The evolution of the market during the past week was quite positive and BTC is now trading above the important level of USD 42,000 after testing the USD 43,300 mark. What can we expect next? We’ll break this down later in the Market analysis (BTC, ETH & ENJ), but first let’s go over the main industry news.
News is one of the factors that impact cryptocurrency prices. It is important for every trader to stay up-to-date with the latest developments in the sphere. We’ve hand-picked some of the most interesting ones for you.
Mobile banking app Dave scores $100M investment from FTX US
On March 21, mobile banking application Dave announced a partnership with FTX US to provide cryptocurrency payments on the platform. It also announced a $100 million investment from FTX Ventures.
In the statement, Dave said the investment would aid its strategy for future crypto-related initiatives, with FTX US serving as its partner for cryptocurrencies. Both companies said they’re currently exploring ways to introduce crypto payments into Dave’s platform.
Amid conflict, NFT projects already seek to rebuild Ukraine
The recent invasion of Ukraine has put the world in a state of uncertainty, turmoil and geopolitical risk. Volatility in the global financial markets has caused immense losses to millions of investors. With rising global inflation, fear of tapering liquidity, and increasing interest rates by the United States Federal Reserve, havoc is spreading across the global economy.
SEC pushes decisions on WisdomTree’s and One River’s applications for spot Bitcoin ETFs
The United States Securities and Exchange Commission has extended its window to approve or disapprove spot Bitcoin (BTC) exchange-traded fund (ETF) applications from asset managers WisdomTree and One River.
According to separate Friday filings, the SEC will push the deadline for approving or disapproving a rule change allowing shares of the WisdomTree Bitcoin Trust and One River Carbon Neutral Bitcoin Trust to be listed on the Cboe BZX Exchange and New York Stock Exchange Arca, respectively. The regulator said it would extend its window for the decision on WisdomTree’s Bitcoin investment vehicle to May 15 and One River’s to June 2.
When analyzing the last weekly close, we certainly did not register a higher high, but this is the first time in a month that something has happened.
BTC closed its week below the USD 42,000 level, which is the area it is currently testing. If we manage to finish the week above this area or even above USD 46,000, the bullish recovery could then be considered.
For the moment it is a little too early to claim victory, let’s wait and see what happens at the end of the day today.
As is often the case in the crypto market, ETH and BTC are moving in the same way and ETH is now flirting with the USD 3,000 mark. This area between USD 2,980 and USD 3,100 is the last bastion before USD 3,500.
Be careful though, the trading volume seems to be decreasing while prices are rising since last week. We need to be cautious, we definitely want to see volume accompany a potential break of the resistance zone.
Without this, we expose ourselves to a fakeout and a return to the support zone.
Altcoin of the week : ENJ
ENJ is currently trading around USD 1.48, if the pair manages to break out of the USD 1.70 area, then we can open a retracement position.
Be careful though, we really need a higher high above USD 1.70 before anything else, no precipitation!
Market sentiment can reverse very easily on cryptos as we just saw last week. Careful though, as long as we don’t have confirmation, we must base our decision on fact.
There is nothing more important for success in trading. Plan the trade and trade the plan! As simple as that. In fact, don’t be tempted to take dangerous positions and wait for confirmation.
I’ll see you next week, stay safe and take care of yourself!
Have a great week everyone!