Even though Facebook has announced it will relax its ban on crypto ads, the market still struggled to gain a bullish momentum on Tuesday. We actually have had a number of positive coverage in the industry recently, however, the long-term market sentiment remains downward.
This could be attributed to the fact that the hype over cryptocurrencies has long been hammered. In my opinion, that’s a good thing in a long run. Because now the market participants can sit back and analyze the price action and evaluate the tokens with more accuracy.
The fact that Facebook is reversing its ban on crypto ads show that they are now less concerned about high profile scams targeting newbies. While ads about initial coin offerings or binary options are still be prohibited, advertisers can now promote cryptocurrency and related content if they are pre-approved by Facebook.
General Market Price Action
Following the news, the market reaction was generally negative. The biggest loser in top 100 cryptocurrency list was Populous with a 10% decline by the end of the trading day. However, Monaco coin, ranked 95th on the list, was able to surge over 8%, followed by DDD and Cortex, the AI crypto we covered yesterday.
While most major currencies have been relatively correlated in price action, altcoins such as Ethereum appear to be on a clear downtrend.
ETHUSD Below Ichimoku Cloud
As you can see on the daily chart, ETH/USD has been trading below the daily Ichimoku cloud. The future cloud has turned bearish. The pair appears to be aiming for a key support level from back in April, at $376.
