Can altcoins continue to rebound? – Recent requests for Bitcoin ETFs by Blackrock, Fidelity, Ark Invest and Invesco have benefited the cryptocurrency market. Indeed, the Bitcoin price marked a new high in 2023, surpassing $31,000. Ethereum, meanwhile, remains below $2,000 for the time being. Altcoins are benefiting from institutional interest to bounce back, but the rebound remains timid for the vast majority of cryptocurrencies. Bitcoin Cash (BCH), on the other hand, is up over 100% in one week. Is the cryptocurrency rebound already over? Let’s take a look at the clues left by the charts!
Altcoin capitalization stalls at bearish institutional bias
As explained in the introduction to this article, the price of Bitcoin recently marked a new high in 2023. For its part, the capitalization of altcoins has reboundedbut is still at 20 % a new high. This shows that capital is flowing heavily into BTC. What’s more, the price of altcoin capitalization is stalling at the institutional bias (EMA 9/EMA 18) bearish :
The price has recently rebounded at the bearish trendlinebut it is currently stuck at the 9 and 18 moving averages. If buyers push, the price could reach the resistance zone at $670 billion. Whatever happens, the share price is stuck in a range from high to 670 billion dollarsand a low point of around 480 billion dollars. A breach of the upper limit could lead to further bullish volatility on altcoin capitalization. The next resistance powerful is around 950 billion dollars.
RSI continues to evolve under the bearish trendline. For the moment, the rebound is not sufficient to resume the trendline, nor to mark ascending lows and highs. Momentum remains fragile.
Bitcoin’s dominance could return to 53%.
As we have seen altcoins underperform the king of cryptocurrencies. Capital is flowing massively into Bitcoin, and the dominance of BTC has been growing since September 2022. For the time being, all returns to the bullish institutional bias are followed by a rebound :
Price nears the next resistance zone around 53% dominance. A rejection could occur at this level. In the event of a rejection, the price could return to the level of monthly support at 47% dominance. On the other hand, if BTC continues to attract capital, dominance could climb to the resistance to 58% dominance. As long as dominance continues to rise, altcoins will have difficulty expressing themselves. It was not until top local for capital to flow to altcoins.
The RSI is moving above the bullish trendlineIf the trendline is broken, a rebound could take place in the next few days. When the trendline is broken, the trend could pause or reverse.
Despite recent fall, Ethereum’s price remains on trend
For its part, Ethereum is still trading below the last peak at $2,140. The prince of cryptocurrencies is underperforming BTC, but still retains the uptrend initiated at the beginning of the year:
The price has recently rebounded to the level of the support at $1,750and at the bullish trendline. From now on, the 2,000 resistance gives way. If it does, the price could then move to the next level. resistance zone at $2400. It should be remembered that the price double bottom in weekly time units, a bullish figure for financial assets. We’ll need to continue marking ascending lows and highs to regain color on ETH. On the other hand, a break of the bullish trendline is showing signs of running out of steam.
The RSI is showing fragility evolving under the bullish trendlineWe need to find a new dynamic with rising highs and lows.
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Ethereum still struggling against Bitcoin
As a reminder, the ETH/BTC pair is in a range for around two years. For the time being, buyers and sellers are neutralizing each other. Recently, sellers have had the upper hand and have brought the price close to the bottom of the range at 0.06 BTC :
Closing below last low at 0.062 BTCSince September 2022, the price has continued to mark descending lows and highs. As long as the price remains below downtrendlineit will remain fragile. However, a rebound is possible at the bottom of the range. It is essential that buyers defend this level in order to avoid breaking the range from below. So, we’ll have to take up the intermediate support of the range around 0.066 BTC.
For its part, the RSI is still evolving under the bearish trendlinebut it does not mark a new low. Thus, if the price recovers here, a bullish divergence could set in. This shows a certain breathlessness on the sales side. Whatever happens, we’ll have to pick up the pace again. upward momentum with ascending lows and highs on this indicator.
Bitcoin Cash (BCH) continues to rise, posting 115% in one week
Last week, BCH was already the altcoin of the moment, with a 35% rise in one week. In seven days, BCH posted a 115% increase. In the space of a week, this altcoin has climbed 10 places in Coinmarketcap’s rankings. With its meteoric rise in the space of just two weeks, it is now the most popular altcoin. 14th largest cryptocurrency capitalization. The price breaks zones of resistance in its path:
Since the rebound around support at $98the price is up more than 200 %. The share price is currently trading at the level of a resistance at $330If this resistance is broken, the share price could reach the next level. resistance at $400. However, the price could pause here and return to the support at $280.
The RSI exploded upwards following the break of the bearish trendline. A break of the trendline generally leads to downward bullish volatilitywhich was the case here. However, the RSI is overbought zonehe may need to take a break.
For the moment, altcoin capitalization is stalling at the institutional bearish bias. In the event of a bullish continuation, the price will face resistance at $670 billion. Bitcoin continues to attract capital, with BTC’s dominance increasing and approaching resistance at 53%. For its part, Ethereum is maintaining the trend initiated at the start of the year, and the price could once again attempt to break through resistance at $2,000 in the coming days. Compared with Bitcoin, Ethereum remains fragile, but a bullish divergence could be in the offing. This could lead to a rebound at the bottom of the range.
Bitcoin Cash (BCH) is once again in the spotlight this week, with an increase of over 115% in one week. The price is currently close to resistance at $330, and the RSI is in the overbought zone. After rising by over 200% in the space of a few weeks, a pause may be in order. Can BCH continue at this pace?
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