The latest news stories from the crypto world, as well as, market and technical analysis of leading cryptocurrencies including Bitcoin and Ethereum.
In the last three days, the global crypto market cap is up by approximately 6%, while the Total Value Locked (TVL) in Decentralized Finance is up by ~4%. Though the market was expecting a negative impact on the cryptocurrencies because of the much-anticipated FEDs rate hike.
The Federal Open Market Committee(FOMC) announced the first rate increase in interest rate from 0.25% to 0.5% range. It is the biggest hike since 2018, which the FED body reasoned with the high inflation rates affecting the United States dollar. Similarly, Bitcoin, Ethereum, and other cryptocurrencies experienced a low-to-zero price change.
Bitcoin is hovering below the $41,500 resistance level and is currently moving downwards after it declined below the crucial $41,000 level. It traded below the 23.6% Fib retracement level of the upward move from the high of $41,200 to $39,400 low. However, while the price is trading above $39,800, it is down the 100-hour SMA. On the daily chart, the cryptocurrency is forming a bullish trend line forming with support near $41,000.
If Bitcoin is to move forward, the first resistance is near the $41,000 level, and then at the $41,500 level. An upward move might push the price towards the $42,000 level in the short term.
On the downside, the next support is at the $40,350 level, however; the crucial support is at the $40,000 level and the trend line. The next crucial support is at $39,000 and the 100-hour SMA, which once broken, can send the price towards the $37,500 level.
Looking at the data on Google searches for Bitcoin – that sink to 6 month low – a downside correction is more likely to happen in the coming sessions.
Ethereum cleared the $2700 resistance zone and even cleared other levels on the upside, pushing the price further into a positive zone above $2800 and the 100-hr SMA. The cryptocurrency also formed a high near $2828 and is now consolidating gains. The daily chart shows ETH forming a major bullish trend line with support near $2775.
If Ethereum continues to gain, the next resistance is near the $2830 level, which it should clear to start another increase towards the next resistance level at $2880. Any further gains could help the cryptocurrency push towards the crucial $3000 resistance zone.
On the other hand, if it fails to clear the $2830 resistance, it could start a downside correction towards the trend line support and $2775. The immediate next support is at $2750, which if broken, could break it below the $2730 key support zone.
Ukraine Legalizes Crypto, Australia Takes Meta to Court, and EU Regulators Warn Against Crypto Investments
Ukraine has passed a bill that will allow the country to launch a legal market for cryptocurrencies in Ukraine. Per the new law, crypto exchanges and other service providers can operate legally in Ukraine’s jurisdiction, and businesses and individuals will be able to transact legitimately.
The European Banking Authority (EBA), European Securities and Markets Authority (ESMA), and European Insurance and Occupational Pensions Authority (EIOPA) have warned investors against the volatile nature of cryptocurrencies, which could turn into huge losses. The warning has come in the light of an increased user-base of crypto users in the region.
In a legal action, Australian watchdogs ACCC (Australian Competition and Consumer Commission) have launched a case against Meta(formerly Facebook). alleging that the platform is taking advantage of its huge user database to promote bogus crypto ads featuring famous people.
Bored Ape Yacht Club Drops Its Token; Some Made Thousands
The famous Bored Ape Yacht Club (BAYC) recently launched ApeCoin – a token linked to the club’s NFT project. It was airdropped this morning to all the holders of BAYC NFT. Everyone who cashed out made a lot of money because each coin was priced at around $10.36. A few hours later, it dropped to $6.28.
However, those who didn’t sell made even more as the token not only quickly consolidated losses but also made a high of $17.17 in the same day. It has since leveled out at around $15.