Crypto Market Updates

Last week, BTCUSD was trading in the range of 40625 - 37500 (Murray [2/8]-[0/8]) under pressure from the upcoming US Federal Reserve meeting, which will announce a reduction in the balance of the regulator and an increase in the interest rate to 0.50%, which should strengthen the position of the US currency. The prospects for the growth of the US dollar against alternative assets are forcing investors to abandon cryptocurrencies, which confirms the outflow of capital from BTC, ETH, and other market leaders.

Meanwhile, the publication of weak data on the US Gross Domestic Product in the current quarter (a decrease of 1.4% was recorded) led to a short-term upward correction in BTCUSD, as it created the possibility of a slowdown in rate growth to 25 percentage points. It is worth noting that the market's enthusiasm was quickly exhausted, since most experts agreed that the current contraction of the US economy is not a sign of an impending recession, but is the result of temporary factors, so the country's financial authorities will probably not back down from their intention to tighten the monetary policy parameters more aggressively.



The instrument has now resumed its decline approaching 37500 (Murray [0/8]), which has been repeatedly tested earlier. Consolidation of the price below it will give the prospect of further downward movement to the level of 35300 (Murray [3/8], the lower limit of the ascending channel). The key point for the "bulls" seems to be at 39900.00 (the center line of Bollinger Bands), if it is broken out, BTCUSD will strengthen to the area of 42187.5 (Murray [3/8], Fibonacci retracement of 23.6%) and 437500 (Murray [4/8]).

Technical indicators indicate the continued downtrend: Bollinger Bands and Stochastic are reversing downwards, and the MACD histogram is increasing in the negative zone.

Resistance levels: 39900, 42187.5, 43750 | Support levels: 37500, 35300

The BTCUSD pair continues to trade within a downtrend, under pressure from the May meeting of the US Federal Reserve on monetary policy.

Last week, the price of "digital gold" attempted to rise to 40000 after the head of the US regulator, Jerome Powell, denied the possibility of accelerating the pace of raising interest rates to 75 basis percentage points, which caused investors to hope for a reduction in the risks of a recession in the national economy and returned interest in risky assets in the short term. However, the decline continued, and by now, the quotes have reached their lows of this January, around ​​33030.

The fall in the stock market, with which digital assets are actively correlated, also harms the cryptocurrency sector. Several experts believe that investors still perceive BTC and altcoins as risky assets that should be disposed of during instability.



Currently, the price of the BTCUSD pair has fallen below 34375 (Murrey [3/8]) and may continue to decline towards 31250 (Murrey [2/8]). The key "bullish" level is 38350 (the middle line of Bollinger bands), a breakdown of which may lead to the resumption of growth of the trading instrument to 40625 (Murrey [5/8]), 43750 (Murrey [6/8]), however, such an option price movement seems less likely, as technical indicators reflect the continuation of the downward trend: the Bollinger and Stochastic bands are directed downwards, the MACD histogram is increasing in the negative zone.

Resistance levels: 37500, 38350, 40625, 43750 | Support levels: 31250, 28125

The XRPUSD pair is moving within a wide downward channel, but it has been consolidating around 0.41 in relative equilibrium for the second week.

At the moment, the asset's downtrend is maintained, signaled by a downward reversal of the Bollinger and Stochastic bands. To resume a serious decline, the price will have to break below the support zone of 0.4100?0.3650, and in this case, the trading instrument will be able to continue moving towards 0.2930 (Murrey [3/8]) and 0.1953 (Murrey [2/8], the lower limit of the downwards channel). The key "bullish" level is 0.4883 (Murrey [5/8]), above the middle line of Bollinger bands, the breakdown of which will give the prospect of resuming the upward dynamics of the token quotes to the area of ​​0.6000 (Murrey [6/8], Fibonacci correction 23.6%), 0.6836 (Murrey [7/8]) but so far this variant of further movement seems less likely.

Resistance levels: 0.4883, 0.6000, 0.6836 | Support levels: 0.3650, 0.2930, 0.1953

The XRPUSD pair continues to trade within a wide descending channel, but this week it attempted an upward trend, as did most of the cryptocurrency market.

Currently, the token price is consolidated above the middle line of the Bollinger Bands (0.4070), but to start a more serious growth, it will have to overcome the 0.4395 mark (Murray [1/8], upper line of the Bollinger Bands). In this case, the targets will be the levels 0.4883 (Murray [2/8]), 0.5371 (Murray [3/8]) and 0.6 (Murray [4/8], Fibo retracement of 23.6%). The key support zone for the "bears" is still 0.3900-0.3650, the breakdown of which will allow the quotes to continue moving to the area of 0.2930 (Murray [-2/8]) and 0.1953 (Murray [2/8], the lower boundary of the descending channel).



In general, a serious movement of quotations is possible in the near future, as indicated by the consolidation of the Bollinger Bands and the price at around 0.4100, but its direction has not yet been determined. The MACD histogram is shrinking in the negative zone, and the Stochastic is directed upwards, but it approaches the overbought zone, which does not exclude a reversal to a downward movement.

Resistance levels: 0.4395, 0.4883, 0.5371, 0.6 | Support levels: 0.3650, 0.2930, 0.1953

XRPUSD, H4
On the four-hour chart, there is a narrowing of the price in the side channel of 0.3572 ? 0.4345, which indicates an imminent impulsive movement of quotes. The formation of a "bullish" candlestick analysis pattern Inverted Hammer above 0.3755 signals that the asset has reached a local low, while the Bullish Belt-Hold pattern emphasizes buyers' confidence. Most likely, the quotes of the token will head towards 0.4345, consolidation above, which will allow the XRPUSD pair to rise to the zone of 0.4751 ? 0.5373. An alternative scenario will be relevant if the buyers fail to hold the key support level of 0.3572.



XRPUSD, D1
On the daily chart, there is a formation of a Symmetrical Triangle price pattern, after which the price can go either upwards or downwards. Considering that the instrument is currently trading at the bottom at a strong support level, then most likely, the movement will be upwards, which is confirmed by the formation of a series of "bullish" Hammer patterns. In the current situation, the most likely scenario is the growth of the asset to the area of 0.4345 ? 0.5373.



Resistance levels: 0.4345, 0.4751, 0.5373 | Support levels: 0.3572, 0.3043, 0.2614

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ETH USD, H4
On the four-hour chart, the Bear flag price pattern formed, which has completely completed its formation, reaching 1079.74. At this support level, sellers met resistance caused by forming a "bullish" Engulfing pattern, which included a reversal model of the Hammer candlestick analysis. In this situation, it is obvious that the asset is strongly oversold, and the "bulls" will be able to win back part of the lost positions successfully. After the breakout of the resistance level of 1429.97, the upward dynamics will continue to the area of 1746.30?2153.01. If the support level of 1079.74 is held, the quotes may go down to 898.98?565.22.



ETH USD, D1
On the daily chart, the Downwards triangle price pattern has completed its formation, and now there is the formation of a "bearish" Three black crows candlestick analysis pattern, which signals a continuation of the downtrend. At the support level of 1079.74, a Hammer reversal pattern is formed, indicating a possible reaching of the base price. After successfully forming this pattern, the scenario with an upward trend seems to be the most probable. Consolidating of the "bullish" positions above the resistance level of 1429.97 will allow the asset to head higher to the range of 1746.30?2153.01.

Resistance levels: 1429, 1746, 2153 | Support levels: 1079, 898, 565



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