Crypto Investing
14 Mar 2022

Week 11 Crypto Market Update: BTC, ETH, XRP, SAND, and LUNA

Ananda Banerjee

The global crypto market has had a lazy week. Most assets traded flat as global conflicts continued to torment the buyers and sellers, restricting them from taking confident calls. As of today, the market is down by a touch over 2%, which seems in line with the expectations of a sustained correction.

Still, with the EU MiCA bill looming large, positive expectations around Biden’s Executive order, and some altcoins trying to break out of the corrective confines, we might see the crypto space taking a more directional approach in the days to come.

Fact Check: European Union’s MiCA (Markets in Crypto Assets) bill aims at tightening the regulations around crypto and other digital assets. 

The direction that the market takes (forward or backward) will depend on the nature of the key global happenings and also the on-chain and on-chart metrics. And the technical analysis for the week is aimed at helping us make better sense of it.

On-Chain Metrics

Outlook: Moderately Strong

Bitcoin (BTC), the first crypto ever, moves and quite appropriately nudges the entire crypto space in its direction. On-chain metrics relevant to BTC, therefore, indicate the possibility of a directional move across the market.

On chain metrics

Source: Chainalysis

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Please Do Your Own Research (DYOR).

“Inflow to Exchange” is one such metric that measures the BTC volume being pushed into the exchanges for selling. As compared to the asset volume of 17.34k BTC pushed throughout last week, Week 11 seems to have settled around 15.29K. This shows that people aren’t panic selling but holding on to their BTCs, unperturbed and unfazed.

Fear-and-Greed Index -H2

Outlook: Fearful

At present, the buyers/sellers are seeking smaller victories as their confidence is shaky when it comes to trading in the broader crypto market. The Fear-and-Greed index level of 23 continues for the second week in a row—a stark contrast to the 44 levels that were reached last month.

Index levels fear and greed

Source: Alternative.me/Fear-and-Greed Index

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Please DYOR.

One can infer that fear runs largely, courtesy of weakish global sentiments. Buyers are still looking from the sidelines, thereby ensuring financial risk management over everything else. New users might be better off waiting for the levels to cross above 35 before moving ahead with some surety.

Current Conversion Standard: $1 = (₹79.36)

Key Coins

Moving beyond the broader analysis, let us now focus on some key crypto-assets and their time-intensive technical charts.

Bitcoin

Outlook: Moderately Bullish

With gains closing in at 2%, BTC was one of the few assets to end the week in green. Currently trading at $38,977.50 (₹30,93,254.40), the coin has shed some gains since the 9 March 2022—the day it rose to $42,000(₹33,33,120) with relative ease.

Bitcoin week 11

Source: Trading View

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Do Your Own Research (DYOR).

As per the hourly chart, BTC seems to be making a “Falling Wedge” pattern, which hints at weakening selling pressure. If the asset manages to break out of the descending trendline, it might have the legs to go up to $40,126 (₹31,84,399.36) mid-term.

If BTC continues to respect the wedge, you can expect it to find support at the $38,695.32 (₹30,70,861) and $38026 (₹30,17,743.36) levels—followed by the lower trendline.

The MACD* line has recently crossed over the signal line, which is positive. Still, buyers might wait for the MACD line to cross over the baseline before showing hands.

*Moving Average Convergence/Divergence

Ethereum 

Outlook: Neutral

Ether (ETH) is not looking excessively weak on the charts despite trading flat for over a week now. As per the hourly chart, ETH is trading close to $2,600 (₹2,06,336), with average to low trading volumes. The price analysis relies on the last candle made by ETH.

Ethereum

Source: Trading View

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Do Your Own Research (DYOR).

We might see a minor correction if ETH makes a “Hanging Man” candlestick pattern. If prices crack, ETH has strong support at $2,559 (₹2,03,082.24), and at $2,524 (₹2,00,304.64) thereafter.

If a bullish pattern is determined and ETH tries moving up, it might find some immediate resistance at $2,608 (₹). It would need to cross the resistive level of $2,633 (₹) to have a chance of moving upwards.

At present, the Relative Strength Index (RSI) is at a demand zone, and the next leg of the movement is determined by how well it respects the 53 levels.

Ripple

Outlook: Bullish

Ripple is currently trading at $0.77 (₹61.10) and has registered gains of almost 4% over the past week.

Want to track Ripple prices live? Here’s our price ticker.

As per the hourly chart, Ripple’s token XRP looks strong with the flattening price action forming a symmetrical triangle pattern. The trendlines of the symmetrical triangle act as the resistance and support lines for the asset, breaking which might result in a rally or drop, depending on market sentiments.

Week 11 Market Update

Source: Trading View

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Do Your Own Research (DYOR).

The MACD line crossing over the signal line shows decent momentum building at the XRP counter. However, buyers should wait for the MACD line to cross over the baseline before making any noise.

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The Sandbox

Outlook: Bearish

Surprising as it may seem, The Sandbox has been falling steadily over the past month—shedding close to 30% of its existing gains.

Now that we have pulled out the 4-hour chart, a descending triangle pattern is visible. If the token SAND breaks the lower trendline of the pattern, you can expect it to correct further.

Crypto market analysis

Source: Trading View

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Please DYOR.

For unexpected moves on the upside, SAND needs to breach the upper trendline and then the key resistance level at $2.98 (₹236.49). The MACD indicator isn’t showing momentum either, as the MACD line is closely hugging the signal line and trading under it for now. 

Polkadot

Outlook: Neutral

As of now, Polkadot (DOT) is placed at “make-or-break” levels. Trading at $17.72 (₹1,406.26) with close to 8% week-on-week gains, the token DOT has a squeezed Bollinger Band keeping most of us interested.

For now, the lower Bollinger Band works as the support for Polkadot. If DOT manages to cross the middle Bollinger band resistance level, we might see a short-term upmove.

Polkadot

Source: Trading View

Disclaimer: Insights mentioned are time-sensitive and should not be considered financial advice. Please DYOR.

If the lower band is breached, DOT prices might correct in the short term. The momentum indicator in MACD is treading in the positive territory. Yet we wait for the MACD line to move above the signal line to have a bullish indication working for us.

Conclusion

As per the charts and analysis, we can infer a simple fact, markets will remain range-bound for a while. Crypto assets aren’t moving in cohesion, and every week we have new players gaining and losing. Similar movements are expected till the geopolitical tensions ease out, and we have a clear direction regarding the Executive Order waiting to be released anytime now.

For now, DYOR is the best way forward for the crypto fanatic in you, but if any of the mentioned assets has tickled your fancy, you can always download the CoinSwitch app and start trading.

Disclaimer : Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. The information provided in this post is not to be considered as investment/financial advice from CoinSwitch. Any action taken upon the information shall be at user's own risk.

writer

Ananda Banerjee

Content Writer

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