Bitcoin bulls are still struggling to push the price to a new high, but the positive sign is that BTC has not drastically corrected in recent days and the top-ranked cryptocurrency has maintained a market capitalization above $ 1 trillion since March 26.
While many wonder what Bitcoin’s next move will be, a Bloomberg Intelligence report by senior commodities strategist Mike McGlone projects that BTC will rebound to $ 80,000 in the second quarter instead of falling to the $ 40,000 level.
Daily view of crypto market data. Source: Moneda360
The consolidation of Bitcoin has not slowed down the altcoins, which have continued their march to the upside for the past few weeks. Cointelegraph recently reported that the number of cryptocurrencies commanding a market capitalization of $ 1 billion have doubled in the last two months to hit the 100 mark.
Decentralized financial assets have also recovered significantly, as the total value locked in DeFi reached $ 100 billion on April 6, according to data from DeFi Llama. At the beginning of the year, the TVL metric was just $ 20.74 billion, showing that there has been a great deal of growth in the space.
Keeping the focus on altcoins, let’s take a look at the fundamentals of three tokens that have performed well in recent days.
CELR / USDT
Celer Network’s CELR token appeared on Cointelegraph on March 16 when the price was $ 0.059. Since then, the token has continued its uptrend and hit a new all-time high of $ 0.103 on March 28, a further 74% surge in no time.
The DeFi space has been in the spotlight in recent months for its luscious performances. However, the rising fees of the Ethereum network have limited these benefits to larger players and retail investors with less capital have missed out on many excellent investment opportunities.
To address this issue, Celer announced the launch of Layer2.finance on February 18, which claims to greatly reduce the cost of access to DeFi. According to the team, the project is in the final stages of an audit and is expected to launch soon. If this is successful, Celer could address one of the main issues that may be limiting the rise of DeFi.
CELR has been in a correction since it hit $ 0.103 on March 28. The pullback has reached the 20-day exponential moving average ($ 0.071) but the bulls are struggling to defend this level.
CELR / USDT daily chart. Source: TradingView
This suggests that bullish sentiment has weakened and traders are not rushing to buy dips. The flattening of the 20-day EMA and the Relative Strength Index (RSI) below 54 point to possible in-range action in the near term.
If the buyers defend the support at $ 0.065, the CELR / USDT pair could attempt to resume the bullish move, but it is likely to meet strong resistance at $ 0.087 and then $ 0.095. However, if the bulls push the price above $ 0.103, the pair could rally to $ 0.122 and then $ 0.155.
On the downside, if the bears sink the price below $ 0.065, the decline could extend to the next support at the 50-day simple moving average ($ 0.047). Such a deep correction often delays the start of the next leg of the uptrend.
CTSI / USDT
Cartesi (CTSI) aims to take the traditional tools used by the developer community and merge them with decentralized tools. This could attract a number of developers to decentralization who are currently on hold due to the different programming languages used for blockchain. In addition, the team believes that their technology could increase the computational power of certain applications by 10,000%.
In recent months, Cartesi has announced partnerships with Injective, Travala, IOTA, Polygon, Elrond, and Avalanche. Over the next several weeks and months, the crypto community will be watching Cartesi’s Layer 2 technology closely to see if it can improve computational performance and implement processing-intensive applications without compromising security.
CTSI has been trending up for the past few weeks. It recovered from an intraday low of $ 0.077 on February 8 to an intraday high of $ 0.896 on April 4, a rebound of 1.063% in two months.
CTSI / USDT daily chart. Source: TradingView
However, after the strong rally in recent days, the CTSI / USDT pair is witnessing a profit booking. The bears have pulled the price below the 38.2% Fib retracement level at $ 0.583 and the next support is the 50% retracement level at $ 0.486.
If the pair bounces off the $ 0.486 level, it will be a bullish sign as it will show that the previous resistance at $ 0.466 has turned to support. Then the bulls will try to resume the uptrend, but they are likely to encounter strong selling near $ 0.65.
If the price turns down from this resistance, the pair could remain in the range for a few days. A breakout and close above $ 0.65 will be the first indication that the bulls are attempting to turn back. On the other hand, a break below $ 0.466 could indicate a possible trend reversal.
COMP / USDT
Composite (COMP) continues to strengthen despite setbacks in the DeFi sector. On February 21, the protocol reported a total supply of $ 10 billion, which has since increased to more than $ 15 billion on April 3. The protocol continues to lead the DeFi rankings with a total value locked at $ 9.53 billion.
On March 1, Compound announced the launch of Gateway, a substrate blockchain, which the team believes will eventually become the backbone of a global interest rate market that is capable of supporting any asset.
On March 26, Compound Labs founder and CEO Robert Leshner tweeted that he had made a DeFi presentation to the Federal Reserve staff. This is an important first step, as it shows that the world’s leading central bank is interested in learning more about DeFi.
On April 3, Compound received 629,000 Ether ($ 1.3 billion) from an anonymous whale and many suspect this is proof that major institutions are diving into DeFi.
COMP rallied from an intraday low of $ 330 on March 25 to an intraday high of $ 562.85 on April 4, a 70% rally in no time. The bears are aggressively defending the overhead resistance zone between $ 558 and $ 573.
COMP / USDT daily chart. Source: TradingView
The COMP / USDT pair is stuck within a wide range between $ 320 and $ 558. The current pullback could find support at the 20-day EMA ($ 444), which has started to appear. If the pair bounces off this level, the bulls will try again to push the price above the upper zone.
If the bulls are successful, the pair could begin the next leg of the uptrend that has a target at $ 796.
Contrary to this assumption, if the price falls below the moving averages, it could extend the fall and reach support at $ 320. A break below this critical support could intensify selling and lower the price to $ 200.
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