BTC/USDT

In the event of a downside break below the $16,800 support, more sellers could be seen entering the market. As such, it is likely that BTC will further lose its ground and could even hit new lows near $15,000 if this support fails to hold. Additionally, there is a chance of seeing liquidated long positions in the market as traders with positions above $16,800 might be forced to close their positions. 

Recently, a trader liquidated long positions worth around $240K at $16996.63. Moreover, the funding rate of BTC has also been increasing, currently standing at 0.0047%. 

This could create more selling pressure and lead to further losses in the crypto-market. Thus, it is important to keep an eye on this key support as a break below could lead BTC into another bearish trend.

MATIC/USDT

MATIC is caught in a massive range between $0.40 and $1.30 and is holding a diagonal trend line and a mid-range horizontal line. 

If it falls below the mid-range, it would also simultaneously break the diagonal trend line, leading to a high probability it goes back down to $0.40 (major support). 

Existing longs might hold it as a swing position into resistance at $1.30. Clearing and holding above that level would be bullish.

PYR/USDT

It appears PYR is caught within a range between $2.80 and $5.28. 

Real bullish momentum will likely appear once the price breaks above the $5.28 range-high. Until then, if PYR can continue to hold the $2.84 support level, it would start to look like a decent accumulation phase. 

That means dollar-cost-averaging into the support level could be a decent long-term strategy.

US Dollar Currency Index

The DXY dropped almost 1.6% yesterday after the US CPI print, which resulted in a massive rally for both stocks and crypto.

This morning the DXY has gone up to retest the previous 104 support, which is now acting as resistance.

If the interest rate hike later today is low, I feel the DXY will carry on with its trend down to test the daily support line from May 2021 and the 102.50 area of support. That will result in further upside for the markets, but we have to be cautious. At 102.50 the DXY will be oversold on all time frames, which would then lead to a pullback on the markets.