A new report from CoinShares says that Bitcoin (BTC) attracted 97% of all cryptocurrency flows in 2021.
The recent price adjustment of Bitcoin does not appear to be delaying cryptocurrency investors, as CoinShares data shows a record $ 1.3 billion in cryptocurrency product flow over the past week. This indicates that investors are in need of a recession instead of trying to chase price increases.
Another area where great progress has been made in recent months is the decentralized financial sector. As global bond yields fall to near zero, attractive opportunities for increased returns on DeFi and short-term loans have attracted investors, increasing their total book value to $ 26.1 billion on January 25.
Unless the markets panic, there are always certain areas in a bullish phase. Today’s tokens surpassed the market in the short term.
Let’s explore some of the root causes of their bullish move and identify the critical levels to watch out for.
CELO / US Dollars
The seamless transfer of funds across borders without the need to pay high fees is a necessity in today’s world, and Celo (CELO) is committed to making this process easier. The project is gradually spreading as there are currently 30 million Canadian dollars in circulation.
Following the success of cUSD, the platform plans to launch a new stable currency in euros over the next two months. The stable euro will, like the cUSD, use a basket of cryptocurrencies to maintain an interest rate that is closely linked to the underlying asset.
Cello’s partnerships with KardiaChain, Kadena and Paychant open up a number of new opportunities for users. The company also wanted listing of Celo on the Binance Exchange on 5 January, and altcoin has grown a lot since the listing.
Celo recently announced a rewards program, and as of January 25, users who maintain a certain minimum average monthly balance on cUSD will receive CELO rewards on a first-come, first-served basis.
Besides products, the project’s credibility is also important for its success. In this context, the inclusion of Cielo in the World Economic Forum’s Global Cryptocurrency Future Council can be a major positive step.
CELO rose from $ 1,752 on January 12 to an intraday of $ 3,922 on January 22, up 123% in ten days. The token is currently forming a round bottom pattern that ends in a breakout and approaches $ 4.50.
CELO / USD has started a new uptrend and is creating a series of higher highs and higher lows. This indicates an upside and traders buy into periods of deflation. The moving averages slope higher, and the relative strength index (RSI) is in overbought territory, indicating that bulls are leading.
The pair has little resistance at $ 4.30, but the Bears probably do not give easily. They will try to stop the current rally in the region from $ 3.60 to $ 3,922. If they succeed, the pair could fall to a 20-day exponential moving average ($ 2,528), where buyers are more likely to show up.
The strong bounce from the 20-day moving average will keep the upside intact, as the bulls will try to push the price towards $ 4.30 again. A break and proximity over the resistance zone of $ 4.30 to $ 4.50 could start the next phase of the uptrend.
This bullish sight will lose steam if the pair breaks through the 20-day moving average. In this case, the pair may fall to the 50-day simple moving average ($ 1.95).
XVS / USD
The DeFi room remains robust, even when the major cryptocurrencies undergo a dramatic correction. This shows users’ confidence in DeFi and the possibility of sector projects to deliver significantly better returns than altcoins.
The Venus Protocol (XVS) is exclusively on the Binance Smart Chain, so it was unaffected by the detrimental effects of the high gas charges that negatively impacted Defi’s projects in early January. This may have attracted some traders to take the leap to Venus.
Decentralization is one of the key factors in cryptography, and Venus completed the transition on 15 January. The protocol will now be socially driven, which is a welcome step in the right direction. The positive results in recent days may have led to an increase in total value to $ 400 million.