The $53,000 mark will be decisive for the Bitcoin trend

Julien Moretto – 3 Mar 2021

The correction continued last week in the cryptocurrencies market, with Bitcoin losing up to 25% from its all-time high on February 28th. The king of cryptocurrencies is trading this Wednesday, March 3 around €42,600 ($51,500). While fears are already resurfacing in the market, we must take a step back and note that these declines are in proportion to the impressive rise that we have seen since October 2020 on the market. Our detailed analysis gives you the next interesting buying zone as well as an important technical resistance around $53,000. If the price breaks it up, the uptrend will be quickly revived.

As far as altcoins are concerned, almost all of them remain correlated to Bitcoin, with a higher volatility. Ethereum has also lost up to 35% from its historical high but is back in a buying zone. The good performance of Cardano (ADA) should be noted, which is now in third place in terms of market capitalization.

In summary, the underlying trend remains bullish and the market is still driven by positive news. More and more institutions and companies are taking the step of investing in cryptocurrencies. Banks such as JP Morgan are beginning to advise people to hold Bitcoin and Google Finance is now displaying cryptocurrencies as an investment category in its own right.

  • According to CoinGecko, market capitalization remains stable at around 1,600 billion.
  • Bitcoin’s dominance is also stable at 59.5% market share.
  • The best performance of the top 50 is to be attributed to NEM (XEM) with 51% over one week.

We invite you to discover our analysis in video (in french and dated March 2):

Bitcoin (BTC)

The Coinhouse recommendation :
Wait

The price of Bitcoin was around €42,600 ($51,500) on March 3, an increase of 6.7% over one week. The price zone between €33,000 and €35,800 ($40,000 and $43,500) remains interesting for medium-term purchases. The price made a brief incursion there on February 28 before rebounding to evolve since then in a zone of uncertainty. The price zone between 42,000 and 43,500€ ($50,700 and $52,500) will be a decisive resistance zone. If the price fails to cross it, there will be a strong probability that it will come back to test the zone around $40,000. However, if this resistance is broken, the uptrend will quickly resume and the price of Bitcoin will move towards new historical highs.

Ethereum (ETH)

The Coinhouse recommendation :
Buy on support

Ethereum (ETH) suffered a little more from the decline compared to Bitcoin and gained 3.6% on the week to is trading at €1330 ($1600). Its price came on the level of 1020 to 1150€ (1240 to 1400$) which is a buying zone. A rebound has started but needs to continue beyond the resistance zone between €1380 and €1450 ($1670 and $1755) to validate the immediate resumption of the uptrend. Otherwise, the decline could resume and continue to the €925-€1075 ($1120-$1300) zone, which will again be a good place to buy.

Aave

The Coinhouse recommendation :
Buy on support

  • Aave is trading at around €340 ($410), an increase of 14% over the week. Assets remain in a powerful uptrend despite a corrective movement since February 10 which sees its price evolve within a bearish channel. It has recently returned close to a very interesting buying zone for medium to long term investment: between €203 and €250 ($246 and $303). In order to quickly get back on an uptrend, the price will first have to break free of the upper limit of the bearish channel and above all finish a day above $468. Breaking this resistance can be interpreted as a buy signal.

Tops & flops of the week (top 50 marketcap)


Tops

1- NEM (XEM) : +51%
2- Compumd (COMP): +35%
3- Cardano (ADA): +32%


Flops

1- Huobi Token (HT) : -17%
2- Solana (SOL): -4,7%
3- Ripple (XRP) : -4,7%

In this article, all information is given for information purposes only, even if it has been established from serious and reputable sources. It does not constitute an offer by Coinhouse to buy or sell digital assets, or an offer to provide services on digital assets, nor does it constitute advice, encouragement or a recommendation to operate on the digital assets in question. It constitutes simple information over which the user holds absolute control. We inform you that if you choose to invest in digital assets, you must be aware of our general terms and conditions of sale (https://bit.ly/2FGW2ek) and accept the various risks listed and defined on our legal warning page (https://bit.ly/3c4sQKc).

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