The past week has seen Bitcoin struggle to recover from its recent dip, with the bears pushing back against the bulls at higher levels. Despite this, the buyers have not ceded much ground to the sellers, suggesting that they are holding on to their positions in anticipation of a future recovery.
Technical Analysis
From a technical perspective, Bitcoin’s chart shows a mix of both bullish and bearish signals. The 20-day moving average is still in an uptrend, indicating that the bulls have the upper hand. However, the Relative Strength Index (RSI) is near the midpoint, suggesting that the momentum is slowing down.
Resistance Levels
If the price rises above $362, Bitcoin could retest its overhead resistance at $400. Sellers are expected to mount a strong defense at this level, but if the bulls prevail, the pair may start the next leg of the uptrend toward $450.
Support Levels
On the downside, a break and close below $261 could drop the price to $203. If the buyers want to retain their advantage, they will have to swiftly drive the price above $362.
Bitcoin’s Market Cap
Bitcoin’s market capitalization has been steadily increasing over the past few months, reaching an all-time high of over $2 trillion in recent weeks. This surge in value has led to a significant increase in the number of institutional investors entering the market.
Regulatory Environment
The regulatory environment for Bitcoin is becoming increasingly favorable, with several countries announcing plans to launch their own digital currencies. This trend is expected to continue in the coming months, potentially leading to further growth and adoption of Bitcoin.
Monero has been attempting to start a recovery for the past few days but is facing stiff resistance at $203. The 20-day moving average is flattish, and the RSI is near the midpoint, indicating a balance between buyers and sellers.
Technical Analysis
From a technical perspective, Monero’s chart shows a mix of both bullish and bearish signals. The 20-day moving average is in an uptrend, indicating that the bulls have the upper hand. However, the RSI is near the midpoint, suggesting that the momentum is slowing down.
Resistance Levels
If the price stays above $203, Monero could rally to $216 and then to $234. If the price breaks and stays below the 20-day moving average, it will suggest that the pair may spend some more time inside the $180 to $203 range.
Monero’s Market Cap
Monero’s market capitalization has been steadily increasing over the past few months, reaching an all-time high of over $5 billion in recent weeks. This surge in value has led to a significant increase in the number of institutional investors entering the market.
Regulatory Environment
The regulatory environment for Monero is becoming increasingly favorable, with several countries announcing plans to launch their own digital currencies. This trend is expected to continue in the coming months, potentially leading to further growth and adoption of Monero.
Several other cryptocurrencies are also showing signs of life, including Virtuals Protocol (VIRTUAL) which resumed its uptrend after breaking out of the stiff overhead resistance at $3.33 on Dec. 27. The upsloping 20-day EMA suggests that buyers are in control, but the negative divergence on the RSI signals that the positive momentum may be slowing down.
In conclusion, Bitcoin is struggling to recover from its recent dip, with the bears pushing back against the bulls at higher levels. Despite this, the buyers have not ceded much ground to the sellers, suggesting that they are holding on to their positions in anticipation of a future recovery. Several other cryptocurrencies are also showing signs of life, including Monero and Virtuals Protocol.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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