Disclaimer: The findings of the following analysis are the sole opinion of the writer and should not be taken as investment advice

Cardano‘s ecosystem has been witnessing strong developments of late, with each aimed at making it more self-reliant. With the cryptocurrency ADA rising on the charts, one can argue that the crypto is highlighting its ecosystem’s developments too. With a press time value of $0.3194, ADA also shared a strong correlation with Bitcoin, the world’s largest cryptocurrency.

Despite a recent hike in price, however, the long-term movement of the cryptocurrency remained in dispute, at the time of writing.

Cardano 4-hour chart

Source: ADAUSD on TradingView

Cardano’s [ADA] attached 4-hour chart indicated that the crypto’s price has been building higher and higher, with its growth outlined by an ascending channel. However, the price hit the resistance level at $0.3261, following which, it has only consolidated.

This price level in question has been an important resistance level for ADA to surpass in the past, and this will be the case this time as well. Further, with the cryptocurrency’s price moving sideways, the volume has fallen on the charts too.

Reasoning

The 50 moving average was intertwined with the price candles, but it had taken a position under it, by the time of writing. This highlighted a level of bullishness in the market, despite the fact that the price was moving sideways.

The Relative Strength Index indicated that ADA was close to being overbought, but had not hit the upper limit yet. As the trading war continues in the market, the value of the RSI may go close to the equilibrium zone. A swing in value may be witnessed if Bitcoin’s price sees a sharp pump or dump in the market.

Meanwhile, the Awesome Oscillator was underlining the loss of momentum in the market. The value of the AO, although positive, was reflecting a small range, one that was likely to change within no time. The aforementioned low momentum, along with the sideways moving price, fueled a restricted range for the cryptocurrency to trade in.

Conclusion

ADA’s market has been seeing a lot of active behavior from traders. With the cryptocurrency meeting strong resistance at its press time level, the price may have to receive a boost from the market to surge past it.

Source: https://ambcrypto.com/cardano-price-analysis-15-january

Deltec, the Bahamas-based bank that holds the reserves for the cryptocurrency space’s leading stablecoin issuer Tether, has revealed it has a “large position” in bitcoin and has been buying BTC since it was trading at $9,300.

In a 2020 review video the firm published, first spotted by Twitter user lenne, the firm’s Chief Investment Officer Hugo Rogers said:

• It also includes a large position in bitcoin, which has received a lot of attention recently. We bought bitcoin for our clients at about $9,300, so that worked very well through 2020. And we expect it to work well in 2021 as the liquidity crisis continues to run hot.

Data shows that Tether’s USDT stablecoin has a circulating supply of 24.3 billion tokens. On top of that, Tether’s transparency page shows 40 million EURT, 23 million CNHT, and 47,600 XAUT are also in circulation.

Each stablecoin Tether issues is pegged to the value of a fiat currency. USDT is pegged to the value of the USD, and according to Tether its reserves include “traditional currency and cash equivalents,” and from “time to time” they may include “other assets and receivables from loans made by Tether to third parties.”

Deltec’s move, as Decrypt reports, has seen some question whether USDT is at least in part backed by BTC. Deltec, however, is believed to have various other clients in the cryptocurrency space, including popular derivatives, exchange FTX.

Larry Cermak, director of research at The Block, has said that the “vast majority of market makers, OTC desks and exchanges” have bank accounts at Deltec, which could mean the firm has been buying BTC for other clients and not Tether itself.

It’s worth noting that cryptocurrency exchange Bitfinex, which shares management with Tether, is rumored to own a large stake in Deltec.

Featured image via Pixabay.

TL;DR Breakdown

•  BNB/USDT currently trades around $41.5 
•  Binance Coin trades under a strong resistance
•  Closest minor support level around $40

Binance Coin currently trades around $41.5 and has a market cap of $5.9 billion. BNB has moved by 1.43 percent during the past 24 hours with a volume of $520 million.

Overall, BNB/USDT has traded sideways, with rejections being made both for further upside and downside. Therefore, today BNB will likely show the market direction for the upcoming days.

Cryptocurrency heat map by Coin360

Binance Coin Price Prediction: BNB to continue moving sideways

At the time of writing, BNB trades at $41.5 and has a strong resistance around the $41.5 area. BNB/USDT opened at $41.87 earlier today after further upside yesterday.

The move is a continuation of several day rallies after a strong rejection at the beginning of this week. The rejection earlier this week caused a loss of over 20% on the 10th and 11th of January. However, the Binance Coin did reject further downside as soon as the $35 level was reached. Therefore, we can expect the overall uptrend to continue as long as this level is respected.

A clear ascending trendline is still in place. It was confirmed by a third touch when the BNB made a move from $45 to $35. As long as BNB does not move below it, the current several-week momentum is set to continue.

Binance Coin price movement in the last 24 hours

The price of Binance Coin has increased by 1.1 percent over the past 24 hours. The price currently trades close to yesterday’s close, and some volatility can be seen as minor rejections for both further upside and downside are being made.

Therefore, Binance Coin trades in a range of around $41-42. Until a clear break away from this area is made, further sideways is expected today. 

Binance Coin price chart by TradingView

BNB/USDT 4-hour chart – price ready to continue higher?

The next major resistance for BNB can be seen around $45. A new yearly high was set around this level last week. After a retest of the $45 resistance, a double top was made, indicating strong selling pressure around this area.

If BNB breaks above the current consolidation, a further 6-8% move to the upside can be expected in the upcoming 24 hours. If the $45 area is reached, traders should pay close attention to what will happen next. 

Another key level to watch is the $40 level. BNB could retest it over the weekend, and it would likely cause a several day consolidation. The market will likely do so until it approaches the previously mentioned ascending trend line. However, if BNB/USDT moves below the $40 support and ascending trendline, the current uptrend would collapse. BNB would likely spend several months in a downtrend once again.

Binance Coin Price Prediction: conclusion 

As the BNB/USDT has continued to move sideways for the past 24 hours, a clear direction for the market cannot be made. However, BNB moved higher for the past few days. Therefore, another short-term pullback would be healthy for the market structure.

A critical level to watch right now is the $41.5 resistance. When the price moves away from it, BNB will likely move towards the $45 yearly high or the $40 local support.

Binance Coin is still among the best performing crypto exchange tokens as Binance is still one of the top exchanges globally. 

For further reading, check out our in-depth guide on How to Trade on Binance

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.