Crypto Frontline

Weekly Crypto Analysis March 8-14, 2021

Weekly Crypto Analysis March 8-14, 2021
March 07
13:26 2021

BTCUSD (Coinbase)

BTCUSD technical analysis
Source: TradingView

As we’ve anticipated a week ago, Bitcoin managed to rebound from the lows and even managed to surpass the $50,000 mark before finding resistance. The upside was capped around $51.8k and for now, that is where sellers are expected to rejoin the trend.

Yesterday, the US Senate passed a $1.9 trillion spending bill and that could mean renewed pressure on USD at the start of the new week, which may give a new boost to risk assets, including Bitcoin. As a result, the sentiment could easily shift towards the buy-side if the first red line in our chart will be breached on the upside.

If that will be the case, $55k and then $57.6k will follow, depending on whether the market momentum can persist. In case sellers will start to gain traction, it would be critical to watch if the 4h chart 200 SMA will fail to provide support. That’s the only scenario where the price could slump back towards $42k. For now, the RSI is neither oversold nor overbought, which means anything can happen at this point.

ETHUSD (Kraken)

ETHUSD technical analysis
Source: TradingView

Same as Bitcoin, Ether managed to rebound during the past week, but for new, resistance seems to be encountered around the 4h chart 200 SMA. For months the price traded above the line and after the breakout, the structure shifted in favor of the sellers.

As we start the new week, the most important technical development will be whether buyers can break above the $1.7k area. Only in that case, should we expect more gains towards $1,860 or close to the all-time highs around $2k.

In case bullish gains will continue to show up, the selloff seen at the end of February will turn out to be an exhausted price action development and reaching new all-time highs shouldn’t be an issue for ETH. However, caution is now required, given the price is still locked inside a range between $1.7k and $1.35k.

ADAUSD (Binance)

ADAUSD technical analysis
Source: TradingVIew

Cardano is one of the few cryptocurrencies that had managed to navigate the broad market selloff without posting massive losses, which means it had been treated as a safe-haven. Although the token found short-term resistance around $1.4, the prior all-time high, it is still in corrective mode.

At the same time, the selling had been contained by the daily 20 EMA, suggesting the price could start another leg higher during the next several days, pressuring once again the all-time high. The token had been posting massive gains since November and the momentum does not show any major sign of weakening for now, meaning there could be more upside left ahead.

Although there is a high probability for a continuation higher, traders should not rule out a deeper corrective move lower. If the price cracks below the 20 EMA and closes without major bullish interest, that could signal more downside towards the 8 cents area.

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