Market Report April 12 2021

This article was first published on Metal Blog

Bitcoin (BTCUSD) (3-day / 8-hour Comparison)

Another week has passed, and Bitcoin’s price movement has been minimal since our last market update.

We’ve seen price inch upwards in the red “danger zone” we see on the 8hr chart on the right, and still no sign of rejection. This is consolidation under resistance and is typically thought of as bullish.  When looking at the 3-day candle chart on the left, which closes tonight at 0:00 UTC, bulls appear close to breaking out.  If tonight’s close can manage to beat the previous high, it seems that expansion to the upside is on the table.  On the other hand, a rejection from anywhere in the $61k-$65k range could spell disaster for any recent FOMO buyers.

If a rejection comes around these levels, it will be a harsh one. A 15-20% drop before a true breakout is a scenario we should be prepared for, but for now, bulls appear to be in control. As always, be prepared for anything and always manage risk.

Ethereum (ETHUSD) (3-day / 8-hour Comparison)

Ethereum had a much more eventful week than Bitcoin as it appears on the verge of a major move to the upside.  A higher timeframe candle close above $2200 would be confirmation.  Until then, we are consolidating under resistance, with the recent high tapping the “takeout” fib extension level (red line, 3-day chart).  This remains a pivotal zone to be watched.  A higher timeframe candle close above it would mean we have a high timeframe breakout on our hands, with the next resistance at $2,449 and the $3,000+ area.  However, failure to surpass this “takeout” level would likely mean we see a very harsh rejection, knocking ETH back towards $1500 or lower.

Similar to BTC, ETHUSD remains ...

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