Forex. Cryptocurrency trading forecast and signal for April 19
At the end of last week, the cryptocurrency market went down strongly. The price of Bitcoin fell to the level of $57,700. Ethereum declined to the level of $2,200, and XRP - to the price value of $1.41. The total capitalization of the digital asset market decreased to $2.08 trillion.
On Sunday, bitcoin briefly fell below $52,000, the drop was accompanied by a surge in trading volumes. As a result, the main cryptocurrency fell in price by about 10%. On Friday, the hashrate of leading bitcoin mining pools fell sharply due to electricity problems after explosions and flooding in coal mines in several provinces of China. Probably, this news caused a panic in the market. Many analysts called this moment a good time to buy an asset. The price and hashrate of Bitcoin have always been correlated, so the fall is associated with power outages in China. Together with the flagship, the quotes of all the largest cryptocurrencies collapsed. Nevertheless, according to the results of the last seven days, all assets remain in the green zone. Against the background of the fall, the volume of liquidations in 24 hours amounted to $9.795 billion, which was the largest amount in history.
Another likely factor in the fall of the crypto market was the fact that the Turkish Central Bank announced a ban on payments in digital currencies for goods and services. The decision will take effect on April 30. Payment service providers are not allowed to develop business models in which crypto assets are directly or indirectly used in payments or the issuance of electronic money. Among the reasons for the decision, the agency cited the lack of regulation and a central management body, volatility, use for illegal purposes and the risk of theft. The ban does not yet apply to trading on cryptocurrency exchanges.
Trading Signal for cryptocurrencies Bitcoin, ETH and XRP
The forecast assumes a further decline of Bitcoin to the level of $56,000. Ethereum will fall to the support level of $2130, and XRP - to $1.3500.