Bitcoin (BTC) has been volatile in the past few days but the long-term investors seem to be using the current weakness to buy. According to Whale Aler
Bitcoin (BTC) has been volatile in the past few days but the long-term investors seem to be using the current weakness to buy.
According to Whale Alert and CryptoQuant, about 30,000 BTC left Coinbase and was deposited in an unknown wallet. It is speculated to be a genuine purchase and not an in-house transaction.
Although investors may be bullish for the long term, the short-term picture remains questionable. Stack Funds said in their recent weekly research report that they “expect sideways trading and possibly a potential dip” in the short term due to the increase in inflation and the lack of clarity regarding the conflict in Ukraine.
While Bitcoin has been volatile, gold-backed crypto assets have made a strong showing in 2022 as investors shunned risky assets and sought the protection of safe havens. This has boosted the market capitalization of gold-baked crypto tokens to more than $1 billion.
Could Bitcoin and altcoins sustain the recovery or will bears reign supreme? Let’s analyze the charts of the top-10 cryptocurrencies to find out.
BTC/USDT
Bitcoin soared above the moving averages on March 9 but quickly retraced the rally on March 10. The bulls are again attempting to push the price back above the moving averages today. This indicates that bulls are buying on dips while bears are selling on rallies.
Both moving averages are flattening out and the relative strength index (RSI) is just below the midpoint, suggesting a balance between supply and demand.
This equilibrium could tilt in favor of the buyers if they push and sustain the price above $42,594. The BTC/USDT pair could then rise to the overhead zone between $45,000 and the resistance line of the ascending channel.
Alternatively, if the price once again turns down from the moving averages, the bears will try to pull the pair below the immediate support at $37,000. If this level gives way, the pair could challenge the support line of the channel. A break and close below this level will increase the possibility of the resumption of the downtrend.
ETH/USDT
Ether’s (ETH) rebound met with stiff resistance at the 50-day simple moving average ($2,751) on March 9, indicating that bears are not willing to let go of their advantage easily. The price turned down from the moving averages on March 10 but a minor positive is that the bulls are attempting to defend the support line of the symmetrical triangle.
If the price rebounds off the support line, the bulls will again try to drive and sustain the price above the 50-day SMA. If they manage to do that, the ETH/USDT pair could rise to the psychological level at $3,000 and then retest the resistance line of the triangle.
This is an important level for the bears to defend because a break and close above it will signal a potential change in trend. This setup has a pattern target at $4,311 on the upside.
Contrary to this assumption, if the price continues lower and breaks below the support line of the triangle, it could indicate the resumption of the downtrend. The pair could then drop to $2,159.
BNB/USDT
Binance Coin (BNB) rose above the 50-day SMA ($389) on March 9 but the bulls could not sustain the higher levels. The bears took advantage of this situation and pulled the price back below the moving averages on March 10.
If the price sustains below the moving averages, the bears will attempt to pull the BNB/USDT pair to the strong support at $350. This is an important level to keep an eye on because a break below it could clear the path for a decline to $320.
Alternatively, if the price rebounds off the current level, the buyers will again try to propel and sustain the pair above the moving averages. If they do that, the pair could start its northward march toward $445.
XRP/USDT
Ripple (XRP) broke and closed above the downtrend line on March 9 but the bulls could not build upon this strength. The bears pulled the price back below the downtrend line on March 10.
The bulls did not allow the price to break below the 50-day SMA ($0.72), which suggests strong demand at lower levels. This tight range trading is unlikely to continue for long.
If the price breaks and sustains above $0.78, the XRP/USDT pair could pick up momentum and rally toward the overhead resistance at $0.91. A break above this level could clear the path for a rally to the psychological level at $1.
This positive view will invalidate if the price turns down and breaks below $0.69. That could turn the tables in favor of the bears.
LUNA/USDT
Terra’s LUNA token rose to a new all-time high on March 9 but the long wick on the day’s candlestick shows profit-booking at higher levels. The bulls again tried to resume the uptrend on March 10 but the bears had other plans.
The failure to sustain the price…
cointelegraph.com