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Bitcoin price bounced off the 50-day moving average but the real test is near $57,500 where the bears are likely to push back.

Glassnode data shows Bitcoin (BTC) exchange reserves on Coinbase have dropped by about $8 billion. This indicates that institutional investors are locking away their purchases in cold storage for the long term instead of booking profits. 

HODLing by institutions is a huge positive as it will continue to reduce Bitcoin's available supply, which may boost prices even if demand begins to diminish.

The news flow suggests no slowdown in institutional adoption. New Zealand Wealth Funds Management revealed that its product KiwiSaver Growth Strategy allocated 5% of its assets to Bitcoin in October 2020.

According to the firm’s chief investment officer James Grigor, the first Bitcoin purchase took place when Bitcoin was at $10,000. This means that when Bitcoin hit an all-time high at $61,825.44, the firm was sitting on a 518% profit. Grigor also added that Bitcoin could feature in more KiwiSaver schemes within the next five years. 

In a recent podcast with Raoul Pal, New York Digital Investment Group CEO Robert Gutmann said the firm has been receiving inquiries from sovereign wealth funds about possible Bitcoin investments. Pal disclosed that Singapore’s sovereign wealth fund Temasek had been buying virgin Bitcoin from miners.

More investors may arrive if the United States Securities and Exchange Commission approves a Bitcoin exchange-traded fund. The latest to seek approval to launch a Bitcoin ETF is Fidelity Investments. This shows that legacy financial firms are aggressively adding support to Bitcoin.

The arrival of all kinds of investors into the crypto space is a positive sign. While that may be bullish for the long term, let’s analyze the charts of the top-10 cryptocurrencies to determine the short-term trend.

BTC/USD

The bulls had pushed Bitcoin above the 20-day exponential moving average ($54,426) on March 24, but they could not sustain the higher levels, as seen from the long wick and the negative close on the daily candlestick.

The BTC/USD pair dipped to the 50-day simple moving average ($51,282) on March 25, which is an important support to watch out for because the bears have not achieved a close below it since Oct. 9 of last year.

If the bulls can sustain the current rebound and push the price above the 20-day EMA, the pair may rise to the downtrend line. The bears are likely to mount a stiff hurdle at this level.

If the price turns down from the downtrend line, the bears will make another attempt to sink the pair below the 50-day SMA. If that happens, the pair may witness increased selling pressure from short-term traders, resulting in a drop to $46,000 and then $43,006.77.

Alternatively, if the bulls can drive the price above the downtrend line, the pair may rise to the all-time high at $61,825.84. A breakout of this resistance will suggest the resumption of the next leg of the uptrend.

ETH/USD

Ether (ETH) has been trading below the moving averages for the past three days, signaling weakness. The bulls are attempting a relief rally today but the pullback may face selling by the bears at the 20-day EMA ($1,711).

If the price turns down from the 20-day EMA, the bears will try to sink the ETH/USD pair to $1,500 and then $1,289. The marginally downsloping 20-day EMA and the relative strength index (RSI) just below the midpoint suggest a minor advantage to the bears.

However, if the bulls can push the price above the moving averages, the pair may rally to the downtrend line. A breakout of this line will open the doors for a retest of the all-time high at $2,040.77. If the price turns down from the downtrend line, the pair may form a symmetrical triangle.

BNB/USD

Binance Coin (BNB) slipped below the 20-day EMA ($251) on March 24 and bears continued their selling on March 25, but they could not break the 50-day SMA ($216) support. This attracted buying from the bulls who are currently trying to push the price back above the 20-day EMA.

The flat moving averages and the RSI just above the midpoint suggest a balance between supply and demand. If the bulls can push the price above the downtrend line, the BNB/USD pair could rise to $309.50.

Contrary to this assumption, if the price turns down from the downtrend line, the bears will once again try to break the 50-day SMA support. If they succeed, the pair may drop to the critical support at $189.

ADA/USD

Cardano (ADA) repeatedly turned down from the 20-day EMA ($1.14) for the past three days, but the bears could not break the $1.03 support. This suggests accumulation by the bulls at lower levels.

The bulls have pushed the price above the 20-day EMA today. If they can sustain the higher levels, the ADA/USD pair may gradually move up to $1.48. The bears are again likely to pose a stiff challenge at this resistance.

The 20-day EMA is flat and the RSI is just above the midpoint suggesting a possible range-bound action for a few days. This neutral view will invalidate if the price turns down and breaks below $1.03. That could signal the start of a deeper correction to $0.80.

DOT/USD

Polkadot (DOT) broke below the symmetrical triangle and the 50-day SMA ($32.55) on March 24, indicating the bears have overpowered the bulls. Usually, after the price breaks below an important level, it tends to retest the level. In this case, the price may rise to the breakdown point, which is close to the 20-day EMA ($34.26).

If the price turns down from this resistance, it will suggest the sentiment has turned negative and traders are selling on rallies. The bears will then try to sink the price below $26.50. If they can pull it off, the DOT/USD pair could extend its decline to the pattern target at $18.22.

This negative view will invalidate if the bulls can push and sustain the price above the 20-day EMA. Such a move will suggest strong buying at lower levels and a possible consolidation for a few days.

XRP/USD

XRP dropped below the $0.50 support and the moving averages on March 24. However, the positive thing was that the lower levels attracted strong buying from traders and the price snapped back above the $0.50 level on March 25.

The RSI bounced off the midpoint and the moving averages are sloping up, indicating the sentiment has turned positive and traders view dips as a buying opportunity. If the bulls can drive the price above $0.60, the XRP/USD pair may rally to $0.65 and then $0.78.

On the contrary, if the price again turns down from $0.60, it will indicate a lack of demand at higher levels. That could keep the pair range-bound for a few more days.

UNI/USD

Uniswap (UNI) plunged below the support of the $27.97 to $35.20 range on March 24. However, the bears could not sink the price below the 50-day SMA ($26.38), which shows the bulls are defending this level.

The UNI/USD pair has bounced off the 50-day SMA and the bulls will now try to push the price above the 20-day EMA ($29.62). If they succeed, the price may once again rise to the $35.20 to $36.80 overhead resistance zone.

On the other hand, if the pair turns down from the 20-day EMA, the bears will once again try to sink the price below the 50-day SMA. If that happens, the pair may drop to $20.74. The 20-day EMA has started to turn down and the RSI is just below the midpoint, suggesting a minor advantage to the bears.

THETA/USD

THETA is currently consolidating in a strong uptrend. The bulls purchased the dip to the 38.2% Fibonacci retracement level at $10.31 on March 25. This shows the sentiment remains positive and traders are buying the dips.

If bulls can thrust the price above the $13 to $14.96 zone, the THETA/USD pair could start the next leg of the uptrend that may reach $19. The rising moving averages and the RSI in the overbought zone suggest the path of least resistance is to the upside.

Conversely, if the bears successfully defend the overhead resistance zone, the pair may remain range-bound between $10.31 and $14.96 for a few days. A break below $10.31 could extend the decline to the 20-day EMA ($8.74).

LTC/USD

Litecoin (LTC) turned down from the 20-day EMA ($191) on March 24 and broke below the trendline of the symmetrical triangle. This is a negative sign as it suggests that the triangle is acting as a reversal pattern.

The downsloping 20-day EMA and the RSI in the negative zone suggest the bears have the upper hand. If the price again turns down from the 20-day EMA, the bears will try to extend the correction to $152.94 and then to $120.

However, the bulls are unlikely to give up easily. They will try to push the price back above the 20-day EMA. If they succeed, it will show aggressive buying at lower levels and may keep the LTC/USD pair inside the triangle for a few more days.

LINK/USD

Chainlink (LINK) plummeted below the minor support at $26.28 on March 24 and reached the important support at $24. Although the bulls have held this support for the past two days, the rebound lacks strength, indicating a lack of confidence among buyers that the correction may be over.

The 20-day EMA ($27.97) has started to turn down and the RSI has dipped into the negative territory, suggesting that bears have the upper hand. A break below $24 could intensify selling that may drag the LINK/USD pair to $20.11.

This negative view will invalidate if the bulls can push the price above the 20-day EMA. Such a move will suggest strong buying at lower levels and could keep the pair range-bound between $24 and $32 for a few days.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Bitcoin price is still meeting strong sell pressure near a key trendline, indicating the possibility of further downside for BTC and altcoins in the coming days.

On March 24, Tesla CEO Elon Musk announced that U.S. buyers are now able to purchase Tesla vehicles with Bitcoin (BTC). Musk also tweeted that Tesla will not convert BTC payments into fiat but will add to its existing treasury of about 48,000 Bitcoin. 

Wedbush Securities analyst Dan Ives expects Bitcoin to account for less than 5% of Tesla transactions, but the percentage could move up as crypto adoption increases. The analyst said the move by Tesla could be a defining moment for Bitcoin from a transactional point of view.

This week, CNBC host Jim Cramer thanked Anthony Pompliano on the Pomp Podcast for convincing him to invest $500,000 in Bitcoin (BTC) in September 2020. Cramer said his Bitcoin investment has made him "a ton of money."

However, during the same period, Cramer said his gold investment “let him down.” Due to this, Cramer altered his age-old advice of allocating 10% of the portfolio to gold. He now recommends investors put 5% of their portfolio allocation in gold and 5% in Bitcoin.

With positive news flow acting as a tailwind, could Bitcoin and major altcoins resume their uptrend? Let’s analyze the charts of the top-10 cryptocurrencies to find out.

BTC/USD

Bitcoin broke and closed below the pennant and the 20-day exponential moving average ($55,212) on March 22. However, the bears could not take advantage of the weakness and sink the price to the 50-day simple moving average ($50,752). This suggests a lack of sellers at lower levels.

The bulls have bought the dip aggressively and pushed the price back above the 20-day EMA today. The next hurdle is the downtrend line. If the buyers can drive the price above this resistance, the BTC/USD pair may retest the all-time high at $61,825.84.

A breakout and close above this level will open the doors for a rally to $72,112 and then $74,512.78.

However, the bears are unlikely to give up without a fight. They will try to stall the current relief rally at the downtrend line. If the price turns down from this resistance, the bears will once again try to sink the pair below the 50-day SMA. If they manage to do that, the pair could drop to $43,006.77.

ETH/USD

After failing to rebound off the 20-day EMA ($1,742) for a few days, Ether (ETH) succumbed to selling pressure and plummeted below the moving averages on March 22. The bulls are currently trying to push the price back above the moving averages.

If the buyers are successful in their endeavor, the ETH/USD pair may again try to reach the all-time high at $2,040.77. A breakout and close above this resistance could resume the uptrend, which has a target objective at $2,614.

On the contrary, if the price turns down from the moving averages, it will suggest that the sentiment has turned negative and traders are selling on rallies to the 20-day EMA.

If the price turns down and breaks below $1,647, the pair could extend its decline to $1,500 and then $1,289.

BNB/USD

Binance Coin (BNB) is trading inside a wide range between $189 and $309.50. The bulls are attempting to keep the price above the 20-day EMA ($254.66). If they can propel the price above $280, the altcoin may rally to $309.50. A breakout of this resistance could signal an advantage to the bulls.

On the other hand, if the price turns down from $280, it will suggest traders are booking profits on rallies. The bears will then try to capitalize on this weakness and sink the price below the 20-day EMA.

If they do that, the BNB/USD pair could gradually correct to $220 and then to $189. A break below this support could start a deeper correction.

Right now, the flat moving average and the RSI above 55 signal a balance between supply and demand, resulting in a few more days of consolidation.

ADA/USD

Cardano (ADA) broke below the 20-day EMA ($1.14) and the price dipped close to the $1.03 support on March 22. The bulls bought the dip and are currently attempting to push the price back above the 20-day EMA.

If they manage to do that, the ADA/USD pair may start its journey toward the resistance of the range at $1.48. The flat 20-day EMA and the RSI just above the midpoint also suggest a few days of consolidation.

Contrary to this assumption, if the price turns down from the current level and slides below $1.03, it could attract further selling from the bears. That could result in a drop to $0.80 and then $0.70.

DOT/USD

The failure to sustain Polkadot (DOT) above the resistance line of the symmetrical triangle on March 20 could have trapped the aggressive bulls, which led to a correction and the price dipped to the support line of the triangle on March 23.

The strong rebound off the support line shows the bulls are accumulating on dips. They will now once again try to propel the price above the triangle. If they can sustain the breakout, the DOT/USD pair could move up to $40.10 and then $42.28. A breakout and close above this resistance could start the next leg of the uptrend that could reach $55.

Conversely, if the price again turns down from the overhead resistance, the pair may extend its stay inside the range. The price has reached close to the apex of the triangle. Usually, when this happens, the setup is invalidated.

The flat 20-day EMA ($35.39) and the RSI just above the midpoint suggest a few days of range-bound action.

XRP/USD

The long wick on XRP’s March 22 and 23 candlestick suggests that traders are booking profits at higher levels. However, the positive thing is that the bulls continue to buy on every minor dip.

The upsloping moving averages and the RSI above 63 suggest that bulls have the upper hand. If they can push the price above $0.60, the XRP/USD pair may challenge the stiff resistance at $0.65. A breakout and close above this level could attract further buying, pushing the price to $0.78 and then $1.

This bullish view will invalidate if the price turns down and breaks below the moving averages. Such a move could pull the price down to $0.42.

UNI/USD

Uniswap (UNI) broke above the $35.20 overhead resistance on March 22 but the bulls could not sustain the breakout. The bulls again tried to clear the hurdle on March 23 but met with heavy selling pressure at higher levels. That dragged the price back into the $27.97 to $35.20 range.

The 20-day EMA ($30.41) is flattening out and the RSI is just above the midpoint, suggesting the range-bound action may extend for a few more days. The longer the time spent in a range, the stronger will be the eventual breakout from it.

A breakout and close above $35.20 could start the next leg of the uptrend that may drive the UNI/USD pair to $42.43 and then $46. On the contrary, a break and close below $27.97 may start a deeper correction to $20.74.

THETA/USD

THETA is in a strong uptrend but the long wick on the March 23 candlestick showed profit-booking at higher levels. However, that did not deter the bulls from pushing the altcoin to a new all-time high again today.

The failure to sustain the higher levels has formed a shooting star candlestick pattern today. This increases the possibility of a correction or a consolidation in the next few days. The RSI above 90 also shows the THETA/USD pair is overbought in the short term and may cool down.

The first support on the downside is the 38.2% Fibonacci retracement level at $10.31. If the pair rebounds off this support, it will suggest the trend remains strong as the bulls are not waiting for a deeper correction to buy. Conversely, a break below $10.31 could sink the pair to the 20-day EMA ($8).

LTC/USD

Litecoin (LTC) formed a Doji candlestick pattern on March 23, indicating indecision among the bulls and the bears. This uncertainty has resolved to the upside today and the bulls are attempting to push the price above the 20-day EMA ($196).

If they succeed, the price could rally to $208.10 and then to the resistance line of the symmetrical triangle. A breakout and close above this resistance will suggest that bulls may be back in command. The LTC/USD pair could then rally to $246.96 and then $300.

Alternatively, if the price turns down from the overhead resistance, the bears will once again try to sink the pair below the triangle. If they manage to do that, the selling could intensify, which may pull the price down to $152.94 and then $120.

LINK/USD

Chainlink (LINK) plunged below the moving averages and the trendline of the ascending triangle on March 22. However, the failure of the bears to capitalize on the weakness and sink the price to $24 indicates a lack of sellers at lower levels.

The bulls are attempting to push the price back above the moving averages, but they are likely to face stiff resistance from the bears.

If the price turns down from the moving averages and breaks the $26.20 support, the LINK/USD pair could drop to $24 and then to $20.11. The 20-day EMA ($28.63) has started to turn down and the RSI is in the negative territory, which suggests the bears are attempting to gain the upper hand.

Contrary to this assumption, if the bulls push the price above the moving averages, the pair could rally to $32. A breakout of this resistance could result in an up-move to $36.93.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Bitcoin is stuck in a tight range but that has not stopped select altcoins from continuing their journey to new highs.

The Turkish lira lost 15% of its value and dipped close to its all-time low after Turkey's President Erdogan fired central bank governor Naci Agbal. This resulted in a massive spike in Bitcoin (BTC) searches in Turkey as investors sought to protect their wealth from devaluation. This is just another example that shows how investors may be treating Bitcoin as a possible substitute for fiat currencies.

In other news, United States Federal Reserve chairman Jerome Powell has a different view. While speaking at an event hosted by the Bank for International Settlements, Powell said that Bitcoin is more of a speculative asset and could act as a substitute for gold but its volatility and decentralization make it difficult to use as money.

However, on-chain data paints a different picture. Glassnode data shows that only about 36% of Bitcoin’s supply has moved in the past six months, indicating that the current price has not tempted long-term Bitcoin investors to part with their holdings.

With supply shrinking and demand increasing due to the arrival of institutional investors, Bitcoin remains in a sweet spot. Demand for BTC could receive an additional boost if any of the recently submitted Bitcoin exchange-traded fund applications are approved by the United States Securities and Exchange Commission.

The fundamental sentiment remains positive for the crypto sector but do the technicals also project a bullish picture? Let’s study the charts of the top-10 cryptocurrencies to find out.

BTC/USD

Bitcoin has formed a pennant pattern which is usually a setup for continuation. The bulls continue to buy the dip to the 20-day exponential moving average ($55,470) as seen from the long tail on the March 21 candlestick but the buyers are struggling to sustain at the higher levels.

If the price turns up from the current level and rises above the pennant, it could signal the resumption of the uptrend. The all-time high at $61,825.84 may offer resistance but if the bulls can overcome it the BTC/USD pair could rally to $72,112 and then to $74,512..

The moving averages are sloping up marginally and the relative strength index (RSI) is in the positive territory, indicating that bulls hold a slight edge.

Conversely, if the bears sink the price below the pennant, it will invalidate the bullish setup, which could result in a quick drop to the 50-day simple moving average ($49,981) as the short-term traders hurry to close their positions.

ETH/USD

Ether (ETH) has been holding above the 20-day EMA ($1,764) for the past few days, but the failure of the bulls to achieve a strong rebound off this level suggests that demand dries up at higher levels.

If the bears sink the price below the 50-day SMA ($1,716), the ETH/USD pair could drop to $1,500. Such a move will suggest that the pair may remain range-bound between $1,289 and $2,040 for a few more days.

On the contrary, if the price turns up from the current level and breaks above the $1,942 to $2,040 overhead resistance zone, the pair may start the next leg of the uptrend that could reach $2,614.

BNB/USD

Binance Coin (BNB) formed a Doji candlestick pattern for the past three days, indicating indecision among the bulls and the bears. But the only positive sign was that the price did not dip below the 20-day EMA ($255).

The bulls are currently trying to expand the volatility by pushing the price above the $280 overhead resistance. If they manage to do that, the BNB/USD pair could rally to $309. A breakout and close above this resistance will complete an ascending triangle pattern that has a target objective at $429.

The gradually upsloping moving averages and the RSI above 56 suggest a minor advantage to the bulls. However, if the price turns down from the overhead resistance and slides below the trendline of the triangle, it will invalidate the bullish setup. That could pull the price down to $189.

ADA/USD

Cardano (ADA) broke and closed below the $1.23 support on March 20, which suggests a lack of demand. The bulls are attempting to defend the 20-day EMA ($1.16) but the lack of a strong rebound off it increases the likelihood of a break below it.

If that happens, the ADA/USD pair could drop to $1.03, which is a critical support to watch out for because the 50-day SMA ($0.99) is also just below it. If the price rebounds off this level, the pair could extend its range-bound action for a few more days.

The flat 20-day EMA and the RSI just above the midpoint suggest a balance between supply and demand. The next trending move could start on a break above $1.48 or a break below $1.03.

DOT/USD

Polkadot (DOT) broke above the resistance line of the symmetrical triangle on March 20 but the long wick on the candlestick suggests the bears are selling on rallies. However, the bulls held the 20-day EMA ($35.74) on March 21 and will now again attempt to push the price above the triangle.

If they manage to do that, the DOT/USD pair could retest the all-time high and if that level is conquered, the uptrend could reach the pattern target at $55. The RSI has risen above the downtrend line and the moving averages are gradually sloping up, which shows the momentum is turning in favor of the bulls.

Contrary to this assumption, if the price turns down from the current level or the $40 to $42.28 overhead resistance zone, the bears will try to sink the pair below the support line of the triangle. If they succeed, the pair could start a deeper correction.

XRP/USD

XRP has shown signs of life after a long time. The altcoin soared above the $0.50 resistance on March 20, which shows the bulls have overpowered the bears. The bears tried to sink the price back below $0.50 on March 21 but failed.

This has attracted further buying today, which has pushed the XRP/USD pair towards the overhead resistance at $0.65. If the bulls can drive the price above this level, the pair is likely to pick up momentum and rally to $0.78 and then to $1.

The moving averages have turned up and the RSI has risen close to the overbought territory, indicating the bulls are in command. This bullish view will invalidate if the price turns down and breaks below the moving averages.

UNI/USD

Uniswap (UNI) is currently consolidating in an uptrend. The bulls attempted to thrust the price above the overhead resistance at $35.20 on March 20 but did not succeed. However, a positive is that the buyers did not allow the price to even dip to the 20-day EMA ($30.48).

This suggests the bulls are buying on every minor dip. They are likely to make one more attempt to ascend the $35.20 resistance. If they manage to do that, the UNI/USD pair could start the next leg of the uptrend that may reach $42.43 and then $46.

The upsloping moving averages and the RSI above 64 also indicate an advantage to the bulls. This positive view will invalidate if the price again turns down from $35.20 and breaks below the 20-day EMA. Such a move could keep the pair range-bound for a few more days.

LTC/USD

Litecoin (LTC) broke and closed below the 20-day EMA ($198.52) on March 21. The bears have continued their selling today and are attempting to sink the price below the 50-day SMA ($190.85).

If they succeed, the price could drop to the trendline of the triangle. This is an important support to keep an eye on because if it breaks, the LTC/USD pair could drop to $152.94 and then $120.

On the other hand, if the price rises from the current levels, the bulls will try to push it to the resistance line of the triangle. A breakout and close above the triangle could result in a retest of $246.96 and then $300.

LINK/USD

Chainlink (LINK) continues to trade inside the ascending triangle but the bulls are struggling to push the price above the $32 overhead resistance. The long wick on the March 20 candlestick shows the bears are defending this resistance aggressively.

However, a minor positive is that the bulls are not allowing the price to break below the moving averages. This suggests the bulls are accumulating at lower levels. This period of indecision is unlikely to continue for long.

If the price turns up and breaks above $32, the ascending triangle will complete and that has a pattern target at $43.20. Contrary to this assumption, if the bears sink the price below the trendline of the triangle, the bullish setup will invalidate. That could pull the price down to $24 and then to $20.1111.

THETA/USD

The strong up-move of the past few days has propelled THETA into the top-10 ranking cryptocurrencies by market capitalization after Bitcoin Cash (BCH) was nudged from its spot. Both moving averages are sloping up and the RSI has risen above 86 indicating the bulls are in command.

The first target objective on the upside is a rally to $11.54 where the bears may mount a stiff resistance. However, if the momentum can push the price above $11.54, the THETA/USD pair could rally to $13.19.

It is important to note that vertical rallies usually do not have longevity. Therefore, the pair could enter a few days of consolidation or a minor correction to digest the recent gains.

A shallow correction or a tight consolidation will suggest the trend remains strong and it will enhance the prospects of the uptrend resuming. A sharp correction, breaking below the $8 support may indicate the bears could be making a comeback.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.