Weekly Market Update – 3-20-2023

BTC Overview (Long- and Short-Term TA and Analysis)

This week (3/13 – 3/19), BTC made a sharp turnaround from last week, rebounding from the $20,000 area and moving well past the recent high of $25,000. To be honest, this development was quite difficult to read, but one theory is BTC is being bought on the back of the increase in the Fed’s balance sheet due to the collapse of Silicon Valley Bank. In other words, the tightening of monetary policy which has been continuing since last year seems to be temporarily tilting in the direction of pseudo-easing.

Since volatility is large and funds can easily enter into altcoins, it would be good to trade aggressively.

BTC Overview

↓ BTCUSD monthly candlestick chart

↓ BTCUSD weekly candlestick chart

Both the monthly and weekly charts have turned significantly positive, a change from last week’s air of whether or not the $20,000 level could be defended. The next likely target is around $30,000, as can be seen from the figure. Judging from the large lower wick and other factors, the positive outlook looks good for this month.

Based on the idea of resistance/support, we may be looking at the possibility of a push to the recent resistance zone around $25,000.

Once again, the rise in $BTC has improved the overall sentiment in the virtual currency market, making altcoins easier to trade higher. Once again, we were able to fight the battle to buy altcoins after BTC went up. I don’t think altcoins have caught up to the rise of BTC yet, so I think there is a good chance.

The Funding Rate and other factors suggest the market is not yet overheated, and it appears it will be good to be long altcoins for a while.

The tips for trading altcoins should be reiterated. However, it is a pattern-association game, and once you get used to it, it is certainly easy to get used to. It is also impossible to take advantage of all pumps, so we want to trade without overreacting.

(1) Altcoins which have not been listed on Binance for a long time and have not been cleaned up too much

(2) Altcoins in the same genre as the altcoins that have shown a large rise in recent days

(3) Altcoins with high volume (because if the board is too thin, stop orders are likely to be reaped by the wicks)

(4) Position with the daily 200MA

(Altcoins are attracted to the 200MA and show a big rise when the price crosses the 200MA)

Be sure to trade with these four points in mind.