Cryptocurrency Analysis

[IFX_Selena]

Short-term technical analysis on XRP/USD for April 15, 2021

XRP/USD is trading around $1.70 just above the short-term trend line support. Price topped yesterday at $1.9617 and pulled back as low as $1.5676. Trend remains bullish as long as price is above $1.06 but if price breaks below $1.64, I expect a deeper correction to follow.



Blue lines- support trend lines

Red lines - Fibonacci retracement levels

Red rectangles- horizontal support levels.

So far XRP/USD is respecting the first upward sloping blue trend line. Breaking below it will make me expect price to reach the second blue trend line and the first horizontal red support area around $1.50. If this happens I would expect the correction and consolidation period for XRP/USD to last more than a week. Resistance is at $1.80-$1.88. If bulls manage to break this level then we forget the pull back to $1.50 and expect new highs above $2. If $1.80-$1.88 is broken, our first target will be $2.18 and next at $2.59.





Alexandros Yfantis
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Trading Signal for Ripple XRP, for April 15 - 16, 2021: Buy above 1.7540



The Ripple made good profits for holders of the cryptocurrency XRP, as the cryptocurrency soared almost 800% and this week approached the $ 2 level in the early hours of April 14.

In addition to reaching its highest level since January 2018, this robust price increase signals that investors are not concerned about the current SEC dispute over the offering of unregistered securities.

On the technical level, we note that XRP remains bullish for now as long as it is above the 21 SMA and above the 4/8 murray pivot.

We recommend buying at the break of the symmetrical triangle with targets up to 1.9531 and 2.34.

On the contrary, a consolidation below 1.5625, we expect a correction to the 200 EMA located at 0.8070.



Support And Resistance Levels For April 15 - 16, 2021

Resistance (1) 1.9515
Resistance (2) 2.0492
Resistance (3) 2.1537

Support (1) 1.5574
Support (2) 1.3655
Support (3) 1.1609




Dimitrios Zappas
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Cryptocurrency market overtakes Apple in capitalization, but altcoins took a break: reasons and forecasts

Major cryptocurrencies have been rewriting historical indicators all week and have overtaken tech giant Apple in total capitalization. The value of all crypto assets already reached $2.26 trillion. Despite the solid success, over the past 24 hours, the market took a break and decreased by 1.3%. The main altcoins, following a 2% drop in bitcoin, also went into a slight correction.

Among the main reasons that contributed to the fall in altcoin quotes is the start of the listing of Coinbase shares on the NASDAQ platform which caused a certain downturn in market activity. It is likely that the situation with the direct listing indirectly intensified the local correction in the market, which was brewing due to the constant rewriting of the highs. Bitcoin also played a role in the market fall, which lost $2,000 in price and pulled the entire market with it. The news background was also diluted with unpleasant news from representatives of the Kraken crypto exchange. Kraken CEO Jesse Powell said that the company could leave the United States due to the tightening of legal regulation of cryptocurrencies. According to Powell, innovations can significantly undermine the position of cryptocurrencies in the eyes of large investors due to many restrictions.

The only coin that did not succumb to the general downturn was Ethereum. The crypto asset has risen in price by 1.5% over the past day and has not lost in daily trading volumes - $40.5 billion. As of April 15, the ETH/USD pair is quoted at $2,430, and the asset shows the prerequisites for the start of growth. Soon, ether will reach $2,500 and, with the support of the market, will be able to gain a foothold over a difficult border. The main factor that helped the altcoin avoid correction was the launch of the Berlin update - a change in the Gas commission transaction algorithm. Due to the gradual transition to the ETH 2.0 version and steady growth amid a general hangover, the market may support the cryptocurrency. This will allow the asset to overcome another historic milestone and even get closer to the $3,000 mark.



The XRP token was unable to avoid the crisis and over the past day decreased by 9.3%. As of April 15, the asset's indicators remain at $1.7, but the daily trading volume fell to $18.6 billion, which does not give the coin the prerequisites for growth. In addition, the local dynamics of changes in value remain negative (-1.5%). Given the recent state of affairs, the cryptocurrency will not enter the stage of a protracted correction, since at this stage it is the most active and speculative asset on the market. This is because, after several victories by Ripple over the SEC in the courtroom, traders are paying the same attention to the asset as they did in the peak of 2018, before the SEC lawsuit. In addition, if the market situation does not change, then the token temporarily free from the shackles of the SEC may reach $2-$2.5. The asset can reach the $3 mark, but only if the upward trend continues, buyers' interest and there is no negative reaction from the regulator.



Litecoin also sank in price by 1.4% over the day. The asset has consolidated at the safe level of $270 and is preparing for further growth. The dynamics of the fall in prices for cryptocurrencies in 24 hours and the general positive background indicate that the fall in altcoin quotes occurs within the framework of a healthy local correction, which remains within the upward trend. The main cryptocurrencies have taken a foothold in safe positions, with significant market support, and therefore it is safe to say that the crypto market will resume growth soon.







Artem Petrenko
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BITCOIN. Inflation could be the main driver for bitcoin in 2021



Last year, when the whole world confronted the "coronavirus" with huge economic and human losses, bitcoin showed its almost strongest growth in the entire history of its existence. Someone may see a paradox in this, but in fact, everything is easy and simple to explain. Note that fundamental or technical factors alone do not move the price. Demand and supply move the price. Thus, if the bitcoin rate (like any other asset) rises, this means that the demand for it increases or the supply in the market decreases. What global changes in the economy have occurred in the past year? In addition to the record drop in the second quarter of 2020, there was only pumping of its money, which was often scattered altogether from a helicopter (as in the United States). In other words, what has happened is that governments and central banks have been feeding the economy with money to stimulate it; as a result, the money supply in many countries has swelled, and production and the service sector have shrunk during the pandemic; thus, there is more money and fewer goods and services produced; the natural result of this process will be an increase in inflation.

The fact that inflation has been at a low level over the past year only suggests that all the money introduced into the economy was immediately withdrawn by the beneficiaries. That is, for example, the US government gave out 0.5 trillion dollars to all the people of America, and there is nowhere to spend money during the crisis. Yes, low-income and poor families spent it on basic necessities and food, but most Americans did not desperately need $1,000 from Donald Trump and $1,400 from Joe Biden. And we are only talking about direct payments to the population. This money just settled "under the pillows". Therefore, inflation remained low during this period of time. But now, when the US government and the Federal Reserve continue the policy of trillions of injections into the economy, and the economy itself is recovering, all the money introduced will slowly surface. In March, inflation has already jumped to 2.6%. Most likely, it will continue to grow in 2021. And what is inflation? This is a decrease in the purchasing power of money over time. To protect themselves from the depreciation of money, investors start looking for higher-yielding assets than standard stocks and bonds. And they all came to the cryptocurrency market in 2020-2021.

Bitcoin has become a tool that can protect against inflation. And since inflation began to accelerate in the United States, it is bitcoin and its "siblings" that can continue to serve as protection against the depreciation of money around the world (the problem of rising inflation is not only in the United States). Of course, this is just a hypothesis. Large investors may start leaving the market at some point. For example, when the crisis is over. However, no one knows the future. Hardly anyone could have guessed that a pandemic would begin in 2019. Thus, as long as the upward trend persists, of course, one should remain in buying bitcoin. We now have an upward channel at our disposal that will show when the upward trend is completed. From our point of view, the main opponent of the further growth of the bitcoin is now its own value. It really has risen in price quite strongly, and fewer investors are willing to buy it at the current price.





Paolo Greco
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BTC analysis for April 15,.2021 - Second downside leg in creation and potential for test of $60.100

Germany March final CPI +1.7% vs +1.7% y/y prelimLatest data released by Destatis - 15 April 2021HICP +2.0% vs +2.0% y/y prelimThe preliminary report can be found here. No change to the initial estimates as this reaffirms stronger price pressures seen last month, largely due to base effect adjustmentsFurther Development



Analyzing the current trading chart of BTC, I found that there is potential for the downside movement towards $61.350.

My advice is to watch for selling opportunities on the rallies with the downside targets at $61.357 and $60.100.Stochastic oscillator is showing fresh new cross.


Key Levels:

Resistance: $63.500

Support level: $61.350 and $60.100





Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Trading plan for Ethereum for April 15, 2021



Technical outlook:
Ethereum bulls have managed to push through fresh highs just below $2,500 mark before pulling back. Please note that the crypto has hit its fibonacci 0.382 extension around $2,430/50 already. High probability remains for a pullback from here, possible towards $1,300 levels, before the rally could resume further to fresh highs.

Ethereum has pulled back from the swing highs and is trading below $2,450 levels at this point in writing. Prices have been clearly trading into the buy zone of both support trend lines but the daily chart might produce a doji candlestick pattern today, indicating a bearish reversal ahead. Immediate resistance is seen at $2,500 mark, while short term support is seen around $1,920 levels respectively.

Ethereum has successfully managed to produce a religious uptrend since $89.50 lows registered in March 2020, which remains intact. We are simply expecting a corrective drop towards $1,300/40 levels, before the rally resumes higher again. Traders might take profits on long positions and remain flat.


Trading plan:
Book profits on long positions taken earlier @ 2,440/50.

Aggressive traders sell @ 2,430/50, stop @ 2,400, target @ 1,300

Conservative traders remain flat for now.

Good luck!




Oscar Ton
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Trading plan for Bitcoin for April 15, 2021



Technical outlook:

Bitcoin had rallied through almost $65,000 levels yesterday before turning lower again. The drop could be a beginning of a deeper correction or just a pullback. Looking at the price action and the daily RSI, the crypto seems to be vulnerable for a decline towards $43,000 and further. A fresh rally towards now highs could resume thereafter.

Bitcoin is seen to be trading around $62,615 mark at this point in writing and might be preparing to turn lower again. We change our trading stance from neutral-bullish to bearish today. Aggressive traders might want to initiate fresh short positions from here with a potential target below $43,000 levels in the next few weeks. Resistance remains fixed around $65,000 levels for now.

Please note that the larger trend remains up from here and Bitcoin might be pushing towards $75,000 levels as discussed yesterday. It remains to be seen if the rally continues from here or after producing a corrective drop towards $40,000-43,000 levels. Immediate price support is seen around $55,000 mark and a break there will confirm a meaningful top in place around $64,895.


Trading plan:

Aggressive traders remain short @ 62,500-63,000, stop @ 66,000, target @ 40,000

Conservative traders allow a break below $55,000, then sell.

Good luck!





Oscar Ton
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Ethereum Grows As Planned!

ETH/USD reached a fresh all-time high of 2,482 today and it could resume its growth if the price of Bitcoin resumes its growth as well. The crypto market exploded lately, that's why the major cryptocurrencies are very attractive.

Technically, the crypto has reached a resistance area, so it remains to see how it will react in the short term. We cannot exclude a minor decline after the current strong rally. Ethereum could still reach the 2,500 psychological level before deciding the direction.


ETH/USD AT RESISTANCE!


You already know from my analyses that ETH/USD was expected to increase after registering the valid breakout above the first warning line (WL1). Its minor consolidation above the weekly pivot point (2,091) signaled further growth.

Now, is located right above the second warning line (WL2) flirting with the major up channel's upside line. The daily R1 (2,491) is seen as immediate resistance. A valid breakout above this obstacle and through the upside line could validate that ETH/USD will approach and reach fresh historical highs.


ETHEREUM OUTLOOK!

Jumping, closing, and stabilizing above the upside line and beyond the weekly R3 (2,520) could represent a new buying opportunity if the rate escapes from the up channel.

Still, you should be careful because a false breakout above these obstacles or any other reversal pattern printed here could announce a corrective phase, a downside movement.





Ralph Shedler
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for April 15, 2021

Crypto Industry News
The European Central Bank has published the results of the public consultation on the digital Euro. The institution is getting closer to deciding whether to formally initiate work on such an initiative.

According to the press release published today, the ECB received over 8,200 responses as part of the public consultation on the digital Euro. This is undoubtedly a record result when it comes to the historical volumes of involvement in such consultations. Of all the responses, 47% were from Germany. A significant proportion of them also came from Italy and France, which account for 15% and 11% of all responses respectively.

What did the respondents say?

Most respondents said that a satisfactory level of privacy would be the most desirable feature of a potential digital Euro. Such a declaration accounted for 43% of all EU citizens and professionals who participated in the consultations.

"Privacy is considered a key feature of the digital Euro by both citizens and consultants, especially retailers and other businesses," the report notes.

Security and the ability to make payments throughout the Euro area were mentioned as top priorities at 18% and 11%, respectively. 9% of respondents stressed the importance of eliminating additional costs and 8% stressed the need to use the digital Euro offline.


Technical Market Outlook:
The ETH/USD pair has made a new all time high at the level of $2,475 (at the time of writing the article) and keep going up. The next target for bulls is seen at the level of $2,500. The momentum is strong and positive, so the up trend might be continued with occasional pull-backs. The larger time frame trend is up as well and there is no indication of the up trend termination. The immediate technical support is located at the level of $2,314 and $2,201.

Weekly Pivot Points:
WR3 - $2,536
WR2 - $2,369
WR1 - $2,274

Weekly Pivot - $2,100
WS1 - $2,008
WS2 - $1,819
WS3 - $1,739


Trading Recommendations:
The longer term up trend on the Ethereum continues despite the local counter-trend corrections. When the correction is terminated, the next long term target for ETH/USD is seen at the level of $2,500. The key long term technical support is seen at the level of $1,412, so only a weekly candle close below this level will invalidate the bullish scenario.







Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of BTC/USD for April 15, 2021

Crypto Industry News:
WallStreetBets (WSB), a Reddit community whose activities have significantly influenced the GameStop share price, will now enable the discussion of cryptocurrencies: bitcoin, ethereum and dogecoin.

The moderators' decision is a turning point in the development of the subreddit so far. It has long been believed that the topic of cryptocurrencies would overcome the main mission of WSB: discussing stocks listed on the stock exchange.

"I don't see the point in delaying the inevitable as cryptocurrencies will stay in the industry for a long time," wrote the moderator "bawse1". "After much consideration, we decided to discuss only BTC, ETH and DOGE [sic]."

The discussion will be limited to one thread in order to "not burden everyone with cryptocurrency spam".

WallStreetBets' decision to include digital assets in the discussion was announced on the same day as the lines between exchanges and cryptocurrency markets became somewhat blurred. Coinbase, the cryptocurrency exchange in San Francisco, entered - just a few hours ago - the Nasdaq exchange. An exchange that allows you to trade bitcoin and ethereum (not dogecoin) generates most of its revenue from transaction fees. If cryptocurrency trading volumes decline, goodwill is likely to decline as well.


Technical Market Outlook:
The BTC/USD pair has made a new ATH at the level of $64,786 and then dropped down towards the level of $61,226, which is a 38% Fibonacci retracement level of the last wave up. The market tested the short-term trend line support around the level of $61,500 as well and bounced significantly. The momentum remains strong and the next target for bulls is seen at the level of $70,000. The immediate support is seen at the level of $61,683 and $60,000, but the key short-term technical support is located at $54,719. The weekly time frame trend remains up.

Weekly Pivot Points:
WR3 - $68,058
WR2 - $64,489
WR1 - $62,269

Weekly Pivot - $58,989
WS1 - $56,726
WS2 - $53,045
WS3 - $51,108


Trading Recommendations:
The bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. Any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $54,719 is clearly broken on the e daily time frame chart.







Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021