Bitcoin
BTC$41 781.93

-1.20%

Ethereum
ETH$3 104.92

-3.07%

Tether
USDT$1.000442

0%

Binance Coin
BNB$462.66

-2.57%

Cardano
ADA$1.41

-10.09%

USD Coin
USDC$0.999818

-0.07%

Bitcoin Ranging in Anticipation of the Next Move


April 2020

Some six weeks ago, cryptocurrency traders were living in anticipation of enormous profits from what seemed to be an altseason that emerged on the back of the declining Bitcoin dominance. But in a span of a very short time, they were forced to awake to the reality and face the all-encompassing crisis that is running rampant across all markets.

Bitcoin regains dominance only to stagnate


Now, the altseason seems like a distant hazy dream, while the price action of Bitcoin is once again on everyone’s mind. Since February 13, Bitcoin dominance has been on a steady rise, increasing from the six-month low at 62% to 67.8%, with the largest spike occurring right after the markets have lost their marbles. Subsequently, the capital began flowing rapidly from altcoins to BTC, which is evident from the total market capitalization chart, which shows that money is currently flowing almost exclusively into the first cryptocurrency. In contrast, Ethereum and altcoins remain on a starvation diet.

1-month TMC chart

And even though cryptocurrencies, in general, didn’t turn out to be the safe haven, contrary to the expectation of many adepts, Bitcoin has been doing significantly better in this regard since investors, not to mention traders, have shown it at least some degree of trust.   

However, this show of trust isn’t even close to being substantial for the total recovery from the knockdown punch, which is evident from the display of the 25-period Money Flow Index on the daily time frame.

1-day BTC/USDT chart

Since the crash, which pushed MFI to -20, the index has climbed no higher than 50, which is characteristic of stagnation rather than growth. What’s interesting, though, is that even in the face of a global recession, MFI didn’t actually go below -20, as it did back in November of 2018, when the price approached the $3000 zone. This could only mean that the present confidence in BTC is higher than before, even against the backdrop of the worldwide panic-turned-uncertainty that is likely to linger for months.

Nevertheless, that confidence is still way too far from translating to even a shadow of a bull run, mainly because the correlation with the conventional markets, primarily the S&P 500 index, is getting more evident, but they have utterly failed to stabilize, despite the massive infusion of liquidity on the part of Federal Reserve. Therefore, the chapter that follows the one called “Doomsday” will be titled “Stagnation,” in which the price of BTC is going to move in the range between $5700 and $6900 for a prolonged period of time, given that the authorities do manage to sustain the current crisis.

We see a triangle forming on that time frame, but even when Bitcoin breaks it, the impulse would be weak because there’s presently no new capital coming into the first cryptocurrency, which points to the fact that big players are satisfied with this price level, at which they will be gaining the position size for the time being. In the meantime, retail traders shouldn’t forget that now would be the time for stop-loss hunting, which means that the sudden spikes to $7400 or drops to $5100 are to be expected over the course of the coming week.   

Author: Alex Paulson for Crypto-Rating.com

Related

The Best Cryptocurrency Trading Bots in 2022
The Best Cryptocurrency Trading Bots in 2022
The Reasons Why 90% of Crypto Traders Lose Money
The Reasons Why 90% of Crypto Traders Lose Money
Top Cryptocurrency Exchanges to Trade on in 2021
Top Cryptocurrency Exchanges to Trade on in 2021
Crypto Volatility Index (CVIX): An Essential Risk Management Tool in Crypto Trading
Crypto Volatility Index (CVIX): An Essential Risk Management Tool in Crypto Trading
The Best Composition For Your Cryptocurrency Portfolio in 2021
The Best Composition For Your Cryptocurrency Portfolio in 2021
The Biggest Ponzi Schemes in the History of Crypto
The Biggest Ponzi Schemes in the History of Crypto
The Reasons Behind the Current Popularity of Play-to-Earn Games
The Reasons Behind the Current Popularity of Play-to-Earn Games
The Bitcoin Experiment in El Salvador: a Modest Success or a Fluke?
The Bitcoin Experiment in El Salvador: a Modest Success or a Fluke?
Bitcoin Blasts Off But the Shadow of Evergrande is Still Looming Over the Crypto Market
Bitcoin Blasts Off But the Shadow of Evergrande is Still Looming Over the Crypto Market

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap 7d price change
1 Bitcoin (BTC) BTC Bitcoin predictions 71.2% 61 $41 781.93 -1.20% -2.04% $791 088 078 889 BTC 7 days price change
2 Ethereum (ETH) ETH Ethereum predictions 64.4% 76 $3 104.92 -3.07% -4.08% $370 163 071 496 ETH 7 days price change
3 Tether (USDT) USDT Tether predictions 96% 1 $1.000442 0% 0.02% $78 349 190 476 USDT 7 days price change
4 Binance Coin (BNB) BNB Binance Coin predictions 70% 60 $462.66 -2.57% 0.34% $76 392 115 063 BNB 7 days price change
5 Cardano (ADA) ADA Cardano predictions 76% 52 $1.41 -10.09% 16.06% $47 131 349 412 ADA 7 days price change
6 USD Coin (USDC) USDC USD Coin predictions 96% 1 $0.999818 -0.07% 0.01% $45 754 530 091 USDC 7 days price change
7 Solana (SOL) SOL Solana predictions 62.8% 81 $138.01 -1.88% -1.19% $43 357 154 185 SOL 7 days price change
8 XRP (XRP) XRP XRP predictions 69.2% 65 $0.743566 -2.42% -2.66% $35 440 659 267 XRP 7 days price change
9 Terra (LUNA) LUNA Terra predictions 74% 57 $77.07 -0.63% 2.61% $27 568 221 274 LUNA 7 days price change
10 Polkadot (DOT) DOT Polkadot predictions 73.2% 51 $24.34 -4.48% -6.31% $24 040 494 775 DOT 7 days price change
11 Dogecoin (DOGE) DOGE Dogecoin predictions 75.2% 45 $0.166796 -2.47% 8.84% $22 128 901 943 DOGE 7 days price change
12 Avalanche (AVAX) AVAX Avalanche predictions 61.2% 79 $84.45 -2.78% -7.81% $20 636 453 390 AVAX 7 days price change
13 SHIBA INU (SHIB) SHIB SHIBA INU predictions 70% 63 $0.000028 -3.69% -2.92% $15 307 020 912 SHIB 7 days price change
14 Polygon (MATIC) MATIC Polygon predictions 68.4% 59 $2.08 -6.22% -11.45% $15 177 353 942 MATIC 7 days price change
15 Binance USD (BUSD) BUSD Binance USD predictions 90.8% 1 $0.998835 -0.12% -0.19% $14 198 835 768 BUSD 7 days price change

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2022 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.