Bitcoin (BTC) and major altcoins are attempting a recovery after the sharp fall on April 11. According to Glassnode’s recent weekly report, Bitcoin has witnessed a “modest volume of profit-taking by investors” since mid-February, which could “be providing sufficient headwinds to prices.”
While some investors are booking profits, the Luna Foundation Guard, the nonprofit organization attached to Blockchain protocol Terra, has continued to grow its stockpile of Bitcoin. Terra added 2,508 Bitcoin on April 13 to take its total holding to 42,406 Bitcoin, just shy of Tesla’s corporate treasury at 43,200 Bitcoin.
Larger investors do not seem to be perturbed by the volatility and sharp declines in cryptocurrencies and are taking a long-term view. Pantera Blockchain Fund, which had plans to raise $600 million, has amassed about $1.3 billion, indicating huge demand.
Will bulls be able to sustain the bounce in Bitcoin and altcoins? Let’s study the charts of the top-10 cryptocurrencies to find out.
Although Bitcoin broke below the psychological level at $40,000 on April 11, the bears could not build upon this momentum. This indicates that the bulls are buying at lower levels.
The relief rally could hit a wall at the 20-day exponential moving average (EMA) ($42,967). If the price turns down from this resistance, it will suggest that bears are selling on rallies. The downsloping 20-day EMA and the relative strength index (RSI) below 44 suggest a minor advantage to…