The leading cryptocurrency, Bitcoin, posted a total of 58% increase in value in 2021, according to data from CoinMarketCap. Crypto assets, which exhibited high price performance in the first months of 2021, gained a downward momentum in the last quarter of the year.
A few analysts believe institutional buying could rally in January. Economist and trader Alex Krüger expects a Bitcoin rally in early January based on funds flows. He also highlights that January produced positive results for Bitcoin between 2018 and 2021, with gains ranging from 7% to 36%.
Ethereum bounced from the strong support zone at $3,643.73 to $3,503.68. The bulls will now try to push the price towards the 20-day EMA ($3,952), which is an important level to watch out for.
If the price drops from the 20-day EMA, it will indicate that the sentiment remains negative and traders are selling in rallies. The bears will then make another attempt to push the price below the support zone. A break and close below the 200-day SMA ($3,365) could indicate the start of a deeper correction to $2,800. This negative view will be rejected if the price breaks and stays above $4,200. ETH could rally to $4,488 later and $4,868 later.
Upward Hope Signal in BTC
Bitcoin closed the last day of 2021 at $46,200. With the entry of 2022, BTC, which was trying to rise above $ 47,000 again, had a hard time holding on this level. The positive dissonance in the RSI causes the upward expectation for the coming days to be preserved.
Although there is a positive dissonance in the short term, the fact that the monthly close is not at the desired level raises the question of whether a $43,000 can be tested again.
The continuation of Bitcoin's indecisive movements continues to limit movements in altcoins.
Many altcoins pulled to major supports are waiting for a signal from Bitcoin or Ethereum to rise. Although some altcoins diverge positively as we enter the new year, it seems that the rises are still limited.
According to CoinmarketCap data, altcoins that are among the top 100 cryptocurrencies, rising in the last 24 hours and entering the new year with a green color are as follows.