Hello traders, and welcome to Tuesday. Today’s economic calendar is notably light, with no major Tier 1 data on the schedule. The only notable release is the CB Consumer Confidence report expected at 102.7, which will be out at the end of the European session, but it is unlikely to be a major market mover.
Despite the quiet calendar, there are still significant developments on the market, especially with Bitcoin. Currently, Bitcoin is testing a crucial support level at $91,600, a level that has been pivotal since November 2024. A daily close below this support would be a strong sell signal, indicating a potential bearish continuation. Conversely, a sharp reversal from this level could provide a buying opportunity, signaling a successful defense by the bulls. Today is a crucial day for Bitcoin, as the price action around this key support will determine the next major move.
Elsewhere, the European session has started on a negative note, with American indices struggling, reflecting a lack of bullish momentum. European indices are performing slightly better, but the overall sentiment is cautiously bearish as investors remain hesitant.
On the currency market, there is a visible weakness in the Antipodean currencies, with both the New Zealand Dollar (NZD) and the Australian Dollar (AUD) showing losses. Additionally, the Japanese Yen is gaining significantly, reflecting a flight to safety as market uncertainty persists.
In the commodities market, oil is attempting a modest recovery after a very negative session on Friday, followed by a minor bullish reversal on Monday. Today, buyers are trying to regain lost ground, but the momentum is weak, and it may take more time to reverse the sharp decline from last week.
Meanwhile, metals are struggling, with gold and silver showing weakness this week, reflecting a lack of demand for safe-haven assets.
Today is expected to be relatively quiet, but the focus remains on Bitcoin’s key support level and weak indices performance. Attractions are likely to come tomorrow with the Nvidia earnings report, which will be published after the U.S. market closes. This could set the tone for tech stocks in the coming sessions.