Former MIT Sloan School of Management student and teaching assistant for Gary Gensler, known only as ‘Kenny’ on Twitter, has offered insights into the recently filed lawsuits against Binance and Coinbase by the Securities and Exchange Commission (SEC), as well as his personal journey into the world of blockchain and crypto.
Kenny took to Twitter to share his experience of studying under the current SEC Chairman, Gensler, before his appointment to the role. Notably, Kenny wrote a report on Binance Coin (BNB) as a student, which he shared with both Gensler and Binance founder Changpeng Zhao, or CZ as he is commonly known.
Reflecting on this time, Kenny wrote, “It wasn’t the report but the interaction between Mr. Gensler & Mr. Zhao. I felt an opportunity for a future of blockchain that was open to innovation from both the side of the regulator and the innovator.”
Later, while interning in Shanghai in the summer of 2019, Kenny worked with Victor Ji on a project related to decentralized identification for small businesses. Kenny recalls reaching out to Gensler to discuss these ideas, describing their conversation as thoughtful.
In the tweets, Kenny acknowledges his growth in the world of blockchain and credits Gensler, Ji, and Zhao for providing direction and inspiration. Kenny states, “Meeting Mr. Gensler, hacking with Victor, getting recognized by Mr. Zhao… All felt like winds from the universe guiding me.”
This personal connection made the recent lawsuits filed by the SEC against Binance and Coinbase particularly impactful for Kenny. On June 5 and 6, 2023, the SEC filed 13 charges against various Binance entities and sought emergency relief to ensure the protection of Binance.US customers’ assets, respectively.
Speaking about the lawsuits, Kenny said, “The recent news regarding the lawsuits against @binance and @coinbase is truly an unfortunate outcome from the perspective of someone inspired by the same figures entangled in this.”
Despite his personal connections, Kenny remains hopeful for the future of blockchain and crypto, concluding with, “I truly hope that whatever comes out of this takes into account all of the hard work that the brightest minds are putting into the space to change the world.”
According to new study, the native Binance blockchain known as BNB Chain continues to demonstrate consistent rise in activity during the fourth quarter of 2018, despite the larger bear market in the cryptocurrency industry.
James Trautman, a researcher for Messari, stated on February 5 that the Binance network has proceeded with a “aggressive plan to deploy financial and human resources throughout its ecosystem” in a paper titled “State of BNB Chain Q4 2022,” which was released on February 5.
The study said that because of these continual improvements and innovations, the average number of daily active addresses and transactions “bucked a decreasing trend and climbed by 30 percent and 0.2 percent, respectively.”
Bear markets are often characterised by low levels of on-chain activity; yet, this is an ideal moment for teams to continue working on the construction and development of their goods.
Although 2022 was a turbulent year for the cryptocurrency sector, Trautman said that BNB Chain “played true to its Build N’ Build moniker with network improvements and ecosystem development that demonstrated remarkable strength through Q4.”
Since the middle of August, BscScan says that the number of daily transactions on BNB Chain has remained relatively unchanged at about 3 million. On the other hand, this year has witnessed a surge in the volume of daily BEP-20 token transfers, which reached just over 5 million on February 5 after a 66% increase from the previous year.
According to BscScan, the number of unique BNB Smart Chain addresses has just surpassed the previous record high of 250 million. The number of average new unique addresses added each day increased by 41.3% year on year.
Messari believes that the adoption of a number of ecosystem protocols, such as the Web3 onboarding protocol Hooked, a spike of DeFi activity on Venus Protocol, and increasing NFT activity on the OpenSea marketplace, are responsible for the expansion.
According to DeFiLlama, the total value of BNB Chain DeFi has climbed by 25% since the beginning of the year to reach $6.62 billion. This information is presented in the context of the previous sentence.
“BNB Chain was successful in implementing a growth plan, which paved the way for major advances toward acceptance. According to Trautman, it made a number of modifications to its basic functionality, merged with key partners, and expanded into DeFi, NFTs, GameFi, and other areas.
The decline in financial performance came about despite the fact that the number of active users increased. It was noticed that the average transaction fees went down, which led to a fall in the amount of money generated.
In its recently published BNB Greenfield white paper, the cryptocurrency exchange Binance stated that it is interested in constructing a blockchain-based Web3 infrastructure. BNB Chain is a blockchain platform that was established by Binance.
According to the white paper, it is a decentralised storage infrastructure that is integrated into BNB Chain. This infrastructure grants users and decentralised applications (DApps) complete control of the data stored inside it. Hosting websites, maintaining personal clouds and data archives, publishing, and other applications are all examples of possible use cases.
The core team at BNB Chain is responsible for building the testnet for the planned Web3 infrastructure. This testnet is backed by community developer teams from Amazon Web Services, NodeReal, and Blockdaemon. BNB Greenfield is a distributed storage system that is currently in development. It will integrate smart contract functionality for Web3 apps and is powered by the BNB (BNB) token (previously known as Binance Coin).
Victor Genin, senior solution architect at BNB Chain, revealed the intention to create a new theme for the ownership and utility of data while discussing the motivation behind the upcoming initiative. He added that “BNB Greenfield will build utility and financialization opportunities for data that is in storage as well as bring programmability to the ownership of data.”
Users that have BNB tokens and a BNB Chain address are able to store data on BNB Greenfield, which functions in a manner similar to that of Web2 cloud storage systems such as DropBox. The creation of websites and the archiving of historical data are two more possibilities.
In addition to this, the system will make use of something called nonfungible tokens, or NFTs, in combination with smart contracts in order to govern who owns the data and who has permission to view it. On the backend, BNB Chain will be utilised to hold the storage metadata; however, the actual data storage will be handled by third-party storage providers.
Recent events have resulted in a cooperation between Mastercard and Binance for the introduction of a prepaid cryptocurrency card in Latin American countries. This desire for continued product growth has been pursued by Binance.
On January 30, the cryptocurrency exchange made the announcement that it will be launching the Binance Card in Brazil. The card will be issued by Dock, a payment institution that is licenced by the central bank.
The card enables real-time conversion of fiat currency to any of 14 different cryptocurrencies, and it comes with a number of enticing bonuses, such as the opportunity to earn up to 8% cash back in cryptocurrency on qualifying transactions and waived fees for certain ATM withdrawals.
The cryptocurrency ecosystem is gradually seeing a comprehensive recovery, and while there is still a bit of volatility in the market, exchange tokens are on a bullish tear as investors return back to trading actions.
The market plunged by shedding more than $200 billion in a couple of days this past week as every digital currency experienced a ripple effect of the fall of the Terra blockchain network. The LUNA coin lost 99% of its value while the protocol’s native token, UST, is currently changing hands at $0.1765 instead of $1 according to CoinMarketCap’s data.
How Exchange Tokens are Performing
Led by Binance Coin (BNB), the cryptocurrency of the world’s largest trading platform is up 6.32% to $297.72, a significant trading level considering its plunge to almost a 12-month low of $216.32 earlier in the week. Despite the broad-based sell-offs the coin has recorded, it is still ranked as the fifth-largest digital asset with the USD Coin (USDC) displacing it from the fourth position.
FTT, the native coin of the FTX Derivatives Exchange is changing hands at $31.45, up 3.5% in the past 24 hours. KuCoin Token (KCS) is also seeing a remarkable run in its price, equally surviving the similar onslaught that was experienced by its peers.
The cryptocurrency is up 11.34% to $13.57, a figure that is 52.53% from its All-Time High (ATH) of $28.80.
The rejuvenation seen in these exchange tokens is evident that demand is picking up from traders as many took the ‘wait and see’ approach amidst the extreme volatility that engulfed the ecosystem a few days ago.
Exchange tokens serve a very vital role in the functioning of their respective platforms, and unlike other tokens with limited utility, their rates of growth can be projected to exceed other prominent tokens in the medium to long term.
It was a gory weekend for a number of altcoins as the digital currency ecosystem took another downward slide. Investors chose to stay away from risky assets in the wake of the Russian-Ukrainian brawl. The global cryptocurrency market cap slid 3.99% at the time of writing to $1.74 trillion, paring off the gains accrued in the past week.
Amidst the bearish slump, three tokens are under review, including Binance Coin (BNB), LooksRare (LOOK), and Terra (LUNA) have inherent utilities and a competitive market advantage that can help them stay resilient amidst the ongoing bearish slump.
Binance Coin (BNB)
Binance Coin is still the fourth-largest digital currency by market capitalization; a figure was pegging at $62.97 billion at the time of writing. BNB is a strategically positioned coin, active as the native token of the Binance Exchange as well as the utility coin of the Binance Smart Chain (BSC) network. By default, the coin is typically under high demand, an inherent advantage that can easily spark a resurgence in the price breakout of the digital currency. BNB was changing hands at $379.22, down 4.65% during the intraday. With the broad ecosystem activities slated for this week, BNB is on track to retest the $400 resistance in the coming days.
LooksRare (LOOK)
LooksRare is an emerging Non-Fungible Token (NFT) marketplace that intends to dethroning OpenSea. Powered by the LOOKS token, the ecosystem is in a pole position to benefit from the woes of the bigger trading platform. The LOOKS token hit it off with retail NFT traders at its debut, swiftly attaining an ATH of $7.07. While the token has tracked back its gains, it is poised to make a relatively faster recovery from its current price of as many NFT stakeholders are bound to explore the platform more for its incentives and the persistent hacks being suffered by OpenSea.
Terra (LUNA)
Terra is a Layer-1 blockchain protocol that aids the fast performance of smart contracts and decentralized protocols. LUNA was trading at a price of $48.80. Since the beginning of the year, the LUNA token has taken a massive beating amidst the persistent bearish slump. Terra represents an innovative protocol that uses fiat-pegged stablecoins to power price-stable global payments systems. Its usefulness is proliferating, and this has placed a corresponding demand on LUNA, a trend that can spark a recovery in the altcoin this week.
Bitcoin (BTC) has recovered close to $44,000, indicating that the downtrend could be coming to an end. However, the price may not rally to the all-time high in a straight line. This means bulls are likely to face several hurdles in-between and the price action may remain volatile.
JPMorgan analysts said in a recent investor note that Bitcoin’s boom and bust cycles are hindering further institutional adoption. The analysts estimate that with volatility four times that of gold, Bitcoin’s fair value is about $38,000. If the volatility reduces to three times that of gold, their fair value estimate for Bitcoin rises to $50,000.
Wells Fargo Investment Institute, the research division of Wells Fargo Wealth and Investment Management, in its report titled “Cryptocurrencies — Too early or too late?” said the crypto markets were still in the early days of adoption. The report added that “most of the opportunity lies before us, not behind us […]”.
Could Bitcoin and altcoins extend their relief rally or will profit-booking pull prices lower? Let’s study the charts of the top-10 cryptocurrencies to find out.
BTC/USDT
Bitcoin broke above the 50-day simple moving average ($42,659) on Feb. 7 and reached the overhead resistance at $45,456 on Feb. 8. This level proved to be a strong resistance and the price turned down from it.
BTC/USDT daily chart. Source: TradingView
The BTC/USDT pair formed a Doji candlestick pattern on Feb. 8, indicating indecision among the bulls and the bears. However, the upsloping 20-day exponential moving average ($40,751) and the relative strength index (RSI) in the positive zone indicate that the path of least resistance is to the upside.
If bulls thrust the price above $45,456, the pair could rise to $48,000 and thereafter to the stiff overhead resistance at $52,088. Contrary to this assumption, if the price turns down from the current level and breaks below the 50-day SMA, the pair could drop to the 20-day EMA.
ETH/USDT
Ether (ETH) broke and closed above the resistance line of the channel on Feb. 7 which is an indication that the downtrend could be over. Although bears defended the 50-day SMA ($3,208) on Feb. 8, they have not been able to pull the price back into the channel.
ETH/USDT daily chart. Source: TradingView
This suggests that bulls are attempting to flip the resistance line of the channel to support. The buyers will once again try to drive the price above the 50-day SMA today. If they succeed, the ETH/USDT pair could start a new up-move.
There is a minor resistance at $3,400, but if this level is crossed the next stop could be $3,900. The rising 20-day EMA ($2,924) and the RSI in the positive territory indicate advantage to buyers.
This bullish view will invalidate in the short term if bears sink and sustain the pair below the 20-day EMA.
BNB/USDT
Binance Coin (BNB) turned down from the downtrend line on Feb. 18, indicating strong resistance from the bears. The price has dropped to the 20-day EMA ($409), which is an important support to keep an eye on.
BNB/USDT daily chart. Source: TradingView
If the price rises from the current level, the bulls will again attempt to push the BNB/USDT pair above the downtrend line of the channel and the 50-day SMA ($453). If they succeed, it will suggest that the downtrend could be over. The pair could then start its march to the psychological level at $500.
Alternatively, if the price breaks below the 20-day EMA, it will suggest that the trend remains negative and higher levels are attracting selling by the bears. The pair could then drop to $390 and later extend its slide to $357.40.
XRP/USDT
Ripple (XRP) surged and closed above the 50-day SMA ($0.75) on Feb. 7 which is the first indication that the downtrend could be over. Traders are booking profits near $0.91 which could result in a minor correction or consolidation.
XRP/USDT daily chart. Source: TradingView
The moving averages are on the verge of a bullish crossover and the RSI is in the overbought zone, indicating that the path of least resistance is to the upside. If the price turns up from the current level or rebounds off $0.75, the bulls will try to propel the XRP/USDT pair above $0.91.
If they succeed, the up-move could reach the psychological level at $1 where the bears may again pose a strong challenge. This positive view will invalidate if the price turns down and plummets below the moving averages.
ADA/USDT
The bulls tried to propel Cardano (ADA) above the 50-day SMA ($1.23) on Feb. 8 but the bears held their ground. This pulled the price back to the 20-day EMA ($1.14). The price is now stuck between the moving averages.
ADA/USDT daily chart. Source: TradingView
The RSI is just above the midpoint and the moving averages are flat, indicating a range-bound action in the short term. If buyers push and sustain the price above the 50-day SMA, the pair could rally to the resistance line.
This is the critical level to watch out for because a break and close above the channel will be the first sign that the downtrend could be over.
Conversely, if the price turns down from the current level and breaks below the 20-day EMA, the ADA/USDT pair could slide to $1.
SOL/USDT
Solana (SOL) broke and closed above the overhead resistance at $116 on Feb. 7, but the bulls could not extend the relief rally further. The bears pulled the price back below $116 on Feb. 8.
SOL/USDT daily chart. Source: TradingView
The buyers have not yet given up as they are trying to defend the 20-day EMA ($112). If the price rebounds off the current level, the bulls will attempt to push the SOL/USDT pair above $121.93. If they manage to do that, the pair could rally to the resistance line.
Conversely, if bears pull the price below the 20-day EMA, the pair could drop to the uptrend line. If this level also cracks, the pair could decline to $94. The flat 20-day EMA and the RSI below the midpoint, suggest a range-bound action in the near term.
LUNA/USDT
The relief rally in Terra’s LUNA token hit a wall at the 20-day EMA ($58). This suggests that the sentiment remains negative and bears are selling on rallies to strong resistance levels.
LUNA/USDT daily chart. Source: TradingView
If the price breaks and sustains below $54.20, the LUNA/USDT pair could lose strength and gradually drop to the strong support at $43.44. Such a move will suggest that the current up-move was a relief rally in a strong downtrend.
Alternatively, if the price rebounds off $54.20, it will suggest that traders are not waiting for a deeper correction to buy. The bulls will then attempt to push the pair above the 20-day EMA. If they succeed, the pair could rise to the downtrend line of the channel.
Related:Bitcoin centers on $44K as BTC price MACD delivers long-awaited bull signal
AVAX/USDT
Avalanche (AVAX) soared on Feb. 8 to reach the downtrend line but the long wick on the day’s candlestick shows that bears are defending the overhead resistance aggressively. The bulls regrouped quickly and are attempting to push the price above the 50-day SMA ($88).
AVAX/USDT daily chart. Source: TradingView
The RSI is nearing the 62 level from where it had turned down on Dec. 21 and before that on Nov. 30. If buyers push the RSI above this resistance, it will indicate advantage to buyers. A break and close above the downtrend line could signal a possible change in trend.
Contrary to this assumption, if the price turns down from the current level or the downtrend line, the AVAX/USDT pair could find support in the zone between the 20-day EMA ($77) and $75.50. The bears will have to sink the price below this zone to gain the upper hand.
DOT/USDT
Polkadot (DOT) tried to rise above the zone between $22.66 and the 50-day SMA ($24.05) on Feb. 8, but the bears were in no mood to relent. A minor positive is that the bulls have not allowed the price to break below the 20-day EMA ($21.06).
DOT/USDT daily chart. Source: TradingView
Both moving averages have flattened out and the RSI is close to the midpoint, indicating a balance between supply and demand. A break and close above the 50-day SMA could tilt the advantage in favor of the buyers.
The DOT/USDT pair could then rise to $28 where the bears may again pose a stiff challenge. Alternatively, a break and close below the 20-day EMA could signal that the pair may remain range-bound between $22.66 and $16.81 for a few days.
DOGE/USDT
Dogecoin (DOGE) broke and closed above the 50-day SMA ($0.15) on Feb. 7 but the bulls could not build upon this advantage. The bears pulled the price back below the 50-day SMA on Feb. 8, indicating that they have not given up yet.
DOGE/USDT daily chart. Source: TradingView
The 20-day EMA ($0.15) is the important level to watch on the downside. If the price rebounds off this level, the possibility of a break above $0.17 increases. If that happens, the DOGE/USDT pair could rise to the stiff overhead resistance at $0.19.
The gradually upsloping 20-day EMA and the RSI in the positive territory indicate a slight advantage to buyers. This positive view will invalidate if the price turns down and breaks below the 20-day EMA. The pair could then drop to the strong support at $0.13.
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.
Bitcoin’s (BTC) price inched higher over the weekend as bulls try to enforce a trend change while bears attempt to stall the relief rally. On-chain monitoring resource Whalemap highlighted that $38,000 is the critical zone for the whales during any correction as whales had accumulated in this zone last week.
On the upside, trader Pentoshi believes that Bitcoin could face stiff resistance near the 2022 yearly opening price of about $46,000. However, if Bitcoin remains strong, Pentoshi expects altcoins to start performing, especially since several of them have corrected sharply in the past few months.
Meanwhile, traders are likely to look toward the US equity markets for clues as Bitcoin has shown a strong correlation with the Nasdaq in the past few days.
Does the sharp rebound in Bitcoin’s price indicate a trend change? Could the improving sentiment pull altcoins higher? Let’s study the charts of the top-10 cryptocurrencies to find out.
BTC/USDT
Bitcoin gradually continued to move up and has reached the 50-day simple moving average ($42,809). The bears could try to defend this level because if they fail to do so, a trend change will be signaled.
BTC/USDT daily chart. Source: TradingView
The rising 20-day exponential moving average ($40,008) and the relative strength index (RSI) in the positive zone indicate that bulls have a slight edge. Above the 50-day SMA, the BTC/USDT pair could rally to $45,456. If bulls clear this hurdle, the pair could retest the 200-day SMA ($49,175).
Alternatively, if the price turns down from the current level of $45,456, the bears will attempt to pull the price back below $39,600. This is an important level to watch out for because if bulls flip this into support, it will suggest that a bottom is in place.
On the other hand, a break and close below $39,600 could indicate that the current up-move may have been a bear market rally, which was sold into.
ETH/USDT
Ether (ETH) has continued to rise gradually and reached the resistance line of the descending channel. The bears are expected to mount a strong defense in the zone between the resistance line and the 50-day SMA ($3,241).
ETH/USDT daily chart. Source: TradingView
However, the rising 20-day EMA ($2,871) and the RSI in the positive territory indicate an advantage to buyers. If bulls thrust the price above the 50-day SMA, the ETH/USDT pair could rally to the 200-day SMA ($3,543).
Contrary to this assumption, if the price turns down from the current level or the 50-day SMA, it will suggest that bears are active at higher levels. The bears will then attempt to pull the pair below the 20-day EMA. If they succeed, the pair could challenge the strong support at $2,652.
BNB/USDT
Binance Coin (BNB) surged above the 20-day EMA ($408) on Feb. 5, indicating that bulls are attempting a comeback. The buyers will now attempt to push the price above the resistance line of the channel and the 50-day SMA ($458).
BNB/USDT daily chart. Source: TradingView
If they do that, it will indicate that the downtrend could be over. The 20-day EMA has turned up and the RSI has risen into the positive territory, indicating that bulls have the upper hand.
Above the 50-day SMA, the BNB/USDT pair could rally to the psychological level at $500 where the bears may again mount a strong resistance.
This positive view will invalidate if the price turns down from the resistance line. Such a move will indicate that bears have not given up and continue to sell on rallies. A break below the 20-day EMA could suggest that the pair may remain inside the channel for a few more days.
ADA/USDT
Cardano (ADA) bounced off the strong support at $1 and broke above the 20-day EMA ($1.13) on Feb. 4. The bears tried to pull the price back below the 20-day EMA on Feb. 5 and 6 but the bulls did not relent.
ADA/USDT daily chart. Source: TradingView
This indicates that bulls are attempting to defend the 20-day EMA. If the price rises above the 50-day SMA ($1.24), the ADA/USDT pair could rally to the resistance line of the descending channel.
A break and close above the channel could signal that the downtrend may be over. The pair could then rally to $1.60 and later toward the overhead resistance at $1.87. This positive view will be negated on a break and close below $1. Such a move could suggest the resumption of the downtrend.
SOL/USDT
Solana (SOL) broke above the 20-day EMA ($112) on Feb. 4 but the bulls have been struggling to clear the overhead hurdle at $116. This suggests that bears are attempting to defend the overhead resistance.
SOL/USDT daily chart. Source: TradingView
If bears fail to pull the price back below the 20-day EMA quickly, the prospects of a rally to the resistance line of the descending channel increase. A break and close above the 200-day SMA ($146) could indicate that the downtrend may be over.
Conversely, if the price turns down from the current level or the resistance line, it will suggest that bears continue to sell on rallies. The SOL/USDT pair could then extend its stay inside the channel for a few more days.
XRP/USDT
XRP rose above the overhead resistance at $0.65 on Feb. 4 and picked up momentum today to climb above the 50-day SMA ($0.75). A close above the 50-day SMA will signal a possible change in trend.
XRP/USDT daily chart. Source: TradingView
The XRP/USDT pair could then start its northward march toward the psychological level at $1. The 20-day EMA ($0.66) has started to turn up gradually and the RSI has jumped into the positive territory, indicating an advantage to buyers.
This positive view will invalidate in the short term if the price turns down and sustains below $0.75. Such a move will indicate that bears continue to sell at higher levels. The pair could then drop to the 20-day EMA.
LUNA/USDT
Terra’s LUNA token rose above the $54.20 overhead resistance on Feb. 5. The bears tried to pull the price back below the level on Feb. 6 but the bulls did not relent. The bulls are attempting to push the price above the 20-day EMA ($58.96).
LUNA/USDT daily chart. Source: TradingView
If they manage to do that, the LUNA/USDT pair could start its northward march toward the downtrend line of the descending channel. The bulls will have to clear this hurdle to signal a possible change in trend.
Conversely, if the price turns down from the current level or the downtrend line, it will indicate that the pair could continue to trade inside the channel. A break and close below the 200-day SMA ($47) could clear the path for a possible drop to the support line of the channel.
Related:Is Shiba Inu overheating after SHIB price gains 75% in two weeks?
DOGE/USDT
After struggling to sustain above the 20-day EMA ($0.14) on Feb. 4 and 5, Dogecoin (DOGE) made a decisive move on Feb. 6 and closed above the resistance. This was the first indication that the selling pressure could be waning.
DOGE/USDT daily chart. Source: TradingView
The price has reached the 50-day SMA ($0.16), which could act as a resistance. If the price turns down from the current level but does not slip back below the 20-day EMA, it will suggest buying on dips.
The bulls will then make one more attempt to push the price above the 50-day SMA. If they succeed, the DOGE/USDT pair could rally toward the overhead resistance at $0.19. Contrary to this assumption, if the price breaks below the 20-day EMA, the pair could slide to $0.13.
DOT/USDT
Polkadot (DOT) broke and closed above the 20-day EMA ($20.87) on Feb. 5 but the bulls have been struggling to push the price above the breakdown level at $22.66. The bears are likely to defend the zone between $22.66 and the 50-day SMA ($24.16).
DOT/USDT daily chart. Source: TradingView
If the price turns down from the overhead zone, it will suggest that bears continue to sell on rallies. The bears will then attempt to pull the price back below the 20-day EMA. If they manage to do that, the DOT/USDT pair could drop to $16.81.
Alternatively, if bulls push the price above the 50-day SMA, it will suggest a change in the short-term trend. The pair could then gradually move up to $28.60 and later continue its march toward the overhead resistance at $32.78.
AVAX/USDT
Avalanche (AVAX) rose above the 20-day EMA ($75.67) on Feb. 4, indicating that the bears could be losing their grip. The sellers tried to pull the price back below the 20-day EMA on Feb. 5 but the bulls held their ground.
AVAX/USDT daily chart. Source: TradingView
The buying resumed on Feb. 6 and the AVAX/USDT pair has reached the resistance line of the ascending channel. If bulls drive the price above the channel, the pair could start its journey toward the downtrend line.
The 20-day EMA has started to turn up gradually and the RSI has jumped into the positive zone, indicating a minor advantage to buyers. This positive view will invalidate in the short term if the price turns down and breaks below the 20-day EMA. Such a move could pull the price to the uptrend line of the channel.
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.
Bitcoin (BTC) and Ether (ETH) are attempting to build upon their recent recovery as the U.S. equity markets try to resume their relief rally, backed by strong results by Amazon. Bollinger Bands creator John Bollinger recently tweeted that Ether looked to be in a good spot to be added to his existing long positions.
The Purpose Bitcoin exchange-traded fund also witnessed its third-largest inflow on Feb. 1, according to Glassnode data. This suggests that traders may have started accumulating Bitcoin at lower levels.
Even though crypto markets are reeling under a bear phase, investor interest remains strong. Popular social media platform Stocktwits said that it has partnered with FTX.US to launch its crypto trading next quarter. The platform boasts 5 million monthly active users. This could result in several new investors starting their crypto investment journey.
Does the strong move in Bitcoin and select altcoins indicate the start of a new uptrend? Let’s study the charts of the top-10 cryptocurrencies to find out.
BTC/USDT
Bitcoin bounced off the minor support at $36,155.01 and the bulls have pushed the price above the overhead resistance zone between the 20-day exponential moving average ($38,974) and $39,600.
BTC/USDT daily chart. Source: TradingView
If the price sustains above $39,600, buying could pick up momentum and the BTC/USDT pair could rally to the 50-day simple moving average ($43,021). The bulls will have to clear this hurdle to signal a possible change in trend.
Contrary to this assumption, if the price turns down from the current level, it will suggest that bears continue to sell on rallies. A break and close below $36,155.01 could clear the path for a retest of the Jan. 24 intraday low at $32,917.17.
ETH/USDT
Ether turned down from the 20-day EMA ($2,795) on Feb. 2 and dipped below the support at $2,652 on Feb. 3 but the long tail on the day’s candlestick suggests aggressive buying at lower levels.
ETH/USDT daily chart. Source: TradingView
The 20-day EMA has flattened out and the relative strength index (RSI) is just above the midpoint, indicating that bears are losing their grip. Sustained buying by the bulls has driven the ETH/USDT pair above the 20-day EMA.
If bulls sustain the price above the 20-day EMA, the pair could rise to the resistance line of the channel. A break above the 50-day SMA ($3,291) will indicate that bulls are back in the driver’s seat.
This bullish view will invalidate if the price turns down from the current level and plummets below $2,550. That could open the doors for a decline to the support line of the channel.
BNB/USDT
Binance Coin (BNB) rebounded off the minor support at $357.40, indicating that bulls are buying at lower levels. The bulls will now attempt to push the price above the 20-day EMA ($401).
BNB/USDT daily chart. Source: TradingView
If they manage to do that, the BNB/USDT pair could start its northward march toward the resistance line of the descending channel. A break and close above this resistance will signal a possible trend change.
Conversely, if the price turns down from the 20-day EMA, it will suggest that the sentiment remains negative and traders are selling on rallies. The bears will then try to pull the pair below $357.4 and challenge the strong support zone at $330 to $320.
ADA/USDT
Cardano (ADA) has been trading between the critical support at $1 and the 20-day EMA ($1.12) for the past few days. This tight-range trading is likely to result in a directional move soon.
ADA/USDT daily chart. Source: TradingView
A break and close above the 20-day EMA will be the first sign that the buyers are back in the reckoning. The ADA/USDT pair could then rise to the resistance line of the descending channel where the bears are likely to pose a stiff challenge. If the bulls overcome this hurdle, the pair could signal a trend change.
Contrary to this assumption, if the price turns down from the moving averages, it will suggest that traders are selling on rallies. The bears will then try to pull the pair below $1. If they manage to do that, the decline could extend to $0.80.
SOL/USDT
Solana (SOL) turned down from the 20-day EMA ($110) on Feb. 2 but the long tail on the Feb. 3 candlestick suggests buying at lower levels. The bulls will again endeavor to push the price above the breakdown level at $116.
SOL/USDT daily chart. Source: TradingView
If they succeed, the SOL/USDT pair could rally to the resistance line of the descending channel. A break and close above the channel will signal a possible change in trend. Alternatively, if the price turns down from the resistance line, the pair could continue to trade inside the descending channel.
On the downside, $80.83 is the critical support to watch out for because if it cracks, the selling could intensify further and the pair may plummet to the support line of the channel.
XRP/USDT
Ripple (XRP) continues its random price action between $0.54 and $0.65. If the price breaks above $0.65, it will suggest that the range-bound action may have been accumulation by the bulls.
XRP/USDT daily chart. Source: TradingView
The XRP/USDT pair could then move towards the 50-day SMA ($0.76) where the bears may mount a stiff resistance. A break and close above this resistance will be the first sign of a possible change in trend.
Conversely, if the price turns down from $0.65, the range-bound action could continue for a few more days. The bears will have to pull the price below the support at $0.54 to indicate the resumption of the downtrend. The pair may then retest the psychological support at $0.50.
LUNA/USDT
Terra’s LUNA token is trading between $43.44 on the downside and $54.20 on the upside. The 20-day EMA ($59) is sloping down and the RSI is in the negative zone, indicating that bears hold a slight edge.
LUNA/USDT daily chart. Source: TradingView
If the price turns down from the overhead resistance at $54.20, the range-bound action may continue for a few more days. A break and close below the support at $43.44 could indicate the resumption of the downtrend. The LUNA/USDT pair could then drop to the critical support at $37.50.
Alternatively, if bulls drive the price above $54.20, the pair could rally to the 20-day EMA where the bears may face stiff resistance. The bulls will have to clear this hurdle to indicate a possible change in the short-term trend. The pair could then rally to the downtrend line of the channel.
Related:Bitcoin surges toward $39K as stocks volatility keeps Wall Street on edge
DOGE/USDT
Dogecoin (DOGE) continues its listless price action inside the range between $0.13 and $0.15. This indicates that both the bulls and bears are not waging large bets and are playing it safe.
DOGE/USDT daily chart. Source: TradingView
The moving averages are sloping down and the RSI is in the negative territory, suggesting that bears hold a slight edge.
If the price turns down from the 20-day EMA ($0.14) the bears will attempt to resume the downtrend by pulling the DOGE/USDT pair below $0.13. If they succeed, the pair could decline toward the psychological support at $0.1.
The bulls will have to push and sustain the price above the 50-day SMA ($0.16) to signal that the bears are losing their grip. The pair could then rise to $0.19.
DOT/USDT
Polkadot (DOT) is trading between the 20-day EMA ($20.47) and the strong support at $16.81. The weak rebound off a strong support and the failure to break above the 20-day EMA indicates a lack of aggressive buying by the bulls.
DOT/USDT daily chart. Source: TradingView
Although the RSI has inched higher, it is still in the negative territory. The moving averages also continue to slope down, indicating that bears are in command. This suggests that the bears may again attempt to defend the 20-day EMA with vigor.
If the price turns down from the overhead resistance, the bears will try to pull the DOT/USDT pair below $16.81. If they succeed, the downtrend may resume. This negative view will invalidate in the short term if bulls push the price above the 20-day EMA. In that case, the pair could rise to the 50-day SMA ($24.34).
AVAX/USDT
Avalanche (AVAX) turned down from the 20-day EMA ($73.58) on Feb.2 but a positive sign is that the bulls held the support at the uptrend line. This indicates that the sentiment is improving and traders are buying on minor dips.
AVAX/USDT daily chart. Source: TradingView
The bulls will now attempt to drive the price above the breakdown level at $75.50 where the bears are again expected to mount a stiff resistance. If the bulls overcome this barrier, the AVAX/USDT pair could start its journey toward the downtrend line.
Contrary to this assumption, if the price turns down from $75.50, it will suggest that bears continue to sell on rallies. That could keep the pair sandwiched between $75.50 and the uptrend line. A break below the uptrend line could open the doors for a decline to $60 and later to $51.04.
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.
Bitcoin (BTC) rose above $39,000 on Feb. 1 but the sharp fall in the shares of PayPal may have resulted in aggressive selling by the short-term traders.
However, in the long-term, large investors seem to be viewing the decline as a buying opportunity. On-chain monitoring resource Whalemap said that whales holding between 100 to 10,000 BTC have accumulated during the recent decline.
Fidelity recently released a paper dubbed “Bitcoin First” which highlights that Bitcoin is the most “secure, decentralized form of asset” and is unlikely to be overtaken by any of the altcoins “as a monetary good.”
The report said that Bitcoin combines “the scarcity and durability of gold with the ease of use, storage and transportability of fiat.”
Irrespective of Bitcoin’s volatility, its transaction volumes at the end of 2021 clocked an annual growth of nearly 100% over the past 5 years, according to a recent NYDIG report. This boosted Bitcoin’s annual transaction volume to $3 trillion in 2021, surpassing popular credit card network American Express which recorded $1.3 trillion worth of payments and Discover which had $0.5 trillion.
Could the accumulation by the bulls indicate that a bottom may be around the corner? Let’s study the charts of the top-10 cryptocurrencies to find out.
BTC/USDT
Bitcoin’s recovery reached the 20-day exponential moving average ($39,116) on Feb. 1, which is acting as a stiff resistance. This suggests that sentiment remains negative and traders are selling on rallies to the overhead resistance levels.
BTC/USDT daily chart. Source: TradingView
The bears will now try to pull the price below $36,632.61. If they succeed, the aggressive bulls who had purchased the recent dip may book profits, dragging the BTC/USDT pair below $35,000.
The downsloping moving averages and the relative strength index (RSI) in the negative territory indicate that bears have the edge.
Contrary to this assumption, if the price rebounds off $36,632.61, it will suggest that bulls are buying on dips. They will then make another attempt to clear the overhead hurdle at $39,600.
This is an important level to watch out for because if the pair sustains above this level, the next stop could be the 50-day simple moving average ($43,421). The bulls will have to clear this hurdle to signal a possible end of the downtrend.
ETH/USDT
Ether (ETH) broke and closed above the breakdown level at $2,652 on Jan. 31, but the bulls could not clear the overhead hurdle at the 20-day EMA ($2,792). This suggests that the bears are defending this level aggressively.
ETH/USDT daily chart. Source: TradingView
If the price slips and sustains below $2,652, it will suggest that the bears are back in action. The ETH/USDT pair could then drop to $2,476 and later to the support line of the channel. The downtrend could resume on a break below $2,159.
Conversely, if the price rebounds off the current level, it will suggest that bulls are buying on dips. The buyers will then again attempt to push and sustain the pair above the 20-day EMA. If they manage to do that, the pair could start its march toward the resistance line of the channel.
BNB/USDT
Binance Coin (BNB) rebounded off the support line of the channel on Jan. 31, indicating that bulls are buying on dips. However, the bulls could not push the price to the 20-day EMA ($407).
BNB/USDT daily chart. Source: TradingView
This indicates a lack of demand at higher levels. Both moving averages are sloping down and the RSI remains in the negative territory, indicating that bears have the upper hand. The sellers will now attempt to pull the price back below the support line of the channel.
If they succeed, the BNB/USDT pair could drop to the strong support zone at $330 to $320. Alternatively, if the price rebounds off the current level and rises above the 20-day EMA, it will indicate that the selling pressure could be reducing.
ADA/USDT
Cardano (ADA) continues to struggle to rebound off the strong support at $1. This indicates a lack of urgency among traders to accumulate at the current levels.
ADA/USDT daily chart. Source: TradingView
If the bulls fail to push and sustain the price above the moving averages within the next few days, the possibility of a break below $1 may increase. If that happens, the ADA/USDT pair could resume its downtrend.
The first support on the downside is $0.80. If this level cracks, the decline may extend to the support line of the channel. Conversely, a break and close above the 50-day SMA ($1.25) could result in a retest of the resistance line of the channel.
SOL/USDT
Solana (SOL) turned up on Jan. 31 and broke above the overhead resistance at $104.82 on Feb. 1. The price reached the 20-day EMA ($112) today which is acting as a strong resistance.
SOL/USDT daily chart. Source: TradingView
The bears are attempting to pull the price below $104.82. If they succeed, it will suggest that bears continue to sell aggressively at higher levels. The SOL/USDT pair could then retest the recent low at $80.83.
Conversely, if the price rebounds off the current level and rises above $116, it will suggest that bulls are making a comeback. The pair could then attempt a rally to $130 and later to the resistance line of the channel.
XRP/USDT
Ripple (XRP) remains stuck between $0.54 and $0.65. The attempt by the bulls to start a relief rally could not even challenge the overhead resistance at $0.65. This indicates a lack of conviction among the bulls to buy at higher levels.
XRP/USDT daily chart. Source: TradingView
The downsloping moving averages and the RSI near the oversold territory indicate that bears are in command. If the price breaks below $0.58, the XRP/USDT pair could drop to the strong support at $0.54.
A break and close below this level could pull the pair to the psychological support at $0.50. This negative view will invalidate in the short term if the price turns up from the current level and breaks above the 20-day EMA ($0.66).
LUNA/USDT
Terra’s LUNA token bounced off the support line of the descending channel on Jan. 31 but made a Doji candlestick pattern on Feb. 1. This indicates that demand dried up at higher levels.
LUNA/USDT daily chart. Source: TradingView
The uncertainty of the Doji candlestick pattern has resolved to the downside and the bears will now try to pull the price to the strong support at $37.50. The downsloping 20-day EMA ($61.58) and the RSI in the negative zone indicate that bears are in command.
If the price turns up from the current level and breaks above $54.20, it will suggest that bulls are accumulating on dips. The LUNA/USDT pair could then reach the 20-day EMA which may act as a barrier. A break and close above this resistance will be the first indication that the bears may be losing their grip.
Related:Why did WazirX token (WRX) jump 30% after India announced its big crypto tax?
DOGE/USDT
Dogecoin (DOGE) remains stuck between $0.13 and $0.15 for the past few days. After failing to break below the support, the price rose to the 20-day EMA ($0.14) which is acting as a stiff resistance.
DOGE/USDT daily chart. Source: TradingView
The price has turned down from the 20-day EMA and the bears will again attempt to sink and sustain the DOGE/USDT pair below $0.13. The downsloping moving averages and the RSI in the negative territory indicate that the path of least resistance is to the downside.
If the price slips and sustains below $0.13, the next stop could be $0.10. Conversely, if the price rebounds off $0.13, the pair could extend its range-bound action for a few more days. The bulls will have to push and sustain the price above the 50-day SMA ($0.16) to signal a possible change in trend.
DOT/USDT
The failure of the bears to pull Polkadot (DOT) below the strong support at $16.81 in the past few days could have attracted buying from the aggressive bulls. This started a relief rally which reached the 20-day EMA ($20.74).
DOT/USDT daily chart. Source: TradingView
The long wick on today’s candlestick indicates that bears are aggressively defending the 20-day EMA. The sellers will now make one more attempt to sink and sustain the price below the critical support at $16.81.
If that happens, the downtrend could resume and the DOT/USDT pair may drop to the next important support at $10.37.
Contrary to this assumption, if the price turns up from the current level and breaks above the 20-day EMA, the pair could rise to the 50-day SMA ($24.63).
AVAX/USDT
Avalanche’s (AVAX) relief rally stalled near the breakdown level at $75.50, indicating that the trend remains down and bears are trying to assert their dominance.
AVAX/USDT daily chart. Source: TradingView
If bears pull the price below $64, the AVAX/USDT pair could gradually slide toward the critical support at $51.04. This level could again act as a strong support and a rebound off it may result in a range-bound action for a few days.
On the other hand, if the price turns up from the current level, the bulls will make one more attempt to push the price above the overhead resistance at $75.50. If they manage to do that, the pair could rally toward the downtrend line of the descending triangle.
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.
Binance, the world’s leading crypto exchange by trading volume, announced its Secure Asset Fund for Users (SAFU) reached a $1 billion valuation.
The user protection insurance fund was set up in July 2018 to protect users’ interests. Binance committed a portion of the trading fee towards SAFU and began allocating 10% towards the funds. The crypto exchange also revealed the two wallet addresses where the funds are being held in order to ensure transparency. The two wallets contain a billion-dollar worth of crypto in BUSD, BNB and BTC.
Changpeng Zhao, the CEO of Binance, urged other crypto platforms to follow on their footpath and reveal the details of their emergency insurance funds as well. He said, doing so would make them more transparent and also help them showcase their commitment to regulators.
Responding to the queries from Cointelegraph, a Binance spokesperson revealed that the SAFU is meant to protect users’ interests and funds are used at Binance’s discretion. He went on to add that SAFU is focused on, but not limited to Binance.com. He explained:
“The purpose of SAFU is to protect Binance users and we reserve the right to cover issues outside of Binance.com if required.”
In the absence of clear regulations, crypto investors and traders in many countries are solely dependent on crypto exchanges’ security measures to safeguard their funds. However, some of the most notable crypto platforms have been hacked despite the promised security, with millions in user funds getting lost. Thus, the role of user insurance funds becomes very critical.
Related: The biggest crypto heists of all time
While decentralized exchanges and protocols have been the primary target of hackers for the ease of heist, however, that doesn’t make centralized exchanges any safer. Earlier this month, one of the Crypto.com suffered a $33 million reported loss after a hacker managed to siphon funds from 483 user accounts. The crypto platform claimed it had compensated users who lost their funds.
