$BTC fades from $42K, losing upside momentum

​​$BTC 24 Hour High  $42,220  / Low $40,893  |   $BTC +0.28% Past 24 hours; +0.3% Past 7 days +0.7

Good morning. Cryptos continued to trade sideways as the markets remained to be indecisive. As $BTC’s 300D volatility slipped to a 17-month low, traders need to watch for a prolonged period of low price turbulence, which often leads to wide price swings either way. Besides, all eyes are on ApeCoin that pumped over 55% in three days after a “BAYC land drop” rumor went viral on Twitter. 

Over the past 24 hours, the bulls attempted to push $BTC above $42,000 again but lost their momentum ultimately after encountering resistance. Though we likely see sideways trading actions to continue, there is still a chance for the bulls to reclaim this level again today. 

If we look at the highest level of trading activity mapped by the VPVR, the top and bottom of the current trading range are likely to be within the $38,400-$42,000 zone. If prices chart higher, $BTC will have its work cut out all the way up to $44,400 as there has been a hive of trading activity towards this level in 2022. Bitcoin’s dominance has been steady, moving sideways at around 41.8% for the entire month. This suggests that there is no significant rotation from BTC into altcoins at this moment yet. The market sentiment remains neutral, and the funding rates remain flat across most retail exchanges.

$ETH’s support and resistance levels are clearly defined by the Fibonacci levels drawn out between the March 14’s low and April 5’s high. The push higher in the past 24 hours ultimately found resistance at $3,168 (0.618 Fibonacci retracement level). Then it retraced to the support at $3,039, the 0.5 Fibonacci retracement level. The 50D and 111D MA are below the current price level at $3,000. It will be interesting to see whether they can offer support if the prices come off further. Over the next two weeks, $2,610 remains our target for the ultimate support, and we expect the No. 2 digital asset to come under pressure until reaching this level. Be wary of sudden moves to the upside. If it continues to rally higher and breaks through the resistance at $3,570, we can officially invalidate the market’s bearish view toward $ETH.

The Russian Federal Tax Service (FTS) is advancing with crypto as a foreign trade payment method. The FTS proposed expanding their payment options for Russian companies that have international transactions because of the current harsh financial sanctions. In addition, FTS has mandated that specific companies will have to buy and sell digital currencies through regulated crypto wallets and exchange platforms. The move comes with a collaboration with African countries to enable cross-border settlements in crypto and central bank digital currencies.

Learn more from today’s Trader View video

Digital Assets Market

  • Total crypto market capitalization stands at $2.03T, +0.6% from yesterday
  • $BTC is +0.38% at time of writing; 24H liquidations and funding rates: 37.47M, +0.00093% average
  • $ETH is +0.34% at time of writing; 24H liquidations and funding rates: 33.92M, -0.00344% average 
  • Stablecoins market dominance: USDT 44.35%; USDC 26.60%; UST 9.55%; BUSD 9.23%; DAI 4.66%

Alts and DeFi watch:

  • DeFi TVL: $214.74B (+0.57% over last 24 hours)
  • $SOL -1.6% in the last 24 hours, +1.3% in the past week
  • $SHIB -0.4% in the last 24 hours, -6.6% in the past week
  • $SAND -2.1% in the last 24 hours, -0.3% in the past week
  • $ENJ +0.6% in the last 24 hours, -4.5% in the past week

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OSL Trader View is contributed by Hans-Stefan Vonhaenisch, Tiffany Wee & Ethan Fu.

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