Can NIGHT Hold Ground After a 26% Rally?

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Market Context and Precedent

Midnight crypto has been range-bound between $0.052 and $0.041 since late September, and the recent pullback has hit a crucial short-term support level at $0.041 that could give bulls a new entry opportunity if the macro landscape improves. The inflation-driven market weakness has led to a 12% decline in the price this week, but the support level could provide a new entry point for bulls.

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The Macro Landscape and Impact

The inflation-driven market weakness has had a broader impact on the market, with prices for Bitcoin and Ethereum remaining firm despite two strong inflation reports. The regulatory environment is evolving, with Fannie Mae and Freddie Mac preparing to count cryptocurrency as an asset for a mortgage. The recent price drop below $80,000 has raised concerns about selling activity in the US spot Bitcoin ETFs.

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Technical Analysis and Key Takeaways

A rally of 26% could be on the cards if the support level holds, but the recent price drop has raised concerns about selling activity in the US spot Bitcoin ETFs. The industry's response to the quantum threat is highlighted by the Quantum Alliance's formation. The record-breaking number of wallets holding 10 to 10,000 BTC suggests potential buying activity, but the trend may be influenced by transfers and balance splits.

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Conclusion

In conclusion, the recent price drop has raised concerns about selling activity in the US spot Bitcoin ETFs, but the support level at $0.041 could provide bulls with a new entry opportunity if the macro landscape improves. A rally of 26% could be on the cards if the support level holds, but the recent price drop has highlighted the need for caution in the market.