Bitcoin (BTC) and most major altcoins have broken key support levels to start the week on a weak note. The crypto markets seem to be following the U.S. equity markets, which are being pulled down as investors reduce exposure to risky assets because of rising rates.
Arthur Hayes, ex-CEO of derivatives giant BitMEX, said that with rates moving higher and the Fed tapering its asset purchases, the equity markets could witness a meltdown. If that happens, Hayes expects the crypto markets to continue lower and Bitcoin to drop to $30,000 and Ether (ETH) to $2,500 by June of this year.
Ark Invest founder Cathie Wood said in an interview with CNBC that decentralized finance applications are attracting huge interest from investors. The legacy banking industry is feeling the heat because they are not only losing the lending and saving business to DeFi but also losing talent to the crypto industry.
Although the long-term remains positive, could Bitcoin and altcoins weaken further in the near term? Let’s study the charts of the top-10 cryptocurrencies to find out.
The bulls held Bitcoin above the 50-day simple moving average (SMA) ($41,908) for the past few days but could not push the price above the 20-day exponential moving average (EMA) ($43,576). This suggests that bears are selling on rallies.
The selling picked up momentum on April 11 and the bears have pulled the price below the 50-day SMA. There is minor support at the psychological level at $40,000 but if it cracks, the…