Cryptocurrency Market update – Mar-17-2023

Amid the bullish sentiment around the crypto landscape, Altcoin market cap has displayed strength as many investors and traders are throwing capital into altcoins ahead of the bull cycle.

Bitcoin price correction ushered a crypto market decline, however some altcoins showed strength during the dip, offering gains to holders. However, altcoins do not possess “the $500 million to $1 billion” daily inflows seen with Bitcoin. Consequently, this should be the “major sign” that their gains “cannot” be sustained.  It remains to be seen whether these altcoins will sustain their recent gains in the coming weeks and months.

Looking at BTC daily chart, it seems Bitcoin’s pull back is upon us. Sixty-one days since we had the last major low. Since the beginning of the year, it has been a significant run to the peak at $73.8k. There will be a slight sell-off to reset the sentiment into the next 60-day cycle.

Nothing significant since the down side that started 3 days ago but let’s not rule out the fact that, it could lead to selling-off down to 60-day cycle low. Thirty percent (30%) would get us back to the position we were less that one month ago.

Don’t lose sight of the claim that BTC will not retrace up to 30% in a bull market due to massive demand of the asset.

Chart 1. Nothing significant since the down side that started 3 days ago but let’s not rule out the fact that, it could lead to selling-off down to 60-day cycle low.
Source: Paid Content from bitcoin.live , Chart by TradingView

Looking at the BTC weekly chart, we can see how stretched the price action has been but that doesn’t mean, we could still have a pull back up to 30% ($52k) level. Even if that happens, it will still keep price around 10-week moving average(MA). Don’t panic to sell at any given pull back because we’re in a strong bullish trend, rather it should be the time to load more into your portfolio.

Overall, let’s maintain our position and pick up more on every given sell-off.

Chart 2. We see how stretched the price action is.
Source: Paid Content from bitcoin.live ,Chart by TradingView

ETH/USD

On the medium time-frame, if the price of the main altcoin keeps falling after a failed attempt to fix above the $4,000 zone, the pullback may continue to the support of $3,402.

A move down in the next two weeks would not be unusual. This will prepare another move up around April-May.

Chart 3. We see Eth price of the main altcoin keeps falling after a failed attempt to fix above the $4,000 zone.
Source: Paid Content from bitcoin.live , Chart by TradingView

SOL/Ethereum  

The narrative is shifting to SOL as it’s outperforming Ethereum and even BTC at some points. With Solana’s total chain volume standing at $3.654 billion, compared to Ethereum’ $2.397 billion, the platform has emerged as the undisputed leader in blockchain transactions.

I think it’s going to continue to surge in this remaining part of this cycle; heading its way back to those ALL-TIME levels as Solana’s price is currently at $193. The community is strong and more allocations are being given to Solana at the moment.

It’s very bullish and I see more allocation in the next 4-year cycle even though it has different RISK profile with Bitcoin and Ethereum. These three assets have different timings and this could help in making the right decision in terms of allocations.

Chart 4. Solana heading its way back to those ALL-TIME High levels as its price is currently at $193.
 Source: Paid Content from bitcoin.live , Chart by TradingView

AVAX/USD

AVAX made a strong move up to $60 after a prolonged consolidation. It has a lot ground to cover and having a little allocation to it, is not a bad idea. It’s still very much below its’ All-time-High.

The Relative Strength Index (RSI) is presently in the bullish zone below the overbought threshold, painting a positive outcome for AVAX.

Chart 5. Stochastic RSI is presently in the bullish zone below the overbought threshold, painting a positive outcome for AVAX.
Source: Paid Content from bitcoin.live , Chart by TradingView

INJ/USD

INJ/USD had a 20% pull back after hitting $53 but still having a good consolidation since December 2023. This slight pull back would be a good entry as it’s going to continue moving higher.

Chart 6. INJ/USD having a 20% pull back after hitting $53 but still having a good consolidation since December 2023.
Source: Paid Content from bitcoin.live , Chart by TradingView