Bears gain the upper hand #TradingOutlook - Powered by KTG

Bears gain the upper hand #TradingOutlook - Powered by KTG

The long-awaited crypto retracement finally happened last week. Are there any further downside risks ahead?

After almost three weeks in consolidation following a strong up-move this year, BTC finally managed to break $22,300 and retrace part of the move.

For the first two weeks of consolidation, bulls were still in control as they were able to push the market to new highs but they were losing strength as they couldn’t produce a follow-through with new highs being sold off.

The bears finally started to get the upper hand.

Although still in the range, bears were pushing the market down with buyers able to produce only shallow intraday retracements up, with sellers coming to the market lower and lower.

Powell’s speech on Tuesday (dovish initially but turned more hawkish towards the end) was bought, but again sellers stepped in even stronger.

With rumours on Thursday that the SEC might crackdown on crypto staking in the US, and Kraken’s settlement with SEC over its staking product only added to the selling pressure. The long-defended support at $22,300 got broken, and the market sold off.

As the price headed towards the prior consolidation area, the weakness lost momentum and BTC traded sideways from Friday on.

KTG’s current stance is neutral (no clear signs of short-term market direction) to cautiously long (we consider the recent price behaviour as a correction in an up-trend).

While BTC is sitting comfortably in the $21,400-$22,100 range now, there are still many challenges both ways.

The major risk comes on Tuesday with the CPI release, which should be the biggest event this week.

Core is expected to tick higher to 0.4% from 0.3% last month. The numbers and the market reaction to it should give us more hints as to where the market wants to go.

Apart from CPI, keep an eye on:

Monday – NY Fed inflation expectations

Wednesday – Retail sales, industrial production

Thursday – PPI, Philly Fed

Additionally, we have Fed speakers throughout the week. Watch out for potential further moves from the SEC.

Happy trading for the week ahead!

Trade now on https://x.woo.org/ and follow @KTGglobal for more trading insights.

The content above is neither a recommendation for investment and trading strategies nor does it constitute an offer, solicitation, or recommendation of any product or service. The content is for informational sharing purposes only. Anyone who makes or changes the investment decision based on the content shall undertake the result or loss by himself/herself.

The content of this document has been translated into different languages and shared throughout different platforms. In case of any discrepancy or inconsistency between different posts caused by mistranslations, the English version on our official website shall prevail.

Read Next
Strong uptrend in play #TradingOutlook - Powered by KTG

Strong uptrend in play #TradingOutlook - Powered by KTG

A strong uptrend is evident in the crypto markets right now. How far will we go? BTC continues to be very strong, benefiting from liquidity injected to the banking system and working as a safe haven for those diversifying out of banks and fiat money. On top of that, it finally broke out of the 9-month range. BTC entered last week strong, although a bit tired on Monday after a sharp up-move late on Sunday caused by the Fed, US Treasury and FDIC’s intervention to save SVB and prevent spillover e
Mar 21, 2023
How to reduce your tax bill with tax loss harvesting

How to reduce your tax bill with tax loss harvesting

Lower your tax bill by making sure that you count all your losses, especially last year when the market suffered a downturn. We’ve teamed up with crypto tax calculator Koinly to present a guide to crypto tax loss harvesting. Before we jump into tax loss harvesting tips, let’s go over the crypto tax rules real quick. In many jurisdictions, crypto is generally viewed as a capital asset - like property or stocks. That means when you dispose of a capital asset, you’ll realize a capital gain or los
Mar 17, 2023
Editorial: Crypto players face regulatory headaches after failed Signature, SVB, and Silvergate but growth will persist

Editorial: Crypto players face regulatory headaches after failed Signature, SVB, and Silvergate but growth will persist

The failures at Signature, Silicon Valley Bank (SVB), and Silvergate will chill the expansion of crypto-related businesses in the EU, especially as new rules for distributed ledger technology (DLT) and virtual assets are slated for parliamentary approval next month.
Mar 16, 2023

We use cookies to improve your experience. To find out more, please read our Privacy Policy. By clicking "Accept", you consent to our cookie and Privacy Policy. Or you may click “Decline”to refuse to consent.

Stay Connected

WOO Network connects traders, exchanges, institutions, and DeFi platforms with democratized access to the best-in-class liquidity and trading execution at zero or low cost.

Terms of Service Privacy Policy Information Security Statement