Glassnode data shows that Bitcoin Exchange (BTC) Coinbase reserves have fallen by almost $ 8 billion. This suggests that institutional investors keep their purchases in the fridge for a long time instead of reserving profits.
Institutions view HODLing as very positive because it will continue to shrink the available Bitcoin supply, which could push prices up even as demand begins to fall.
The news flow indicates no slowdown in institutional implementation. The New Zealand Welfare Fund Office reported that as part of KiwiSave’s product growth strategy in October 2020, 5% of its assets were allocated to Bitcoin.
According to the company’s investment manager, James Gregor, the first purchase of bitcoins took place when the price of bitcoin was $ 10,000. This means that when Bitcoin reached a full-time high of $ 61,825.44, the company earned 518%. Grigor also added that Bitcoin may contain more KiwiSaver charts over the next five years.
In a recent podcast with Raoul Pal, CEO of New York Digital Investment Group, Robert Gottman, the company received inquiries from government wealth funds about potential Bitcoin investments. Pal said that Singapore’s sovereign wealth fund Temasek buys bitcoins from miners.
More investors could come if the US Securities and Exchange Commission approves the Bitcoin ETF. Another request for approval to start a Bitcoin ETF is Fidelity Investments. This indicates that traditional financial companies actively support Bitcoin.
Access for all types of investors to the cryptocurrency area is a positive sign. While this may be optimistic in the long run, let’s analyze charts for the top 10 cryptocurrencies to determine the short-term trend.
Bitcoin / US dollars
On March 24, the bulls pushed Bitcoin above the 20-day exponential moving average ($ 54,426), but failed to hold higher levels, as evidenced by the long week and the negative closing of daylight.
BTC / USD fell to its 50-day simple moving average ($ 51,282) on March 25, which is an important support to watch as bears have not closed lower since October 9 last year.
If the bulls can withstand the current bounce and push the price above the 20-day EMA, the pair can go to the downward line. Bears are likely to get into trouble at this level.
If the price falls from the downward line, the Bears will make another attempt to lower the pair below the 50-day moving average. If this happens, the pair could face increased pressure from traders in the short term, leading to a drop to $ 46,000 and then to $ 43,006.77.
Alternatively, if the bulls can push the price above the downward line, the pair can rally to a full-time high of $ 61,825.84. A breakdown of this resistance will indicate the resumption of the next phase of the uptrend.
ETH / USD
Ether (ETH) has been trading below the moving average for the past three days, indicating weakness. The bulls are trying to gather comfortably today, but the pullback could meet bearish sales on the 20-day moving average ($ 1,711).
If the price falls from the 20-day moving average, the bears will try to pull the ETH / USD pair to $ 1,500 and then to $ 1,289. The 20-day exponential moving average and the relative strength index (RSI) just below the midpoint indicate a marginal advantage for the bears.
However, if the bulls can push the price above the moving average, the pair may rise to the downward line. A breach of this line opens the door to a new $ 2,040.77 all-time high. If the price falls below the downward line, the pair may form a symmetrical triangle.
BNB / US Dollar
On March 24, the Binance coin (BNB) fell below the 20-day moving average ($ 251), and on March 25, the bear continued to sell, but failed to overcome support for the 50-day moving average ($ 216). This has attracted purchases from the bulls, who are currently trying to push the price above the 20-day EMA.
BNB / USDT daily chart. Source: TradingView
Flat moving averages and RSI just above the midpoint indicate a balance between supply and demand. If the bulls manage to push the price down the downward line, the BNB / USD exchange rate could rise to $ 309.50.