The world’s biggest cryptocurrencies are range-bound, but there has been some wild action in the altcoin market.
• Bitcoin (BTC, Tech/Adoption Grade “A-”) hasn’t moved much since Friday, and Ethereum (ETH, Tech/Adoption Grade “A-”) has been range-bound since March 8.
• Uniswap (UNI) tested all-time highs over the weekend and will look to make another push this week.
• Theta Token (THETA) skyrocketed over the weekend and set a new high above $10.
Ethereum is having a hard time deciding which way it wants to go, trading in a range between $1,700 and $1,950 without a real breakout.
Today, though, ETH is testing its 21-day moving average, something that might be the catalyst for a significant move. If it falls below that key metric, there’s weak support at $1,725 and slightly stronger support at $1,650.
If the second-largest digital currency manages to break out to the upside, it would need to close above $2,000 to solidify the start to a new uptrend.
Here’s ETH in U.S. dollar terms via Coinbase:
The Uniswap price chart is very interesting. The UNI token has held its 21-day moving average for quite a long time and has been slowly trending upwards while doing so.
Since setting an all-time high around $35 on March 7, UNI fell back down but held support at $30. Uniswap tested its all-time high on Friday but was unable to close above the level. It is up 2.5% today and will look to make another push to a new high at some point this week.
This is all happening on the news of the upgrade from Uniswap v2 to v3, so there are fundamental reasons for this great run as well.
Here’s UNI in U.S. dollar terms via Coinbase:
Theta Token has gone on a tear since we last covered it, including a 25% surge since Friday. It’s trading at all-time highs today after breaking the psychological barrier of $10.
THETA is up 230% in March alone and hasn’t traded below its 21-day moving average since the first of the month. THETA briefly saw some resistance at $7, but late last week, it smashed through that barrier and has yet to stop running. Price runs like this are indicative of an active altcoin season.
Here’s THETA in U.S. dollar terms via Binance:
Notable News, Notes and Tweets
• Start your week off with a cool new NFT by Beeple.
• Dan Held of Kraken shares his thoughts on money-printing.
• Cointelegraph highlights the huge growth in DeFi.
What’s Next
The market situation hasn’t changed much since late last week, as blue-chip cryptocurrencies are trading in ranges above their moving averages. Neither Bitcoin nor Ethereum has made definitive moves in either direction.
At the same time, many altcoins are making new highs.
These are the classic signs of an altcoin season: Bitcoin trades sideways, while altcoins start running, and Bitcoin dominance falls accordingly. The interesting thing this time around is that Ethereum and other older altcoins have yet to break out.
This altcoin season is led by the newcomers, specifically DeFi tokens.
This is bound to change, however, as Ethereum is sitting on its 21-day moving average. We look for it to begin a move up or down this week, putting an end to its sideways action.
Until then, all the action is in the small- to mid-cap altcoins. Stick around for more on those exciting plays.
Best,
Alex
