Institutional investors continue to invest in the crypto sector even with the current downturn of under $ 45,000. On February 24, information company MicroStrategy announced that it recently bought over $ 1 billion Bitcoin (BTC) at an average price of $ 52,765 per coin. Thus, the total ownership of the company is 90,531 Bitcoin.
Another company that bought Bitcoin during the current market correction is Square. The company said it acquired approximately “3,318 Bitcoins for a total purchase of $ 170 million.”
These purchases from institutional investors show that they are optimistic about the long-term outlook for Bitcoin and believe it is a good buy, near $ 50,000.
While corporate buying is an optimistic sign, merchants should also remember that there is a seller for every buyer. Glassnode data indicates that bitcoin whales owning between 1,000 to 10,000 bitcoins and humpback whales with more than 10,000 bitcoins sold more than 140,000 bitcoins in February.
In the past, whales woven the cryptocurrency markets at will. But the arrival of institutional investors reduced their dominance. Hence, traders must also monitor institutional activity alongside whales.
While the big investors can buy and hold it for the long term, a smaller investor will be good if he buys in time to get the most out of the limited capital available. Let’s examine the top 10 trendy digital currencies cards.
Bitcoin / USD
Bitcoin’s exit from the 20-day exponential moving average ($ 48,323) on February 22 was met with strong selling on February 23. Bears pull the price down the channel, but today the long tail of the candle shows buying at lower levels.
Buyers are currently trying to keep the BTC / USD pair within the channel. However, the candlestick pattern for today indicates a bullish indecision and a bear. The 20-day fixed exponential moving average and the Relative Strength Index (RSI) just above its midpoint also indicate an equilibrium between supply and demand.
If the bulls manage to keep the price above $ 50,000, the pair will attempt to rise to the resistance line of the ascending channel. The next stage of the uptrend might start after the all-time high of $ 58,341.03.
Contrary to this assumption, if the bears push the price below the channel again, the pair might drop to $ 45,000 and then to the 50-day simple moving average ($ 40,541). A break below this support could indicate a deeper retracement towards USD 28,850.
ETH / USD
Ether (ETH) fell below the bullish channel’s target and the 50-day SMA ($ 1487) on February 23rd, but the bulls bought the decline and managed to keep the price inside the channel.
The bulls are currently trying to push the price above the 20 day moving average ($ 1728). If successful, the ETH / USD pair might try again to rise to the channel’s resistance line.
However, the 20 day moving average is starting to decline and the RSI indicator is close to its midpoint, indicating that the bears are trying to return.
If the price falls from the 20 day moving average, the bears will try to move down again and keep the pair below the 50 day moving average. If they succeed, the pair may enter a deeper correction and drop to $ 1,000.
BNB / US Dollar
Binance coin (BNB) remains volatile in a large daily trading area. The bears pushed the price down to the 20-day moving average ($ 182) on February 23, but the alt currency recovered quickly, according to the long tail of the day’s candle.
VORTECS ™ data from Cointelegraph Markets Pro began to define bullish expectations for BNB on February 23, before the latest rally.
The VORTECS score, excluding the Cointelegraph, is a mathematical comparison of historical and current market conditions derived from a set of data points, including market sentiment, trading volume, recent price movements, and Twitter activity.
Cointelegraph Markets Pro – VORTECS ™ review (green) vs. BNB price
Even as Binance Coin’s price began to correct from $ 273 on February 23, VORTECS trigger points began to appear at 71.
The score reached 82 right after the UFT token was announced on Binance, followed by several other discoveries regarding the incorporation of BNB into the DeFi room. After these positive comments and expectations reflected in the VORTECS results, BNB price started to decline from $ 201.