Bitcoin and Ether Market Update: April 23, 2020
Total crypto market cap lost $4 billion of its value since Monday morning and now stands at $205 billion. Top ten coins are all in green for the last 24 hours with Ether (ETH) and Tezos (XTZ) being the top performers with 3.4 and 4.8 percent of gains respectively. At the time of writing Bitcoin (BTC) is trading at $7,050 on the Bitstamp daily chart, while ether (ETH) moved to $179 and Ripple’s XRP fell further to $0.186.
Bitcoin was rejected near $7,300 on Sunday, April 19 and moved down to $7,125, closing the week with a 3.2 percent increase.
The new trading period started with a continuation of the downward movement. The BTC/USD pair dropped down to $6,825 and erased another 4 percent of its value. The $6,900 – $7,000 support zone was broken, but the leading cryptocurrency found stability around the meeting point of the 26-day and 50-day EMAs.
The Tuesday session was relatively calm as bitcoin was trading in the $6,943 – $6,730 zone without registering any major price changes at the end of the day.
The RSI index could not make a secondary break above the downtrend line and in combination with the non-moving volumes resulted in a slow momentum.
On the other hand, bulls were successfully defending their position in the uptrend corridor (as visible on the chart), that was formed month and a half ago.
The mid-week trading on Wednesday was slightly different and we witnessed the formation of a solid green candle to $7,136 even though there was a clear rising wedge formation on the 1-h chart, which is in general a bearish signal. Bitcoin gained 4 percent and climbed back above the upper S/R zone.
What we are seeing on Thursday morning is the result of the morning star candle pattern that was in the making for the last three days.
In terms of trading volumes, they climbed up from $30 billion on Monday to $35 billion on Tuesday before dropping back to $31 on Wednesday.
The Ethereum Project token ETH experienced a short sell off on the second day of the weekend and dropped down to $180. It closed the week with a 14 percent increase.
The ETH/USD pair was trading in the $187-$167 range on the first day of the new week, but a hard rejection near the 100-day EMA resulted in some heavy losses for the coin. It closed at $170 erasing another 5.5. Still, the support zone around that level proved to be strong enough to not allow further decrease.
On Tuesday, April 21 the ether remained flat, adding less than a dollar for the day.
The third session for the workweek, however, was quite positive for bulls as they moved 7.5 percent up and reached $183 and once again hitting the 100-day EMA.
The 24-hour trading volumes were stable in the $15-17 billion zone on Monday and Tuesday, then moved down to $12-$13 billion on Wednesday before climbing back to $15 in the evening.