[PRICE ANALYSIS] MARCH 27: BTC, ETH
The coronavirus pandemic that is sweeping across different countries of the world in recent times is nothing like any other plague that has been experienced by humanity. The effect of this pandemic is not lost on humans alone, as the global equities market has witnessed different kinds of swings that have left analysts bewildered. This situation is fostered by the directives from various governments enforcing lockdowns, and imposing curfews in certain areas to contain the spread of the coronavirus virus. While this may have helped in the fight against the disease, the resultant tension has instilled fear of the future, with people not willing to wait long term on their investments.
However, the story seems a little different for cryptocurrencies, as the market has shown more strength and resilience compared to other aspects of the global financial markets. Pantera Capital Founder Dan Morehead also believes that cryptocurrencies will find their paths in these times after the initial response to the mood of the equity markets. The stability of the crypto market will ignite the interest of institutional investors to allocate more capital to cryptocurrencies, thereby driving the price of bitcoin to new all-time highs.
Crypto exchange-Bitbank also revealed that there was a significant increase in new account registration following the crypto market crash that occurred on March 12. This shows that a lot of retail traders entered the crypto space, as they saw the dip in the market as an opportunity to accumulate more crypto. For some, this is a window to protect their financial assets from the glooming crisis that may be experienced by the global financial markets, after the current pandemic is contained.
Therefore, having examined the above, let us see how the market has performed so far.
BTC/USD
The pair has sustained relative stability above the $6,435 for the past three days, but the bulls have not been able to drive the price above the $7,000 mark across several crypto exchanges. The lack of momentum to push the price beyond the $7000 mark shows a lack of buyers at the higher levels.
![BTC USD daily chart. Source: Tradingview]()
If the bears can pull the price below the $6,435 over the next few days, we will see increased selling activity, and a price drop to the $5,660.65 is likely. If this continues, the price could go down further to $5,000.
Conversely, if the BTC/USD breaks beyond the $7000 mark, the upward move will be sustained to reach the 200-day SMA at $8,306 and after that $10,000.
ETH/USD
The pair has been trading between $115 and $117 over the past few days. This kind of short-range trading is unlikely to be sustained for much longer. We expect a move in the direction of the $155 resistance level, or a pull to the $117 support level.
![ETH USD daily chart. Source: Tradingview]()
If the coin moves up to the $155 overhead resistance level, it would indicate the beginning of a new upward trend, and an opportunity for traders to take a calculated long position.
However, if our expectations go contrary, and the price dips to $117.090, it would show that the bears are now in control, and could break the price below $117.090 to a new support level of $100.
Note: This post is culled from an original article by Cointelegraph
