The market witnessed a major banking crisis in March when Silicon Valley Bank and Signature Bank failed and Silvergate Bank went into liquidation as a result of a severe financial crisis. In Europe, the government negotiated a forced takeover of Credit Suisse by UBS. Still, the actions of the United States markets and the European Stock markets closed the month on a positive note.
The cryptocurrency market was also rocked by volatility, but Bitcoin (BTC) gained around 23% in March. Moving forward, the outlook looks encouraging for Bitcoin bulls in April and data from Coinglass suggests that the month has largely favored buyers.
Although altcoins reacted positively to Bitcoin’s rise, the rally has not been the same across the board. This suggests that market participants have been selective in their purchases. As a result, traders could focus on movers rather than laggards.
Let’s study the charts of five cryptocurrencies that look positive in the short term. If they break above their resistance levels, they can offer short-term trading opportunities.
Bitcoin Price Analysis
Bitcoin is facing stiff resistance at the $29,000 level, but the bulls have not allowed the price to lose ground. This suggests that the bulls are being patient as they anticipate a move higher.
The 20-day exponential moving average ($27,012) is trending higher and the RSI is above 61, indicating that buyers are in control. Bullish momentum is likely to pick up after buyers clear the $29,200 hurdle. That could start a rally to $30,000 and then $32,500.
Conversely, if the price falls sharply from the current level, it will suggest that short-term traders are selling. The BTC/USDT pair can drop to the 20-day EMA, which is an important level to watch out for.
If this support gives way, the pair could drop to the breakout level of $25,250. This is a critical level for the pair because if it breaks down, the selling could intensify and the decline could extend to the 200-day simple moving average ($20,424).
The buyers pushed the price above the overhead resistance at $28.868 but could not hold the higher levels. This suggests that the bears are trying to hold the price below $28.868. If the bears hold the price below the 20-day EMA, the pair can start its decline towards $27,500 and then as low as $26,500.
On the upside, a breakout and close above $28,868 will indicate that the bulls have beaten the bears. That could signal the start of the next leg of the up move. The target of the breakout above the $26,500 to $28,868 range is $31,236.
Ether Price Analysis
Ether (ETH) turned down the overhead resistance of $1,857 on April 1, but the bulls are not giving up much ground. This suggests that buyers are not rushing out.
The up-sloping 20-day EMA ($1748) and the RSI in the positive area suggest that the path of least resistance is to the upside. If the bulls push the price above $1,857, the ETH/USDT pair can reach the psychologically important $2,000 level.
The bears are likely to mount a strong defense at this level, but if the bulls break through this barrier, the next stop could be $2,200. This positive view will be invalidated in the short term if the price breaks below the 20-day EMA and the horizontal support at $1680.
The 4-hour chart shows that the pair turned down from the overhead resistance at $1,857 and the bears pulled the price below the 20-day EMA. This suggests that short-term bulls may be closing out their positions. The pair could drop to $1,743 and then $1,680.
Conversely, if the price rally and rally back above the 20 day EMA, it will suggest that the breakout may have been a bear trap. A strong bounce from the current level could improve the prospects for a rally above overhead resistance.
Polygon Price Analysis
Polygon (MATIC) has been trading near the 20-day EMA ($1.11) for the past few days. In general, a tight consolidation near overhead resistance resolves to the upside.
If the buyers push the price above the 20-day EMA, the MATIC/USDT pair will try to rally to $1.25, and then $1.30. The bears are expected to vigorously protect this zone because if they fail, the pair could skyrocket to $1.57.
Alternatively, if the price turns down from the current level and falls below $1.05, it will suggest that the bears are back in the driver’s seat. The pair can then drop to the 200-day SMA ($0.97), which is an important level to watch. If this support breaks, the pair can plummet towards $0.69.
The bears are trying to hold the price below the 20 day EMA. If successful, the pair could slide to $1.05 and then $1.02. This is an important zone for the bulls to defend because if it gives way, the pair can continue its move lower to $0.94.
On the other hand, if the price rises from the current level, it will suggest that every minor dip is being bought. That will increase the probability of a break above the minor resistance at $1.15. The pair can then rise to $1.25.
Related: Bitcoin Copying ‘Family’ Price Trend in 2023, Two More Metrics Show
Ivy Price Analysis
Buyers thwarted several attempts by the bears to sink and hold Hedera (HBAR) below the 200-day SMA ($0.06) between March 9-28.
The 20-day EMA ($0.06) has started to turn around and the RSI is in the positive territory, indicating that the buyers have the upper hand. The HBAR/USDT pair is likely to continue its march north to the $0.10-$0.11 resistance zone. The sellers are likely to defend this area with all their might, but if the buyers break through, the pair may start a new uptrend.
Contrary to this assumption, if the price turns down and breaks below the 20 day EMA, it will suggest that the bears are selling relief rallies. Then the pair can retest the crucial support at the 200-day SMA. A break below this level will open the doors for a possible drop to $0.04.
The bulls started a strong rally from the support near $0.06, but the relief rally is facing stiff resistance in the area between the $0.07 50% Fibonacci retracement level and the $61 retracement level. .8% of $0.08.
On the downside, the bulls are trying to defend the support at the 20-EMA. If the price bounces, the pair can go up to $0.09 and then $0.10. Conversely, if the price breaks below the 20 day EMA, it will suggest that the bears are still in the game. The pair could then turn down to support near $0.06.
EOS Price Analysis
EOS (EOS) is trying to complete a bullish cup and handle formation. Buyers pushed the price above the 20-day EMA ($1.15) on March 29, kicking off a rally.
The 20 day EMA has started to gradually turn up and the RSI is in the positive territory, indicating a minor advantage for the bulls. The ETH/USDT pair is likely to rally to the upper resistance zone between $1.26 and $1.34.
The sellers are likely to defend this zone aggressively, but if the bulls outweigh the bears, the pair may start a new uptrend. The pattern target of the reversal setup is $1.74.
Conversely, if the price turns down from the upper zone, it will indicate that the bears are selling rallies. The pair could then slide to the 20-day EMA and then the 200-day SMA ($1.05). A break below this level will suggest that the bears are back in command.
The 4-hour chart shows that the bears are vigorously protecting the $1.22 level, but one minor positive is that the bulls have not allowed the price to fall below the 20-day EMA. This shows strong demand at lower levels.
The upward slope of the 20-EMA and the RSI in the positive territory indicate that the bulls have a slight advantage. If buyers push the price above $1.22, the pair could rally to $1.26 and then $1.34.
Conversely, if the price breaks below the 20 day EMA, it will suggest that short-term traders may be taking profits. Then the pair could fall to $1.14 and then to $1.06.
The views, thoughts and opinions expressed here are those of the authors alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should do their own research when making a decision.
