Bitcoin’s rally (BTC) is currently taking a break near the 200-day SMA. This has led to either a minor pullback (or consolidation) in BTC and selected altcoins.
Terraform Labs has been on an unprecedented Bitcoin buying spree in the past few days. It has been suggested that Terraform Labs’ wallet address received $139 Million worth of Bitcoin on March 30. This brings its total to $1.5 billion.
MicroStrategy appears to be up for the challenge, despite Terra’s pressure. Silvergate has provided a loan of $205 million to MacroStrategy, a subsidiary of business intelligence firm, which will be used for Bitcoin purchases, general corporate expenses, and the interest.
Everyday cryptocurrency market performance. Source: Coin360
These buying interests are not restricted to these two companies. CoinShares data revealed that $193 million was poured by institutional investors into digital asset investments products last week. This is the largest inflow since December 2021.
Institutional investors are buying large amounts of Bitcoin and other altcoins. Could this cause Bitcoin to surpass their overhead resistance levels. Let’s look at the charts for the top 10 cryptocurrency coins to see how they compare.
Bitcoin reached the 200-day SMA (48,288) March 28, but the bulls couldn’t push it above that. On March 29, the buyers tried again to overcome the overhead hurdle but failed.
Daily chart of BTC/USDT Source: TradingView
The bears will attempt to push the price down to $45,400 as their immediate support. If the price bounces off this support, then the bulls will attempt to push the BTC/USDT pairing above the 200-day SMA. The pair could reach $52,000 if they succeed.
Bulls are in control of the rising exponential moving average (20-day) ($43,531) as well as the relative strength index near the overbought area (RSI).
If the price falls below the 20-day EMA, this positive outlook will be invalidated. The pair could prolong its stay within the ascending channel for a few days if that happens.
Ether (ETH), broke above the overhead resistance at $3.411 on March 29, but bulls couldn’t clear the hurdle at the SMA at the 200-day ($3,488). This shows that bears are not giving up on the recovery at the 200 day SMA.
Daily chart of ETH/USDT Source: TradingView
If the price falls below $3,411, bears will attempt to bring the ETH/USDT exchange rate to the 20-day EMA ($3,042). This level is likely to rebound strongly and signal that traders are buying dips.
The bulls will attempt to push the price higher than the 200-day SMA. The pair could rally to $4,000. If they succeed.
Contrary to popular belief, a price break below the 20-day EMA will indicate that traders are rushing to exit. This could bring the pair to the 50-day SMA ($2,853).
BNB tight range trading between $425 to $445 has settled to the upside. This indicates that bulls have absorbed all the supply and are now trying to get the upper hand.
Daily chart BNB/USDT TradingView
Bulls have control of the market thanks to the RSI in overbought territory and the upsloping 20 day EMA ($409). If the price remains above $445, then the BNB/USDT pair may rise to the 200 day SMA ($467) or later to $500.
The 20-day EMA could be reached if the price falls and the pair breaks below $425. This level is important to watch because a break or close below it could indicate that bullish momentum has diminished. For a few days, the pair could oscillate between $350 to $445.
Although Ripple (XRP), broke above $0.91 overhead resistance on March 28, the bears didn’t allow the price to maintain the higher levels. This shows that the bears are aggressively protecting the area between $0.91-$1.
Daily chart of XRP/USDT Source: TradingView
Bulls are trying to keep the price above $0.86. The XRP/USDT pairing could rise again to $0.91 if they succeed. If the XRP/USDT pair breaks and closes above this level, it could lead to a rally to the psychological level of $1.
If the price falls below $0.86, bears will try to lower the pair below the moving Averages. If they succeed, it will indicate that bullish momentum has declined. The pair could drop to $0.70.
Cardano (ADA), is currently facing resistance at $1.26, as seen by the long wick of the candlestick on March 28th and 29. The bulls have not lost much ground, which is a minor plus.
Daily chart ADA/USDT Source: TradingView
The upside path of least resistance lies in the upward sloped 20-day EMA ($1) as well as the RSI within the overbought territory. If buyers continue to propel the price higher than $1.26, then the ADA/USDT pairing could reach the 200-day SMA ($1.51) before rallying to $1.60.
The bears may try to pull the pair towards the 20-day EMA if the price falls below the current level. This level is important to monitor as a break or close below it could cause the pair to drop to $0.74.
Terra’s LUNA token closed above the overhead resistance of $96 on March 28, and broke. The bulls prevented the price from falling below $96 despite the fact that the candlestick’s long wick showed that the market was selling at close to $100.
Daily chart of LUNA/USDT Source: TradingView
On March 29, the bulls pushed the price to $105, a record high, and the buying recommenced. The bulls can keep the price above $105, and buying momentum will pick up. The LUNA/USDT pairing could rally to $115, and then to $125.
The RSI is showing signs that it is forming a negative divergence. This is a minor problem. The pair could fall to $96 if the price falls below $105. This support is crucial for bulls to protect as a breach or close below it could lead to selling. The pair could drop to the 50 day SMA ($78).
Solana (SOL), which has been above $106 over the past two trading days, has moved above $122 overhead resistance. This indicates strong bullish buying.
Daily chart of SOL/USDT Source: TradingView
The SOL/USDT price could begin a new uptrend if buyers can maintain the price above $122. This could lead to the 200-day SMA ($150). The resistance at this level will likely be strong, but bulls can overcome it and the rally could reach $180.
Contrary to the assumption, if the price falls below the current level and breaks down below $106, it could indicate that the $122 high may have been a bear trap. The price could drop to the moving averages, and stay between $81-$222 for a few days.
Related: Bitcoin sentiment hits “greed” in 2022, amid calls for a $45K BTC price pullback
The candlestick’s long wick over the past two days indicates that bears are fighting for $98. A minor plus is that Avalanche (AVAX), has not dropped below the 20-day EMA (85). This indicates that traders are not in a hurry to sell their positions.
Daily chart of AVAX/USDT Source: TradingView
Bulls are in control of the rising 20-day EMA, and the positive territory RSI indicate this. The AVAX/USDT pair could gain momentum if buyers push the price higher than the $98-100 resistance zone. This would allow the pair to rally to $120.
If bears fall and the price falls below the 50-day SMA ($81), this positive outlook will be invalidated in the short-term. This would suggest that the pair could prolong its stay within the $65-$98 range for a few days more.
The past three days have seen stiff resistance at $23 from Polkadot (DOT), but this is a positive sign that the bulls are not giving ground to the bears. This indicates that bulls are expecting a break above overhead resistance.
Daily chart of DOT/USDT Source: TradingView
The 20-day EMA ($20), which is sloping upward, and the RSI are in the positive zone indicate that the path to the upside is the one with the least resistance. The DOT/USDT pairing could gain momentum if bulls continue to drive the price higher than $23. This would allow the pair to rally to the 200 day SMA ($29).
Contrary to popular belief, if the price falls below the 20-day EMA and then drops below it, it could indicate that bullish momentum has weakened. This could mean that the pair will remain range bound between $16-$23 for the next few hours.
Dogecoin (DOGE), rose above $0.15 on March 28, but the candlestick’s long wick suggests that bears may be selling at higher prices.
Daily chart of DOGE/USDT Source: TradingView
The bullish crossover of the moving averages and the RSI has reached the positive territory indicates that the bulls are in control. The DOGE/USDT pair may rally to $0.17 overhead resistance if the price rises above $0.15. This is where bears could again mount a strong defense.
Contrary to the assumption, if the price falls below the moving averages and continues lower, it will indicate that the pair could spend more time within the range of $0.17 to $0.10.
Risk is inherent in every investment or trading move. Before making any investment or trading move, you should do your research.
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Eileen Wilson –Technology and Energy
My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.