The bulls have started to run again !!!

News • 2021/04/02 • by

Bitcoin / US Dollar

Bitcoin made another positive move during the last week, landing the price at $59,500. After breaking the compression point around $58,000, the market will try to reach $61,000, which is the current all-time high level. At this moment, the market is moving in the in-between process, which means that the market stays in a fragile position.

A fragile position means that the price could be there for the worst and the better. If the price continues to move in the current bullish path, it will soon arrive at the $61,000 point where there would enough resistance to make the first stop. As we have highlighted several times in those articles, establishing a new all-time high level needs a sharp move that will surpass the current all-time high level and will land above it. This needs to be done on this occasion for marking the new period above the $60,000 point.

If the price fails to break the all-time high level, we expect that the market will correct in the next period, creating a mood of uncertainty about how viable the bullish trend. This mood will lead the price to an extended stability move, which will end up in a correction trend. The trend will affect any previous support levels that were activated during the last period and proved strong enough to sustain the bullish outlook for now.

The trading volumes are making some spikes at different times but the overall picture indicates a lower estimate than in the previous period. This means that a large trade will have much more impact on the price formation. The moving averages are about to cross each and form a “Golden Cross”, meaning that the market is trying to move in a positive mood, providing a more bullish outlook to current investors.

In the short-term diagram, we can observe that the price has been consolidated above the $50,000 point, which means that the market is trying to establish more depth in the market development. The market depth will make the bullish situation more robust and could end up in a better condition than the current one.

Indicators

MACD index passed on the positive side, bringing the positive momentum back in the market formation. The RSI index moved above value = 60, showing that there are positive vibes about Bitcoin’s development in the short-term future.

Ethereum / US Dollar

The definite winner in the current bullish jump is Ethereum. Its price jumped above $2,000, establishing a new all-time high level. In the mid-term perspective, we can observe that the market was moving in a compression phase between $1,400 and $1,800. This compression phase leads to a new boom that brings the price above $2,000.

From this point and on, the price could find resistance at those levels because several investors might find the right time to liquidate their positions and claim their profits. The next days will find out if this is a possibility, combining with the fact that the rest of the market will continue to grow. We expect that the price will follow the trend but not the pace of Bitcoin’s development, establishing new bullish paths.

The trading volumes have made small spikes from the previous period, showing investors’ interest. The moving averages cross each other, forming a “Golden Cross” and establishing a positive mood in the market.

Indicators

MACD index is thriving during the last 4 days, showing that the market has capitalized on all the positive momentum and there could be another wave of bullish jumps. The RSI index has moved at a value = 65, indicating that there is potential for further growth in the market.

Ripple / US Dollar

The positive feeling in the crypto market tried to affect Ripple and it partially managed to achieve it. Ripple manages to sustain the $0.58, looking for the time that it would surpass the $0.60 and start exploring higher price levels. The reality is that Ripple price has not experienced a sufficient amount of stability at higher levels, showing that the market is trying to consolidate more depth above the $0.50 zone to sustain a bullish jump.

For Ripple holders, the ultimate goal is to reach $1 in the future, a goal that will bring more and more investors into the market. The harsh reality is that there is no solid background for the coin to bring those price levels in the market so this could be a goal for the long-term future. For this reason, we should be very careful about placing a long-term position at Ripple, believing that it is more suitable for short-term trading.

The trading volumes have remained at low levels, showing that investors are not yet convinced to join the market dynamically. The moving averages continue to move in the bullish formation that has been established during the last 2 weeks.

Indicators

MACD index continues to stay in the positive area, bringing more positive momentum in the market formation. The RSI index moved beyond value = 60, showing that the price formation remains at bullish paths for now.

Litecoin / US Dollar

The positive reaction from the Litecoin market shows that Bitcoin’s positive move has an immediate spread to the rest of the crypto market. The most crucial price level for the current market situation is the $200 point. As we have referred to in past articles, the $200 - $210 zone is the first signal of a bullish return in the market.

As the price reaches $200, we believe that the market will try to capitalize more actions from Bitcoin and Ethereum markets. Those reactions could lead the market around the new all-time high levels above $240. Reaching $240 will be a significant moment for Litecoin but there would be no further impact for other markets. At this moment, we are expecting a mild reaction for the next market moves as long as the leading markets (Bitcoin and Ethereum) are sustaining a similar trend.

The trading volumes have remained at low levels while the moving averages are close to each other and they will probably cross in the next days, forming a bullish signal.

Indicators

MACD index passed on the positive side, indicating that the market momentum is on the market’s side. The RSI index moved between values 55 and 60, indicating that the price will remain on the same levels but with a positive perspective for the future.

Bitcoin Cash / US Dollar

A positive move was also depicted in the Bitcoin Cash market but the reaction was not strong enough to bring the bullish trend back on its path. The crucial point for the Bitcoin Cash market is around $600, a point that will mark the pass in the bullish direction. Every action at this moment indicates a smaller portion of the current capital available in the crypto market, which will be distributed among different coins.

Bitcoin Cash cannot persuade enough investors to join its bullish path, showing that every move in the Bitcoin market will affect the Bitcoin Cash market but in a milder way. This relationship could bring a kind of predictability in the market but there would be a need for a more stable path for the inter-connected markets.

The trading volumes have made some spikes but they remain at low levels. The moving averages will meet each other tomorrow, showing that the market will pass at a more bullish situation from this point and on.

Indicators

MACD index passed on the positive side, showing that the positive momentum will affect the price formation. The RSI index moved at value = 60, indicating that there is a possibility for more uptrend in the short-term future.

Correlations

Bitcoin / Ethereum = 0.91 (- 0.05), Bitcoin / Ripple = 0.07 (+ 0.32), Bitcoin / Litecoin = 0.88 (+ 0.06), Bitcoin / Bitcoin Cash = 0.91 (+ 0.02)

The positive move during the last days brought the market towards a more integrated dimension, allowing the rest of altcoins to capitalize on it and develop a positive strategy for them. Ethereum made a more clear jump, thus its correlation dropped slightly but remained on the strong side of the correlation zone.

Both Litecoin and Bitcoin Cash made positive adjustments in the strong area, indicating that they will try to capitalize on any move from the main market. On the other end, Ripple made a jump, passing on the positive side but there is still more road to be covered until there is an integration with the rest of the market.