Bitcoin Opens 2021 At $30k And What's Next
Seeking Alpha Analyst Since 2019
Apoorv Gupta (AG) is a serial entrepreneur and known for growth hacking, brand management, scalability consulting. He is well conserved in fintech and blockchain space.
Monitored and analyzed both short and long-term growth plan for startups.
Specialties: Investment analysis, competitive analysis, business development & growth marketing.
Summary
- Bitcoin Boom, Technical Analysis and Trend.
- Other Altcoins to Invest.
- Best Technical Indicators for Intraday or Weekly/Monthly Trading.
Digital assets market:
We started 2021with all-time highs all around;
Digital assets saw a significant inflow since Dec 23rd, +11B (+41%) across this period to 885B
$BTC prices since Dec 23rd skyrocketed from 24,000 levels to 33,500 with traded volumes through the roof. We have seen $BTC momentum taper off as it hit its current resistance level at 34,000.
Physical $BTC 24h volume at 67B, and aggregated $BTC futures at 75B over the past couple of days, maintaining above 40B daily volumes during this current bull run. $BTC dominance slowly dropped from >70% to ~68%. 2021 YTD up 15%, with its last 30 days performance at +73%.
$ETH +27% to 990, peaked at 1015 before correcting back down slightly
$ETHBTC finally peaked, up to 0.03 after sitting below through early November 2020 and during the $BTC run at the end of December.
Alts and DeFi watch:
This morning we saw the major alts along with other ERC20 tokens and DeFi responding with a bull run of their own
DeFi TVL reached ATH at 17.38B
$LTC +16% to 160 levels, up 95% over the past 30 days, and 30% 2021 YTD
$DOT +14% to 10.31, reached new ATH’s with +98% over the past seven days.
$AAVE +21% to 102.54, also at its ATH after debuting around 60 when 100 $LEND converted to 1 AAVE a few months back around 0.60 USD per $LEND
$SNX reached its psychological resistance at 10 levels while also reaching its ATH in the process, well over +90% over the past 30 days with 2021 YTD at +38%
News that caught our eye:
The Financial Times punctuated the start to 2021 for digital assets with its Jan 4th edition. Not only above-the-fold, but the leading headline to kick-off the first day of traditional market trading was setting the course for an encouraging year ahead for digital assets and should be fueling more FOMO from traditional asset allocators.
Best Intraday Trading Indicators
1.Moving Averages
Moving averages is a frequently used intraday trading indicators. It provides information about the momentum of the market, trends in the market, the reversal of trends, and the stop loss and stop-loss points. Moving average allows the traders to find out the trading opportunities in the direction of the current market trend.
2.Bollinger Bands
Bollinger bands indicate the volatility in the market. Bollinger bands are of 3 types: a middle bang which is a 20-day simple moving average, a +2 standard deviation upper bang and a -2 lower deviation lower band. The price of a stock moves between the upper and the lower band. When the market is moving and the volatility is greater, the band widen and when the volatility is less the gap decreases. Bollinger bands help traders to understand the price range of a particular stock.
3.Relative Strength Index (RSI)
Relative Strength Index (RSI) is a momentum indicator. It is a single line ranging from 0 to 100 which indicates when the stock is overbought or oversold in the market. If the reading is above 70, it indicates an overbought market and if the reading is below 30, it is an oversold market. RSI is also used to estimate the trend of the market, if RSI is above 50, the market is an uptrend and if the RSI is below 50, the market is a downtrend.
4.Commodity Channel Index
Commodity Channel Index identifies new trends in the market. It has values of 0, +100, and -100. If the value is positive, it indicates uptrend, if the CCI is negative, it indicates that the market is in the downtrend. CCI is coupled with RSI to obtain information about overbought and oversold stocks.
5.Stochastic Oscillator
The stochastic oscillator is one of the momentum indicators. The oscillator compares the closing price of a stock to a range of prices over a period of time. The momentum of the stock b=changes before the price, hence, momentum is a useful indicator.
Analyst's Disclosure: I am/we are long BTC-USD.
I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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