Technical analysis of coins
In the video we cover some news on the regulatory front, review charts for BTC, ETH, LUNA, XMR and look at other coins in an uptrend.
Biden admin released a long awaited executive order regarding crypto regulations, which appears to basically just kick the can down the road, without any specific directives, instead asking each federal agency to coordinate and work on regulations for this asset class, balancing innovation with consumer protection.
In the near term, the admin appears focused on regulation of stablecoins. I think that some reasonable regulation could actually be very positive for digital asset space to extend that it lowers the risk for mainstream adoption by both retail and institutional investors.
That’s removed one overhang on crypto, at least temporarily and we saw a strong rally overnight.
Analysis of coins:
BTC – sideways action, approaching $45K resistance again -rejected 3x recently.
ETH – Descending Triangle -clearly making lower Highs -bearish, but $2,300 or so support has held so far. Needs to break through that down trendline however to signal trend reversal.
There’s also a narrative around privacy coins like Monero (XMR) and ZCash (ZEC), which rallied hard yesterday, under the assumptions that Russians could use them to transfer part of their wealth out of Russia.
Interestingly, both hit and got rejected by 200-day MA…..don’t underestimate that as a key resistance / support level.
If you are looking to own crypto in this market, you should find those few coins that are still in an uptrend due to some specific catalysts, events or drivers.
LUNA analysis- bounced off of $80 support, which we highlighted in Curated charts
Luna trade setup: Solid uptrend. Bounced off of $80 support and attacking $100 resistance again (previously got rejected 2x). Wait for price to 1) break above $100, or 2) pull back to $80 support for a swing entry opportunity. (set a price alert). Recent move was driven by a positive announcement of a 1B reserve for Terra’s stablecoin (UST).Trend: Uptrend across all time horizons (Short- Medium- and Long-Term).
Momentum is Bullish ( MACD Line is above MACD Signal Line and RSI is above 55).
OBV (On Balance Volume): is flat, indicating that volume on Up days is equal to volume on Down days. Hence, demand from buyers and supply from sellers are in equilibrium
Support and Resistance: Nearest Support Zone is $80, then $60. The nearest Resistance Zone is $100.