Bitcoin is holding around $79,000, down about 1.2% over the last 24 hours, as traders took profits after the largest cryptocurrency rallied 23% in seven days. The wider CoinDesk 20 (CD20) index fell 2.1% over the last 24 hours.
Underlying demand, nevertheless, remains firm. U.S.-listed spot bitcoin ETFs took in $314 million on Tuesday in a seventh straight day of net inflows, bringing the month-to-date total to over $3 billion, according to SoSoValue data.
Still, the speed of the rally is starting to leave the market exposed. Alternative.me’s Crypto Fear & Greed Index jumped to 74 from 27 less than two weeks earlier before easing back.
Pedro Fontes, a research analyst at Mercado Bitcoin, identified $82,000 and $85,000 as the next resistance levels and said some consolidation would be natural after such a vertical advance.
Gold, meanwhile, is little changed near $4,630 an ounce after reaching a three-month high. Asian equities advanced and U.S. stock futures are little changed ahead of inflation data and Nvidia’s · results coming after the market closes. Oil dropped for a third consecutive session.