Trump Crypto Strategic Reserve Coins ADA, XRP, SOL’dump, Bitcoin Follows

Cryptocurrency traders were surprised on March 2nd after US President Donald Trump announced his crypto strategy preparations, including Bitcoin (BTC), Ether (ETH), XRP (XRP), Solana (SOL) and Cardano (ADA). The news sparked a massive purchase, with Bitcoin rising from around $85,000 to $95,000, while Cardano exceeding 72%. The rest of the altcoins also saw a strong rally.

But Nansen’s principal research analyst Aurely Valtere, said it would take time to establish a US crypto sanctuary as it would require a vote in Congress. Nikolai Sondergaard, a research analyst at the same blockchain analytics company, told Cointelegraph that tokens selected as cryptographic sanctuaries are likely to witness volatility.

Before Trump’s announcement, sentiment in the cryptocurrency sector remained negative. Coinshares reported a $2.9 billion spill from Cryptocurrency Exchange-Traded products last week. This marked the third consecutive week of outflow after 19 weeks of inflow streaks.

Will the rally continue after the initial reaction of short covering and purchases by traders? Look at the chart to determine your support and resistance levels.

Bitcoin price analysis

Bitcoin was submerged last week below the 20-week index moving average ($90,623) and near the 50-week simple moving average ($75,534), while the long candlestick tail shows solid purchases at a low level.

The upslope moving average shows an advantage for buyers, while the negative divergence of the relative strength index (RSI) suggests a weaker bullish momentum. It marks the start of a remedial phase that could reach a 50-week SMA if the price stays below the EMA of 20 weeks or less.

Conversely, if the price remains above the 20-week EMA, it indicates that the sentiment will remain positive, indicating that the trader will continue to buy the dip. This brings the highest ever retest outlook to $109,588. A break above $109,588 could start the next leg of the uptrend at $138,000.

The BTC/USDT pair surpassed the 20-day EMA on March 2nd, but the Bulls were unable to maintain a higher level. A $90,000-$85,000 zone could attract solid purchases by bulls. When the price rebounds from the support zone, there is a greater chance of a rally of over $100,000.

If prices continue to fall and break below the support zone, this positive view is void. It indicates that the bear is in control. The pair could fall to $78,258 and then $73,777.

Ether Price Analysis

Ether has been in the range between $2,111 and $4,094 over the past few weeks, buying near support and selling near resistance.

Both moving averages begin to decline, suggesting that RSI is in negative territory, with bears having the advantage. When prices continue to fall below $2,111, the start of a deeper correction is $1,500.

On the contrary, the strong rebound of $2,111 suggests that the Bulls are actively defending Level. Buyers should promote ETH/USDT pairs above the moving average to inform their comeback. The pair could then rise to $4,094. This can serve as a powerful barrier.

The pair bounced back $2,111 in support and reached a 20-day EMA ($2,544) on March 2nd. Sellers try to sink a pair that is under $2,111 again. If they can accomplish that, the pair risks dropping to $1,500.

Buyers will need to kick prices above the downtrend line to show a comeback. The pair then attempted to gather up to $3,400, then $3,750.

XRP Price Analysis

XRP struggles to maintain its $3 or more, indicating that the bears are hard at level rigorously.

The 20-week EMA ($2.18) and the RSI of the positive zone suggest that buyers have an advantage. The Bulls need to push and maintain prices above $3, and show the start of the next leg of the uptrend towards $4 and then $5.

This optimistic view is void when prices drop and fall below the 20-week EMA. There’s strong support for $2, but if the level collapses, the start of a deeper fix is ​​$1.50.

The Bulls pushed a pair that surpassed the $2.84 resistance on March 2, but are struggling to grab a breakout. The pair fell to a 20-day EMA ($2.50). This is an important support to be aware of. If the price rebounds from the 20-day EMA, the Bulls try to push the pair back into $3.40 again. A break that outweighs this resistance could start the next leg of the uptrend at $5.

Conversely, a 20-day EMA break and closure falls under $1.99 and falls into solid support. Below $1.99, a terrible head and shoulder pattern is completed, starting the downtrend at $1.50 and $1.28.

Related: Why is Ethereum (ETH) priced up today?

Solana Price Analysis

Solana has backed up her $125 support, but the relief rally faces sales near the 50-week SMA ($173).

The 20-week EMA ($191) begins to decline, with the RSI just below the midpoint, indicating an advantage for sellers. There is minor support for $157, but if the level breaks, the Sol/USDT pair can retest the $125 support. A break and a drop below $125 could potentially sink the pair to $80.

If the Bulls want to prevent the downside, they need to drive and maintain a price that exceeds the 20-week EMA quickly. Doing that will result in Rally’s doors of $220 and then $260. Breaks and closures above $260 could launch new uptrends.

The pair surged above the 20-day EMA ($167) on March 2nd, but the Bulls were unable to maintain a higher level. This suggests that the bears are active at a higher level. If the price falls below the 20-day EMA, the pair could slide to $125.

In an advantage, the break and closing above $180 suggest that buyers are back in the game. The pair climbs a 50-day SMA ($200) and then goes to $220. Sellers are expected to defend the zone vigorously between $240 and $260.

Cardano Price Analysis

Cardano is about to form a cup and handle pattern on her weekly chart.

The 20-week EMA ($0.82) is tilted, and the RSI is in the positive zone, indicating an advantage for buyers. Once the price exceeds $1.25, the ADA/USDT pair rises to $1.60, later on a pattern target of $2.26.

Conversely, prices fall below the 20-week EMA suggests a short-term range formation. The pair could swing between $1.25 and 50 weeks of SMA ($0.59) for some time.

The pair spiked above the downward channel pattern on March 2nd, indicating that the correction may have ended. However, the seller had not given up and reverted the price back to the channel. If prices remain within the channel, it suggests that the market has refused to breakout. The pair could fall to a 50-day SMA ($0.85). This can attract buyers.

If the Bulls want to retain the advantage, they need to quickly push and maintain prices above the resistance line. The pair can then collect at $1.25.

This article does not include investment advice or recommendations. All investment and trading movements include risk and readers must do their own research when making decisions.