Nasdaq has regularly reached new highs in the past few days, which has led to a strong recovery for some technology companies. At the same time, some shares of the SP 500 are in a breakout and are bringing their valuations to an astronomical level.
While the US stock markets are in a strong position, gold should not be left behind. It has also achieved maximum nine years, This shows that assets perceived as risky and safe havens are being restored at the same time. Ultimately, this shows that a plentiful supply of money reaches these asset classes.
Daily performance of the cryptocurrency market. Source: Coin360
However, There is a limit to how high both asset classes can be before they spread too far. Since the money supply is likely to remain high for a few more years, Investors’ attention could shift to cryptocurrencies, and if even a small portion of that excess liquidity flows into cryptocurrencies, their prices are likely to rise.
BTC / USD
The Bollinger Band is a good indicator of how each consolidation (marked on the ellipses in the diagram) was accompanied by a trend movement. Bitcoin (BTC) consolidated near its lows for about four months from December 2018 to March 2019.
Daily chart for the BTC / USD pair. Source: TradingView
This long period of consolidation was resolved positively and started a strong trend movement that continued until June 2019 before reaching USD 13,973.50. Then the best-placed crypto asset on CoinMarketCap There have been several phases of consolidation, and the outbreak has almost always triggered a trend.
The current consolidation period should also lead to a strong movement. If the consolidation is broken up, The possibility of a breakout above the resistance of $ 10,000 to $ 10,500 is very high.
Such a move could lead to a break in the line of resistance of the symmetrical triangle, which is also positive.
Although the bulls were unable to break the $ 10,000-10,500 resistance zone, the BTC / USD pair was trading near the resistance level. This suggests that the bulls have no urgency to close their positions.
Although the structure of the diagram is positive, there are no guarantees in retail. Therefore, traders should know other options. If the range resolution is down, this is a big negative. The bears would make themselves even more valuable if the support breaks at $ 8,130.58.
ETH / USD
The 20-day exponential moving average (USD 236) generally serves as support for an uptrend when bulls buy at this level during a dip. Although Ether (ETH) is currently trading in the range of $ 216,006 – $ 253,556, bulls are defending the 20-day EMA, indicating a possible trend change.
Daily chart for the pair ETH / USD. Source: TradingView
A pause above $ 253,556 indicates the resumption of the uptrend, which is targeting $ 288,599. If momentum can cause the cryptocurrency on CoinMarketCap to rank second above this level, An increase to $ 320 is possible.
The moving averages are gradually increasing and the relative strength index in the positive area indicates that the bulls have a small advantage.
This bullish view becomes invalid when the ETH / USD pair falls below the current level or above the resistance and falls below the moving averages.
XRP / USD
XRP rebounded from the 50-day SMA ($ 0.19), which is a positive sign as it shows that sentiment has shifted during the decline from successive selling to buying. The 20-day EMA ($ 0.19) has appeared and the RSI has risen above the 60 level, suggesting the bulls are making a comeback.
Daily chart for the XRP / USD pair. Source: TradingView
A seperation Above the $ 0.214616 upper resistance indicates strength and increases the possibility of a rally towards $ 0.235688.
However, If the bears defend the $ 0.214616 resistance, Cryptocurrency ranks fourth on CoinMarketCap it could remain within range for a few more days. The XRP / USD pair signals weakness in a break below the moving averages.
BCH / USD
Bitcoin Cash (BCH) has held the 20-day EMA ($ 234) in the past four days, but Altcoin hasn’t been able to recover much from this support, indicating the lack of urgency for the bulls to buy at these levels.
Daily chart for the BCH / USD pair. Source: TradingView
The bears will now try to put the cryptocurrency in fifth place in CoinMarketCap below the 20-day EMA. In this case, a decrease to USD 217.55 is possible.
On the contrary, if Bulls could push the price above the overhead resistance of $ 245.49, which should rise to $ 260 and then to $ 280.47.
Both moving averages are flat and the RSI worked near the midpoint. propose a balance between supply and demand.
ADA / USD
The breakout level of $ 0.11 was aggressively bought by the bulls, which is very positive. Now this level becomes the new floor for Cardano (ADA) and a break below could threaten its upward trend.
Daily chart for the ADA / USD pair. Source: TradingView
If the bulls can bring the price above $ 0.1380977, the upward trend is likely to continue. Above this level, the cryptocurrency ranked sixth in CoinMarketCap it can go up to $ 0.173 and then up to $ 0.20.
The rising moving averages and the RSI in the overbought zone indicate that the bulls are in control. However, when the bears defend At the $ 0.1380977 level, the ADA / USD pair is likely to consolidate for a few days before trying to resume its upward trend.
BSV / USD
Bitcoin SV (BSV) withdrawal came to a standstill on the 20-day EMA ($ 176), but the recovery at that level is not strong enough, indicating that buyers are not confident that the recovery will resume .
Daily chart for the BSV / USD pair. Source: TradingView
If the seventh-placed cryptocurrency on CoinMarketCap does not exceed $ 200, it will likely consolidate between $ 170 and $ 200 for a few days. Take a break below USD 170 indicates weakness and could lead to a decrease to USD 146.20.
Vice versa, If the bulls push the price above $ 200, the BSV / USD pair can rise to $ 227. It’s likely, that A break above this level leads to a new upward trend.
BNB / USD
After three months of consolidation Binance Coin (BNB) has overcome general resistance at $ 18.20, which is very positive. When the price (UTC time) closes above $ 18.20, an ascending triangle pattern is completed The target is $ 22.93.
Daily chart for the BNB / USD pair. Source: TradingView
The 20-day EMA ($ 16.79) is rising and the RSI has moved into the overbought zone For the first time since mid-February This suggests that the trend could shift in favor of the bulls.
This positive assessment becomes invalid if the crypto asset turns eighth in CoinMarketCap at the current level and falls below $ 18.20. In this case, this indicates a lack of demand at the highest level and signals a few more consolidation days.
LTC / USD
Litecoin (LTC) faces strong resistance at $ 45.3501. The advantage, however, is that the bulls have not allowed the price to drop below the 20-day EMA ($ 43.61) in the past few days, indicating accumulation during falls.
Daily chart for the LTC / USD pair. Source: TradingView
If the bulls can raise Price over $ 45,3501, the ninth-placed cryptocurrency on CoinMarketCap could rise to $ 51 which in turn probably acts as a rigid resistance. If the price drops below this level, the limited range offer can continue for a few more days.
The LTC / USD pair has performed poorly, indicating a lack of interest in purchases. If the couple doesn’t stay above that USD 45.3501, will likely fall below the 20-day EMA and stagnate the lower half of the range at $ 39- $ 51.
CRO / USD
Crypto.com Coin (CRO) shows signs of a profit record at $ 0.146157, which could lower the price to the 20-day EMA ($ 0.132). This is an important support as the bears have been unable to keep the price up in the past few weeks.
Daily chart for the CRO / USD pair. Source: TradingView
The trend is still bullish, Hence the feeling of buying at falls. If the bulls aggressively buy into the 20-day EMA decline, the cryptocurrency ranked 10th on the CoinMarketCap is likely to pick up again and hit $ 0.15306.
However, the CRO / USD pair It has come a long way from its lows in March. So if traders decide to pull some of their profits off the table, they can drop below the 20-day EMA. If this support breaks, The correction can be extended to USD 0.11.
LINK / USD
Chainlink (LINK) is in a strong upward trend that has resulted in Altcoin being included in the top ten list of cryptocurrencies. However, due to the strong movement of the past few days, the RSI has deepened in the overbought area. This suggests that a slight consolidation or correction is likely in the coming days.
Daily chart for the LINK / USD pair. Source: TradingView
The cryptocurrency ranks eleventh in the CoinMarketCap and faces resistance at $ 8.48, which is just below the $ 8.5446 target suggested in the previous analysis.
On the bottomBulls are likely to aggressively defend the 38.2% Fibonacci retracement level of $ 7.0023. If the LINK / USD pair enables this support, The upward trend is likely to continue.
If the bears keep the price below $ 7,0023, then the momentum could weaken and lead to a few days of consolidation.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trade movement involves risks. You have to do your own research when making a decision.
Market data is provided by the HitBTC exchange.