Category: TRENDING

Bitcoin (BTC) has been stuck between $45,400 and $47,500 for the past two days, indicating a tough tussle between the buyers and sellers as both attempt to establish control over the trend.

Data from on-chain analytics firm Glassnode showed that 100,000 Bitcoin left exchanges in March. These large quantities of withdrawals have only happened twice in the history of Bitcoin with the largest being in March 2020. However, this does not mean the price will rally immediately. In 2020, the momentum picked up only by the fourth quarter of the year.

For the near term, analysts remain divided with some expecting Bitcoin to drop to $44,800 or even to $43,000 while others anticipate a rally to the psychological level at $50,000.

As the crypto markets mature, they continue to attract new investors. A report by Gemini crypto exchange highlighted that the number of users who purchased their first cryptocurrency in 2021 soared by more than 50% in India, Brazil and Hong Kong. Even Latin America, Asia Pacific, the United States and Europe witnessed over 40% more new users who started investing in 2021.

Could Bitcoin and altcoins bounce off their support and extend the recovery? Let’s study the charts of the top-10 cryptocurrencies to find out.

BTC/USDT

The long wick on the candlestick of the past two days suggests that bears are selling near the 200-day simple moving average (SMA) ($48,266). A minor positive has been that the bulls have not allowed Bitcoin to break below the important support at $45,400.

However, this tight-range trading is unlikely to continue for long. If the price breaks below the 20-day exponential moving average (EMA) ($44,467), the BTC/USDT pair could drop to the 50-day SMA ($41,689). Such a move could invalidate the short-term bullish setup.

Conversely, if the price rises from the current level or the 20-day EMA, it will suggest that traders continue to buy on dips. That could enhance the prospects of a break above the 200-day SMA. If that happens, the pair could rally to $52,000.

ETH/USDT

Ether (ETH) broke and closed above the 200-day SMA ($3,487) on April 3 but the bulls could not sustain the higher levels. This suggests that the bears are trying to pull the price lower and trap the aggressive bulls.

If the price breaks below $3,411, the bears will try to pull the ETH/USDT pair to the 20-day EMA ($3,197). This is an important level for the bulls to defend if they want the positive momentum to remain intact.

If the price rebounds off the 20-day EMA, the buyers will again try to thrust and sustain the price above the 200-day SMA. If they manage to do that, the pair could rally to $4,000.

On the other hand, if the 20-day EMA support gives way, the selling could intensify and the pair may drop to the 50-day SMA ($2,895).

BNB/USDT

BNB has been trading close to the $445 level for the past few days. Although the bulls pushed the price above this level repeatedly, they could not sustain the higher levels and challenge the 200-day SMA ($467). This indicates that demand dries up at higher levels.

The bears will now try to pull the price to the 20-day EMA ($421), which is an important support to watch out for. If the price rebounds off this level, the buyers will make one more attempt to clear the overhead hurdle and push the BNB/USDT pair to $500.

Alternatively, if the price breaks below the 20-day EMA, it will suggest that the short-term traders may be booking profits. That could pull the price to the 50-day SMA. A break below this support will suggest that the break above $445 may have been a bull trap.

SOL/USDT

Solana’s (SOL) recovery stalled just below the 200-day SMA ($150). This suggests that higher levels are attracting selling by the bears. The bears will now try to pull the price to the breakout level at $122.

If the price rebounds off $122, the bulls will make another attempt to clear the overhead hurdle at the 200-day SMA. If they succeed, the SOL/USDT pair could rally toward the psychological level at $200. The rising 20-day EMA ($111) and the relative strength index (RSI) near the overbought zone indicate advantage to buyers.

Contrary to this assumption, if bears sink the price below $122, the pair could drop to the 20-day EMA. This is an important support to keep an eye on because a break below it could result in a decline to the 50-day SMA ($96).

XRP/USDT

The bulls attempted to push Ripple (XRP) above the overhead resistance at $0.86 but the bears did not budge. The failure to rise above $0.86 may attract profit-booking from short-term traders, which could sink the price to the 50-day SMA ($0.78).

If the price once again bounces off the 50-day SMA, it will suggest that bulls are accumulating on dips. That could keep the XRP/USDT pair stuck between the 50-day SMA and the 200-day SMA ($0.89) for a few days.

The flattish 20-day EMA ($0.82) and the RSI near the midpoint also suggest a consolidation in the near term.

If bears pull the price below the 50-day SMA, the pair could plummet to $0.70. Alternatively, if buyers drive the price above the 200-day SMA, the pair could rally to the psychological level at $1.

ADA/USDT

Cardano (ADA) turned up on April 1 and has reached the overhead resistance at $1.26 where the bulls are likely to encounter strong resistance from the bears.

The upsloping 20-day EMA ($1.08) and the RSI near the overbought zone indicate that the path of least resistance is to the upside. If bulls push the price above $1.26, the ADA/USDT pair could rally to the 200-day SMA ($1.48) and then to $1.63.

Conversely, if the price once again turns down from the overhead resistance, the pair could drop to the 20-day EMA. A break and close below this support could pull the price down to the psychological level at $1.

LUNA/USDT

Terra’s LUNA token broke out of the overhead resistance at $111 on April 2 and made a new all-time high at $118 on April 3. This suggests that the bulls are in the driver’s seat.

However, the negative divergence on the RSI warns that the bullish momentum may be weakening and the LUNA/USDT pair could witness a minor correction or consolidation.

If the price slips below the 20-day EMA ($100), traders who may have bought at lower levels could book profits. That could pull the price down to the 50-day SMA ($84).

Conversely, if the price rebounds off the 20-day EMA, it will suggest that the bulls continue to defend the level aggressively. The buyers will then try to push the pair above $118. If they succeed, the pair could rise to $125 and later march toward $150.

Related: Neutrino Dollar breaks peg, falls to $0.82 amid WAVES price ‘manipulation’ accusations

AVAX/USDT

Avalanche (AVAX) repeatedly broke above the overhead resistance at $98 in the past few days but the bulls could not sustain the higher levels. This indicates that bears are defending the level with vigor.

The bears will now try to pull the price to the 20-day EMA ($89). This is an important level to watch out for because a strong rebound off it will suggest that the sentiment remains bullish and traders are buying on dips.

That could increase the possibility of a break and close above the $98 to $100 resistance zone. If that happens, the AVAX/USDT pair could rally to $120.

Contrary to this assumption, if the price continues lower and breaks below the 20-day EMA, the next stop could be the 50-day SMA ($82). The pair could then extend its range-bound action for a few more days.

DOT/USDT

Polkadot (DOT) broke and closed above the overhead resistance at $23 on April 3 but the bulls could not sustain the higher levels. This suggests that the bears have not yet given up and are selling on every rise.

The bears are trying to sustain the price below $23 and trap the aggressive bulls who may have gone long on a breakout above the resistance. The critical level to watch on the downside is the 20-day EMA ($21).

If this support cracks, the DOT/USDT pair could drop to $19. If the price rebounds off this level, the DOT/USDT pair could remain range-bound between $19 and $23 for a few days.

Conversely, if the price turns up from the current level and breaks above $24, the pair could rally to the 200-day SMA ($29).

DOGE/USDT

Dogecoin (DOGE) rebounded off the 20-day EMA ($0.13) on April 3, indicating that the bulls continue to defend this level aggressively. The rising 20-day EMA and the RSI in the positive zone indicate an advantage to buyers.

The buying continued on April 4 and the bulls attempted to resume the up-move toward the overhead resistance zone between $0.17 and the 200-day SMA ($0.18) but the long wick on the candlestick suggests that bears are selling at higher levels.

If the price continues lower and breaks below the 20-day EMA, it will suggest that the DOGE/USDT pair could remain range-bound between $0.10 and $0.17 for a few more days.

The bulls will have to propel and sustain the price above the 200-day SMA to signal a potential change in trend.

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.

Neutrino Dollar (USDN), a stablecoin issued through Waves-backed Neutrino protocol, lost its U.S. dollar-peg on April 4 amid speculations that it could become “insolvent” in the future.

USDN plunges 15% despite WAVES backing

USDN dropped to as low as $0.822 on Monday with its market capitalization also diving to $824.25 million, down 14% from its year-to-date high of $960.25 million.

Interestingly, the stablecoin’s plunge occurred despite Neutrino’s claims of backing its $1-peg via what’s called “over collateral,” i.e., when the total value of Waves (WAVES) tokens locked inside its smart contract is higher than the total USDN minted, also called the “backing ratio.”

Notably, Neutrino smart contract’s backing ratio came out to be 2.62 Monday, according to official data, underscoring that it had adequate funds to back USDN’s dollar-peg by 1:1. That is despite WAVES’ 35%-plus drop in the last five days.

Price manipulation

WAVES’ price dropped from its record high near $64 on March 31 to as low as $47 on April 4. The coin started declining as its momentum indicator, the relative strength index (RSI), jumped above 70 — an ‘overbought’ area that typically triggers selling sentiment.

Nonetheless, the selloff occurred also as a pseudonymous analyst accused Waves of artificially pumping WAVES by 750% in the last two months by:

1) collateralizing USDN to borrow USD Coin (USDC) on the Vires.Finance lending platform;

2) use the proceeds to purchase WAVES;

3) converting the tokens to USDN, and 4) redeploy them into the Vires.Finance pool to borrow more USDC.

The analyst also said that a decisive WAVES’ price crash would make USDN insolvent.

If WAVES prices drop enough —- WAVES mkt cap could be less than USDN outstanding

This would mean USDN is insolvent and would depeg

If USDN depegs is material — the USDC short on Vires could liquidate $607mm of the $875mm outstanding USDN

This would be Armageddon

— 0xHamZ (@0xHamz) March 31, 2022

Waves founder Sasha Ivanov, however, denied the allegations on April 3, noting that one cannot move markets of more than $1 billion daily volume by borrowing a few millions.

He further accused Alameda Research, a quantitative crypto trading firm headed by FTX’s Sam Bankman-Fried, of launching a campaign “fueled by a crowd of paid trolls” against WAVES to honor their short positions on the coin.

The account started borrowing $waves around March, 20, sending it to Binance – https://t.co/OoSC50EaHl, obviously to sell and make the price go lower. It started around the same time when the FUD campaign started.

— Sasha Ivanov (1 ➝ 2) (@sasha35625) April 3, 2022

Related: Here’s how traders were alerted to RUNE’s, FUN’s, WAVES’ and KNC’s big rallies last week

From a technical perspective, WAVES holds its bullish bias above the confluence of two support levels: the 20-day exponential moving average (20-day EMA; the green wave) around $40 and the 0.382 Fib line near $42.50.

Conversely, a decisive break below the support confluence could risk crashing WAVES toward $30.

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

Bitcoin (BTC) traded in an uncertain territory on April 4 as the Wall Street open failed to unleash bullish continuation.

Trader gives $43,000 BTC near-term dip target

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD dipping above and below the $46,000 mark on April 4, continuing a low-volatility few days.

The pair had managed to seal a second week near the 2022 yearly open, with analysts already hoping for a breakout to $50,000 or even beyond.

At the time of writing, however, there was still no sign of such an outcome, while Bitcoin stuck to an increasingly narrow low-timeframe trading range.

“Bitcoin is not really clear to me; it could be because of a very slow weekend, which is disturbing a bit, [in] my view,” popular trader Crypto Ed summarized in his latest YouTube update on the day.

Highlighting a falling diagonal resistance trendline, Crypto Ed reasoned that a potential pullback could come as early as April 4, resulting in Bitcoin reversing to $44,800 or deeper to near $43,000 should that not hold.

The diagonal, he added, was keeping $50,000 out of reach for the time being.

Fellow trader and podcast host Scott Melker was tentatively hopeful, noting that Bitcoin was being rejected at the 200-day moving average.

“Rejected at the 200, meandering down to $45,500; we should be heading up,” he said in a Twitter broadcast on April 4.

“Let’s hope that whales do not decide to dump on us just because there is a conference.”

Melker was referring to the Bitcoin 2022 event in Miami from April 6-9, a major gathering of some of the Bitcoin world’s best-known names.

Dogecoin rebound follows Musk’s $3 billion Twitter spend

On altcoins, the pack was led by Dogecoin (DOGE) on the day, which outpaced all the major cryptocurrencies, thanks to a classic publicity boost from Tesla CEO Elon Musk.

Related: BTC starts 2022 all over again — 5 things to know in Bitcoin this week

After the billionaire revealed that he had bought a 9.3% stake in Twitter, making him the largest shareholder in the company, DOGE/USD was the clear beneficiary in crypto, climbing almost to its highest levels in two months.

Musk’s move was the result of a survey held on Twitter, itself, in which just over two million respondents told him that “free speech principles” were not being upheld by the firm.

The consequences of this poll will be important. Please vote carefully.

— Elon Musk (@elonmusk) March 25, 2022

Other Twitter activity in recent days, meanwhile, continued Musk’s direct interaction with the Dogecoin community.

As Cointelegraph reported, inflows to altcoins over the past week underscored the increased appetite for what on-chain analytics firm Glassnode called “riskier” altcoins.

Bitcoin (BTC) starts a new week and a new quarter as if it were starting the new year — at just over $46,000.

In what will seem like some serious deja-vu for hodlers, BTC/USD is at practically the same level it was on Jan. 1, 2022.

Price action has been quiet — too quiet, perhaps — in recent days, but behind the declining volatility, there are signs that the market is busy deciding future direction.

From macro to on-chain, there are in fact plenty of cues to keep an eye on in April, amid a backdrop of Bitcoin — at least so far — retaining its yearly open price as support.

Cointelegraph takes a look at five of these factors as they pertain to BTC price performance over the coming week.

Inflation meets fresh money printing

There has been much talk of the end of the post-COVID “easy money” period and the impact it’ll have on risk assets such as Bitcoin.

As the United States Federal Reserve pledges to reduce its record high balance sheet and keep raising key rates, commentators have sounded the alarm over what could be a shockwave hitting investment into crypto.

So far, however, there is little sign that a fundamental shift is underway, while in Asia this week, it seems like the opposite is true.

As highlighted by markets commentator Holger Zschaepitz, Japan’s central bank, the Bank of Japan (BoJ), has in fact added to its balance sheet but printing even more liquidity.

The BoJ already had the largest balance sheet relative to GDP, and that trend is only increasing, now at 136% of GDP.

For Zschaepitz, this is not only a surprise, but could be “the biggest monetary experiment in history.”

“In comparison, the ECB and the Fed look like amateurs,” he argued.

If more printing means more good times for risk assets, meanwhile, not everyone is even convinced that the long-vaunted balance sheet reductions will last. Central banks, they claim, will soon have no choice but to restart liquidity injections.

“There is no government, ever, that resisted the temptation to print money in order to pay its bills and placate its citizens. The government will never voluntarily go bankrupt. This is axiomatic. I challenge you to contradict me with evidence,” Arthur Hayes, ex-CEO of derivatives giant BitMEX, wrote in a blog post in March.

“Therefore, if your time horizon is in the years, it’s time. If you mess with the bull, you get the horns. Remember: it’s not gold or Bitcoin that is increasing in price, it’s a decrease in value of the fiat currency in which they are priced.”

The contrasting view, as signaled by last week’s yield curve inversion, pits rate hikes against the now high risk of a recession in the U.S. — a combination that should pressure Bitcoin and stocks alike.

Spot bulls aim for $50,000

The lack of volatility is the main talking point among Bitcoin traders and analysts as Monday gets underway.

Some classic but brief excitement around the weekly close faded within hours, with bears still failing to take the yearly open away as support, data from Cointelegraph Markets Pro and TradingView shows.

With that, BTC/USD is in exactly the same place as it was three months ago, but short-term price signals are already seeing some calling for continuation higher.

Among them is popular analyst TechDev, who highlighted Bitcoin’s first “volatility squeeze” since January playing out on the 12-hour chart.

12H $BTC volatility squeeze forming.

First since January. This one is during green trend bars.

Breakout arrow will indicate direction when it occurs. pic.twitter.com/5QZDl92p7f

— TechDev (@TechDev_52) April 4, 2022

TechDev used indicators including the Bollinger Bands volatility measure, which is now seeing BTC/USD surfing the middle of the channel with a skew to the upside.

As Cointelegraph reported, the odds are already on for an attack on the $50,000 mark, which will be Bitcoin’s first this year.

April itself, meanwhile, has much to live up to — in and of itself, this month has historically been “good” for Bitcoin.

Buyers usher coins out of exchanges in March

It’s no secret that a lot of Bitcoin has been leaving exchanges this year, but the latest data shows just how the supply squeeze is playing out.

According to on-chain analytics firm Glassnode, last month saw exchange outflows unlike many others — exchanges are down by the equivalent of almost 100,000 BTC.

Historically, there have only been two occasions in Bitcoin’s lifespan when outflows surpass the 100,000 BTC mark, making March’s among the highest.

“Aggregate exchange outflows of this magnitude have only been seen on a handful of occasions through history, with most being after the March 2020 liquidity crisis,” Glassnode added in Twitter comments alongside an annotated chart.

Should investors be recreating the bottom-buying behavior from after the COVID-19 crash, the implications should be clear, but may take a while to play out. In 2020, while BTC/USD rebounded after dropping 60% in days, it wasn’t until Q4 that price performance really began to change.

Fellow analytics platform CryptoQuant, which tracks the balances of 21 major exchanges, meanwhile shows that overall BTC stocks are now at their lowest since Aug. 1, 2018 — 2.303 million BTC.

A meandering downtrend in 2022 gathered pace in March, which saw a total of 77,000 BTC withdrawn to private wallets.

Never mind the altseason

An unusual event has occurred when it comes to Bitcoin’s relationship with altcoins — combined open interest and volume on altcoin derivatives markets has surpassed that of Bitcoin for the first time in over a year.

The move was noticed by crypto analytics platform Coinalyze, which openly suggested that the much-fabled “altseason” may now be here.

#ALTSEASON ? pic.twitter.com/O0rv3ttwMl

— Coinalyze (@coinalyzetool) March 31, 2022

“Could mean altseason, money flows into alts now,” founder Gabriel Dodan told Cointelegraph in private comments.

Such a perspective chimes with data showing considerable inflows into altcoins last week, which one commentator argued showed risk appetite among investors increasing.

Taking the limelight away from BTC may not be a dampener on performance per se, Dodan meanwhile added, thanks to volatility similarly draining away.

“On the other hand that makes BTC pretty stable because it is not over leveraged; it’s a good floor for BTC,” he explained.

Hash rate hits new all-time high

Hot on the heels of record difficulty for the Bitcoin network, hash rate has hit new all-time highs.

Related: Top 5 cryptocurrencies to watch this week: BTC, VET, THETA, RUNE, AAVE

In what shows miners’ belief in the long-term profitability of participating in the network, hash rate is now at 223 exahashes per second (EH/s), according to data resource MiningPoolStats.

While only an estimate of the processing power dedicated by miners, hash rate has never been higher, and according to proponents, will continue to grow regardless of external attempts to “reign in” Bitcoin.

“Bitcoin mining is pretty much the most anti fragile system designed by man,” Francis Pouliot, CEO of payment processor Bull Bitcoin, argued in a well-known blog post about Bitcoin hash rate and energy consumption last year.

“Any attack on Bitcoin is guaranteed to make Bitcoin stronger, which itself implies a higher price, a higher hashrate, and higher energy consumption.”

The topic of Bitcoin versus energy remains highly controversial, with multiple popular figures taking pains to explain what they see as a logical fallacy — that Bitcoin uses “too much.” Bitcoin does not waste energy, they contend, but merely converts it into something more useful as the most sound money ever created.

Hash rate, regardless of the narrative, meanwhile continues to grow, underscoring the basic bullish premise for investing in Bitcoin.

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

Bitcoin (BTC) is attempting to hold above its closest support level and traders are watching to see if the price can remain strong and close above the 2022 yearly open price at $46,200 for the second week in a row.

April has historically been the best performing month of the year for the S&P 500, according to Sam Stovall, chief investment strategist at CFRA. If history repeats itself and the close correlation between the U.S. equity markets and Bitcoin continues, it could bode well for the crypto markets in the near term.

Another sentiment booster could be that the 19th million Bitcoin entered circulation on April 1. For the remaining 2 million Bitcoin, the crypto markets will have to wait for a long time because the last Bitcoin is expected to be mined by 2140. This could shift focus on how only a small quantity of Bitcoin is left to be mined and its growing demand could lead to scarcity and boost prices higher.

Could Bitcoin hold above its critical support and if it does, will altcoins rally? Let’s study the charts of the top-5 cryptocurrencies that may extend their recovery in the short term.

BTC/USDT

Bitcoin is witnessing a tough tussle between the bulls and the bears near the important level at $45,400. The bears tried to pull and sustain the price below this level but the bulls held their ground. This suggests that the bulls are attempting to flip the level into support.

The upsloping 20-day exponential moving average ($44,333) and the relative strength index (RSI) in positive territory indicate the path of least resistance is to the upside. The critical level to watch on the upside is the 200-day simple moving average ($48,276).

If bulls thrust the price above this barrier, the BTC/USDT pair is likely to pick up momentum. The rally could face minor resistance at the psychological level at $50,000 but if this level is crossed, the next stop could be $52,000.

Contrary to this assumption, if the price turns down from the current level or the overhead resistance, the bears will again try to pull the pair below $45,400 and the 20-day EMA. If that happens, the pair could drop to the 50-day SMA ($41,615).

The 4-hour chart shows that the price has been correcting since hitting the resistance line of the ascending channel. Recovery attempts by the bulls are facing stiff resistance at the downtrend line. If bulls push and sustain the price above the downtrend line, the pair could rise to the resistance line of the channel.

A break and close above the channel could signal the resumption of the uptrend. Alternatively, if the price turns down from the downtrend line, the bears will attempt to sink the pair to $44,000. If this level cracks, the decline may extend to $42,594.

VET/USDT

VeChain (VET) surged above the overhead resistance at $0.07 on March 27 but the bears stalled the recovery at the 200-day SMA ($0.09). A minor positive is that the bulls have not allowed the price to slide below the breakout level at $0.07.

If the price turns up from the current level, the bulls will make one more attempt to clear the overhead hurdle at the 200-day SMA. If they manage to do that, it will suggest a possible change in trend. The VET/USDT pair could then rally to $0.10 and later to $0.13.

The rising 20-day EMA ($0.06) and the RSI in the positive territory indicate advantage to buyers. This bullish view will invalidate if the price turns down and breaks below the 20-day EMA. Such a move could pull the pair to the 50-day SMA ($0.05).

The 20-EMA has flattened out and the RSI is near the midpoint on the 4-hour chart, indicating a balance between supply and demand. If the price breaks above $0.08, the bulls will attempt to propel the pair above $0.09. If they do that, the pair could extend its up-move.

Conversely, if the price turns down and breaks below the 50-SMA, the pair could drop to the critical level at $0.07. If bulls flip this level into support, the pair will again try to rise above $0.09 but if the support at $0.07 cracks, the bears may be back in the game.

THETA/USDT

Theta Network’s THETA token has been range-bound between $2.50 and $4.40 for the past several weeks. The bulls attempted to push the price above the overhead resistance but failed. This suggests that the bears continue to defend the level aggressively.

If the price does not break below $3.80, it will suggest that traders are not closing their positions in a hurry as they expect the up-move to continue. The upsloping 20-day EMA ($3.54) and the RSI near the overbought zone indicate that the path of least resistance is to the upside.

If buyers drive the price above the overhead zone between $4.40 and the 200-day SMA ($4.77), it will signal the start of a possible uptrend. The THETA/USDT pair could then pick up momentum and rally to $6.

Contrary to this assumption, if the price slides below the 20-day EMA, the next stop could be the 50-day SMA ($3.17). Such a move will suggest that the pair may remain range-bound for a few more days.

The 4-hour chart shows that the bears have repeatedly thwarted attempts by the bulls to thrust the price above the overhead resistance at $4.40. The 20-EMA has flattened out and the RSI is near the midpoint, indicating a balance between supply and demand.

If the price slips below the 50-SMA, the short-term advantage could tilt in favor of the sellers. The price could then drop to $3.50. On the other hand, the bulls will gain the upper hand if the price breaks and sustains above the overhead resistance.

Related: Trezor investigates potential data breach as users cite phishing attacks

RUNE/USDT

THORChain (RUNE) has been trading inside a large descending triangle pattern for several months. The sharp rally of the past few days pushed the price to the downtrend line of the triangle where the bears are mounting a strong resistance.

If the price turns down from the current level, the RUNE/USDT pair could drop to the 20-day EMA ($9.75). This is an important level to watch out for because if the price rebounds off the 20-day EMA, it will suggest that the sentiment remains positive and traders are buying on dips.

That may enhance the prospects of a break above the downtrend line. If that happens, the bearish triangle setup will invalidate, which could be a bullish sign. The pair may then rally to $17.

This bullish view will be negated in the short term if the price turns down and breaks below the 20-day EMA. That could pull the pair down to the 200-day SMA ($7.88).

The 4-hour chart shows that the pair is facing strong resistance near $13. A minor positive is that the bulls have not allowed the price to dip and sustain below $11. Therefore, this becomes an important level to keep an eye on.

If the price breaks below this support, the pair could drop to the next major support at $10. Conversely, if the price rebounds off $11, the buyers will again try to resume the uptrend by driving the pair above the overhead resistance.

AAVE/USDT

Aave (AAVE) broke out of the downtrend line on March 29 which indicated a potential change in trend. The bears tried to stall the recovery at the 200-day EMA ($226) but the bulls did not give up much ground.

The buying resumed on April 1 and the AAVE/USDT pair broke above the 200-day SMA. If the price sustains above the 200-day SMA, it will signal the start of a new up-move.

If bulls drive the price above $262, the rally may extend to the psychological level at $300. The bears may mount a stiff resistance at this level but if bulls overcome this barrier, the up-move could reach $350.

This bullish view will invalidate in the short term if the price turns down and plummets below the 200-day SMA. The bears could then pull the price to the 20-day EMA ($187).

The 4-hour chart shows that the bulls are buying the dips to the 20-EMA. If bulls push the price above $261.20, the uptrend could resume. This rally could face resistance in the overhead zone between $283 and $300.

The RSI is showing signs of a negative divergence, indicating that the bullish momentum may be weakening. If the price turns down and breaks below the 20-EMA, it will suggest that the short-term bulls may be booking profits. That could sink the pair to the 50-SMA.

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.

We ask the buidlers in the blockchain and cryptocurrency sector for their thoughts on the industry… and throw in a few random zingers to keep them on their toes!

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This week, our 6 Questions go to Chen Li, the co-founder and CEO of Youbi Capital, a venture capital firm investing in blockchain technologies and disruptive decentralized applications.

 

Chen Li is the co-founder and CEO of Youbi Capital. He has a Ph.D. in chemistry and worked as a scientist for Regeneron Pharmaceuticals, where he won two awards for his contributions to developing groundbreaking antibody drugs. In 2015, he was introduced to Bitcoin mining by his roommate in college, then jointly founded Youbi Capital in 2017. Chen built the foundation of Youbi’s thesis in blockchain infrastructure and led investments in Algorand, Avalanche, Polkadot, Flow, Kadena, Chainlink, Debank and others. He was also an advisor to JP Morgan’s blockchain team.

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1 — What is the main hurdle to mass adoption of blockchain technology?

The main hurdle to mass adoption of blockchain technology now is still its infrastructure, specifically, scalability and security of layer 1s. We all saw that the watershed moment for Axie Infinity was not the play-to-earn movement that started in early 2020 but the migration of the game from Ethereum to Ronin in mid 2021, which led to an explosion of players and revenue growth right away. 

But Axie was just one application, and can therefore be easily accommodated on a dedicated chain, while for the DeFi protocols — which are highly composable and already interconnected — we still don’t have a layer 1 for the entire set of DeFi protocols to migrate over without starting to jam its traffic. Solana might be the closest to achieving this goal, but it is not horizontally scalable for mass adoption. 

There is still a lot to do to lay a solid foundation for the blockchain application.

2 — What will happen to Bitcoin and Ethereum over the next 10 years?

Bitcoin has successfully extended the consensus on its asset as a decentralized store of value for everyone from individuals to a large group of institutions in this cycle. It is only a matter of time before it is universally accepted. Furthermore, under the global inflation backdrop, Bitcoin might also have the chance to become a broadly used currency in international settlements. There has been a lot of speculation on the Bitcoin value proposition broken down to its usage in different categories.

In terms of technology, the community has intentionally kept Bitcoin’s progress at a slow pace to avoid introducing any uncertainty. While I believe that is the right strategy for its use cases, Bitcoin will still be limited in supporting smart contracts over the next 10 years.

Ethereum, on the other hand, is going through much faster reiteration by transitioning to proof-of-stake and potentially sharding in the near future. All EVM-supporting chains are also in the Ethereum ecosystem, contributing value to the base layer. Due to the strong network effect, the Ethereum ecosystem will likely remain as a dominant force in the DeFi space throughout the next 10 years.

3 — When you tell people you’re in the blockchain industry, how do they react?

I remember when I first talked to outsiders about Bitcoin in 2015 — they either fell silent and gave me awkward looks like I was trying to talk them into some kind of scam, or in some cases, enthusiastically challenged me on whether Bitcoin had any value. Bitcoin mining was more of a business that people could understand, but it was extremely rare to find someone that was open-minded about the cryptocurrency itself. 

Now, people are becoming more and more knowledgeable and engaged about blockchain technology and crypto. I am often not the only person they know in the industry. I used to be asked lots of basic questions about blockchain. But now, people who aren’t blockchain professionals sometimes share their perspectives first once they know I am in the industry. 

They have much more diverse perspectives on the blockchain industry now. Besides holding crypto in their portfolio, several people are NFT collectors or even landowners in blockchain games. They see blockchain as a technology to issue and transact NFT assets as well as infrastructure for the Metaverse, but are more attracted to NFTs and Metaverses. That is why I am very confident that the Metaverse will be the entry point to the Web3 era.

4 — Who makes sense to you, and who makes no sense whatsoever?

Whoever is building a product then tells a story makes sense to me and who just tells a story or builds a product for imaginary demand makes no sense whatsoever.

There are lots of great products that are carefully designed and reiterated to fit the needs of the users. For example, Binance has a very efficient feedback loop, from customer service to management. As a result, it is able to reiterate its product in the right way and engage a new trend in the market. The Binance team makes sense to me. Polygon, Debank and The Graph are all excellent examples of products with strong product-market fit. All these teams make sense to me and I see lots of potential in the adoption of their product.

5 — List your favorite sports teams, and choose the single most memorable moment from watching them.

My favorite sports teams were the Chicago Bulls and Denver Broncos. The most memorable moment was Michael Jordan’s final shot with the Bulls that won them the sixth championship.

6 — Other than the present day, in what time and in what country would you like to have lived?

I wish I had lived in Shanghai, China from 2012 to 2015. That was the first crypto market cycle that I missed. The two major events in that time frame were the growth of Bitcoin mining and the fundraising and initial community-building of Ethereum. They both happened during that time in China. 

Plus, China is my home country. I love the food and people.

A wish for the young, ambitious blockchain community:

I wish that everyone in the community can survive the ups and downs, holding tight to their crypto assets.

Bitcoin (BTC) bulls had everything to play for on April 3 as the first weekly close of the month looked set to be above the all-important $46,000.

Anything could happen in final hours of Sunday

Data from Cointelegraph Markets Pro and TradingView painted an interesting picture Sunday, as commentators waited for some classic end-of-week volatility.

BTC/USD had delivered few surprises over the weekend, with an overnight dip to near $45,500 the worst that hodlers had to confront.

Now, the odds were on for a potential second weekly close above the 2022 yearly open of $46,200. 

Will #Bitcoin close its second consecutive weekly candle above $46,000?

Find out soon! pic.twitter.com/0zIAMtOGzS

— Matthew Hyland (@MatthewHyland_) April 3, 2022

At around $46,500 at the time of writing, Bitcoin had plenty of potential, but even a moderate last-minute pullback could make the weekly chart look quite different.

Add another $500, by contrast, and the weekly close would be Bitcoin’s highest of the y

“Bitcoin still holding crucial level here, so continuation seems likely to be happening if we remain above $45K,” Cointelegraph contributor Michaël van de Poppe stated Saturday on the broader picture beyond the weekly close.

Van de Poppe, like others, was eyeing a challenge of $50,000 in the coming week based on recent strength.

“Riskier” altcoins’ appeal gets boost

Data covering inflows into crypto markets meanwhile showed renewed appetite for altcoins over the past week.

Related: Solana jumps past key selloff junction: SOL price eyes $150 in April

As noted by Yann Allemann and Jan Happel, co-founders of on-chain analytics firm Glassnode, those altcoin inflows had increased in step with diminishing upside on BTC.

Total inflows last week were nearly $200 million, with Bitcoin reponsible for around half the tally.

$193mn inflows into crypto last week

$98mn #Bitcoin inflows
$87mn $SOL inflows
$10mn $ETH inflows

Investors are divesting into riskier altcoins. See for yourself https://t.co/SQTuwrEmci pic.twitter.com/GES40CgjR0

— (@Negentropic_) April 2, 2022

Risk appetite in the short term thus contradicted forecasts of a risk asset rout engendered by macro factors, something analysts nonetheless had tipped to become a feature in Q2.

Bitcoin (BTC) bulls had everything to play for on April 3 as the first weekly close of the month looked set to be above the all-important $46,000.

Anything could happen in final hours of Sunday

Data from Cointelegraph Markets Pro and TradingView painted an interesting picture Sunday, as commentators waited for some classic end-of-week volatility.

BTC/USD had delivered few surprises over the weekend, with an overnight dip to near $45,500 the worst that hodlers had to confront.

Now, the odds were on for a potential second weekly close above the 2022 yearly open of $46,200. 

Will #Bitcoin close its second consecutive weekly candle above $46,000?

Find out soon! pic.twitter.com/0zIAMtOGzS

— Matthew Hyland (@MatthewHyland_) April 3, 2022

At around $46,500 at the time of writing, Bitcoin had plenty of potential, but even a moderate last-minute pullback could make the weekly chart look quite different.

Add another $500, by contrast, and the weekly close would be Bitcoin’s highest of the y

“Bitcoin still holding crucial level here, so continuation seems likely to be happening if we remain above $45K,” Cointelegraph contributor Michaël van de Poppe stated Saturday on the broader picture beyond the weekly close.

Van de Poppe, like others, was eyeing a challenge of $50,000 in the coming week based on recent strength.

“Riskier” altcoins’ appeal gets boost

Data covering inflows into crypto markets meanwhile showed renewed appetite for altcoins over the past week.

Related: Solana jumps past key selloff junction: SOL price eyes $150 in April

As noted by Yann Allemann and Jan Happel, co-founders of on-chain analytics firm Glassnode, those altcoin inflows had increased in step with diminishing upside on BTC.

Total inflows last week were nearly $200 million, with Bitcoin reponsible for around half the tally.

$193mn inflows into crypto last week

$98mn #Bitcoin inflows
$87mn $SOL inflows
$10mn $ETH inflows

Investors are divesting into riskier altcoins. See for yourself https://t.co/SQTuwrEmci pic.twitter.com/GES40CgjR0

— (@Negentropic_) April 2, 2022

Risk appetite in the short term thus contradicted forecasts of a risk asset rout engendered by macro factors, something analysts nonetheless had tipped to become a feature in Q2.

Cryptocurrency hardware wallet provider Trezor has begun investigating a possible data breach that may have compromised users’ email addresses and other personal information. 

Earlier today, on Apr. 3, several users from the Crypto Twitter community warned about an ongoing email phishing campaign specifically targeting Trezor users via their registered email addresses.

Hey trezor, are you aware of a phishing campaign going on? I just received this email with my actual email on it. It looked very legit. pic.twitter.com/GF0Od6llr2

— josearkaos ⚡️ (@josearkanos) April 3, 2022

In the ongoing attack, several Trezor users have been contacted by unauthorized actors posing as the company — with the ultimate intention to steal funds by misleading unwary investors. As part of the attack, users received an email about downloading an app from the ‘trezor.us’ domain, which is different from the official Trezor domain name, ‘trezor.io.’

We are investigating a potential data breach of an opt-in newsletter hosted on MailChimp.

A scam email warning of a data breach is circulating. Do not open any email originating from noreply@trezor.us, it is a phishing domain.

— Trezor (@Trezor) April 3, 2022

Trezor initially suspected that the compromised email addresses belong to a list of users who opted-in for newsletters, which was hosted on an American email marketing service provider Mailchimp. 

Wow, @Trezor, this is the best phishing attempt I have seen in the last few years. I am really lucky I don’t have Trezor, because if I had, I would probably actually download that update. pic.twitter.com/DaBN2Oix11

— Tomáš Kafka (@keff85) April 2, 2022

While Trezor attempts to identify the root cause of the situation with an official investigation, users are advised not to click on links coming from unofficial sources until further notice.

Related: BlockFi confirms unauthorized access to client data hosted on Hubspot

On Mar. 19, New Jersey-based crypto financial institution BlockFi proactively confirmed a data breach to warn investors about the possibility of phishing attacks.

Regarding recent third-party data incident: pic.twitter.com/50z7IrQ1za

— BlockFi (@BlockFi) March 19, 2022

As Cointelegraph reported, hackers gained access to BlockFi’s client data that was hosted on Hubspot, a client relationship management platform. According to BlockFi:

“Hubspot has confirmed that an unauthorized third-party gained access to certain BlockFi client data housed on their platform.”

While specifics on the breached data are yet to be identified and revealed, BlockFi reassured users by highlighting that personal data — including passwords, government-issued IDs and social security numbers — “were never stored on Hubspot.”

Coming every Saturday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link.

Top Stories This Week

Crypto industry fires back after EU vote to block ‘unhosted’ wallets

The cryptocurrency industry has fired back at the European Parliament, the legislative arm of the European Union, voting in favor of stringent crypto regulations relating to ”unhosted” private wallets. 

The guidelines would require crypto service providers to verify the identity of every individual using an unhosted wallet that interacts with them, while any transaction greater than 1,000 euros would need to be reported to authorities. 

“Imagine if the EU required your bank to report you to the authorities every time you paid your rent merely because the transaction was over 1,000 euros,” Coinbase CEO Brian Armstrong wrote on Twitter. “Or if you sent money to your cousin to help with groceries, the EU required your bank to collect and verify private information about your cousin before allowing you to send the funds.”

Axie Infinity’s Ronin bridge hacked for over $600M

Axie Infinity’s Ronin Bridge was the victim of a hefty hack worth around $612 million earlier this week, with 173,600 Ether and 25.5 million USD Coin being stolen from the platform. 

Ronin developers stated that the attacker used hacked private keys to forge fake withdrawals, draining the funds from the Ronin Bridge in just two transactions. 

In a statement on Wednesday, the developers stated that they were “working with law enforcement officials, forensic cryptographers and our investors to make sure that all funds are recovered or reimbursed. All of the AXS, RON and SLP [tokens] on Ronin are safe right now.”

Terra smash-buys $139M Bitcoin, wallet reaches 31,000 BTC

As part of the Bitcoin buying spree led by Terraform Labs founder Do Kwon, the Terra wallet belonging to Luna Foundation Guard approached $1.5 billion in BTC following another huge $139 million purchase this week. 

Terra has been snapping up BTC aggressively since late January to build reserves to back its TerraUSD (UST) stablecoin, with Kwon also outlining earlier this month that Terra plans to accumulate a whopping $10 billion worth of BTC. 

Terraform Labs is on track to overtake Tesla as the second-largest holder of Bitcoin soon, with MicroStrategy also in its sights, according to data from Bitcoin Treasuries.

OpenSea set to integrate Solana in April, further expanding the NFT ecosystem

Top NFT marketplace OpenSea announced a long-awaited integration with the Solana blockchain on Wednesday. The expanded support, expected to go live in April, adds to OpenSea’s existing support of Ethereum, layer-2 Polygon and Klaytn. 

It appears the move has been well received, with OpenSea’s 16-second teaser video on Twitter pulling 615,500 views, 8,964 retweets and 21,700 likes within 18 hours of posting. 

Alluding to the vast number of tweets and media publications commenting on the potential for a Solana launch, OpenSea cheerfully referred to the announcement as the “best-kept secret in Web3.”

MetaMask rolls out Apple Pay integration and other iOS updates

ConsenSys-owned MetaMask revealed important updates for iPhone and Apple Pay users on Tuesday that enable them to purchase cryptocurrency directly through the app via debit or credit cards, removing the hassle of sending Ether from an outside source to add funds.

Notably, the move is said to lower gas fees, and MetaMask is utilizing two payment gateways, Wyre and Transak, to support debit card and credit card purchases. Users are now able to deposit a maximum of $400 daily into their wallets via the new service. 

“We wanted to expand the way in which users can convert crypto within the app itself and not have to leave it,” James Beck, director of communications and content at ConsenSys, told Cointelegraph.

Winners and Losers

At the end of the week, Bitcoin (BTC) is at $45,119, Ether (ETH) at $3,275 and XRP at $0.81 The total market cap is at $2.07 trillion, according to CoinMarketCap.

Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are STEPN (GMT) at 325.60%, Zilliqa (ZIL) at 303.89% and SKALE Network (SKL) at 82.33%  The top three altcoin losers of the week are Axie Infinity (AXS) at -13.23%, Zcash (ZEC) at -8.16% and Helium (HNT) at -7.54%.

For more info on crypto prices, make sure to read Cointelegraph’s market analysis.

Most Memorable Quotations

“I’m sort of betting that the long-term scenario of Bitcoin going up and the reserves being strong enough to withstand UST demand drops is the more likely scenario.”

Do Kwon, founder and CEO of Terraform Labs

“New York can issue $2 billion of debt and buy $2 billion worth of Bitcoin — the Bitcoin is yielding 50% or more, the debt costs 2% or less.”

Michael Saylor, CEO of MicroStrategy

“Dictators aren’t really going to like Bitcoin because they can’t control it.”

Alex Gladstein, chief strategy officer at the Human Rights Foundation

“Ethereum is like New York City: it is vast, expensive and congested in certain areas. However, it also features the richest application ecosystem, with over 500 apps that command a total value of over $100 billion — more than 10x larger than any other competing network.”

Grayscale, digital asset manager

“Nothing is growing as fast as cryptocurrency.”

Karim Khanjeza, member of parliament of Kyrgyzstan

“Web3 takes the concept of democratization to a whole new level, whereby data/information cannot only be made openly shareable but can be made openly unfalsifiable.”

Shubham Gupta, Indian Administrative Service officer

“I’d put the chance of Bitcoin ever moving to PoS at exactly 0%. There is no appetite among Bitcoiners to destroy the security of the protocol by making such a move.”

Chris Bendiksen, Bitcoin researcher at CoinShares

“People should have the freedom to choose other money. If the government is going to abuse our cash, we should have the freedom to use other, higher quality cash.”

Pierre Poilievre, Canadian Conservative Party candidate for prime minister

Prediction of the Week 

VanEck says Bitcoin could hit $4.8M if it became the global reserve asset

U.S. investment giant VanEck has come up with a lofty prediction concerning Bitcoin — and one that has very little chance of coming to fruition in the foreseeable future. The firm suggested this week that 1 BTC could be worth $4.8 million if it becomes the world’s reserve currency. 

The extremely optimistic estimation was part of a report by VanEck’s head of active EM debt management, Eric Fine, and chief economist Natalia Gurushina, who outlined a thought experiment comparing the price implications for gold and Bitcoin after being adopted as reserve currencies. 

VanEck’s analysis found that the implied price for BTC ranged from $1.3 million to $4.8 million. But they ultimately concluded that the Chinese yuan is the most likely currency to become a global reserve asset if the U.S. dollar crumbles moving forward.

FUD of the Week 

Crypto-skeptic gamers review bomb Storybook Brawl after FTX buys it

A bunch of angry gamers review-bombed Storybook Brawl on Steam over fears of potential NFT and blockchain integrations, following crypto exchange FTX US acquiring its developer, Good Luck Games. 

FTX US announced the acquisition on Friday and, at the time of reporting, 600 out of 761 reviews were negative, with most of them commenting about how good the game was until it sold out to a crypto firm. 

“Good Luck Games was acquired by FTX, a cryptocurrency company, as a way to ‘help crypto make inroads with gamers.’ I want no part of that and I don‘t want crypto ‘making inroads’ in things I‘m interested in. Uninstalled,” wrote Steam user “King Bear,” who has clocked more than 60 hours in the game.

With inflation going through the roof, Sudan’s central bank cautions citizens against using crypto

The Central Bank of Sudan (CBOS) has warned local citizens about dealing with cryptocurrencies over risks such as “financial crimes, electronic piracy and the risk of losing their value.”

The warning came amid reports that crypto is gaining traction in Sudan at a time when the African nation is dealing with three-digit inflation following a 2021 military coup. 

The CBOS also cited legal risks, as cryptocurrencies are not classified as money “or even private money and property” under Sudanese law. The central bank admitted that it has been noticing an uptick in crypto promotions on social media recently.

Greenpeace, Ripple co-founder campaigning to change Bitcoin code

Greenpeace has teamed up with Ripple co-founder and executive chairman Chris Larsen to launch a new campaign aimed at changing Bitcoin’s mining practices to an environmentally sustainable model. 

The campaign is called “Change the Code, Not the Climate,” and Greenpeace in particular cited concerns that the energy required to mine Bitcoin comes mostly from fossil fuels. 

“If only 30 people — the key miners, exchanges and core developers who build and contribute to Bitcoin’s code — agreed to reinvent proof-of-work mining or move to a low-energy protocol, Bitcoin would stop polluting the planet,” the campaign notes.

Bitcoin enthusiasts were less than pleased with the new campaign, with several prominent industry leaders arguing that the Bitcoin network would never abandon proof-of-work.

Best Cointelegraph Features

Crypto critics: Can FUD ever be useful?

“Anyone who says that David Gerard personally stopped their crypto getting into Wikipedia is a fuckwit,” says editor, Wikimedia spokesman and professional crypto hater David Gerard in his typically no-nonsense fashion.

The Bitcoin shitcoin machine: Mining BTC with biogas

A Bitcoin mining facility in Slovakia converts human and animal waste into Bitcoin hash rate, securing the network while mining Bitcoin.

Planet of the Bored Apes: BAYC’s success morphs into ecosystem

The success of the “Bored Ape Yacht Club” collection sparked the creation of an NFT universe powered by its proprietary ApeCoin token.