Does the bull market return?

Fundamental data

The crypto space shows fresh signs of positive momentum again. The upside in most tokens remains consistent, with in particular Bitcoin currently trading back above USD 105,800. The positive sentiment can be seen in most tokens. In particular XRP seems on the run again. The positive sentiment might also be driven by the handover of the Presidency to Donald Trump. The newly elected President stated beforehand, that he would be in favour of digital currencies. Previous headwinds from the SEC might hence be reduced.

Technical analysis:

– BTC: Bitcoin is trading at USD 105,800. The price might still remain capped below the technical resistance area based on the monthly chart. The recent pinbar candlestick pattern offers a major hurdle. However, since the positive sentiment has been taken over again and the psychological 100,000 level caused some initial retracement to lower levels, further upside above that zone might also be seen this coming week. The strong momentum would help the market to move higher.

In terms of a target, it will be difficult to specify a zone for now. Bitcoin has never traded at such high figures and the positive sentiment might continue. In particular if the resistance area will break, more buyers might step in. On the other hand, a correction towards recently realized prices at around the USD 69,000 zone could still be on the cards. Fading positive risk sentiment could be ignited if the market will trade below the USD 92,500 area.

– ETH: Ethereum is trading at USD 3,300.00. As oftentimes in the past the token is seemingly not able to follow through with the positive move as compared to Bitcoin. After the initial rise earlier last week, the price has been lagging behind again. Only a break of the zone at 3,870.00 would ignite bullish sentiment again.

As the weekly chart above shows, the price seems to be well support by the 50- moving average for now. A break to lower levels might only occur if the market falls below that zone. Until a breakout in either direction can be found the sideways pattern might continue.

– XRP: Ripple is trading at USD 3.1800 and offered another week of strong positive performance. The first days in oval office for Donald Trump might offer more clarity here. The designated President has been very supportive for the crypto space, and in particular the recent setbacks with the SEC have been mostly forgotten.

However, from a technical point of view the token might be susceptible for profit taking at any point in time. Due to the parabolic uptrend a correction seems to be overdue! Traders should avoid caution here. Daily charts show some slight profit taking already as prices started to weaken.

– SOL: Solana is trading at USD 273.40. The daily chart also marks another stunning performance last week. Not only had the market only traded shortly below the USD 200.00 zone but also broke above the 50 -moving average soon thereafter.

The daily chart above shows, that the breakout of the falling trend had occurred and this might offer upside momentum for now.