Huobi Global has announced the appointment of Vincent Lau as the company’s new Managing Director, who has significant experience working in the industry

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Source: https://www.cryptoknowmics.com/news/huobi-global-appoints-vincent-lau-as-new-managing-director

ADA/USD rebounds to $1.14 but still vulnerable after declining 10% over 24 hours

Cardano dropped nearly 10% on Thursday to see lows of $1.07 and then continued to feel the bearish pressure in early trades today as prices touched support at $1.03.

The drop signalled some weakness in Cardano’s remarkable rally over the past few weeks, with the likely bearish turn starting to appear after bulls reached an all-time high of $1.48 last week.

At the time of writing, ADA/USD is trading around $1.12, with bulls displaying conviction in the past two hours.

If the upside signal strengthens, buyers could push for a break above $1.20 as they target higher levels. On the contrary, ADA could also drop to $1.00 or lower.

ADA/USD price short term outlook

ADA/USD broke below the support line of an ascending parallel channel and retested the 20-day exponential moving average at $1.08. While it completed a five-day downward streak, the decline to lows of $1.03 signalled further weakness.

Cardano’s price could thus see more losses if bulls fail to react and retake control above the lower boundary of the old channel.

The Relative Strength Indicator (RSI) hints at added downward pressure with bearish divergence, while MACD has the histogram printing below the signal line to suggest an influx of selling pressure if the indicator validates a bearish crossover.

If ADA price turns negative from current levels, bulls will rely on a few key support levels to prevent further losses. The initial support lies at $1.08, which is where we have the 0.382 Fibonacci retracement level of the upswing from $0.43 to $1.48.

There’s also an ascending trend line (blue, dotted) near the Fib level and if bears break lower, the primary support is at the 20-day EMA ($1.06) and then the psychological $1.00 level.

Further rot for ADA/USD could see bulls battle to keep prices above the 0.5 Fib retracement level ($0.965) and the 0.618 Fib retracement level ($0.83).

On a positive note, ADA/USD remains in an uptrend and could very well make another all-time high in the short term if bulls hold above $1.00. This will call for buyers to break above immediate resistance at $1.14, with a run to $1.20 bringing into focus the 0.236 Fib level ($1.23).

A break into and continuation inside the rising channel could see prices rally to the apex resistance line, which extends past the all-time high of $1.48. From here, buyers can attempt to set another record. In this case, short-term targets are likely to be $1.60 and $2.00.

The post Cardano (ADA) price signals weakness after 10% dump appeared first on Coin Journal.

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Source: https://coinjournal.net/news/cardano-ada-price-signals-weakness-after-10-dump/

Bitcoin’s S&P 500 correlation hits a 5-month high and some analysts consider this to be a bearish factor for the cryptocurrency but let’s see why in our today’s Bitcoin news.

Bitcoin and the traditional financial markets were correlated highly n the past few months which was clearly seen over the past couple of weeks where the cryptocurrency followed stocks step by step. The data from crypto analytics resource skew showed that the realized correlation between Bitcoin’s S&P 500 correlation surged to a 5-month high which has happened back in November 2020. There are plenty of reasons why this could be the case but maybe the most obvious one is the involvement of institutional investors in the crypto space.

03/03/21 UPDATE: Net Assets Under Management, Holdings per Share, and Market Price per Share for our Investment Products.

Total AUM: $39.2 billion$BTC $BCH $ETH $ETC $ZEN $LTC $XLM $ZEC pic.twitter.com/66MdIBKKFT

— Grayscale (@Grayscale) March 3, 2021

As reported plenty of times, the institutional interest in the asset class surge when companies started flooding the market. Grayscale for example saw its assets under management skyrocket over the past few months. The company’s CEO Michael Sonnenschein said that the institutional interest in BTC increased in 2021. In any case, there are many implications of the soaring correlation. The correlation to stocks shows a few things but the most important one was the fact that BTC fails as a hedge against the traditional finance systems so if BTC Is moving along with stocks, then it doesn’t serve as a hedge.

This has implications on its own and for example, we saw one reason for the 25% correction for BTC that was actually due to Wall Street crashing as well. Back then, NASDAQ had a slump and the catalyst was that the government bond yields gave some boost and investors favored companies that benefit the broader economic recovery, as Peter Tuz who was the president of Chase Investment Counsel, said:

 “Rates matter. At 1.5%, the yield is comparable to S&P 500 dividend yield. […] And there’s no capital risk with a 10-year, you’ll get your principal back. All of a sudden it’s competitive with stocks.”

As much as it is bearish, in the case of higher correlation the broader macroeconomic events need to be factored in the price formation of the cryptocurrency. The US House of Representatives passed another $1.9 trillion stimulus bill which will be another major injection in the economy if passed so we can only imagine what it will do to the stock markets.

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Source: https://www.dcforecasts.com/bitcoin-news/bitcoins-sp-500-correlation-is-at-5-month-high-is-this-bearish-for-btc/

1Yield Farming ‘Craze’ Is Ending, Says Aave’s CEO | Goldman Sachs Survey Finds 22% of Respondents Expect Bitcoin to Surpass $100,000 | Dallas Mavericks to Accept Dogecoin for Tickets and Merchandise Checkout PrimeXBT
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Source: https://www.cryptocompare.com/email-updates/daily/2021/mar/05/