Aurelia Butler

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    in Cryptocurrency

    XRP’s Epic Battle Against Bears, Solana Breaks $100, While Ethereum Fights for Momentum

    The 200 EMA serves as an important barometer for the long-term trend and investor sentiment. For XRP, remaining below this level suggests that the asset lacks the bullish momentum needed to shift into an upward trajectory. This inability to secure a foothold above the 200 EMA raises questions about the stability of positive price action in the near term.XRP/USDT Chart by TradingViewTechnical analysis shows that the 200 EMA is a dynamic level of resistance that many traders watch closely. A consistent failure to breach this mark can lead to a self-fulfilling prophecy where the resistance level grows stronger, as more traders set their sell orders around this key price point. The ETH chart reveals a telling pattern; the absence of a new higher high is significant. Typically, in a bullish market phase, the price of an asset creates a series of higher highs and higher lows. However, Ethereum’s inability to push beyond its recent peak may suggest that the bulls are running out of steam and a reevaluation of market sentiment could be underway.Analyzing the chart, the local resistance level has been a tough ceiling for Ethereum to break. This resistance, where sell orders tend to cluster, is acting as a barrier preventing further upward movement. On the flip side, the support level represents a price point with a concentration of buy orders, offering a potential cushion against a price drop. If Ethereum fails to uphold the support level, it could trigger a price breakdown, signaling a shift to a bearish trend.If Ethereum’s price continues to struggle, the scenario could unfold where the asset drops further, testing subsequent support levels. While the underlying fundamentals of Ethereum, such as network upgrades and adoption rates, remain robust, the short-term price action could still be subject to corrective forces.The technical outlook for SOL is looking promising. After a period of bullish activity that piqued the interest of many investors, SOL has hit a snag near the $100 resistance level. This resistance level represents a significant psychological and financial barrier, as it is where sell orders tend to accumulate, putting downward pressure on the price.Despite efforts to rally, the asset has been unable to generate the necessary momentum to overcome this threshold with ease and currently consolidates at it. One of the key factors influencing this lackluster performance could be the market’s tepid reaction to the announcement of Solana phone Saga 2. The news, which might have been expected to inject some enthusiasm onto the market, failed to provide substantial support for Solana’s price.Looking at the chart, the local support levels are clearly delineated. The first line of defense for SOL lies around the $88-$90 price range, where previous dips have found buyers waiting. Should this level fail to hold, the next support may not emerge until it reaches the more robust $70 level, which could act as a stronger foothold for the price.Conversely, resistance beyond $100 is now more formidable than ever. With each rejection, the resolve of buyers weakens, and the $100 level transforms from a mere price point into a crucial psychological level you should not miss.This article was originally published on U.Today More

  • 238 Shares109 Views

    in Cryptocurrency

    Ethereum (ETH) Loses All of Its Gains, Bitcoin (BTC) Not Ready to Give up $40,000, Solana (SOL) Comeback Starts

    The steep decline in Ethereum’s price is a significant bearish signal. It reflects the market’s hesitancy to invest at previous highs, most likely due to the underperformance Ethereum has shown in the recent past. This lack of traction and inability to initiate a recovery underscores the vulnerability of Ethereum’s price in the current market climate.ETH/USD Chart by TradingViewFocusing on the technical aspects, Ethereum has broken through what was once seen as a strong support level at approximately $2,350. This price point, which previously saw substantial buying interest, has now been breached, leading to a cascading effect as the asset searches for new support. The next critical support level is around $2,175, where buyers might emerge to stall the downfall.Conversely, any attempts at recovery will first encounter resistance at around $2,338, a level that now marks the lower boundary of what was a consolidation range before the drop. A close above this level on significant volume could signal a temporary respite from selling pressure. However, the real test lies at higher resistance levels, previously established around $2,500, where ETH struggled to maintain upward momentum.The chart illustrates Bitcoin’s recent descent, as it lost its foothold at the higher price echelons it previously occupied. However, amid this downward movement, Bitcoin is showing signs of resilience. The latest candles indicate a potential reversal as they hover around a significant support level, which can be identified at approximately $37,000, a region where buyers have historically stepped in.A sustained hold above this point could catalyze renewed buying interest, which may drive the price toward the immediate resistance level at around $41,000. The significance of reclaiming this threshold cannot be understated, as it may invalidate the bearish outlook and signal a trend reversal.As for the upper resistances, the $43,000 and $46,000 price levels stand out as notable barriers that Bitcoin would need to breach to cement a robust recovery narrative. Achieving such milestones could sway market sentiment positively, potentially ushering in a wave of optimism among investors.The moving averages offer additional insight, suggesting a possible bullish crossover should the current momentum persist. This scenario would be further supported by a rise in trading volume, which typically accompanies decisive trend shifts.Analyzing the SOL/USDT chart, we notice that Solana has established a local support level around the $70 price mark. This is characterized by multiple touches of this level over the past few weeks, each time resisting further downward movement. On the flip side, the local resistance can be identified near the $96 level, which previously acted as support during Solana’s consistent upward trend.The price movement is currently sandwiched between the 50-day moving average acting as dynamic resistance and the 200-day moving average serving as potential dynamic support. The narrowing gap between these averages could squeeze the price action, possibly leading to a volatility breakout.This article was originally published on U.Today More

  • 213 Shares99 Views

    in Cryptocurrency

    Ethereum (ETH) In Dangerous Position, Bitcoin (BTC) About to Lose $40,000, Shiba Inu (SHIB) At Local Support

    This potential slip below the 26 EMA is crucial because it suggests a weakening in buying pressure and a shift in market sentiment from accumulation to potential distribution. A break below this level would not only establish $2,347 as the next price floor but could also exacerbate the asset’s losses, leading to further bearish momentum.ETH/USD Chart by TradingViewThe Ethereum ecosystem has faced its share of challenges despite the rise of layer 2-networks, which have not catalyzed the anticipated rally. The broader market has similarly not exhibited the explosive bull run many investors had hoped for, with Ethereum’s trajectory reflecting this subdued market energy.Additional support and resistance zones can be gleaned from the chart. On the support side, following the $2,347 level, the next critical support lies around $2,175.2 – a breach of which could see ETH test the psychological and technical support near the $2,000 level. Resistance, on the other hand, is firmly established at the recent high of $2,547.6. This price point serves as a litmus test for Ethereum’s ability to rebound and reclaim bullish momentum.The current market dynamics, marked by cautious trading and a lack of definitive direction, have placed Ethereum in a zone of uncertainty. Investors are advised to monitor these levels closely, as a break below or above these could signal Ethereum’s next significant move.As Bitcoin’s price struggles to maintain the $40,000 level, the next potential foothold lies at the 100-day EMA. However, this level does not traditionally offer substantial support, and a breach below could precipitate a fall below $39,000, triggering heightened market concern. The chart reveals that the next major support zone stands near the $35,888 mark, a level that buyers might attempt to defend vigorously.On the resistance front, Bitcoin faces a significant challenge at the $42,786 price level. Overcoming this resistance is crucial for Bitcoin to regain stability and demonstrate potential for a recovery. However, the market currently lacks the necessary liquidity to facilitate a strong rebound, as trading volumes remain relatively low.The current market landscape for SHIB is challenging, with a noticeable lack of growth catalysts and low liquidity in the broader cryptocurrency market, both of which could exacerbate the asset’s precarious position. However, there is a glimmer of hope. The descending trading volume accompanying SHIB’s price consolidation suggests that bearish momentum could be waning. This deceleration of selling pressure often precedes a stabilization of price, or even a reversal if bulls regain control.In terms of specific price levels, SHIB is currently finding tentative support around the $0.000027 mark. Should this level fail to hold, the next support zone lies near $0.000022, which may serve as a new accumulation point for buyers. On the resistance side, SHIB faces a hurdle at $0.000035, a breach of which could open the door to a retest of higher levels, possibly around the $0.000040 range.This article was originally published on U.Today More

  • 125 Shares119 Views

    in Economy

    Biden’s green spending splurge is a hard model to copy

    Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.Joe Biden will go into November’s US presidential election touting his lavish spending on the green transition — and his interventionist industrial policy more generally — as one of his great achievements. He also wants to export it to the rest of the world. Jake Sullivan, head of the White House National Security Council, said last year: “We will unapologetically pursue our industrial strategy at home, but we are unambiguously committed to not leaving our friends behind. We want them to join us. In fact, we need them to join us.”In reality, Sullivan might have to resign himself to the administration going it alone. When your economic interventionism involves fiscal largesse other big economies can only dream of affording and protects US industry with trade barriers other governments find unpalatable, it’s tricky to see how you can assemble a gang of like-minded countries.Biden has shielded US steel producers from import competition — though with nothing like the sweeping tariffs imposed by Donald Trump — and tried to build a US semiconductor industry through the Chips Act. But his centrepiece is the Inflation Reduction Act, which includes a massive programme of federal spending and open-ended tax credits aimed at creating domestic green production to service the American market.The cost of the IRA’s spending elements for climate and energy was originally estimated at $385bn over 10 years, but projections made last spring suggested it had risen to about $1tn. Some estimates show that by the time the programmes have achieved their environmental targets, their cost could be nearly $3tn. Famously, the administration placated Congress by restricting the electric vehicle tax credits to car companies from US allies and in general excluding products made with certain amounts of Chinese components.This is a trail that other big economies — except, ironically, China — can’t really afford to follow. European Commission president Ursula von der Leyen, a noted Americanophile, has talked about co-ordinating green policy with the US, and the EU has in theory assembled a one-off €800bn “NextGenerationEU” fund to finance the green and digital transitions.But in practice it is proving painfully slow to get the money out of the door, because it requires the member states to meet performance targets set by the commission. Unlike the US, the EU doesn’t have a large permanent centralised taxing or borrowing function and has to create new spending mechanisms for projects rather than quickly disbursing money via tax credits. In November, Germany’s constitutional court upended the government’s budget plans by blocking it from employing unused borrowing capacity to fund a climate and transformation fund for German industry.The EU has also resisted being quite as aggressive as the US on restricting trade and investment with China. Brussels has announced an investigation into subsidised Chinese EVs, but it’s unlikely to result in very high tariffs, and its domestic subsidies are not in general at present designed to exclude foreign (including Chinese) producers. The leading Chinese carmaker BYD recently announced it would produce EVs in Hungary, subsidised by the Hungarian government. Outside the EU, the US has some hopes that the UK will join its industrial policy camp. It’s true the Conservative government has often at least rhetorically tilted towards the US. And the Labour opposition likely to take power after a general election later this year has adopted Biden’s slogan of a “worker-centric trade policy”.But Britain can’t conceivably afford to copy the IRA. The public finances are already stretched and Liz Truss’s fleeting prime ministership in 2022, cut savagely short by financial markets taking fright at £45bn of unfunded tax cuts, is a cautionary tale for any government considering an open-ended fiscal commitment.In any case, unlike the US, the UK economy is nothing like big enough to sustain a self-contained industry for EVs or other green goods. Indeed, the government has focused on integrating with the EU market by extending rules of origin that facilitate car companies building cross-Channel supply chains.Brazil, where President Luiz Inácio Lula da Silva has committed himself to an active industrial policy, is also sometimes seen as a like-minded country by US officials. But Lula’s spending is often directed at heavy industries such as oil refineries and shipyards favoured by his electoral base. His idea of building a Brazil-based EV sector is enthusiastically to invite in Chinese investment, contrary to the US approach.There is no doubt that there is a lot of IRA envy in the world, particularly in the EU. Officials long for the ability simply to flick open a spigot of tax credits rather than laboriously construct an elaborate fiscal apparatus, not to mention dealing with the interference of the German constitutional court. There will also be interest outside the US in transferring any technological breakthroughs made by American producers. But as regards big economies actually joining its gang, the US’s industrial policy is blazing a trail that others are largely unable or unwilling to [email protected] More

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    in Economy

    ‘Opportunistic’ Chinese lines send ships to serve Red Sea ports

    Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.Several Chinese shipping lines have been redeploying their vessels to serve the Red Sea and the Suez Canal, in what analysts have said is an effort to exploit China’s perceived immunity from the Houthi attacks that have driven most other operators out of the area.These smaller Chinese lines have been serving ports such as Doraleh in Djibouti, Hodeidah in Yemen and Jeddah in Saudi Arabia, all of which have faced big falls in traffic as international container shipping lines have rerouted to avoid potential attacks by Yemen’s Houthi rebels.Among the shipping lines redeploying its fleet is Qingdao-based Transfar Shipping, which on its website describes itself as “an emerging player in the transpacific market”, offering services between China and the US.Two of Transfar Shipping’s three vessels, the Zhong Gu Ji Lin and Zhong Gu Shan Dong, are currently operating in the Middle East. Ship-tracking websites show the Zhong Gu Shan Dong came from the Mediterranean through the Suez Canal in late December, after many other lines had abandoned the area.The Houthis, who have the backing of Iran, in late November started attacking commercial ships that they had said had links with Israel, declaring they were acting in support of Gaza’s Palestinians during the Israel-Hamas war. The group has also attacked other ships, particularly those linked to the US.Leaders of the group have said that they will not attack vessels associated with China or Russia, both allies of Iran, as long as they have no Israeli links. The US has asked China to urge Iran to rein in the Houthis, without apparent success.Cichen Shen, China expert at Lloyd’s List Intelligence, the maritime data business, said the “easiest explanation” for the rush of Chinese operators into the region was that they were seeking to exploit their relative invulnerability to attack to win business.“You have commercial interest and you see this capacity gap and you see the demand,” Shen said of the lines’ motivation for moving ships to the region. “I think the commercial interest is probably the biggest reason.”He pointed as an example of Chinese lines’ approach to China United Lines (CULines), based in Yangpu, on the island of Hainan. The company expanded significantly during the trade disruption from the Covid-19 pandemic and focused on the China-Europe and China-US routes.CULines last week announced that it was starting a Red Sea Express service linking Jeddah in Saudi Arabia with a series of Chinese ports. Shen said it was “natural” for CULines to apply the same opportunistic approach to the Red Sea disruption as it did to the Covid-era hold-ups.“It’s a similar kind of disruption, which creates this capacity shortage,” Shen said.Simon Heaney, senior manager in container research at London-based Drewry Shipping Consultants, said shippers moving goods through the area would have to weigh up whether to accept the risk of using the new services.“It’s opportunistic, it’s risky and it may appeal to some less risk-averse cargo owners,” Heaney said.China’s Cosco, operator of the industry’s fourth-biggest fleet, abandoned the southern Red Sea because of the security risks More

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    in Cryptocurrency

    XRP Is Surprisingly Stable, Here’s Why

    In recent days, XRP’s price action has been characterized by its struggle to overcome a series of local resistance levels. A notable rejection was faced around the $0.63 mark, which has added to the narrative of an asset under pressure. Despite these rejections, the asset’s ability to stay afloat above the 200-day EMA suggests underlying strength and potential for growth.XRP/USDT Chart by TradingViewThe market’s oppressiveness toward XRP can be attributed to various factors, including lack of usecase for XRP and a poor performance throughout the 2023. However, the past has shown that XRP can swiftly shift from oppressed states to strong bullish rallies, often catching many off-guard.For a scenario where XRP’s growth continues, it is essential for the token to maintain its stand above the 200-day EMA. If this level holds, it can serve as a springboard for future bullish attempts. A decisive close above this moving average could stimulate investor confidence, potentially leading to a challenge of the recent resistance at $0.63. A break and hold above this level could signal a trend reversal and may pave the way for XRP to target higher resistances, possibly around the $0.70 to $0.75 regions.After dipping to a support level around $88 on December 20, 2023, Solana has rebounded, forming a higher low near the $90 mark. This movement suggests accumulating strength and a possible change in direction from the previous downward trend. The local trendline resistance, which Solana is currently testing, is evident at approximately $97.50. Two pivotal price levels stand out on Solana’s chart. The first resistance level after the trendline sits near the $100 psychological mark. This round number has historically been a challenging point for Solana to breach decisively. Beyond that, the $104 level looms as the next significant barrier, which was a previous local high around January 3, 2024.Conversely, on the support side, the level to watch is around $88, as mentioned earlier. This price has proven to be a firm foundation, with buyers stepping in to uphold Solana’s valuation. A secondary support level is present near $85, just below the 50-day moving average, acting as a safety net for any potential retracements.The rapid growth witnessed in the past few days has been nothing short of impressive. Ethereum, which lingered around the $2,400 mark in the early days of February, has seen a significant influx of buying pressure, leading to a breakthrough past key resistance levels. This positive price action posits two potential scenarios for the smart contract giant.In one scenario, Ethereum could continue its aggressive push, riding the wave of current market optimism towards the $3,000 target. If this momentum is maintained, and with the additional fuel from the recent high volume of trades, ETH could test $3,000 in the coming days. A consolidation above $2,600 would be crucial for this scenario to unfold, as it would establish a new support level, reinforcing investor confidence.Alternatively, given the volatile nature of the crypto markets, a retracement could occur before Ethereum reaches $3,000. This would likely see the asset retesting support at the $2,500 level, which if held, could serve as a springboard for a second wave towards and beyond $3,000.This article was originally published on U.Today More

  • 113 Shares149 Views

    in Economy

    South Korea’s economy stronger than expected on exports recovery

    Gross domestic product (GDP) for the October-December quarter was 0.6% higher than the preceding three months on a seasonally adjusted basis, according to the Bank of Korea (BOK).That compares with an expansion of 0.6% in the prior quarter and a median 0.5% increase tipped in a Reuters survey.A breakdown of the GDP figures showed exports expanded 2.6%, while imports rose 1.0%, bringing net growth contribution of 0.8 percentage points. Private consumption climbed 0.2% and facility investment jumped 3.0%, but construction investment dropped 4.2%. Government spending was 0.4% higher. On an annual basis, Asia’s fourth-largest economy in the fourth quarter grew 2.2%, after a gain of 1.4% in the third quarter and compared with a 2.1% rise expected by economists. That was the fastest since the third quarter of 2022.Exports out of the trade-reliant economy grew for a third straight month in December, led by improving chip sales, although weak demand from China remained a drag. The Bank of Korea hinted this month that it may pivot towards monetary easing along with its global peers, as the central bank held interest rates steady for an eighth meeting. In 2023, South Korea’s economy grew 1.4%, a three-year low after gains of 2.6% in 2022 and 4.3% in 2021. The economy is expected to grow 2.1% in 2024, according to the BOK. More

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    in Economy

    Marketmind: China optimism spreads, S Korea GDP in focus

    (Reuters) – A look at the day ahead in Asian markets.The focus for Asian markets on Thursday will be on whether the improvement in investor sentiment toward China and Hong Kong continues, following the Chinese central bank’s latest move to inject liquidity and support asset prices.The regional economic data calendar is light and will be dominated by the first estimate of South Korea’s fourth quarter gross domestic product growth, ahead of which the Korean won just chalked up its biggest rise against the dollar in a month.The dollar is trading softer across the board, weighed down by lower U.S. bond yields and a rebound in market expectations that the Fed could cut interest rates as early as March. That alone should help whet investors’ risk appetite in Asia on Thursday, as should the rally in China and Hong Kong on Wednesday that was sparked by the People’s Bank of China decision to slash bank reserves by the most in two years. The move, which will inject about $140 billion of cash into the banking system, and PBOC Governor Pan Gongsheng’s pledge to unveil policies on improving commercial property loans extended this week’s bounce in risk assets and the yuan.The Shanghai Composite’s 1.8% rise was its biggest since July, the CSI 300 index of blue chip shares is now poised to snap a three-week losing streak, and the Hang Seng jumped 3.6%. Beijing’s actions on Wednesday came hot on the heels of a Bloomberg News report that authorities are weighing up a 2-trillion yuan ($278 billion) funding package of measures to support the country’s creaking markets. And with strong U.S. earnings reports, especially from Netflix (NASDAQ:NFLX), and rising chipmaker stocks lifting the S&P 500 to yet another record high, the mood at the open in Asia on Thursday should be bullish.Official figures from Seoul, meanwhile, are expected to show that South Korean growth slowed in the final three months of 2023 to a seasonally adjusted 0.5% quarter-on-quarter pace, according to a Reuters poll of economists, down a touch from 0.6% in the previous quarter.Year-on-year growth, however, is expected to have accelerated to 2.1% in the fourth quarter from 1.4% in the preceding quarter. The benchmark KOSPI index has had very weak start to 2024, and is down 7% so far this year. For comparison, the MSCI Asia ex-Japan index is down 4.5% slide, China’s CSI 300 index was outperforming that even before this week’s stimulus, and Japan’s Nikkei is up 8%.Here are key developments that could provide more direction to markets on Thursday: – South Korea GDP (Q4 advance estimate)- Hong Kong trade (December)- Bank of Korea manufacturing survey (February) (By Jamie McGeever) More