Bitcoin (BTC) is declining after having weakened sharply in the past 48 hours, but Ether (ETH) is not in the mood to rest as it continues to chase new and permanent highs.
The largest alternative currency by market value appears to have received a boost from the news of the launch of the sale of 100 million euros ($ 120.8 million) digital bonds on the EIB network.
Meanwhile, the institutional adoption of Bitcoin continues to expand. Japanese game developer Nexon reported buying 1,717 Bitcoins at an average price of $ 58,226 for a total of around $ 100 million. Owen Mahoney, President and CEO of Nixon, said the investments were aimed at protecting shareholder value and preserving the purchasing power of cash assets.
Daily performance in the cryptocurrency market. Source: Coin360
It’s not just buying bitcoins from companies that are attracting investor attention. Goldman Sachs said cryptocurrency stocks are up 43% this year, well above the S&P 500, which has risen more than 13% this year. This shows that older investors are pooling stocks that are closely related to cryptocurrencies.
Even Time magazine recognized the rise of cryptocurrencies, naming Coinbase and the Digital Currency Group among the 100 most influential companies of 2021. While DCG was listed in the “glitches” category, Coinbase fell into the “titanium” category.
Will strengthening fundamentals lead to higher prices in the cryptocurrency market? Let’s break down the top 10 cryptocurrency charts to find out.
BTC / USDT
Bitcoin Relief (BTC) rally reached a 20-day exponential moving average ($ 55,260) on April 27, as it encountered stiff downside resistance. The bears are trying to defend the 20 day moving average and will now try to bring the price down to $ 50,460.
Daily chart BTC / USDT. Source: TradingView
However, if the bulls do not abandon today’s levels, this means that demand is still strong. This could lead to a potential breakout above the 50-day SMA ($ 56,947). If that happens, the BTC / USDT pair could drop to $ 61,825 and then to an all-time high of $ 64,849.27.
Although the price has fallen to the support level of $ 50,460 and has rebounded strongly, this indicates a build-up at lower levels. This will force the bulls to try to remove the drag from the moving average.
This positive outlook is nullified if the bears dip below the $ 46,985.02 support zone – $ 50,460. This could push Critical Support down to $ 43.006.77.
ETH / USDT
Ether (ETH) returned to the 20-day moving average ($ 2,336), gained momentum on April 26th, and on April 27, the bulls pushed the price to an all-new high. This was followed by a new leap on April 28th. But a doji candlestick pattern indicates that the rally could be boring in the short term.
ETH / USDT daily chart. Source: TradingView
Initial support for the decline will be $ 2,500, and if broken, the decline may reach the 20-day moving average. The strong bounce in this support indicates that traders are buying aggressively on dips.
The bullish moving averages and the Relative Strength Index (RSI) near the overbought zone indicate that the path of least resistance is heading higher. If bulls break the resistance line of the rising channel, the ETH / USDT pair might reach $ 3,000.
On the contrary, a gap during the 20 day moving average could push the price down towards the channel target. A break through this support might challenge the 50-day SMA ($ 2041).
BNB / USDT
Binance coin (BNB) is gradually moving towards the symmetrical triangle resistance line. Moving averages and RSI rising in positive territory indicate that the path of least resistance is bullish.
BNB / USDT daily chart. Source: TradingView
A breakout and proximity of the triangle will indicate that demand is outpacing supply, and this could trigger the next phase of the uptrend, which could reach $ 808.57.
Contrary to this assumption, the price will indicate bearish activity at higher levels if the price falls from the resistance line. This may keep the BNB / USDT pair in the triangle for a few more days. Breakdown and proximity below the triangle will indicate a potential trend reversal.
XRP / USDT
On April 26th, XRP rose above the 20-day moving average ($ 1.24), indicating short-term selling has been exhausted. However, the alternative currency faces resistance at $ 1.46, just above the 50% Fibonacci retracement level at $ 1.42.