Weekly Crypto Market Brief

🎯Bitcoin has displayed little volatility over the past two weeks, trading between $16.7k and $17.4k in a consolidation pattern. The macro trend is still bearish, especially with the closing of last month’s bearish engulfing candle below the $19.5k and $17.5k support levels. A notable development for Bitcoin is that it has broken and held above the 200 MA on the 4h chart, a feat it had not accomplished since early November 2022, prior to the market crash induced by the FTX collapse. It remains to be seen how bullish this act is for Bitcoin in the short-to-medium term.

🎯Solana (SOL) has also been operating in a narrow price channel, trading in the $13-15 range since late November. It has displayed significant weakness in the market, partially explained by its relationship with FTX. It remains below the 200 MA on the 4h chart, despite approaching it, and should it break current support levels, it could potentially drop towards the lows of late November 2022, at $11 per token.

🎯Polygon (MATIC) has seemingly established support over the $0.80 level, while also remaining above the 200 MA on the daily chart. This indicates strength for the token, which may well perform strongly during different, more bullish conditions in the market. Investors and traders would be watching whether MATIC would be retesting the $0.80 support level at a higher frequency that its attempts to break past the $1 resistance, as it did last month, in order to establish longer-term behavior for the virtual asset.

🎯Chainlink (LINK) has also been consolidating in recent weeks, trading in the $5.5-8 range. Since early November, it twice failed to hold above the 200 MA on the daily chart, after breaking above the level. It needs to hold support over the $6.5 level in order to not be exposed to the late November lows at $5.5 per token, and bulls would definitely be eager to establish higher lows and attempt to break past the 200 daily MA for a third successive time in recent memory.

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