BTC Struggles to Maintain Support
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BTC 4-hour candle chart, 4/9/22
Bitcoin has been on a solid downtrend over the last week or so, struggling to break into higher ranges.
It’s likely that unless BTC breaks this downtrend and forms higher support, we could see BTC continue to test lower or start to move sideways. It should be noted that volume has dipped significantly going into this weekend, so it wouldn’t be surprising. The MFI is bordering oversold territory still, but it looks like it could be making an attempt at testing upwards. The MACD also looks like it could be preparing to swing upwards on its momentum waves, however, its EMA lines have yet to choose a definitive direction.
The overall cryptocurrency market is currently just below $2 trillion with a low volume of around $57 billion. BTC dominance is currently at 40.9% with ETH dominance at 19.8%, slowly moving upwards. It wouldn’t be surprising to see ETH and the broader altcoin space continue to outpace BTC, especially considering that ETH’s merge is likely to occur in the coming months.
ETH 4-hour candle chart, 4/9/22
ETH is faring much better than BTC when it comes to maintaining support. ETH is currently riding this support after testing it three times since the beginning of April. The reason it’s likely struggling is due to BTC’s influence on overall market movement. The MFI is trending upwards strongly, and so is the MACD. Couple these technical circumstances with the long-awaited ETH merge slated to be released in June, it’s not too surprising we’re continuing to see strong movement from ETH and the altcoin sector.
