Today at the Asian trading session, the first digital currency bitcoin broke through the strategic level of $6000 and continued to decline. The next supportive level is a mark in the $5600 area.

Over the past 24 hours, the cryptocurrency market has lost more than $10 billion; the total capitalization of the market has dropped to $233 billion. Today Bitcoin capitalization amounted $100 billion, which is 3.42% less than the volume of yesterday's session.

Major cryptocurrencies such as bitcoin, ethereum, ripple, and others, continued to decline and fell from 3% to 5%.

Earlier, a representative of a crypto fund said that the next medium-term rally could be formed on the arrival of new institutional investors in late 2018. Despite the bearish trend, analysts and investors are still optimistic about the future of the crypto market. However, if a move under $6000 level is confirmed this will be a very negative signal for the entire digital market.

FortFS

Today, on the background of equity markets attempts to consolidate and play back some of the previous losses, the global cryptocurrency market continues to trade under pressure at low volumes. Shortly before the start of the American trading session, bitcoin is trading in close proximity to the strategic level of $6000.

Cryptocurrency market traders were encouraged by the recent Facebook decision to cancel the ban on cryptocurrencies ads. It was expected that this positive news would have a positive impact on the bitcoin price. However, the market completely ignored this information. Although it is reported that cryptocurrency advertising is allowed, Facebook confirmed that ICO advertising is still banned.

Given that even Facebook did not not affect the cryptocurrency market in any way, in the short term, the market left to itself will continue to trade under the influence of technical factors.

If the market volume of major crypto assets does not increase in coming trading sessions, it is unlikely that the market initiates a major corrective growth impulse and is likely to continue sideway sluggish consolidation near the $6000 strategic mark.

FortFS

On Tuesday сryptocurrency market decline continued. Yesterday bitcoin fell below the psychological mark of $6000 for the first time since February 2018. The market made new lows of the day at $5949, and the day close occurred at $6013.

Market visited these levels just before the historic rally, when price briefly entered the $20000 zone for one digital coin.

Today, trading began with the growth of the digital currency. The market recovered quite quickly from yesterday's losses and was able to grow to the level of the first tactical resistance – the area $6245 - $6260. Thus, the market is now in a narrow consolidation channel: $6245 - $6000.

The further development of the situation is difficult to predict, or rather, there is very little chance that the market will move up from here in the coming trading days. Of course, the current market levels are unique for long-term entry, there is also some certainty that the market will not fall below the current support zone. However, until the volumes start to increase it is premature to speak the medium-term downward trend. Today, the capitalization of the entire digital market amounted to 253 billion, just above the support level of $250 billion. The capitalization of the bitcoin was 106 billion dollars 572 million.

FortFS

The price of the ethereum, the world's second-largest cryptocurrency in terms of market capitalization, as well as the most widely used blockchain network, fell to the record low levels, since April 2018. Recall that as early as Friday June 22, the crypto currency traded at levels above the round of $500 mark.

Today, shortly before the start of the American trading session, ethereum is trading at $440 per coin. Over the past 24 hours, the volatility of this digital market has increased dramatically, but all attempts to move up to growth have not been consistent, and the bears have again seized the initiative.

Other major cryptocurrencies are also traded in the red, after some attempt to recover and play out early losses, massive sales in the digital market continue. Bitcoin moved to a sharp decline on Friday on the background of strong sales. Today, pressure has intensified, and the digital currency continues to update the lows in the region of local support - the $6000 zone.

Meanwhile, the total market capitalization for all cryptocurrencies is just over $250 billion, which is the lowest level since April of this year.

FortFS

On Friday, bitcoin prices fell sharply losing more than 5% as news broke that Japan regulator ordered several major cryptocurrency exchanges to take additional measures to combat money laundering.

The beginning of the Asian trading session on Friday bitcoin met at around $6700. The order of the Japanese Financial Services Agency resulted in the termination of opening of new trading accounts on several Japanese stock exchanges and triggered massive sale-off that brought market to $6440 just for an hour.

In the short term, this reduces the capital inflow to the cryptocurrency market, which does not have stable volumes for the past two months.

Bitcoin capitalization has fallen by about 50 percent since January, according to CoinMarketCap.com. In addition, the trading in Japanese yen amounts more than 60 percent of the daily bitcoin volume. On this background, we can expect an increase in negative trends in the digital market.

Japanese and Korean regulators are in the forefront of regulating the digital market. Japan is the first country that adopted the national system for regulating in crypto trading after a series of high-profile scandals involving the largest cryptocurrency exchanges and the loss of client funds.

Shortly before the start of the American trading session, the first digital currency is trading at around $6200. The second-largest digital currency of the market - ethereum is declining even more rapidly, losing over 8% per day, trading at $475 per coin.

FortFS

In order for Bitcoin to be considered a valid currency or a means of value store, the cryptocurrency market should grow at a steady pace. Sudden bursts of growth and market up and down cycles will only confirm the view that Bitcoin does not fit into the role of real currency or even the role of an asset capable to store value.

While sudden bitcoin gains may bring profit investors who seek higher returns than in traditional markets, this process can also work in the opposite direction, as seen in recent months, bitcoin lost most of its value from its record highs. However, bitcoin has several important key drivers that can bring back life into this market and show that this bearish trend is just a temporary market phase.

For over two weeks now, bitcoin price has been steadily trading in the strategic zone of $6000 - $6300. We have already written about the importance of this region for entire crypto market, but you cannot overestimate it in current conditions, it was this zone where all the significant upward impulses originated, including December 2017 historical rally.

The local minimum was marked at $6077 on June 13, and since then the market has frozen in consolidation. This consolidation itself is already a positive sign, as it seems that market is accumulating forces for an upward release. Of course, this may take more than a week, but most importantly, the market has found logical bottom and volumes are slowly starting to grow. Over the past 24 hours, the market capitalization has not changed much, remaining at the level of 282-285 billion dollars.

Shortly ahead of US session start, the market is trading at $6690. Some return of demand for equity puts pressure on the cryptocurrency. If we talk about the target of the nearest growth, then technical analysis indicates the nearest mark in the region is $7630.

In addition to technical considerations, the bitcoin price may move to growth based on several key drivers that can help increase the capitalization of the cryptocurrency markets. While the price of major cryptos has shown a significant decline, long-term investment in the main cryptocurrency is now much safer and attractive than in December 2017, when the price was at record highs. Despite global mass media blockade of cryptos taking place these days more and more people understand that Blockchain technology is a long-run promising technology that is still waiting for its time.

FortFS

Over the last trading session, the volume of the global cryptocurrency market increased by $16 billion from 275 to 291. A kind of tendency that is now a rarity for the digital market. On this background, the main cryptocurrencies, including bitcoin, ethereum and ripple, moved to a short-term upward rally.

Bitcoin price recovered from $6275 up to $6752, breaking the downward strategic trend line since December 2017, when bitcoin reached its historic height at around $20000.

It is still too early to conclude that a positive sentiment is returning to the crypto market, given that the market is still close to a local minimum at about $6000 for one digital coin. If bitcoin really keeps its momentum and strengthens its positive dynamics in the coming trading days fixing above $6600, a further move to the $7000 mark is quite possible.

Bitcoin remained relatively stable in the $6000 - $6300 zone for two weeks on a background of low volume. It is characteristic that all the recent bitcoin rally started from this region - $6000 - $6300.

At the same time, technical indicators and moving averages demonstrate downward signals. If bitcoin fails to hold above $6400 in the coming days, it is likely that the digital currency will continue the downward trend.

It seems that this optimistic and bullish sentiment in bitcoin coincided with the general negative market sentiment, which is now present on the world equity markets. The last bitcoin uprising momentum was amid the massive sale-off in the stocks and the investors run from risk. Given this consideration, we see that bitcoin gains at times of market bearish trend and losses when equites are gaining and overall market sentiment is positive. This tendency is typical for safe-haven assets.

FortFS

Over the past 24 hours, the capitalization of the cryptocurrency market declined by $7 billion from $282 billion to $275 billion. The crypto market's capitalization is in the immediate vicinity of the annual minimum, recalling that capitalization reached a low at the beginning of April 2018 and amounted 252 billion dollars.

Over the past 24 hours, most of the major digital currencies, including bitcoin, fell by 1-2 percent, but did not show any significant changes in the technical picture in terms of further market prospects. During the last seven days, bitcoin is trading in a narrow range of $6200 - $6600, without taking active attempts to get out of consolidation on minimal volumes.

Bitcoin price has been falling from the level of $6640. Shortly before Wall-Street Monday's trading session starts, bitcoin is trading at $6395.

Currently, 50, 100 and 200 moving averages show that bears completely control the market; there are risks of further decline. If bitcoin falls below $6200 in the nearest trading sessions, the drop below the $6000 mark is inevitable. However, if cryptocurrency sees a sharp increase in volume and in the short term grows to $6600, then it can form a rally to the level of $7500.

There were unconfirmed rumors In South Korea that Bithumb, the world's largest cryptocurrency exchange, survived a hacker attack last weekend. It is likely to be reported in the near future whether the attempt was to successful or not.

FortFS

Bitcoin price fell to the lowest point since February 6 on Wednesday and reached the level of $6333 USD. The decline intensified on Wednesday and led the price of the digital currency lower to the yearly lows near the strategic level of $6395. Looks like the struggle for this level will growth in the market, as the development of the situation with this level will indicate the medium-term future trend for the digital market. So far we see a complete dominance of negative tendency.

After a massive market sale-off on last Sunday, when the cryptocurrency market lost more than 40 billion dollars in 24 hours, the decline continued.

It is characteristic that this is the third drop of the market in the region from $6300 - $6000 just in 2018. It is also interesting that the market touched this level in 2017 before the most impressive rally in the history of the crypto currency market, which led the market to $20000.

Market capitalization continues to decline. Today, in the middle of the European session, the market capitalization of the cryptocurrency market amounted to 250 billion dollars. Market capitalization has moved below $300 billion for the first time since April 2018.

On Tuesday, Ethereum fell below the key mark of $500, while Litecoin moved lower psychological level $100 and is trading at $88. Levels that we have not seen since early December 2017.

FortFS

The cryptocurrency market recorded a decline of more than $25 billion in almost an hour, when on Sunday, June 10, a sharp bitcoin sale-off was recorded in the thin market. Last Friday's trading ended at $7625 for one digital coin, while the Asian session on Monday met the market at $6700. We can search for the reason of the decline in technical factors or explain the current decline due to near market factors, but it seems that the market has dropped for a simple reason: a drop in volume and demand.

Since last week, despite some market stability - when for a two weeks quotes were in a tight range, that is something unusual for crypto market, and amid optimistic short and medium-term outlook, bitcoin could not overcome the resistance at $7700. Many indicators, including MACD, moving averages and RSI, demonstrated an optimistic short-term trend, and in general markets lived positive expectations.

However, there is always one simple rule in the market - if the market can not grow, it will decline sooner or later. In the case of bitcoin, we mentioned one alarming detail: the daily trading volume of bitcoin made up only half of its volume in late April and early May 2018. Demand from investors has decreased significantly and this led to a minimum volume of trading.

Most traders and analysts explain the short-term price drop by hacking into the Coinrail exchange in South Korea, which led to a loss of $40 million. Coinrail is a small-scale cryptocurrency exchange in South Korea. The majority of traders use three crypto exchange Bithumb, UPbit and Korbit, because they are more reliable than small crypto-exchanges.

However, it is premature to claim that the break-in of Coinrail resulted in the price dropping by 10 percent per day, Coinrail accounts just for 5 percent of South Korea trading volumes. In general, this is less than 0.1 percent of the global volume of trade in crypto-currencies.

FortFS

Bitcoin market was squeezed in an extremely narrow range and despite all attempts to get out - the price is still in the range of 7020 - 7700. This situation persists for more than two weeks as of Friday, June 8, and the level of volatility is at the minimum values ​​for 8 months.

In traditional markets, this situation is resolved sooner or later by a strong volatility outburst and market impulse. Throughout the week, we expected the situation on the bitcoin market to be very close to this, given all the technical indicators. However, at the beginning of the US trading session on Friday, bitcoin again pulls lower from the already strategic resistance 7700 - the only mark in these days, a breakthrough of which can bring life back to the market in the form of volatility and trading volume. According to the website coinmarketcap.com, the market capitalization for today is 338 billion dollars.

Since May 24, the main cryptocurrency has been traded within the tight range of 7020 - 7700 dollars. During all these, trading sessions, volatility fell and the range narrowed. Over the past 36 hours, the price has barely moved, sales and market movements intensified only today with the arrival of European traders.

The daily volatility, which is calculated as the spread between the daily highs and the daily low, fell to $107 on Thursday, the lowest level since October 2, 2017, which is 86 percent lower compared to 2018, when the average volatility was $795.

At the time of writing, shortly before the start of the American main trading session, the bitcoin prices were $7552, the maximum if the day is at 7672.

All week long bitcoin looked set up for a major upward move. Now the inability of the bulls to overcome the resistance at 7700 dollars left the doors open for the bears. At the same time, an upward support trend line supports buyers and does not let the price lower.

A move above $7700 will signal a bullish breakout and set the tone for the next resistance test at 8040. On the other hand, a break below $7020 would mean a bearish local victory. In this case, bitcoin may fall below $6000 (the February minimum).

FortFS

GOLD

Gold futures traded in red territory on Friday, despite market sentiment continued under pressure ahead of a meeting between President Donald Trump and a group of foreign leaders, including the Prime Minister of Canada and the French President.

On the Comex division of the New York Mercantile Exchange, gold futures were down 0.05 percent at $1,302.30 a troy ounce as of 10:00 GMT.

Weighing on the metal was a rebound in the dollar’s position earlier this morning. The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was up 0.26 percent at 93.62 by the time of this writing.

Gold is sensitive to moves in the US dollar. As the metal is denominated in US dollars, a stronger currency makes it more expensive for investors holding other currencies.

The American currency is supported by rising expectations that the Federal Open Market Committee will raise interest rates by 25 basis points during its next meeting.

The US regular will gather next week to announce its interest rate decision. At the moment, the benchmark rate stands in a range between 1.50 percent and 1.75 percent. If the Federal Reserve moves forward with the second rate adjustment of 2018, the dollar is likely to extend gains in the short term.

Economic reports and labor market conditions have been solid in the last couple of months, suggesting the Fed should keep on track with its monetary normalisation process. May report on unemployment and nonfarm payrolls boosted confidence among investors.

No major economic data is scheduled ahead in the day.

OIL

Crude oil futures were trading lower in early hours on Friday, with both major contracts down based on fears that the Organisation for the Petroleum Exporting Countries (OPEC) and its allies will soon decide to partially halt its production agreement.

The US West Texas Intermediate crude contracts eased 0.39 percent to $65.69 per barrel as of 10:00 GMT. Meanwhile, Brent futures were up 0.25 percent at $76.92 a barrel.

According to Reuters, Algeria’s oil minister Mustapha Guitouni said the cartel should be focused on balancing the market rather than on putting an end to its current deal.

In other news, the African nation also announce a revision of its energy law, which is expected to be ready by the beginning of 2019. The revision is necessary to attract new investors into the market.

OPEC and key allies such as Russia are gathering in Vienna on June 22 to discuss a potential solution for the ongoing output crisis weighing on Venezuela and Iran. Both nations have been heavily under pressure following threats of economic sanctions by the Trump administration.

The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was up 0.26 percent at 93.62 by the time of this writing.

Earlier this week, the US Energy Information Administration said that crude inventories rose by 2.072 million barrels following an increase in local production up to 10.8 million barrels per day.

Ahead in today’s session, players will be looking at a fresh reading on Baker Hughes’ oil rig count at 18:00 GMT.

FortFS

The dollar was trading down 0.31 percent vs the yen at 109.35 as of 10:00 GMT on Friday, as the dollar recovered slightly on the back of Fed rate hikes expectations.

The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was up 0.26 percent at 93.62 by the time of this writing.

The American currency is supported by rising expectations that the Federal Open Market Committee will raise interest rates by 25 basis points during its next meeting.

The US regular will gather next week to announce its interest rate decision. At the moment, the benchmark rate stands in a range between 1.50 percent and 1.75 percent. If the Federal Reserve moves forward with the second rate adjustment of 2018, the dollar is likely to extend gains in the short term.

Economic reports and labor market conditions have been solid in the last couple of months, suggesting the Fed should keep on track with its monetary normalisation process. May report on unemployment and nonfarm payrolls boosted confidence among investors.

According to CME Group’s FedWatch tool, market participants are weighing in a 93.8 percent probability for a rate move in the June meeting.

For the moment, and considering the empty economic agenda, we expect the USDJPY pair to remain on a narrow range until next week. Technical analysis indicates that the 110.00 mark hasn’t worked as a solid support and it’s now again operating as a resistance. Technical indicators present a balanced scenario.

No major economic data is scheduled ahead in the day.

FortFS

Monday

Europe: Britain’s Industrial and Manufacturing Production for April will come at 08:30 GMT, along with the latest trade balance figures.

Asia: Japan’s BSI Large Manufacturing Conditions survey for the second quarter 2018 will be available as of 23:50 GMT.

Tuesday

Asia: The Nippon Tertiary Industry Activity index is up at 04:30 GMT.

Europe: Traders will look at the UK Average Earnings and Claimant Count Change, as well as to the unemployment rate for April at 08:30 GMT. Later on, focus will shift to Germany and the Eurozone, where ZEW Economic Sentiment are due as of 09:00 GMT.

United States: The Organisation for the Petroleum Exporting Countries will release its monthly report on the oil market at 11:20 GMT. However, attention will be mainly directed to the Core Consumer Price Index at 12:30 GMT, and the Federal Budget Balance for May at 18:00 GMT.

Wednesday

Europe: UK Consumer Price and Producer Price Indexes for May are scheduled for publishing as of 08:30 GMT. Later on, EU’s industrial production comes at 09:00 GMT.

United States: The Producer Price Index for May is up at 12:30 GMT. However, attention will be mainly pointing at the FOMC Statement at 18:00 GMT. The Federal Reserve is expected to raise by 25 basis points its benchmark interest rate. A press conference is scheduled half an hour after the policy decision.

Thursday

Asia: China’s fixed asset investment and industrial production figures for May are up at 02:00 GMT. In Japan, industrial production is expected at 04:30 GMT.

Europe: Germany’s CPI for May is due at 06:00 GMT, followed by UK Retail Sales at 08:30 GMT and EU’s interest rate decision as of 11:45 GMT. The ECB is expected to provide guidance on future policy movements. The bank’s press conference is scheduled at 12:30 GMT.

United States: Retail Sales for May, the Export/Import Price Index and a fresh look at initial jobless claims will come together at 12:30 GMT. Business inventories for April are set at 14:00 GMT.

Friday

Asia: The Bank of Japan will unveil its latest monetary policy decision in early morning hours, with no monetary policy changes expected.

Europe: The Consumer Price Index for May, Q1 wages and trade balance for April in the EU are all up at 09:00 GMT.

United States: The New York Empire State Manufacturing Index will be out as of 12:30 GMT. The industrial production for May comes at 13:15 GMT and Michigan University will present its consumer sentiment for June at 14:00 GMT.

FortFS

Markets in Asia were mostly lower on Friday, as investors sentiment remained under pressure in the light of new developments in relation to US trade agreements.

The United States has opted for a tough posture on trade, even with some of its key allies, including Canada, Mexico and the European Union. This subject is expected to be discussed during this year’s G7 summit.

President Donald Trump is set to meet his counterparts from the UK, Canada, Japan, Italy, Germany and France. The G7 event takes place in Quebec.

Trump tweeted on Thursday: “Please tell Prime Minister Trudeau and President Macron that they are charging the U.S. massive tariffs and create non-monetary barriers. The EU trade surplus with the U.S. is $151 Billion, and Canada keeps our farmers and others out. Look forward to seeing them tomorrow.”

Trump also criticized Prime Minister Trudeau for complaining about his tariffs while Canada continues to charge the US “up to 300% on dairy — hurting our Farmers, killing our Agriculture!”

Trump’s rhetoric was not digested positively by other leaders. French President Macron threatened to exclude the US from the final statement release at the end of the meeting.

"The American President may not mind being isolated, but neither do we mind signing a 6 country agreement if need be. Because these 6 countries represent values, they represent an economic market which has the weight of history behind it and which is now a true international force," the French leader tweeted.

In Japan, the Nikkei traded close the flat line, ending 0.53 percent lower at 22,701.50 points, with banking and consumer names among best performers. In Australia, the S&P/ASX 200 struggled for direction during the session, closing at 6,045.20 points, down 0.20 percent.

South Korea’s Kospi benchmark posted a 0.77 percent loss, with automakers and technology easing. Samsung Electronics was down more than one percent.

Hong Kong's Hang Seng Index also traded into red territory by the time of this writing. Meanwhile, China’s Shanghai composite was down 1.36 percent to 3067.15 points.

On the data front, China’s trade balance for May came in below expectations at $24.92 billion, while analysts forecasted a $31.90 billion reading. Exports and imports grew by 12.6 and 26.0 percent, surpassing in both cases estimations of 10.0 and 18.7 percent respectively.

FortFS

The European Central Bank is gathering next week to conduct a new monetary policy meeting. While investors always keep an eye on these events, in recent years there hasn’t been interesting news to weigh in. But so it seems that is about to change.

The European regulator has maintained a soft stance on monetary policy, providing continuous stimulus to the bloc’s economy with its massive bond-buying programme.

ECB President Mario Draghi has defended the need to keep stimulus running in many different occasions, but recent economic data makes it clear that the EU has recovered well enough to justify policy changes, especially concerning stimulus.

Earlier this year, the European Central Bank opted for a modest path as ongoing political crisis popped out in Germany, Italy and Spain. All three situations were seen as potential threats to the unity of the European Community and sources of market instability.

On Wednesday, ECB Chief Economist Peter Praet took investors by surprise with an unexpected message: the bank could soon cut its €30 billion-a-month bond-buying programme.

The ECB’s signal comes at a sensitive time in European politics. Italy’s new populist government has spooked investors with plans to allow more government spending to loosen the rules governing the currency union, which could trigger a clash with other governments, notably Germany’s.

Speaking in Berlin, Mr. Praet said the ECB was increasingly confident that inflation would soon rise toward the bank’s target of just below 2%—a target it has missed for years.

“Next week, the governing council will have to assess whether progress so far has been sufficient to warrant a gradual unwinding of our net [bond] purchases,” Mr. Praet said.

The comments surprised investors, many of whom hadn’t expected a decision on the future of ECB stimulus until July.

Mr. Praet’s words were the last scheduled remarks by an ECB executive-board member before a blackout period ahead of the bank’s policy meeting in Riga, Latvia, on Wednesday and Thursday next week.

The euro jumped almost half a cent against the dollar after Mr. Praet’s comments were published, while eurozone government bonds sank. Italian bonds were hit particularly hard as investors predicted the exit of a giant buyer.

Mr. Praet’s comments are significant because the Belgian official is responsible for framing the ECB’s policies and is generally considered one of the “doves” on the bank’s rate-setting committee, meaning he emphasizes growth and employment over low inflation.

Senior ECB officials had signaled recently they might need more time to assess the reasons for a recent slowdown in the bloc’s economy. They have also highlighted mounting threats from trade protectionism, which could hit the export-focused eurozone economy hard.

Mr. Praet’s “remarkable” speech “provides further evidence that there is a growing majority within the governing council favoring an end of [bond purchases] by the end of the year,” said Carsten Brzeski, an economist with ING in Frankfurt.

Other top ECB officials—notably German central bank President Jens Weidmann and executive-board member Sabine Lautenschläger —have signaled that the bank should end its bond purchases this year. The purchases, known as quantitative easing, are currently due to run at €30 billion a month at least through September.

In a video message delivered in Berlin on Wednesday, Mr. Weidmann said he found it “plausible” that QE would end in 2018.

ECB officials have indicated for months that they are preparing to phase out QE as the region’s economy accelerates and unemployment falls.

However, recent data and business surveys suggested that the economy has slowed this year. ECB officials attribute that partly to a natural easing of growth from a very fast pace, as well as temporary factors such as poor weather and an outbreak of influenza.

Still, underlying inflation remains weak and ECB officials have said they want to see further economic data before making a decision. The bank will next week publish its quarterly forecasts for growth and inflation, which it often uses as the basis for policy decisions.

“It seems that the majority of the ECB considers the series of weaker hard macro data as a soft patch rather than the start of a downswing of the eurozone recovery,” Mr. Brzeski said.

The Italian government’s spending plans, coupled with concerns Italy might ultimately leave the eurozone, have pushed up borrowing costs for the nation’s highly-indebted government, as well as those of other southern European countries. Any crisis in Italy could undercut eurozone growth and potentially require fresh stimulus from Frankfurt.

However, analysts suggested the ECB might want to keep its policy plans on track precisely because of the crisis in Italy.

“The ECB will be very careful not to be seen to hurt or help the Italian government,” said Marcel Fratzscher, president of German economic think tank DIW.

Some ECB officials—notably Mr. Weidmann—have long warned the bank could come under pressure to extend its bond purchases to prevent a jump in borrowing costs for the region’s highly indebted governments, which could undermine the economic recovery.

“Closing the QE chapter a week after populists come to power in Rome signals the ECB’s unwillingness to allow its monetary policy to be ‘taken hostage’,” analysts at Bank of America Merrill Lynch said in a note.

FortFS

Markets in Asia edged higher on Thursday, following a strong lead from Wall Street based on easing commercial tensions between the United States and its key partners.

In Japan, the Nikkei 225 rose 0.91 percent to close at 22,831.50, with banking and financial institutions offering solid support to the benchmark. Automakers were also up in the session.

Meanwhile, Hong Kong's Hang Seng Index was trading 0.75 percent higher by the time of this writing, boosted by heavyweight financials. Mainland Shanghai composite was down 0.20 percent, and Shenzhen composite eased 0.49 percent.

South Korean markets reopened after a national holiday and the Kospi closed 0.69 percent into green territory, also finding support in the banking sector. The technology sector, however, was down with Samsung Electronics falling nearly one and a half percent.

Australia's S&P/ASX 200 gained 0.53 percent to end the session at 6,057.30 points. Mining giants such as Rio Tinto and BHP extended gains, rising above two percent.

Overnight, market participants priced in the possibility of the European Central Bank reducing its current volume of month bond purchases, as suggested by ECB Chief Economist Peter Praet.

No relevant economic data was released in Asia.

The Dow Jones industrial average closed up 1.4 percent, or 346.41 points, at 25,146.39, crossing the 25,000 barrier for the first time since mid-March.

Economic calendar:

Europe: Germany factory orders for April are up at 06:00 GMT, followed by UK Halifax House Price Index for May at 07:30 GMT. The Eurozone will also present a fresh estimation on its first quarter GDP, with a quarterly advance of 0.6 percent seen.

Asia: Japan’s current account for April and a fresh reading on the first quarter Gross Domestic Product are scheduled for release at 23:50 GMT.

FortFS

Yesterday news broke that the Supreme Court of South Korea decided to consider bitcoin a legally recognized valuable asset. The resolution occurred on May 30, 2018. Perhaps this decision of the Korean authorities was caused not by the desire to assign legal status to digital currency, but to create conditions for the confiscation of digital assets in case of using them in cybercrimes and distribution of prohibited content. The widespread of such precedents in recent times is great.

Korean legislation states that valuable assets include cash, deposits, shares and other forms of tangible and intangible objects that have a standard value. According to the decision of the Court , now bitcoin is classified as an intangible digital asset in the form of crypto files, it is traded on the exchange and can be used to accumulate profit and to make transactions.

This is the first such legal precedent, as for the first time in history the digital currency has received the status of a legal asset. This gives digital assets an increase in legitimacy. At the same time, South Korea is also engaged in the legalization and regulation of initial monetary offers (ICO). Recall that in September of the last year, there was implemented an internal ban on ICO in South Korea, which is still in force.

If we turn to the technical picture of the market, bitcoin price continues to consolidate in a narrow range of $7020- $7700, in which the market has been trading for two weeks. Yesterday, the market pushed off from the level of $7325 and was able to show positive dynamics. It is possible that, given the lack of positive news, it was Supreme Court decision news that supported the market and formed a positive impulse. So far, the market sentiment points to the fact that in the coming days there will be an upward impulse and will finally see the capture of the resistance level around $7700. If bulls initiative is supported by the incoming bitcoin volume, the market will be able to test the mark of $8100.

FortFS

GOLD

Gold futures were down in Asian hours on Wednesday despite the greenback once again moved below the psychological level of 94 points.

On the Comex division of the New York Mercantile Exchange, gold futures were down 0.10 percent at $1,300.90 a troy ounce as of 10:10 GMT.

The dollar remains under pressure as commercial tensions between the United States and key allies such as Mexico and Canada continue to weigh on sentiment.

On Tuesday, ABC News reported that US Treasury Secretary Steven Mnuchin has urged President Donald Trump to exempt Canada from import tariffs on steep steel and aluminum.

According to sources, Mnuchin introduced this idea to the President during a meeting of the administration’s senior economic policymakers, including director of the National Economic Council Larry Kudlow, Commerce Secretary Wilbur Ross, Trade advisor Peter Navarro, trade representative Robert Lighthizer and chief of staff John Kelly.

The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was down 0.14 percent at 93.74 by the time of this writing.

Gold is sensitive to moves in the US dollar. As the metal is denominated in US dollars, a stronger currency makes it more expensive for investors holding other currencies.

Ahead in today’s session, traders will keep an eye on the following releases: US Q1 nonfarm productivity, unit labor costs and the trade balance for Apr are all coming together at 12:30 GMT.

OIL

US crude contracts were up in early trading hours on Wednesday following an industry report that showed a reduction in local crude supplies.

The US West Texas Intermediate crude contracts eased 0.27 percent to $65.34 per barrel as of 10:10 GMT. Meanwhile, Brent futures were up 0.25 percent at $75.57 a barrel.

Overnight, the American Petroleum Institute estimated a 2-million-barrel decline in crude stockpiles for the week ended June 1, compared to an expected fall of 1.8 million barrels.

The report also showed gasoline supplies rising by more than 3.8 million barrels, while analysts had forecasted a 587,000-barrel gain.

On the other hand, distillate products eased by 871,000 barrels, against expectations for a 784,000-barrel increase, latest figures revealed.

Ahead in today’s session, market participants will keep an eye on official inventories by the US Energy Information Administration as of 14:30 GMT.

On Tuesday, Russian Energy Minister Alexander Novak said OPEC and non-OPEC countries will decide on how to adjust the current agreement on oil output cuts depending on demand levels.

"We have to look into the situation which has panned out on the market today, from the point of view of the volume cuts, inventories decline, shortages on the market, and to adjust the figures," Novak said.

"And to look into the possibility of the adjustment of the cuts by taking into account demand," he added.

Market sentiment on crude remained negative, as participants continued to weigh the possibility of higher production levels by OPEC.

The oil cartel and its allies will gather in Vienna on June 22 to decide whether it’s time to halt cuts.

FortFS

The dollar was trading 0.25 percent higher vs the yen at 110.05 as of 10:05 GMT on Wednesday, despite the dollar was below the 94 mark.

The dollar remains under pressure as commercial tensions between the United States and key allies such as Mexico and Canada continue to weigh on sentiment.

On Tuesday, ABC News reported that US Treasury Secretary Steven Mnuchin has urged President Donald Trump to exempt Canada from import tariffs on steep steel and aluminum.

According to sources, Mnuchin introduced this idea to the President during a meeting of the administration’s senior economic policymakers, including director of the National Economic Council Larry Kudlow, Commerce Secretary Wilbur Ross, Trade advisor Peter Navarro, trade representative Robert Lighthizer and chief of staff John Kelly.

The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was down 0.14 percent at 93.74 by the time of this writing.

Ahead in today’s session, traders will keep an eye on the following releases: US Q1 nonfarm productivity, unit labor costs and the trade balance for Apr are all coming together at 12:30 GMT.

As we forecasted in the previous session, the pair has broken above the 110.00 level. Now traders will keep an eye on the dollar’s dynamic, which depends basically on politics.

A consolidation above the 110.00 mark will indicate an opportunity for bulls to extend gains up to 111.00 and 112.00 in the medium / long run.

FortFS

Asian markets were mostly mixed on Wednesday as traders looked ahead to a batch of fresh economic reports later in the session.

In Japan, the Nikkei 225 closed in green territory at 22,620.5 points, adding 0.36 percent. Energy and technology names were among the best performing sectors. The broader Topix grew 0.15 percent.

Meanwhile, China’s Shanghai composite was lower 0.05 and the Shenzhen up 0.23 percent. By the time this writing, Hong Kong’s Hang Seng benchmark was 0.81 percent higher.

In Australia, the S&P/ASX200 gained 0.5 percent to close midweek session at 6,025.1 points. Resources and oil-related stocks pushed higher. Mining giants Rio Tinto and BHP added about two percent in average, while the country’s big banks turned lower.

South Korean markets remained close on Wednesday due to a national holiday.

In the United States, the Nasdaq composite ended at an all-time peak on Tuesday on the back of Netflix and Amazon, which rose 1.1 and 1.9 percent respectively. The benchmark closed at 7,637.86.

However, the other two indexes were not so lucky. The S&P 500 gained only 0.1 percent to 2,748.79, while the Dow Jones industrial average was down 13.71 points at 24,799.98.

Market sentiment remained under pressure in the light of increasing commercial tension between the United States and some key allies, such as Canada, Mexico and the European Union.

On Tuesday, White House economic advisor Larry Kudlow said President Trump was considering separate negotiations with Canada and Mexico, although it’s not clear how that plays for NAFTA.

Regarding the ongoing dispute between Washington and Beijing, the latest party has allegedly agreed to buy nearly $70 billion in US agriculture and energy production in return for lifting import tariffs.

Economic calendar:

United States: Q1 nonfarm productivity, unit labor costs and the trade balance for April are all coming together at 12:30 GMT.

FortFS

Bitcoin was trading at nearly $20,000 per unit, everyone wanted to jump into the cryptocurrency market and CME and Cboe Global Markets had just announced the launch of bitcoin futures. It was the end of 2017 and the excitement seemed eternal. But most people were wrong.

Once crypto futures were launched on CME and Cboe, Bitcoin prices went down the road very quickly, falling from historic highs to nearly $7,000. Some analysts believe this movement was a mere natural reaction to the futures presentation, which was monitored by the US regulator.

CME and Cboe were not the only ones profiting from this new category of futures. The Intercontinental Exchange (ICE) also presented its crypto futures at the beginning of 2018.

No. That’s simply not all names on the list. There is actually one more to add: Nasdaq. While the stock index hasn’t included cryptocurrency futures for trading, it has been providing technology services to at least four crypto exchanges.

SBI Holdings reported on Monday an agreement between its trading company SBI Japannext and Nasdaq related to cryptocurrency exchange.

SBI Virtual Currencies aims to offer the narrowest spreads out there by relying on Nasdaq’s matching system technology. Nasdaq has been working with SBI Japannext since 2012.

Wait a second! That’s not all Nasdaq has to offer... The New York based company has also provided Gemini - the crypto exchange founded by the Winklevoss twins - with Nasdaq Smarts, which basically serves to monitor unusual trading activity on platforms.

Plans for the future?

Nasdaq is not trying to sell technology as a new focus for its business, but rather as a way to monetize valuable time and experience while experts work on the launch of bitcoin futures.

According to sources related to the matter, Nasdaq could introduce cryptocurrency futures by the second half of this year.

FortFS

GOLD

Gold futures were down in early trading hours on Tuesday as the greenback consolidated its position above the 94 mark.

On the Comex division of the New York Mercantile Exchange, gold futures were down 0.05 percent at $1,296.50 a troy ounce as of 10:00 GMT.

The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was down 0.11 percent at 93.88 by the time of this writing.

Gold is sensitive to moves in the US dollar. As the metal is denominated in US dollars, a stronger currency makes it more expensive for investors holding other currencies.

As no major economic releases are due this week, market participants are closely monitoring geopolitical developments. Yesterday, the White House confirmed a time for the historic summit between US President Donald Trump and North Korean leader Kim Jong Un.

Both leaders are set to meet at 09:00 am in Singapore on June 12. The meeting is seen as a major improvement in international relations and a great opportunity to denuclearise the Korean peninsula.

Gold - one of the world’s most popular safe-haven assets - could experience increasing pressure as investors expect good results out of this encounter. The US dollar, on the other hand, could benefit from this meeting.

Ahead in today’s session, traders will keep an eye on the following releases: Markit Economics and the Institute for Supply Management will unveil their services (also non-manufacturing) PMIs for May at 14:00 GMT. JOLTs job openings for April will be out by the same hour.

OIL

Oil futures recovered in Asian hours on Tuesday despite an increasing US output and expectations of higher production by OPEC.

The US West Texas Intermediate crude contracts rose 0.53 percent to $65.09 per barrel as of 10:00 GMT. Meanwhile, Brent futures were up 0.07 percent at $75.34 a barrel.

Market participants are preparing for the next meeting of the Organization of the Petroleum Exporting Countries (OPEC), which takes place in Vienna on June 22. Members of the cartel and its allies will be discussing whether is a good idea to partially halt output cuts in the light of the US economic sanctions imposed on Iran and Venezuela.

Early rumours pointed out that OPEC and Russia were ready to increase output by 1 million barrels per day. The current agreement stands for a 1.8 million barrels per day reduction and it is expected to finish by the end of 2018.

Market analysts are saying this is nowadays the main driver for oil prices and that it all will come to the decision of OPEC and Russia. That decision will set the market tone and define a direction for months to come.

Last week, oilfield services company Baker Hughes said the total rig count moved to 861 units, adding two to reach its highest level since 2015.

Ahead today, investors await the release of weekly crude estimated by the American Petroleum Institute as of 20:30 GMT. On Wednesday, attention will be directed to official inventories by the US Energy Information Administration at 14:30 GMT.

FortFS

The dollar was trading 0.05 percent lower vs the yen at 109.76 as of 10:00 GMT on Tuesday, with the dollar taking a firmer position across the board, holding about the 94 level.

The US dollar index, which measures the greenback’s strength against a basket of six major competitors, was down 0.11 percent at 93.88 by the time of this writing.

As no major economic releases are due this week, market participants are closely monitoring geopolitical developments. Yesterday, the White House confirmed a time for the historic summit between US President Donald Trump and North Korean leader Kim Jong Un.

Both leaders are set to meet at 09:00 am in Singapore on June 12. The meeting is seen as a major improvement in international relations and a great opportunity to denuclearizing the Korean peninsula.

The yen is seen as a safe-haven currency and therefore, if the meeting sets a framework to achieve peace in the near term, it’s demand could come under pressure. A weaker yen will not necessarily be bad for the Japanese economy, as exporters will certainly benefit in terms of competitiveness.

However, this scenario will open the gates to further gains for the pair, which could possible move above the 110.00 and 111.0 levels.

Ahead in today’s session, traders will keep an eye on the following releases: Markit Economics and the Institute for Supply Management will unveil their services (also non-manufacturing) PMIs for May at 14:00 GMT. JOLTs job openings for April will be out by the same hour.

FortFS

We get it. Bitcoin’s performance has been a little disappointing since the beginning of 2018, especially compared to that $20,000 reached not long ago.

Earlier today, the world’s most famous cryptocurrency was trading at $7402, down 1.15 percent. Bitcoin remains on a difficult spot as bears continue to push prices down and the digital currency has failed several times to consolidate above resistances.

Fine. It’s true. Analysts are not entirely positive about the short term perspective for Bitcoin, but what if we took a wider look at the chart?

Technical analysis shows that Bitcoin might be reaching a bottom soon, which opens the doors to a fruitful recovery ahead. As a potential bounce target, the $10,000-$12,000 range is seen.

“While it is premature to conclude the correction is over, there was a positive technical development this week suggesting the first stage of a three-stage bottoming process is developing,” wrote Rob Sluymer, technical strategist at Fundstrat Global Advisors, to his clients.

Sluymer explained that the three stages of a bottoming include:

1. A deceleration of the downtrend

2. A recovery above the downtrend

3. A reversal of the actual downtrend

According to the chart, Bitcoin’s downtrend has been losing strength and there was a recovery slightly above the downtrend. Now again, the $7,000 support is calling for a bearish attack, but it could be an opportunity to rebounce back to previous levels.

“The 15-day moving average has been a good proxy for trends,” said Sluymer, adding that Bitcoin bulls keep their forecast at $25,000 by the end of this year.

While Sluymer is not going full aboard with the idea of a bullish movement, he thinks reducing the sell positioning might be a good idea for investors.

“We recommend tactical investors/traders begin reducing BTC short positions and begin phasing in long positions”.

FortFS

Asian equity markets were mostly mixed on Tuesday, as some indexes corrected lower following previous session gains despite an improved market sentiment.

Tokyo’s Nikkei 225 closed 0.27 percent into green territory at 22,537.50 points, supported by names from the technology and insurance sectors. The broader Topix, on the other hand, settled 0.02 percent higher at 1,774.96 points, with mining and oil-related stocks pushing to the downside.

In Seoul, the Kospi benchmark was up 0.25 percent, dragged by losses among automakers and banking names. Technology heavyweights were also not supportive, with Samsung Electronics and SK Hynix easing more than half a percent in the session.

In mainland China, the Shanghai composite rose 0.75 percent, while the Shenzhen ended with 1.78 percent gain. The Hang Seng Index was up 0.08 percent by the time of this writing.

On the data front, China’s Caixin services PMI for May came in line with analysts’ expectations for a 52.9 points reading, equal to the previous month.

Sydney’s ASX 200 eased 0.51 percent, with mining and oil industries weighing on the index.

These days are quite empty in terms of major economic news, but traders will keep an eye on the upcoming G-7 summit in Canada scheduled later this week.

Investors are worried about recent commercial developments between the United States and its key allies (the European Union, Canada and Mexico). The Trump administration has announced a series of tariffs on steel and aluminium imports from the mentioned nations.

Economic calendar:

Europe: Germany, the Eurozone and the United Kingdom will present their services PMIs for May at 07:55 GMT, 08:00 GMT and 08:30 GMT, respectively. Attention will also be directed at EU’s retail sales for April at 09:00 GMT.

United States: Markit Economics and the Institute for Supply Management will unveil their services (also non-manufacturing) PMIs for May at 14:00 GMT. JOLTs job openings for April will be out by the same hour.

To check the full economic calendar for this week, click here.

FortFS

The beginning of a new week does not bode well for the digital market, at least if judged by the main digital currency - Bitcoin market chart. Bitcoin price failed to succeed in overcoming the mark above $7755 dollars - the strategic level of resistance, under which the market is traded during the second week. This is not an easy task for Bitcoin, given current market levels, besides there is a descending trend line close to the level, which starts on May 6 at $ 9700. If in the coming trading sessions, bulls will not resume attempts to seize the initiative, supported by the growth in volume, Bitcoin dropping to levels of $6500 will almost inevitably.

Corrective rally from $7020 to $7755 caused some optimism, especially among short-term bulls, as on analytical resources there were talks that the Bitcoin price would recover to $10000 in June. Although the target at $10000 is still in play, another correction is likely to occur in the next few days, but this time downward correction given that the corrective rally from $7040 stopped at $7755, and then Bitcoin fell to $7450 dollars.

June 4 daily candle was to become a major short-term market breakthrough, rising above the monthly downtrend from 6 May and actually creating a bottom at $7020. However, this did not happen, as the closing shorts most likely triggered the latest growth. The market capitalization at the beginning of the American trading session is at the level of $339 billion.

FortFS