IOI / USDT Weekly Report
IOI has been on various centralized and decentralized exchanges for almost 2 weeks, which gives it space to show its position in the market environment and also the ability to correlate with Bitcoin and the rest of the market.
After listing and a maximum of over $5 the impulse sale went in search of its market price, at which the demand for the asset will arise and the initial reflection will occur.
This process is quite common in 90% of projects that come to liquid exchanges, and in the vast majority of tokens, corrections are made to almost the entry price.
IOI found its local bottom at the psychological level of $1, which was reflected in the support of high purchase volumes. Over the next 5 days, with the support of positive developments on Bitcoin and the alt coin market, it managed to reach almost $4 in a healthy growing structure, helped by daily strong fundamentals such as coin burning, marketing collaborations and a $450,000 buyback. The growing trend was healthy and buying volumes high.
However, there was a negative situation for smaller projects, namely the bearish reaction of Bitcoin to the key resistance of $41–42,000, which was followed by a hard rejection, to which the entire market reacted with a decline.
As you can see, IOI reached its last high exactly at the time of Bitcoin’s last high, indicating their positive correlation. Panicked people sold not only Bitcoin, but also all the less liquid assets. In addition, the dominance of Bitcoin has been growing in recent days, which means that it is sucking up capital from altcoins, and they are declining even more impulsively than Bitcoin.
Bitcoin has found extremely strong support and pullback in an effort to break the psychological level for investors of $30,000 and has shown the second largest volumes in the last year, indicating the market’s interest in not letting it under this zone.
The IOI managed to bounce back and hold support of $1 even with an increase in volume, and if Bitcoin holds support of $30,000, the IOI will gradually push upwards again. The market will recover after the correction, retail will calm down and low-liquid projects should start buying again.