Top news for this week:
BitMEX CEO Warns: Bitcoin Price Could ‘Absolutely’ Retest $3K
BitMEX CEO Arthur Hayes in the BitMex Crypto Trader Digest letter on April 9th has stated that if the general markets keep falling in the upcoming weeks, we may see Bitcoin retesting 3k USD region once again.
“Bitcoin will be owned unlevered. Could the price retest $3,000, absolutely. As the SPX rolls over and tests 2,000 expect all asset classes to puke again. As violent as the Q1 collapse in asset values was, we have almost 100 years of imbalances to unwind the ancien regime.”
Read further on Cointelegraph.com
Binance Users Can Now Buy Crypto Using Debit Cards in 5 New Fiat Currencies
Popular exchange Binance has announced that it will offer support for five more countries to buy cryptocurrency using Visa debit and credit cards.
Currently five cryptocurrencies are available for purchase: Bitcoin (BTC), Ether (ETH), Binance Coin (BNB), XRP, Binance USD (BUSD) and Tether (USDT) by using several fiat currencies.
Read further on Cointelegraph.com
Reddit May Use Ethereum for a New Token-Based Points System
According to Reddit user post, it is experimenting with “Community Points” that will be stored using Ethereum’s ERC-20 token standard. This promises to give more power and incentives to the users.
No official announcement has been made yet, however, co-founder Alexis Ohanian has publicly been a crypto supporter for several years now.
Read further on Coindesk.com
Technical analysis of Crypto majors:
Bitcoin has a market cap of 126.5 billion USD and trades around 6,924 USD on Coinbase.
After retracing to the upside for several weeks, BTC has shown the first sign of weakness after a clear break below an ascending tightening wedge pattern support was broken earlier this week.
This came after the price tested 50% Fib retracement for a couple of days, however, a clear lower low and high is yet to be made to confirm the reversal on smaller timeframes.
Therefore, overall we can see BTC moving lower in the upcoming weeks, but keep in mind that further confirmation is still needed.
Ethereum currently has a market cap of 17.6 billion and trades at 160 USD on Coinbase.
Since the price has still not retraced enough from the previous major downswing, more upside would be needed, however, a strong rejection of 200 day moving average green line was seen this week.
After this, the price found support around 155 USD previous resistance, indicating a higher low once again and a potential further upside as the price looks to retrace 50% from the previous downswing.
Therefore, a short position does not offer a good risk/reward potential right now and a further retracement to the upside is needed.
The best option would be to stay neutral for now.
Ripple currently has a market cap of 8.44 billion USD and is trading around 0.1936 USD on Coinbase as it tested 0.2 USD resistance and set a new higher local low around 0.18 USD earlier this week.
Overall, the price has not retraced enough to consider a short position along the overall several year bearish trend. An area for resistance can be seen around 0.22-0.26 USD as it is where both 100 and 200 day moving averages are located in addition to 50-61.8% Fib retracement.
Therefore, a further retracement to the upside is needed and the best option would be to stay neutral for now.
Crypto of the week:
Kyber Network (KNC) currently has a market cap of 87.3 million and is trading around 0.485313 USD/ 0.0000698 BTC on Binance.
KNC has had a very strong performance earlier this year as it increased by 366% against BTC in just 64 days from the low of 2.3k satoshi to the high of 11.2k satoshi.
Since then a steady retracement was seen during the past weeks and currently the price has retraced towards 6k satoshi minor support/resistance as well as the area between 50-61.8% Fib retracement. After a sharp rejection was seen on the 25th of March, the price did set a higher low earlier this month.
Currently, 7k resistance is holding the price in consolidation, however, once broken, it could be a potential sign of reversal back to the upside. This could lead towards KNC further outperforming BTC in the upcoming weeks.
Therefore, KNC/BTC is a pair to watch for the upcoming weeks.