings and emotions.

Reactive decision-making

That emotional reaction leads us to reactive decision-making that is not beneficial for our trade and we might end up taking a trade that is no longer suitable for us or we might not take a trade that was the best one to take in a particular situation. We only realize this after we see the outcome of that decision and gives us a feeling that how foolish we were for not taking the right path.

Bottom line

These are the three things that play an important role in our trading performance. Once we understand these things, we will be able to quickly identify our thinking patterns and will be able to get ourselves on track before it's too late. Being negative, impatient, and having less self-control are routine traits of a normal man. You have to train yourself to push yourself out of these traits. It will make you a disciplined person and will give you a required maturity level that will not only help in your trading business but in other ventures and personal life as well. 

Have a nice day, see you soon!Rand