According to CoinShares, the institutional inflow into crypto products hit $4.5 billion in Q1, which is 11% higher than the intake seen in Q4 2020. This shows that institutional interest is on the rise but the quarter-on-quarter growth has slowed down from the 240% recorded in Q4 2020.
As Bitcoin price moves higher, more funds are needed to sustain the levels. Therefore, if institutional inflows do not pick up in the next few days, Bitcoin (BTC) and other altcoins could witness a major correction.
If the price sustains below the 20-day EMA, the bears may sense an opening and are likely to challenge the critical support at the 50-day simple moving average ($54,333). If this support cracks and the bears manage to sustain the price below the 50-day SMA, the selling could intensify.
The next support on the downside is $50,460. If this level also gives way, the BTC/USDT pair could plummet down to $43,006.77. The flattening moving averages and the relative strength index (RSI) dropping below 52 suggest that the bulls may be losing their grip.
Contrary to this assumption, if the price rebounds off the 50-day SMA, the bulls will make one more attempt to push the pair to a new all-time high. If they succeed, the pair could start its journey to the next target objective at $69,540 and then $79,566.
Ether (ETH) broke to a new all-time high on April 2 but could not take off and continue its climb. This showed hesitation among the bulls and even though they managed to push the price to a new all-time high at $2,150 on April 6 the rally has since stalled.
The rising moving averages and the RSI near the overbought zone suggest the bulls are firmly in command. If the buyers can flip $348.69 into support, then the BNB/USDT pair could start the next leg of the uptrend that could take it to $500 and then $530.
On the other hand, if the price dips below $348.69, it will suggest that higher levels are attracting profit-booking from traders. The bullish momentum may weaken if the bears sink the price below the 20-day EMA ($314).
XRP’s breakout above $0.65 on April 5 completed an inverse head and shoulders pattern, which had a target objective at $1.11. The altcoin met this target on April 6 when it reached an intraday high at $1.11.
The bulls are likely to defend the $1.03 support aggressively. If the price rebounds off this level strongly, the bulls will try to push the price above the moving averages. If they can do that, the ADA/USDT pair could remain range-bound for a few more days.
The flat 10-day EMA ($1.18) and the RSI near the midpoint suggest a balance between supply and demand.
This neutral view will invalidate if the $1.03 support cracks. In such a case, the pair could start its journey toward the support at $0.80 and then $0.70.
The failure of the bulls to push the price above the all-time high at $146.80 on April 5 and 6 could have attracted profit-booking from the short-term traders. That may have pulled Polkadot (DOT) back below the breakout level at $42.28 today.
If they succeed, the UNI/USDT pair could start its journey toward the next support at $22 and then $18.
However, the flat 20-day EMA ($29.59) and the RSI near the midpoint suggest a balance between supply and demand. If the bulls can defend the support zone, the pair is likely to extend its range-bound action for a few more days.
Litecoin (LTC) broke above the resistance line of the symmetrical triangle on April 5 and followed it up with another up-move on April 6 that took the price to the stiff resistance at $246.96.
The LINK/USDT pair has dipped back below the $32 level today. The bulls are attempting to defend the 20-day EMA ($29.85). If they manage to do that and push the price back above $32 within the next couple of days, it will suggest accumulation at lower levels.
The bulls may then again try to propel the price above $36.93. Conversely, if the bears sink the price below the moving averages, it will suggest that the recent breakout above $32 was a bull trap. The pair could then drop to $24.
After trading in a tight range for the past few days, THETA surged today and attempted to break out of the $14 to $14.96 overhead resistance. However, the bears thwarted this attempt as seen from the long wick in today’s candlestick.
THETA/USDT daily chart. Source: TradingView
If they succeed, the THETA/USDT pair could start the next leg of the uptrend that has a target objective at $17.65 and then $22.50. The 20-day EMA ($11.13) has started to turn up once again and the RSI has risen above 68, suggesting the momentum favors the bulls.
However, the bears are unlikely to give up easily. They will try to stall the uptrend in the overhead resistance zone. If they manage to do that, the pair could extend its stay inside the range for a few more days.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.
Market data is provided by HitBTC exchange.