Daily Pump & Dump  Crypto Market Report May 31, 2022

Daily Pump & Dump Crypto Market Report May 31, 2022

Daily Pump & Dump is a cryptocurrency update for the day of the week that gives you a concise overview of price movements related to Bitcoin, Ethereum and other trending altcoins.

Today’s summary:

  • Bitcoin returns $ 30,000 over the weekend on Remembrance Day
  • How could Ethereum lose its head against BTC
  • What’s going on with Cardan?

Bitcoin makes the weekend for Remembrance Day unforgettable

During Remembrance Day in the United States, the bulls took advantage of thin order books and small volumes, pushing the price per BTC to more than $ 31,500 in the end. It should be noted that the day candle closed above Bollinger Band. The bulls have to stampede with a large volume in the next 24 hours or are in danger of retreating to the minimum average SMA at around $ 29,766.

Will bulls follow through? | Source: BTCUSD on TradingView.com

A strong close above $ 32,000 could lead to the continuation of the target between $ 34,000 and $ 38,000. Tonight is also the monthly closing for BTCUSD. Closing above $ 29,000 should keep the top cryptocurrency well above support, while closing above $ 33,000 would be a healthier sign of future recovery.

Related Reading | LUNA Aftermath: The total crypto market sold more than Black Thursday

Ethereum loses head (and shoulders) against BTC

The LUNA debacle significantly hurt the feeling of altcoin. The associated sell-off and panic reduced many premium altcoins by 80-90% overall. Ethereum held up well compared to other altcoins, falling only 64%. Bitcoin fell 62% in total.

Daily Pump & Dump  Crypto Market Report May 31, 2022

Ethereum could head down further against BTC | Source: ETHBTC on TradingView.com

The long-term better performance of the trading pair ETHBTC could soon swing further in favor of the leading cryptocurrency as the dominance of BTC strengthens. The trading pair ETHBTC also seems to be showing a head and shoulders sample in danger of confirmation and further breakdown. The target would be close to the 0.04 level.

Cardano jumped 40% in 48 hours, but why?

Catching a knife is never a recommended strategy, but traders everywhere are regularly tempted by this high-risk technique. The reason is that there can be a significant reward for doing it right. Cardano was significantly oversold, falling a full 87% from over $ 3 to a range of 30 cents.

Daily Pump & Dump  Crypto Market Report May 31, 2022

Was the R:R too good to pass up? | Source: ADAUSD on TradingView.com

Because altcoin is particularly hard hit, it now poses a strong risk to the reward setting. Bulls who missed their chance on the rise last time could see another 8x if altcoin looks back at prices set late last year.

Related Reading | Hammer Time: A bull signal that could save Bitcoin

Although the reward is great, the risk is high. During the bear market in 2018, after a 90% drop, the ADA fell another 78%. On Black Thursday, the ADA reached one cent.

Follow @TonySpilotroBTC on Twitter or join Telegram TonyTradesBTC for exclusive daily market insights and technical analysis education. Note: the content is educational and should not be considered investment advice.

Featured image from iStockPhoto, Charts from TradingView.com

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