Daily Briefing, Apr 2 – Cryptocurrencies (BTC/USD) Skyrocketed Out of Nowhere
Arslan Butt • 2 min read
During the late Asian session, BTC/USD broke above $4,500 somehow. That’s right fellas, the leading cryptocurrency Bitcoin has crossed $4,500. At the time of writing, BTC/USD made more than 10% price movement for no valid reasons. This sudden move came out dramatically even as BTC traded in the $4,200 range for the better part of three days.
It isn’t clear what provoked this move, but considering the technical indicators, many traders were expecting the bullish move, but not to that extent.
BTC/USD Tests $5,000 – What’s Next?
BTC/USD has entered the overbought region and tested the $5,000 psychological level. During the past week, BTC has seen strong upward price movement, growing by 19%. However, most of that increase was within the trading ranges, but this morning the massive amount of purchasing activity pushed the price of BTC from $4,190 to $5,000.
Within the last hour, several large green candles have pushed the price of Bitcoin from $4,190 to $5,000. The source of the massive buying is uncertain.
BTC/USD is likely to retrace back below $5,100 with immediate support around $4,400 and $4,200. While resistance stays at $5,100. We can expect the pair to trade within this range.
BTC/USD – Hourly Chart
AUD/USD – RBA Leaves Rate Unchanged
On the other hand, the Reserve Bank of Australia left the interest rate unchanged at 1.50%, triggering a bearish rally in Aussie. It seems like the RBA will continue to defend a wait-and-watch approach towards its monetary policy as the central bank eyes ‘situations where a rise in the cash rate would be relevant at some point and other situations where a drop in the cash rate would be the fit.’
AUD/USD – Hourly Chart
The jumbled speech coming out of the RBA is expected to press on the Australian dollar. On the technical side, AUD/USD is heading towards the double bottom level of $0.7060. Below this, the Aussie can fell further until $0.7030. While a closing of candles above $0.7060 can trigger a buying trend in the market.
US Core Durable Goods – What to Expect?
On the fundamentals front, the market will be eyeing the Core Durable Goods Orders from the United States. The Census Bureau is due to release core durable goods orders data at 12:30 (GMT). It’s one of the major economic indicators that measure the change in the total value of new purchase orders placed with manufacturers for durable goods, excluding transportation items. The orders are expected to drop by -1.1% which is way lower than the 0.3% gain in March 2019.
Obviously, the prolonged partial shutdown of the US government has hurt the market sentiment. The dollar is likely to stay under pressure over this indicator.
That’s it for now, see you again with another exciting update. Good luck!