Consolidation tests downside limits and triggers fear

ad-midbar
ad-midbar
ad-midbar
ad-midbar

  • XRP retains the bullish setup and sets itself apart from the general trend.
  • Bitcoin retains its safety zone with respect to the limits.
  • Ethereum reflects the worrying loss of momentum.

 

At the beginning of the European session, the main assets of the Crypto universe move within the limits of their upward scenarios. 

The lines that indicate bearish territory are also significantly far, and only sudden falls of more than 5% would bring the market into bear territory.

Ethereum is the asset closest to the limits ever its minor dip below $180

Bitcoin has room to slide down to  $7,700. Seeing the market tone today, this is the area where the price is going to move to provide a dose of nervousness to investors. A blunt daily close at or below $7,500 could trigger a more substantial sell-off.

Several prominent twitter influencers have made their bets, and they are talking about buying positions for Bitcoin at $6,000 and $4,000. The technical drawing indicates that the optimal buying levels are in the $5,000 range. 

In Ethereum’s case, the $140 level seems the most likely buying zone if the bearish scenario is triggered.

The case of XRP is different, since it currently continues with a bullish scenario, both by price action and by technical indicators.

 

ETH/BTC Daily Chart

The ETHBTC cross is currently trading at 0.02199 after losing temporarily losing support at 0.22.

After several weeks of strong Ethereum gains against Bitcoin, it is time to consolidate the gains.

Above the current price, the first resistance level is at 0.22, then the second at 0.228 and the third one at 0.025.

Below the current price, the first support level is at 0.0205, then the second at 0.020 and the third one at 0.185.

The MACD on the daily chart shows how the bearish cross develops and indicates the consolidation phase. This phase is healthy and necessary for the market.

The DMI on the daily chart shows the bulls with a good advantage over the bulls. The negative factor is the loss of the ADX line by buyers. Bulls show no interest in increasing their trend strength.

 

BTC/USD Daily Chart

BTC/USD is currently trading at the $8,121 price level and continues the declines that began on the 11th. 

Above the current price, the first resistance level is at $8,150, then the second at $8,400 and the third one at $8,775.

Below the current price, the first support level is at $8,000, then the second at $7,850 and the third one at $7,750.

The MACD on the daily chart continues to cross upward from the lows. The logical continuation is fully bullish, but the less likely would accept visits to key supports, if at all.

 

ETH/USD Daily Chart

ETH/USD trades at  $178.8 and delves into a possible loss of the bullish scenario in the short term. If the daily close confirms the loss of support, a sideways movement – similar to the one at the end of September – could open up.

Above the current price, the first resistance level is at $180, then the second at $190 and the third one at $195.

Below the current price, the first support level is at $170, then the second at $160 and the third one at $155.

The MACD on the daily chart shows considerable difficulty in getting into the positive zone of the indicator. The slope of the moving averages now becomes bearish and is likely to cross down if today’s price closes below $180.

The DMI on the daily chart shows bears staying above the bulls but with tiny advantages. The seller side of the market manages to get past the ADX line, which gives it a bit of vantage over the buyer side.

XRP/USD Daily Chart

XRP/USD is currently trading at $0.289 and fully preserves the bullish scenario. The price remains above the fast-moving averages, while the SMA200 goes through $0.33 and continues to be the key bullish target.

Above the current price, the first resistance level is at $0.29, then the second at $0.295 and the third one at $0.30.

Below the current price, the first support level is at $0.285, then the second at $0.283 and the third one at $0.272.

The MACD on the daily chart continues to cross upward and into positive territory. After two days of weakness, the slope declines, but the profile continues to be fully bullish.

The DMI on the daily chart shows a very bullish setup. The bulls draw a clear bullish trend above the ADX line, while the bears continue the decline and do not pose any battle.

Get 24/7 Crypto updates in our social media channels: Give us a follow at @FXSCrypto and our FXStreet Crypto Trading Telegram channel



News Source

ad-bottom
ad-bottom
ad-bottom
ad-bottom

NO COMMENTS