What’s all the fuss about?
Which assets are more likely to be at risk in the times of economic and political uncertainty? The answer is usually stocks and crypto.
However, this time might be different as crypto is slowly becoming one of the safest assets to trade.
Last time, the COVID-19 outbreak resulted in rising inflation and the increasing demand for safe-haven assets, gold and silver.
The current Russia-Ukraine conflict has already led to supply shortages and even higher inflation as well. Why does it matter?
Paper money can be printed, oil can be extracted, and stocks can be issued.
On the contrary, Bitcoin supply is limited: the maximum number that can be mined is 21 million.
That’s why Bitcoin might be a perfect inflation hedge, and, indeed, gold of the 21st century.
Want to invest in Bitcoin?
The crypto of all crypto is likely to rise against the weakening USD. Moreover, if Russia legalizes the crypto market, many benefits will go to well-known cryptos due to their widespread network and acceptance as payment.
BTCUSD is now near a robust resistance at $40K.
It will most likely reach $45-50K per coin on the breakthrough, which is a 15-20% rise.
On the other hand, a slide below $37K will open a road to $30K, which is a 19% move down.
Want to invest in Ethereum?
With two months of sideways movements, Ethereum feels a little bit weaker now.
That’s because the crypto market is still gaining strength, and altcoins need time to catch up.
To trade ETHUSD wisely, look at Bitcoin first.
As a rule, other cryptocurrencies tend to soar after massive bullish movements in BTCUSD.
Watch closely for $3000 and $3300 resistance levels as they may become pivotal for the global uptrend’s start.
Tips for Cryptocurrency traders
- Always manage your risks. Promising yet volatile cryptos can provide you profitable opportunities only if you treat them wisely.
- Take a closer look at the support and resistance lines as breakout trading is working amazing on crypto.
- Divergences on RSI is the most robust way to predict the reversal or trend change.
Trade crypto 24/7 with FBS from today.