The cryptocurrency market remains strong despite the rise of the US dollar in February and weak dynamics in the stock market. BTC and ETH are holding at high levels, with some altcoins experiencing phenomenal growth.
Yesterday’s report on the US business activity index (PMI) was weak, but it did not cause the market decline. Instead, it was a combination of factors, including the long weekend in the US stock market. According to polls conducted by major banks, investors are beginning to realize that the Federal Reserve’s policy has not softened at all.
News
There was an error in yesterday’s review: the PMI report was released at 17:45, not 16:30.
The most important news today is the release of the Federal Reserve’s protocols. Investors will see the real picture of voting and sentiment in the Federal Reserve, and there will definitely be volatility. However, this news should not be overestimated, as several reports will be released before the next meeting.
Basic scenario
On the one hand, BTC and ETH have broken out of triangles downwards, which began to form on February 15. It seems that there will be a rebound from the lower boundary of the triangle and a continuation of the decline. If the resistance zone of $23,500-$23,800 is broken, bitcoin may fall significantly.
On the other hand, if there is a return to the triangle, for example, on the positive sentiment in the stock market, it could be a false breakout.
The situation in BTC and ETH is very uncertain, and it is better to trade altcoins today. As for them, it is not recommended to take a long position until we see $24,400 per BTC. At this price, it can be said that BTC has returned to the triangle, and the probability of further growth will be good. Before that, the probability of a decline is higher.
