Bitcoin, Ethereum & Ripple - American Wrap: 5/4/2020
Bitcoin is hovering below $9,000, unable to clear the resistance amid heightened market uncertainty and anxiety ahead of the halving. US-China tensions add more fuel to the fire and make traders less inclined to open long-term positions. Instead, many market players prefer to cash out once their positions turn green.
Bitcoin’s correlation with the S&P 500 is back on the agenda as the sell-off on the cryptocurrency markets coincided with the resumed bearish momentum on the US stock markets. However, eToro experts believe, there is a chance that BTC moves above $10,000 even before the block reward is halved.
ETH/USD touched the intraday low at $195.17 and recovered to $199.50 by press time. The second-largest digital asset attempted a recovery above $219 on Sunday, May 3, and has been trading with bearish bias ever since. ETH/USD has lost over 6% in recent 24 hours and 4.5% since the beginning of Monday.
Currently, 35% of Ethereum addresses are in the money. About 1.63 million addresses holding 3.36 million ETH have their breakeven point in the range from $202 to $216. Once this area is cleared, the upside momentum may gain traction with the next focus on the recent high at $227.36.
Ripple has fallen overall on Monday but the has been a bounce off the 55 exponential moving average. Technically the chart is still a bullish one as the trend is still firmly in an upward trajectory. The only issue is there have now been two lower high waves but the support of the 0.21 psychological wave low is holding firm at present.
Looking at the indicators, there was a clear volume spike marked by the circle. This points to a buyers market until there is a selling wave with higher volume it seems the bulls are still in charge.
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