BTC's Price at 18-Month Low; Atmos Labs Prepares for P2E Metaverse

Chart of the Day

The broader crypto market took a dive on Monday alongside U.S. stocks, which plunged deep into the bearish territory. Concerns over even more drastic tightening measures intensified with the talk of a 75bps hike at the FOMC meeting this coming Wednesday. The Celsius liquidity crunch piled on to the massive disappointment for the crypto market, which accelerated BTC's price drop to an 18-month low. The largest cryptocurrency by market cap is currently below the $22k handle and the 100 hour moving average after shedding 14.5% of its market value in the last 24 hours. A bearish trend line with a resistance level near $22.1k is taking shape on BTC's hourly chart, a level that must be defended to avoid further losses.

The swift decline below the $25k handle could be attributed to the lack of on-chain coin volume as price walls between $20k and $27k, a region of potentially high volatility and little support. Other on-chain metrics reflect a deterioration of fundamentals. For one, the Realised Value to Transaction Volume (RVT) ratio, a metric that evaluates the network's daily utilisation to its intrinsic value, suggests that the network valuation is 80 times larger than the daily value settled. This indicates that on-chain activities have been much muted, which is typical of an extended bearish cycle. However, with the Market Value to Realised Value (MVRV) now below 0.97, the lowest point since the liquidity crunch in March 2020, traders are presented with a great buying opportunity.

In a similar vein, ETH is now trading near $1,200 after posting a 12.4% decrease during the same period. Pressure from the bearish investors would likely push the price of ETH further down to test support at the $1,000 support zone. Meanwhile, most major altcoins are still deep in the red, with TRX leading the downward spiral on a double-digit percentage loss. 

Talk of the Town

Atmos Labs has raised $11 million in a seed funding round with aims to develop a "play and earn" metaverse. Atmos will be introducing the concept of Metaverse-Native Sports, and seeks to "deliver AAA-quality gameplay and rich narratives" that have not been commonly seen in metaverse gaming. Its first game will be ExoGP, a "Formula 1-meets-flight" racing game that offers gears in the forms of NFTs. The funding round was led by Sfermion, an investor focused on NFTs. He was also joined by British hedge fund billionaire Alan Howard and many other notable names in the industry.