Why is the crypto market rising since yesterday? And when will it drop?
The crypto market has been surging since yesterday, with Bitcoin approaching $100,000 and Ethereum surpassing $1,965.#
Why this sudden rise? Several key factors explain the upward momentum: U.S. Strategic Bitcoin Reserve: President Donald Trump signed an executive order to create a strategic Bitcoin reserve using confiscated BTC, positioning the U.S. as a digital asset leader.Eased Trade Tensions: The temporary suspension of tariffs on Canadian and Mexican auto imports has reduced market stress, boosting risk appetite.Massive ETF Inflows: Bitcoin ETFs, especially BlackRock’s, saw over $25 billion in inflows, signaling strong institutional interest. Regulatory Easing: The repeal of SEC rule SAB 121 now allows companies to hold digital assets more freely, restoring investor confidence. #BTCtrade $BTC $ETH $XRP #drops
$THE $BNB Based on the provided chart and technical indicators: Indicator Analysis: 1. Price and Volatility: The price is currently fluctuating around $3.3 after dropping from a peak of $4.18. This consolidation between $2.9 and $3.5 suggests clear short-term support and resistance levels. Trading volumes appear moderate, indicating reduced participation from buyers or sellers at this stage. 2. RSI (Relative Strength Index): The RSI at 50.86 shows a neutral zone, meaning the market is neither overbought nor oversold. This leaves room for potential movement in either direction, depending on future momentum. 3. MACD (Moving Average Convergence Divergence): The DIF and DEA lines are close to zero with minimal divergence, signaling a lack of momentum. This aligns with the current phase of consolidation. 4. Moving Averages (MA): The 5- and 10-period moving averages appear relatively flat, confirming the absence of a clear short-term trend. Overall Technical Analysis: The current phase seems to be a consolidation following a strong upward move, typical in crypto cycles. Such behavior generally allows the market to absorb profits and stabilize before a significant move (upward or downward). Possible Scenarios: 1. Upside: A breakout above $3.5 with strong volumes could signal a return to the bullish trend. 2. Downside: If the price drops below $2.9, it would indicate further weakness, potentially leading to a decline toward the next support levels. In conclusion, monitor the volumes and key support/resistance levels to anticipate the next move. Additional fundamental analysis (e.g., project announcements or changes in the DeFi ecosystem) could also provide insights into future price directions.
For those following the THE crypto, you need to stay cautious. The real winners were those who got in 12 hours ago when the price skyrocketed from $0.16 to $3 in no time. Now, it’s fluctuating between $3 and $4, but the momentum seems to be fading. These rapid swings indicate high risk, and I’m convinced it might drop further. If you’re thinking about investing, think twice and don’t get caught up in the hype. Caution is key in situations like this.
The recent decline in cryptocurrencies can be attributed to several factors:
1. Massive Liquidations: Around $286 million worth of long positions were recently liquidated, which intensified forced selling and exacerbated the downward pressure on prices across the crypto market.
2. Macroeconomic Context: Turbulence in traditional markets, such as the drop in indices like the S&P 500, and uncertainties surrounding monetary policies, including interest rate hikes (notably in Japan), have negatively impacted risky assets like cryptocurrencies.
3. Crypto-Specific Rumors: Significant sales by players like Jump Crypto and speculation about potential Bitcoin sales by the U.S. government have added to market anxiety.
4. Fear Sentiment: The Crypto Fear & Greed Index has dropped back into "fear" territory, reflecting a decrease in investor confidence.
This downturn stems from a combination of external factors (global economic conditions) and internal market dynamics. Recovery may depend on positive signs such as market stabilization or increased demand for cryptocurrencies.
To analyze whether POND/USDT could rise, several points can be studied based on the chart:
1. RSI (Relative Strength Index): The RSI is close to 40, indicating no immediate oversold or overbought conditions. This suggests a neutral zone that could shift either way.
2. Volumes: Volume is decreasing compared to previous peaks. This could indicate a temporary loss of bullish momentum or a potential sideways movement.
3. MACD: The MACD is below the zero line with weak divergence. This shows that the trend is not yet bullish but could shift if positive divergence strengthens.
4. Japanese Candlesticks: Recent candlesticks show hesitation. A breakout above the current resistance (around 0.0217) would be necessary to confirm an upward trend.
5. Support and Resistance:
Support: 0.0197
Resistance: 0.0217. A clear break above this level could signal continued bullish movement.
Conclusion:
Currently, the signals are mixed. If you observe an increase in volume alongside a breakout of key resistances, it could present a buying opportunity. However, wait for confirmation to avoid false signals.