Bitcoin Flash Crashes, Will The U.S. Fed Save The Day?

Posted on March 20, 2024 by Dalmas Ngetich

Bitcoin is under immense selling pressure at press time. The coin is down 5% in the past 24 hours and 15% in the previous week. At this pace, its market cap is also shrinking. On the last day, it fell to $1.2 trillion, down approximately 5%, mirroring the contraction in the past 24 hours.

The drop has seen the coin heap even more pressure on other altcoins. Their respective magnification of losses can be a concern. Presently, Bitcoin is dropping at the back of expanding trading volume. Currently, it is up 26% to $72 billion, signaling possible profit-taking or sellers doubling down.

As price action evolves, traders are watching the following fundamental events:

On March 19, the Ban k of Japan (BoJ) increased interest rates. The unexpected turn of events signals that the central bank is keen on taming inflation in a country that has been tackling deflationary pressures for decades. Their decision had a ripple effect across the board, causing cracks to emerge in risky store of value assets as cash flew to Bitcoin.
Later today, the United States FOMC will announce its interest rate decision and possibly announce measures to strengthen the country’s banking system. This event is expected to shape the short-to-medium-term trajectory for Bitcoin and the entire financial markets.

Bitcoin Price Analysis

At spot rates, [[BTC/USD]] is under pressure, looking at the formation in the daily chart.

The drop below the 20-day moving average was decisive.

From the candlestick arrangement, traders might look for entries on every attempt higher.

The immediate resistance lies at around $64,500.

If sellers press on, aligning with the formation of March 19, BTC will likely dip to $59,000 and even $53,000 in a bear trend continuation.

Conversely, any sharp break above $68,000, rewinding losses of March 19, invalidates this bearish outlook.

Bitcoin’s rapid correction amplified selloffs in altcoins market

Posted on March 20, 2024March 20, 2024 by Olumide Adesina

Bitcoin lost its $62K price level considering the imminent Federal Reserve meeting, which ends today, and will likely determine whether the crypto market’s correction is over. The largest cryptocurrency by market valuation saw a sharp decline on Thursday after reaching several new all-time highs in recent weeks, just shy of $74,000.

It dropped more than a tenth of its value to trade at $61.5K pulling down other digital assets. The crypto market’s correction came after a hot U.S. inflation data report last week, which might make the U.S. Fed less inclined to loosen monetary policy and postpone interest rate reductions, thereby considerably moderating appetite for risk assets.

Investor caution appears to have kept the market muted ahead of the Federal Open Market Committee’s (FOMC) announcement. Sentiment has been soured by recently released higher-than-expected inflation statistics, which include the Producer Price Index (PPI) and Consumer Price Index (CPI) for the United States.

Record outflows from the U.S. Spot Bitcoin ETF soured the mood of market participants. Notably, some observers point to this pattern as a cause of the most recent Bitcoin meltdown, indicating possible difficulties in the face of continuous market volatility. Notably, Grayscale’s GBTC experienced an outflow of $642.4 million, the biggest since the token’s founding, surpassing BlackRock’s IBIT’s inflow of $451.5 million.

Investors now only expect three rate cuts in 2024 instead of the five they had previously predicted due to the latest inflation statistics. There is a 99% chance that interest rates won’t change tomorrow, according to the CME FedWatch Tool.

The increased dominance of Bitcoin to over 52% meant one thing: the altcoins are suffering even more. Ether dropped another 9% in it value and is currently trading at $3,125.

Solana, which briefly overtook Binance Coin, has since dropped to the fifth-most valuable cryptocurrency asset. It lost over 10% of its value in a single day and is now worth $167. BNB retreated to $509 (-3.5 percent).

A day’s worth of losses for Dogecoin, Polkadot, Polygon, and NEAR exceeded a tenth of their value.

The majority of lower- and mid-cap alts shared a similar environment, and the valuation of the entire crypto market has fallen to less than $2.35 trillion at the time of this publication. The metric exceeded $2.9 trillion last Thursday, and over the weekend, it exceeded $2.7 trillion.

Bitcoin’s price decrease was accompanied by disappointing flows into the U.S.-listed bitcoin ETFs in the last few days, which was partly due to investors being apprehensive of taking risks before the completion of the Federal Open Market Committee (FOMC) meeting

In the past 24 hours, 187,504 traders were liquidated, the total liquidations come in at $647.17 million. The greatest single liquidation order happened on OKX – BTC-USDT-SWAP valued at $12.25 million

Forex Signals Brief March 18: A Plethora of Central Banks Meetings

Posted on March 19, 2024March 18, 2024 by Skerdian Meta

Yesterday started with a round of data from China, which was positive, but it failed to ignite markets as risk sentiment remained negative throughout the day. February Industrial Production and Fixed Asset Investment beat expectations, showing decent growth last month. But stock markets and commodity dollars remained bearish nonetheless. Continue reading “Forex Signals Brief March 18: A Plethora of Central Banks Meetings” →

Will XRP Bulls Prevail, or Is It Time to Sell?

Posted on March 19, 2024 by Dalmas Ngetich

XRP is trading around important support levels following sharp losses in the past day and week. At the time of writing, the coin is changing hands at $0.59, down 4% in the last 24 hours—extending losses to 14% in the previous week. Although buyers might flow back, the current price formation favors selling.

As it is, bears may reverse the gains of March 11, diffusing the upside momentum. However, buyers have a chance since sellers have been unsuccessful in pushing prices lower, below the current consolidation. As XRP prices drop, its market cap is also down 4% in the last day to over $32 billion. At the same time, the uncertainty on prices has seen trading volume rise by 90% to $3.4 billion in the last day.

Traders can watch out for the following Ripple and XRP news that might shape prices today:

On-chain data shows that XRP activity and active addresses are rapidly falling. Usually, the higher the interest in a project, the more on-chain activity there is. However, this is a sentimental product, highly influenced by prices in the secondary market.
The crypto community, including XRP’s, continues to keep track of Bitcoin prices. It is considering the direct correlation. If prices keep falling, the odds of XRP dumping towards $0.45 will be high.

XRP Price Analysis

[[XRP/USD]] bulls are optimistic.

So far, buyers have kept prices above the $0.59 support and March 11 lows.

However, this will change if prices fall today, extending recent losses.

Conversely, a recovery above this level might trigger demand, aligning prices with the bulls of March 11.

Considering the consolidating prices, risk-on traders can wait for a clear breakout.

Gains above $0.66 might lift XRP to $0.74 and March 11 highs.

Further losses could see the coin crash to February lows of around $0.50.

Ethereum Crashing: Is ETH Heading To $3,200?

Posted on March 19, 2024 by Dalmas Ngetich

Ethereum is extending losses when writing. In the past 24 hours, the coin is down 7%, pushing weekly losses to 16%. The pullback has also caused its market cap to shrink to $407 billion when writing. Technically, the uptrend is valid, but the cool-off is expected after rapid gains in the better part of Q1 2024.

So far, Ethereum is under pressure and might continue dropping in the coming weeks. The fall has now seen its market cap contract to $407 billion. At the same time, there is an uptick in selling volume, rising 21$ to $24 billion. If this volume keeps swelling, it will suggest that sellers are in control, heaping more pressure on the coin.

Traders can watch the following Ethereum news events and developments today:

The meme coin mania in Solana saw the high throughput blockchain flip Ethereum in trading volume over the weekend. Data shows that the blockchain generated $6.3 billion in trading volume over the weekend versus Ethereum’s $4.4 billion. The success of meme coins such as BOME and SLERF has seen millions of investor money flow to Solana.
Standard Chartered projects Ethereum to reach $14,000 if spot ETFs are approved. The expansion will reflect the current rally seen following the approval of a similar product in January 2024.

Ethereum Price Analysis

[[ETH/USD]] is within a bear breakout formation, looking at the candlestick arrangement in the daily chart.

Like Bitcoin, Ethereum is tanking when writing.

Notably, the coin is below the dynamic support marked by the 20-day moving average.

In the current formation, sellers might find entries below March 17 highs of around $3,700.

Immediate targets can be $3,200 or March 5 lows. This coincides with the 50% Fibonacci retracement level of the January to March 2024 trade range.

Bitcoin Risks Posting More Losses: Will $64,000 Hold?

Posted on March 19, 2024 by Dalmas Ngetich

Bitcoin continues to slip, tanking 5% in the past 24 hours when writing and roughly 10% in the last week of trading. Although bulls are optimistic, the failure of traders to push prices above the immediate resistance levels should be a cause of concern.

At press time, Bitcoin still dominates. However, with falling prices, the total crypto market cap is down 5% to $2.46 trillion. While at it, the BTC market cap is at $1.28 trillion, down approximately 5% in the same period. Following the dump, there are panic sells, pushing trading volume in the last 24 hours by 24% to $55 billion.

Presently, the following Bitcoin news and developments are worth noting:

Recent data shows that the influx into spot Bitcoin ETFs was, after all, retail-driven. For instance, the average exposure to BlackRock’s IBIT is around $13,000 or 326 shares. Since January, billions have flowed to spot Bitcoin ETFs, lifting prices. This influx has benefited not only BTC but crypto prices in general.
Amid the dump, Standard Chartered analysts think BTC will race to as high as $150,000 in 2024. Overall, analysts are bullish on the coin. Some think the coin can soar to over $500,000 this year.

Bitcoin Price Analysis

[[BTC/USD]] is under immense selling pressure when writing.

At spot rates, the coin is trading below the 20-day moving average or the middle BB.

Even so, the path of least resistance remains.

Traders can watch out for how prices react at $70,000 and March 17 lows at around $64,600.

A comprehensive, high-volume dip below this level might send BTC to March 5 lows at $59,000.

XRP dumps as Ripple 240 million of the coin

Posted on March 18, 2024 by Dalmas Ngetich

XRP prices are stable but under pressure, like the rest of the altcoin market. With Bitcoin prices tumbling over the weekend, the coin has also been impacted. Looking at the [[XRP/USD]] daily chart, it is steady in the past 24 hours. Even so, it has support at around the $0.59 to $0.61 zone. This is bullish since bears didn’t force prices lower.

Presently, XRP’s market cap is down 0.15% to $33 billion in the past 24 hours. At the same time, there is no enthusiasm for trading. Trading volume is down 32% to $1.6 billion in the same time frame.

Traders can watch the following XRP news today:

Prices will be heavily impacted by the ongoing Ripple vs. the United States Securities and Exchange Commission (SEC). The case will likely conclude in April.
Between March 5 and 13, Ripple sold 240 million, worth over $165 million, from its escrow. The liquidation contributed to the sell-off seen in XRP prices. Ripple regularly releases coins from its escrow—selling them on the spot market. It is a move that holders always criticize.

XRP Price Analysis

Presently, the path of least resistance remains northward, at least from a top-down preview.

The reversal of March 11 was extended and took time.

At spot levels, traders might find entries if prices are above the March 11 lows at around $0.58.

Better entries are above March 5 highs of $0.66. Any break or extension above this area might see XRP float to $0.74 and March 11 highs in a buy trend continuation.

Conversely, risk-on traders can wait for a comprehensive, high-volume close above $0.74 before loading the dips, targeting $0.85.

Losses below $0.58 and the March 11 low might see XRP crumble to $0.54 or worse.

Ethereum breaks below crucial support: ETH to $3,200?

Posted on March 18, 2024 by Dalmas Ngetich

Ethereum is fast-falling, looking at candlestick arrangement in the daily chart. [[ETH/USD]] is down 13% from 2024 highs and continues to slide when writing. The coin is trading below the 20-day moving average, clear in the daily chart, swinging price action in favor of sellers.

ETH buyers are still optimistic about the future. For the uptrend to continue, prices must break away strongly from spot rates, clearing the weekend’s high of $3,800.

Trading volume remains low, dropping by 26% to around $17.3 billion. Still, the recovery in the Asian and European sessions has seen the market cap add 0.5% to $428 billion. Overall, there are hints of support, but sellers are in control until prices rally to Friday’s level.

Ethereum news to watch today includes:

Following Dencun, analysts say dropping gas fees will catalyze the next wave of buying pressure. For now, the reaction post-Dencun has been bearish. Even so, time will tell if bulls will eventually have the upper end.
Solana is thriving, reading from on-chain activities. Data shows that Solana flipped Ethereum and other compatible platforms, including layer-2 solutions, processing $3.4 billion versus $2.4 billion. While positive, critics maintain that Solana is centralized. The Solana co-founder responded, dismissing these allegations.

And there is a world of difference between the quorum control liveness and the L2 multisig controling state.

There is absolutely nothing the quorum can do to convince circle to wire out your usdc without your signature. The L2 multisig can take the usdc out of the bridge and…

— toly 🇺🇸 | compressed (@aeyakovenko) March 17, 2024

Ethereum Price Analysis

The path of least resistance is southward.

With [[ETH/USD]] trading lower, below the 20-day middle BB, cracks are forming.

Even so, traders are optimistic.

Any break above $3,800, ideally with expanding volume, will cement buyers’ conviction. In that case, Ethereum might rally back to $4,090 in a buy-trend continuation.

Conversely, sharp losses, confirming the bears of Saturday, might see ETH slip to as low as $3,200. This level marks the March 5 low.

Forex Signals Brief March 18: A Plethora of Central Banks Meetings

Posted on March 18, 2024March 18, 2024 by Skerdian Meta

Last week began with Chinese inflation data surpassing expectations, driven primarily by increases in food and services prices due to heightened consumer demand during the Spring Festival period. In Japan, the Final Q4 GDP figures were revised significantly higher, indicating a positive trend and invalidating the technical recession. Continue reading “Forex Signals Brief March 18: A Plethora of Central Banks Meetings” →

Bitcoin Shaky: What’s next for BTC—Will Sellers take over?

Posted on March 18, 2024 by Dalmas Ngetich

Bitcoin has been under significant selling pressure over the weekend. Despite prices recovering on Sunday, sellers are still in control in the short term.

From coin trackers, the coin is up 3% on the last day but down 6% in the past week of trading. Overall, the market cap is steady at around $1.3 trillion. Technically, buyers are in charge from a top-down preview. However, the risks of lower lows cannot be discounted.

BTC trading volume is lower, shrinking 20% in the past 24 hours. This development is expected considering the weekend. From now on, traders expect a recovery. Losses below the 20-day moving average will cancel this outlook.

How Bitcoin will evolve in the short term will be shaped by the following events:

Skew notes that the recent dump was primarily due to market selling. While prices fell, there were entities engaged in dollar-cost averaging (DCA) at present lows. The immediate zone of interest lies between $60,000 and $64,000. Most analysts say the recent drop was mainly a bear trap.
Matt Hougan of Bitwise Management thinks Bitcoin would begin losing its reputation as a volatile asset. This is primarily because of the sharp demand, especially from institutions. The more liquid the asset is, the more attractive it becomes.

Bitcoin Price Analysis

[[BTC/USD]] is bullish, at least in the medium term, looking at price action in the past few sessions.

The immediate resistance lies at around $70,000, a top formed over the weekend.

Conversely, support is at around the $64,500 and $65,000 zone.

Traders are waiting for a breakout.

A break above $70,000 might increase capital, pushing BTC to $73,800.

Conversely, losses below $64,500 might lead to FUD, forcing weak hand to sell and take profit. In that case, BTC might crash to March 5 lows of $59,000.