According to a recent JPMorgan research note, institutional investors have withdrawn about $ 20 billion of their gold investment since mid-October and during the same period, institutional inflows into Bitcoin (BTC) are up $ 7 billion.
The bank said, “Such a displacement of gold as an ‘alternative’ currency implies great long-term benefit to Bitcoin.”
JPMorgan believes Bitcoin’s declining volatility could increase adoption by institutional investors. If that happens, the value of the private investment in Bitcoin could mirror that of gold and this gives Bitcoin a long-term upward target of $ 130,000, the bank added.
In other news, billionaire investor Mark Cuban said his crypto wallet exists of 30% Ether (ETH) because he believes it is the closest thing to a real currency. Cuban said the rest of his crypto wallet is 60% Bitcoin and 10% other crypto investments.
CryptoQuant CEO Ki Young Ju recently marked that 400,000 Ether had left Coinbase, a sign that institutional investors may have started collecting the highest altcoin.
The increased adoption of cryptocurrencies by legacy financial institutions and investors is a positive sign, but will this news flow act like a tailwind and increase the price of the top 10 cryptocurrencies?
Let’s analyze the charts to find out.
BTC / USDT
Bitcoin formed a Doji candlestick pattern on March 31 and April 1, indicating indecision in the bulls and the bears. The positive sign, however, is that the bulls haven’t given up much ground. The bulls are once again trying to push the price above the USD 60,000 resistance.
A strong breakout above the $ 60,000 to $ 61,825.84 overhead drag zone suggests bulls are back at the wheel. That could be the start of the next leg of the uptrend, which has a target target of $ 69,279 and then $ 79,566.
Traders can keep an eye on the relative strength index as a break above the downtrend line signals a rebound in momentum.
Contrary to this assumption, the BTC / USDT pair could drop to the 50-day simple moving average ($ 53,362) if the price changes direction again against the above ground resistance zone. A break below this critical support could pull in profit bookings from short term traders and that could bring the price down to USD 50,460.02 and then USD 43,006.77.
ETH / USDT
Ether broke out of the symmetrical triangle on March 31 and has continued its journey higher up. Today the bulls pushed the largest altcoin above its all-time high at USD 2,040.77.
The 20-day exponential moving average ($ 1,798) is up and the RSI is near the overbought territory, indicating an advantage for the bulls.
If buyers can keep the price above USD 2,040.77, the ETH / USDT pair could begin the next leg of the upward move. The triangle breakout pattern goal is $ 2,618.14.
Contrary to this assumption, a drop to the 20-day EMA is possible if the price falls below the current level. A strong bounce will indicate strength and the bulls will try to resume the uptrend.
This optimistic view becomes invalid if the bears drop the price below the trend line. Such a move could bring the price down to $ 1,289.
BNB / USDT
After some hesitation on March 31, Binance Coin (BNB) broke above USD 315 resistance on April 1 and has followed today with a breakout above its all-time high at USD 348.69. If the bulls can sustain the breakout, the altcoin could rise to USD 400 and then USD 430.
The rising moving averages and the RSI in the overbought area suggest that the bulls are in charge.
However, if the bulls fail to defend the price above USD 348.69, the BNB / USDT pair could fall to USD 315. If the bulls can turn this level into support, it will increase the chances of the uptrend resuming. .
This bullish view will be voided if the pair moves below the moving averages. Such a move would suggest that the current breakout was a bull trap.
ADA / USDT
Cardano (ADA) has been stuck in a tight range for the past few days, but the positive sign is that the bulls haven’t dropped the price below the 20-day EMA ($ 1.17). This indicates a lack of purchases, but does not show any urgency for traders to ditch their positions.
The bulls may now try to push the price above USD 1.30. If they succeed, the ADA / USDT pair could climb to $ 1.48. This is a significant resistance as its price was declined on Feb. 27 and March 18.
If that happens again, the couple can extend their stay in range for a few more days. However, if the bulls push the price above USD 1.48, the pair could resume its upward trend, which could reach as high as USD 2. This optimistic view voids on a break and closes below USD 1.03.
DOT / USDT
Dot (POINT) had turned off the downward trend on April 1, but the bulls didn’t give up much ground. This shows that traders are not rushing to close their positions. The buyers have pushed the price above the downtrend today.
The 20-day EMA ($ 35.06) has started to appear and the RSI is in the positive zone, indicating the bulls have an advantage. If the buyers can keep the price above the downtrend line, the DOT / USDT pair could challenge its all-time high at $ 42.28.
A breakout and close above USD 42.28 could resume the uptrend with the next possible move to USD 53.50. This optimistic view becomes invalid if the price ever falls from its current level or all-time high and falls below the moving averages. That could bring the price down to $ 26.50.
XRP / USDT
After hesitating near $ 0.60 for the past few days, the bulls are currently seeking to propel forward XRP up to the $ 0.65 overhead resistance. This level is likely to act as a solid resistance as the price has already fallen off it five times.
However, the rising 20-day EMA ($ 0.53) and the RSI above 65 suggest the path of least resistance is upward. If the bulls can push and hold the price above USD 0.65, the XRP / USDT pair could climb to USD 0.78 and then USD 1.
This optimistic view becomes invalid if the price goes down and falls below the moving averages. Such a move indicates that traders are selling at rallies. That could keep the pair between $ 0.42 and $ 0.65 for a few more days.
UNI / USDT
Uniswap (UNI) has been stuck between both moving averages for the past few days. The bears were unable to sink and keep the price below the 50-day SMA ($ 27.59) on March 31 and the bulls were unable to keep the price above the 20-day EMA ($ 29.13) on April 1.
The flat 20-day EMA and the RSI just above the middle suggest a balance between supply and demand.
This neutral view could tip in the bulls’ favor as they propel and hold the price above USD 30.31 today. If that happens, the UNI / USDT pair could rise towards the USD 35.20 overhead resistance.
On the other hand, if the price drops and falls below USD 25.50, the pair may witness increased selling pressure, which could bring the price down to USD 18.
LTC / USDT
Litecoin (LTC) rebounded sharply from its intraday low on March 31, breaking above the 50-day SMA ($ 197) on April 1. The bulls will now try to push the price above the symmetrical triangle’s resistance line.
If they manage to do that, the LTC / USDT pair could climb to $ 230 and then to $ 246.96. The triangle breakout pattern goal is $ 307.42. However, the marginally rising 20-day EMA ($ 193) and the downtrend RSI suggest weak bullish momentum.
If the price goes down from the resistance line, the pair can extend their stay in the triangle for a few more days. The bears gain the upper hand at an interruption below the trend line of the triangle.
LINK / USDT
Chain link (LINK) reversed the price of $ 26.18 on March 31 and rose above the downtrend line of the downward triangle. This move voids the bearish setup and the bulls will now attempt to move the price above the overhead resistance at USD 32.
If they do, the LINK / USDT pair could start its ascent to its all-time high at $ 36.93. The 20-day EMA ($ 28.45) has started to emerge and the RSI has risen above 59, indicating a small advantage for the bulls.
However, if the bulls fail to bring the price above USD 32, the pair could drop towards the moving averages. If the price bounces off the moving averages, it indicates that traders are buying on small lows. The bulls will then make another attempt to push the price above USD 32.
Contrary to this assumption, the pair could remain in the $ 24 to $ 32 range for a few more days if the price falls from the overhead resistance and falls below the moving averages.
THETA / USDT
THETA is currently range bound in an upward trend. The price action in recent days has formed a symmetrical triangle, which usually acts as a follow-up pattern.
Both moving averages are increasing and the RSI is at 63, indicating that the path of least resistance is up.
If the bulls can push price above the triangle, the THETA / USDT pair could climb to its all-time high at $ 14.96 and then to the pattern target at $ 17.85.
This optimistic view becomes invalid if the price goes down and breaks below the triangle. Such a move increases the odds of a break below the critical support of USD 10.35, signaling a deeper correction.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trade move carries risks. You should do your own research when making a decision.
Market data is provided by HitBTC exchange.