Market update
Cointree Crypto Market Update - March 23rd 2022
Market report for traders
What’s happening in the market?
Markets see modest growth with gains mostly made on the bounce
Bitcoin has continued to move between AU$51,200 and ~AU$57k over the past week. A short high was seen following news of President Biden signing off on a historic executive order on cryptocurrency, which focused on regulation and responsible ways to support future growth in the space. This high dropped shortly after however when inflation fears continued to swell.
Meanwhile, Ethereum, Cardano, and Solana all gained some momentum throughout the week with Ethereum sitting at AU$3,896 (+5.54%), Cardano at AU$1.26 (+13.56%), and Solana finding itself at AU$118.87 (+1.74%) at the time of writing.
Besides Avalanche which is up 12.47% for the week, most major cryptos saw modest gains. BNB is up 2.9%, Terra climbed 2.16%, Polkadot rose 4.43% but the standout this week comes from payment focused alt, Dash, which is up an impressive 30.17%.
International crypto regulation continues to divide
While Australia took a step this week towards becoming a global cryptocurrency hub, in India, a note from India on regulation was compared to their lottery and gaming policies. Leaving many feeling the move was less than conducive to the growth of cryptocurrency in the country and served as a guide for the government’s stance on crypto trading.
Meanwhile, lawmakers in the US introduced bills that could force crypto exchanges to cut ties with Russian wallets. It would also require U.S. taxpayers to report any crypto transactions outside the country exceeding $10,000 to the Financial Crimes Enforcement Network, or FinCEN.
Across the water, Malaysia’s ministry said that it was looking into ways to enhance the financial inclusion of young people; and proposed crypto assets be used as Malaysia’s legal tender. The latest development could signal that the country’s authorities aim to create a more crypto-friendly regulatory framework and attract major players to the South-East Asian nation.
Technician’s Take
Bitcoin ranging around the 50 day moving average
Bitcoin (BTC) continues to range around the 50 day moving average (MA), bouncing between AU$51,200 and ~AU$57k. For now there is definitely support at the AU$51k level, however it is looking like we might be seeing a new base develop around AU$55k which would be a positive sign of its next move up.
Volume has shown some up tick on some days, usually driven by news which signals that BTC’s price is definitely still tethered to global events, both around geopolitics and of course regulation.
MACD is still bullish, though with quite a lackluster divergence showing we are in a sideways moving market. RSI is slightly oversold with the moving average of the RSI slowly trending up but still very much in neutral territory.
Beginners recap:
- Bitcoin (BTC) ranging around the 50MA
- Relative Strength Index (RSI) slightly oversold
- Moving Average Convergence Divergence (MACD) bullish but showing a sideways trend
- Watching for a further push up or retrace to find support
Disclaimer: Information provided is for educational purposes and does not constitute financial product advice. You should obtain independent advice from an Australian financial services licensee before making any financial decisions.\ As cryptocurrencies remain volatile, all prices and percentages may have changed since the time of writing.
