Bitcoin, Ether, Major Altcoins – Weekly Market Update May 10, 2021
The total crypto market cap added $185 billion to its value for the last seven days and now stands at $2,478 billion. The top 10 coins were all in green for the same time period with Bitcoin Cash (BCH) and Litecoin (LTC) leading the pack with a 53.4 and 46.5 percent increase respectively. Bitcoin (BTC) is currently trading at $58,000, ether (ETH) is at $4,098.
Bitcoin closed the trading day on Sunday, May 2 at $56,630 after successfully rebounding from the lower $50,000s earlier in the week. The short-term reversal to the upside resulted in a 15 percent price increase.
The BTC bulls regained positions above both the 21-day EMA on the daily timeframe and the lower boundary of the old $56,000 -$59,500 range but were still struggling to make a new high on the weekly timeframe.
On Monday, the BTC/USDT pair hit the $59,000 mark during intraday, but the longs were quickly absorbed and the coin ended the session close to its opening mark.
The second day of the seven-day period came with a sharp 7 percent drop to $53,188, but the zone around $53,000 was rapidly becoming the next point of stability for buyers making it a tough obstacle for bears.
The mid-week session brought the exact same candle formation but in the opposite direction as bitcoin completely erased the losses from the previous day and stopped at $57,500.
The next target in front of bulls is to ensure a weekly close on positive territory in order to confirm the bullish engulfment on both daily and weekly timeframes, then find a way to break the $59,000 resistance.
The leading cryptocurrency stabilized in the area above the 21-day EMA on Thursday, May 6, and ended the session with a short red candle to $56,474, keeping its price floating above the mentioned horizontal S/R at $56,000.
On Friday, the coin was highly volatile in the $58,700 – $55,200 range and only managed to erase the losses from the previous session.
The weekend of May 8-9 started with a good uptrend continuation candle on Saturday, which was marked by the return of bulls. BTC climbed up to $59,000.
Then on Sunday, it lost 4.5 percent at the beginning of the day trading but quickly recovered to $58,300 in the evening.
What is most important is that the biggest cryptocurrency successfully confirmed the bullish engulfment on the weekly timeframe by drawing a second consecutive green candle there.
What we are seeing on Monday morning is an attempt from buyers to break above the $59,000 multi-timeframe resistance.
The Ethereum project token ETH went parabolic after touching the 21-day EMA at $2,217 on April 25. The coin grew by more than 25 percent on a weekly basis and closed the Sunday session at $2,950 – a newly established all-time high.
The upcoming London hardfork which is expected to introduce EIP 1559 and significant gas fee structure improvements in combination with the Uniswap v3 launch and the solid fundamentals are the main factors contributing to the good performance of the ETH/USDT pair.
On Monday, May 3, the coin added yet another 16.4 percent to its valuation and hit the $3,420 mark, breaking the $3k barrier for the first time.
The Tuesday session was when profit-taking activities kicked in as the ether took a small break, eventually closing at $3,230.
The third day of the workweek was a continuation of the rally, bringing another re-test of the upper boundary of the uptrend corridor, situated near $3,520.
On Thursday, May 6, the ETH/USDT pair was rejected in the mentioned area and closed in red at $3,495 after trading in the $3,610 – $3,384 range during intraday.
The Friday session was again volatile. The coin moved up and down the $3,600 – $3,355 zone, but closed flat in the evening.
The weekend of April 8-9 started with a huge green candle on the daily chart on Saturday. The unexpected trend continuation resulted in a 12 percent increase in the price of ETH and a new all-time high value at $3,966.
On Sunday, it remained flat, still closing the week with a 33 percent price increase.
Ether broke the $4,000 level in the early hours of trading on Monday.
Top 10 Movers
- Bitcoin Cash (BCH)
The most popular Bitcoin fork re-entered the Top 10 list of the biggest cryptocurrencies after adding 45 percent to its value for the last seven days.
The coin surpassed the $1,200, which was the most recent high, and found itself in a territory last visited in June 2018. BCH’s good performance was also reflected in its trading pair vs BTC.
Next for Bitcoin Cash is to stabilize above the psychological level at $1,500 then go for the next major resistance on the weekly timeframe – $1,750-$1,800.
Down, we expect the already-mentioned area around $1,200 to turn into support.
Altcoin of the Week
Our Altcoin of the week is Telcoin (TEL). The money transfer blockchain platform, which focuses on global remittance services added an impressive 310 percent to its value for the last seven days and is now more than 20,000 percent up since the beginning of 2021.
The project’s native token TEL reached #62 on CoinGecko’s Top 100 list with a total market cap of approximately 2,843 million. It peaked at $0.053 on Sunday, May 9 on the KuCoin exchange on the news that it was recently added to the leading exchange on Polygon – Quickswap. The lower fees on the L2 scaling solution in comparison with the original Ethereum project attributed to the recent rally. The Telcoin V3 platform, which was first mentioned in the April Community update also contributed to the good performance of the coin.
As of the time of writing, TELUSDT is trading at $0.051 on KuCoin: