It looks like financial regulators around the world are finally starting to prepare for the idea that cryptocurrencies can trade with stock markets as well as exchange-traded funds (ETFs). On February 11, the Ontario Canadian Securities Commission approved a Bitcoin ETF proposal from Accelerate Financial, which marks the first approval of a Bitcoin ETF (BTC) in North America.
The Australian Securities and Investment Commission also softened its position on the Bitcoin ETF. ASIC Commissioner Katie Armor said the Bitcoin ETF could be given the green light if there are sufficient rules in place in the market.
The approval of bitcoin ETFs from multiple countries will force US regulators to positively consider future proposals.
Bitcoin has grown to $ 900 billion in the market today, approaching $ 1 trillion.
The growing popularity of the cryptocurrency derivatives market is another benefit as it shows that the asset class has matured. Even in older markets, derivatives are one of the main components used to price an asset.
Let’s analyze the maps of the top 10 cryptocurrencies to determine the trend and identify critical levels that could indicate a trend change.
Bitcoin / US dollar
During strong trends, declines usually last for one to three days because bulls buy every small fall, expecting higher levels in the future. It was the same with Bitcoin when the price returned on February 11th.
The $ 50,000 psychological level could be resistance, but if the bulls can push the price above it, the BTC / USD pair could rise to $ 60,974.43.
However, the pair has failed to gain momentum since hitting a new all-time high on February 11 and today does not seem to want to buy at higher levels. If the bulls don’t resume bullish action in the next few days, traders could make money in the short term.
The pair could then drop to $ 41,959.63 and the 20-day exponential moving average ($ 39,895). This is an important area to look out for when a break below indicates slow speed.
The bears will return to play if the pair drops below the 50-day simple moving average ($ 35,180).
ETH / USD
Ether (ETH) is currently struggling to break out of the tight $ 1,680,173 to $ 1,835,554 range that has been stuck in the past few days. A breakout would mean that the bulls have outperformed the bears.
Bullish moving averages and the Relative Strength Index (RSI) just below the overbought level indicate that the path to the least resistance is upward. If the bulls manage to keep the price above $ 1,835,554, the ETH / USD pair may rise to the resistance line of the ascending channel.
A channel breakout would mean a resurgence of speed. There is psychological resistance at $ 2,000, but if the bulls can push the price above it, the pair could rise to $ 2,500.
Contrary to this assumption, if the price falls below $ 1,680,173, the pair could fall to the 20-day moving average ($ 1,568) and then to the channel target. This is an important support to look out for, because if a break occurs, the pair could indicate a change in direction.
ADA / US dollar
Cardano (ADA) is currently showing a slight correction in a strong uptrend. A shallow conclusion shows that traders are not taking profits at a fast pace as they expect the trend to continue.
Bullish moving averages and RSI above 87 indicate that the trend is still strong in favor of the bulls. The first support on the back is the 38.2% Fibonacci retracement level at $ 0.7230669.
If the price bounces off this support, the bulls will try to resume the trend again. A breakout and close to 0.9817712 could push the price up $ 1.25 and then $ 1.50.
Contrary to this assumption, the ADA / USD pair could signal a potential change in direction if the price falls below the current level and falls below the 20-day moving average ($ 0.593).
XRP / US dollar
XRP closed above the $ 0.50 upper resistance level on Feb 11 and another bullish move followed today. The 20-day bullish EMA ($ 0.425) and the RSI are in the overbought area, indicating a bullish advantage.