Markets
Markets are barely moving despite a series of bullish events; Where are they going too?
Last week can be considered one of the bullish weeks, as price volatility increased significantly. This caused a huge shift in focus from market participants, who seemed hopeful after a series of events. Despite this, the prices of major tokens appear to be stuck within a range and are failing to break out of the temporary resistance. This has raised concerns and doubts as to whether markets have lost traction or are simply staying calm ahead of the next price action.
Last week, the long-awaited ETH ETF was approved, which increased the price of Ethereum along with the entire cryptocurrency market. Furthermore, Donald Trump has moved in favor of the crypto space and advocates the need for “self-custody.” Furthermore, the United States has approved the “FIT21” project, which establishes a regulatory framework for US cryptocurrency markets and also clarifies whether cryptocurrencies are securities or commodities. Additionally, the House also passed a bill to prevent the Fed from creating CBDCs.
Does this represent a diversified action plan for the next gathering? To know, let’s analyze the price action of the entire market or market capitalization.
After rebounding from the $2 trillion low, the market capitalization maintained a significant recovery. Levels are now consolidating within a range, after facing rejection of the yearly high near $2.6 trillion. From a broader perspective, it might seem like sluggish behavior, but as the technical data suggests, the bulls are gathering strength to trigger a decent recovery ahead. The RSI is rising but the MACD shows a decline in buying pressure. Meanwhile, it still remains in a bullish range, suggesting that a new recovery may be on the horizon.
Overall, cryptocurrency markets continue to remain sluggish and trade in tight regions for another couple of weeks. Furthermore, the levels are expected to show major price action in the early days of June, which could help markets close semi-annual trading on a bullish note. The maximum increase that can be expected could be $2.5 or $2.6 trillion by the end of the first half of 2024, while the next action plan could be decided based on the induced volume.