Positive sentiment ahead

Fundamental data

The crypto market got another boost last week after US President Trump announced that a peace agreement with Iran will be underway. The positive sentiment in markets already started beforehand. Equities moved mostly higher last week and upside momentum especially of the Nasdaq technology index typically helps the crypto market as well.

Another interesting fact might also support the crypto space. Since Bitcoin has now underperformed with its longest streak against the S&P 500 index the market might now change. With inflation being persistent, oil prices keep trading at high levels the interest regime in the US might remain “higher for longer”.  This theme might favor Bitcoin over equities as well as fixed income (bonds). Also, the price of Gold has been fading as investors seemingly rather turn away from the shining metal. So, in general, the current market phase might soon start to offer significant upside for the crypto market if the positive sentiment in markets remains persistent.

Technical analysis:

– BTC: Bitcoin is trading at USD 76,856. After the market has lost steam in the past two weeks a rebound seems to be now underway. With the return of positive sentiment mainly in the equity market also Bitcoin might be on track to gear up fresh momentum now.

BTCUSD, daily chart

Based on the daily hart above BTC resumed its positive trend at the end of last week. The rebound off the technical support zone off the 50- moving average level shows, that the market might now continue to rise. Especially a break above the USD 78,500 level might unleash fresh positive momentum. The USD 85,000 range might then be in sight.

– ETH: Ethereum is currently trading at USD 2,120. Also, ETH started to break higher following a test of the psychological support zone of USD 2,000. The general trend looks promising currently as the upside seems to gear up some momentum.

ETHUSD, weekly chart

The weekly chart above shows, that Ethereum keeps trading on top of the rising trendline. Only a break below this area might add pressure to this token. Above the USD 2,350 level the positive momentum might even start to get more strength potentially pushing ETH towards the 50- moving average level in the USD 3,000 range.

– XRP: XRP is currently trading at USD 1.3554. The price of Ripple has not been able to rise significantly, despite also remaining slightly positive. Yet, the long-term monthly chart might now suggest that XRP could also face further profit- taking towards the end of the month.

XRPUSD, monthly chart

The monthly chart above shows that XRP has still not been able to push beyond the important resistance level of USD 1.5000. That area remains a strong zone and only a break will give Ripple more upside. Unless broken, the token might fall further within the negative trend. After testing the 50- moving average zone the price could then push down towards USD 0.7000.

– SOL: Solana is currently trading at USD 85.79. Following a recent slide in prices Solana looks now set to stabilize. The price tested the 50- moving average level and bounced away from that zone. The positive candlestick pattern from last week might now indicate that prices could rise.

SOLUSD, daily chart

A break above USD 87.50 might now cause the upside to gain traction again. The price could then be on track to push towards the upper end of the trading range at USD 98.00.