The main event of this week was about how the cryptocurrency market was able to bounce back from the lows that it had established. Bitcoin is a prime example of this movement as it was able to hit the $50,000 mark in an extremely bearish manner, only to find the Bulls waiting to drive back higher. Breaking through several resistances, BTC reached the current resistance level at $60,000. This will definitely test the Bulls’ commitment to the upside.
It’s worth mentioning yesterday’s BTC event since the instrument’s value depreciated by $2,000 within minutes, 5 minutes to be specific! Then, a huge liquidation happened, which was worth $600 million from the long positions on the instrument and this pushed BTC’s price to plunge even lower. Luckily the HODLers (Hold On for Dear Life) were there to keep things intact at around $57,000.
Spurred by the movement in BTC, Ethereum wasn’t left behind, as it also found enough bullish pressure from the lows of $1,550. The instrument faced almost the same bearish pressure that BTC, scratch that, the pressure ETH faced was much stronger. After reaching the mentioned low, a bounce was initiated and that allowed Ethereum to break through all three Moving Averages (50, 100, and 200 on the 4-hour chart). This bullish pressure manifested itself with a touch of the March 13 high at $1,950. Currently, the instrument seems to be losing the momentum it gained as the RSI (Relative Strength Index) is signalling some overbought conditions.
Litecoin seems to be the odd coin out of the three. While BTC and ETH were enjoying great upward momentum that helped them touch their previous highs, LTC rose only a notch. It managed to rise from the bottom of $170 breaking through the same moving averages on the 4-hour chart (50, 100, and 200), reaching the $200 level. However, sellers were quick to keep any movement higher away, so the rise wasn’t the same as those of BTC and ETH. Currently, the instrument is attempting to break above the mentioned resistance level, and with the RSI printing around the 60-level, we could see a break higher. In case the awaited movement doesn’t happen, LTC might face some downward pressure that will force it to trade back around the $180 support.