Bitcoin / US Dollar
After Tesla and its founder, Elon Musk, announced that it bought $1.5 billion worth of Bitcoin, Bitcoin's price broke every resistance level in its path and landed at $47,000, creating a new all-time high level. Since then, the price has remained stable on the chart, indicating that the market's massive and decisive move made investors stop trading for a little bit and think about what they should do as the next step.
This move from Tesla brought a new push in the market when Bitcoin was in a critical position. The paths were two: the first one would be to break the previous all-time high level and establish a new one, and the second was to return in the compression zone between $30,000 and $36,000. The first scenario became a reality, and Bitcoin is facing a new reality from now on.
From a technical perspective, Bitcoin has been at a point where it needs to prove that there is more to be done if it wants to attract more investors in the market and create more value for its holders. We know that eternal growth is something that few people can imagine that could happen, but we have to be realistic about our views. The fact that many institutional investors have entered the game proves that there is future value in it. Those investors won't liquidate their positions until there is an extreme drop in the price or don't find any value in it.
The deflationary nature of Bitcoin stands against the current market trend that supports getting more money in the market. It devaluates every penny in the market and makes every salary worthless under actual conditions. This feature seems very important to many companies that turn their cash into cryptocurrencies and mainly Bitcoin, to establish real preservation of their capital and value them in the future.
The trading volumes have made some spikes during the last days, depicting the buying process while the moving averages are at bullish positioning, confirming the market trend.
In the short-term diagram, we can observe that a potential trace-back in the market will lead the price back in the compression zone between $30,000 and $36,000, which was formed during the previous week. This compression zone gave Bitcoin the waiting time to bring more capital and hype to the table to make the new all-time high level a reality.
Indicators
MACD index grew even more during the last days, showing that momentum is on the bullish side while the RSI index climbed above value = 70, indicating that the price remains overvalued. There is a possibility for correction at any given time.
Ethereum / US Dollar
Today, Ethereum hit another all-time high level, landing above the $1,800 point. The coin seems to be the second wheel in the current bullish trend, bringing more capital in the market during Bitcoin's stable time. We should consider that Ethereum maintained the market at positive levels when the rest of the market was trying to find the latest trend in the market.
The positive trend is continuously on the brink, showing a steady growth perspective in the market that could accompany Bitcoin and other cryptocurrencies in the future bullish moves. Every step on the bullish side is a winning step for Ethereum as it brings new all-time high levels for it and establishing a better position for its future.
The price discovery phase will bring Ethereum into the spotlight and add more value to its market. The trading volumes have been sustained at high levels, indicating that investors are continuously showing interest in the market. The moving averages are at bullish moves, without any thoughts of reversal.
Indicators
MACD index has its ups and downs, always on the positive side, while the RSI index is slowly getting near value = 70, indicating that its slow growth will bring a healthier trend formation in the market.
Ripple / US Dollar
The bulls run in the Ripple market, making the price grow even more at $0.50, reaching a critical point. This crucial point is when the "stock market craziness" had brought back a week ago.
This shows that the market was trying to establish new market standards, which was challenging to achieve. We have mentioned several times that Ripple is facing major fundamental issues with SEC's charges for its founders.
These problems seem to have been overcoming, at least for now, while we should expect a turn in the price when the SEC will announce its final decision about Ripple's founders.
We believe that the Ripple market remains fragile at this point, but it could perfectly fit when it comes to short-term trading and buying and selling for short periods. This could become a feature that will drive Ripple out of its current crisis and make exchanges trust Ripple again.
The trading volumes have remained on the same spot while the moving averages are at bullish positioning, bringing a positive perspective to the market.
Indicators
MACD index continues to grow, making Ripple take advantage of the current positive momentum. In contrast, the RSI index reached a value = 65, indicating a more positive trend to be acquired before the correction trend comes and reverses the market.
Litecoin / US Dollar
Litecoin made an essential step in the market, breaking the last local high level around $175 and lands around $180, creating a more positive impact on the price formation. We can observe that the price took a short break between the two high points when trying to find its way to establish a new trend.
This short break gave the investors the idea that a support level will hold the market at a waiting mode until the right force will bring Litecoin in the bullish side and the other coins. We believe that Litecoin will continue to follow Bitcoin loyally and deliver value to its holders.
The trading volumes have been sustained on the same levels, while the moving averages have established a bullish formation for now.
Indicators
MACD index is growing for a week, making momentum to work for the price formation while the RSI index has almost reached the "dangerous" zone, indicating that a correction is far from now.
Bitcoin Cash / US Dollar
While everyone in the market is trying to establish new high levels in the market, Bitcoin Cash is making small steps to show us that the trend-setting is not so heavy in this market. The price landed around the $500 point, making the market see the current local high levels at $600 with a long eye.
This situation can create doubts among investors about how dynamic Bitcoin Cash can be and how fast it could make returns in short and long-term conditions. We believe that the milder approach in the price formation will continue, and it will play the same role in the market.
The trading volumes have made some spikes in the last days, depicting the bullish behavior in the market while the moving averages have passed on the bullish side.
Indicators
MACD index has made its first steps on the positive side, confirming the bullish steps while the RSI index reached value = 55, showing that the price will remain on the same levels with a positive outlook for the future.
Correlations
Bitcoin / Ethereum = 0.91 (- 0.01), Bitcoin / Ripple = 0.91 (+ 0.22), Bitcoin / Litecoin = 0.95 (+ 0.05), Bitcoin / Bitcoin Cash = 0.88 (+ 0.27)
The entire market moved in the strong correlation zone, indicating that all the coins have passed on the curve's positive side, making the market look integrated and predictable. The current situation depicts that every asset in the crypto market will probably move in the same way that Bitcoin and Ethereum will move, indicating that the current trend will make the bulls return in every crypto market. Creating a new bullish trend will unlock the market's potential and drive the prices at higher levels, never seen before.
Key Notes for Today
- Bitcoin remained on the all-time high levels around $47,000
- Ethereum reaches new all-time high levels around $1,800
- Ripple made another bullish move at $0.50
- Litecoin made a positive standing at $180
- Bitcoin Cash has a milder approach in the price formation, reaching $500
