Categories
Crypto Market Analysis

Daily Crypto Update 14.05.2018 – Is The Correction Over?


General overview


Daily Crypto Update:

Market Cap: $394,117,066,327

24h Vol: $22,301,856,601

BTC Dominance: 36.6%

Yesterday’s cryptocurrency market cap started to rise up steadily from $385,301,000,000 to $410,338,000,000  which was the highest point this morning, after which the evaluation steeply declined to $386,345,000,000.


market cap

The market is currently in a mixture of green and red with a mean of 2% change.


News

There isn’t any significant news that came out during the weekend, but they are all positive in sentiment. These are some of the most significant headlines:

S. Korean Media: Electronics Giant LG Launches Own Blockchain Service ‘Monachain’

LG CNS, a subsidiary of South Korean LG Corporation that supplies information technology services, has recently launched its own blockchain-powered service, local Yonhap News Agency reports Sunday, May 13.

Source: cointelegraph.com

 

South Korea’s Top Financial Watchdog Joins Probe Into Cryptocurrency Exchanges

South Korea’s top financial regulator the Financial Services Commission (FSC) joined the ongoing probe into local cryptocurrency exchanges Sunday, May 13.

Source: cointelegraph.com

 

Chris Matta Walked Away from Goldman Sachs Position to Venture Into Cryptocurrency

The cryptocurrency industry attracts talent from all strides of life. Anyone with financial expertise may have a slight advantage to find a job in this booming sector.

Source: newsbtc.com

 

Another Wall Street Trader Moves to a Cryptocurrency Exchange, Talents Migrate

Wall Street is losing a lot of talented individuals in rather quick succession. Steve Hunt is the latest individual to join this growing list. He is the former CTO of Jump Trading and has been acquired by Kraken, the popular cryptocurrency exchange. It is not the first time talent is poached from Wall Street, nor will it be the last.

Source: newsbtc.com

 

Commonwealth Bank CFO Leaves Financial Sector in Favour of EOS

The financial sector is slowly becoming a career stepping stone rather than a final destination. A lot of people working in this industry eventually move on to completely different things. This has become especially apparent when it comes to the cryptocurrency industry. The CFO of Commonwealth Bank is now the COO and Group President of the EOS project.

Source: newsbtc.com


Analysis


BTC/USD

From yesterdays opening at $8410, the price of Bitcoin went to $8743 but is now back at the same levels as the opening, decreasing by 0.53% overall.


Looking at the daily chart, we can see that the price is below 0.382 Fibonacci retracement level, and the 50 day EMA.


Zooming into an hourly chart, we can see that the price of Bitcoin is in a downward channel and that the run-up to the $8743 level was stopped because of the channel’s resistance. The price is currently struggling, as indicated by the wicks, to find support below the Fibo level and the channel’s support line.


Market Sentiment

Hourly chart technicals signal a sell.

Oscillators are indicating neutral while moving averages a strong sell.


Pivot points

S3 7703.9
S2 8145.6
S1 8414.6

P  8587.3

R1 8856.3
R2 9029.0
R3 9470.7


ETH/USD

From the yesterday’s opening price, Ethereum has increased by 4.29%, from $674 to $702 where it is now.


On the daily chart, we can see that the price is above the 0.5 Fibo level and the 50, 100 EMA’s which is a bullish sign. What is also significant is that yesterdays candle’s close is above the opening of the candle on 11th of May.


On the hourly chart, the price is sitting on the 50 hours EMA and the wick from the downside indicate buying pressure.


Market sentiment

Ethereums is however still in a sell zone, as hourly chart technicals signal a sell.

Oscillators indicate a buy, and moving averages a strong sell.


Pivot points:

S3 568.58
S2 640.49
S1 684.63

P  712.40

R1 756.54
R2 784.31
R3 856.22


XRP/USD

In the last 24 hours, the price of Ripple has increased by 5.20% coming from $0.675 to $0.711 where it is now sitting.


The daily chart shows us that the price is sitting above the $0.7 support line, but above the 0.382 Fibonacci level and the EMA’s.


The hourly chart paints a clearer picture. The price broke out of the downward channel with a strong momentum from the downside, went back into the channel only to break out off it again, and is now back up for a retest.


Market sentiment

Ripple hourly technicals signal a sell.

Oscillators a buy, and moving averages a sell.


Pivot points:

S3 0.54100 
S2 0.62675 
S1 0.67714 

P  0.71250 

R1 0.76289 
R2 0.79825 
R3 0.88400

Conclusion

Daily Crypto Update: After the initial sell-off, we are seeing the first major stop and a move to the upside from which the prices retraced back slightly. It is uncertain if the correction is over, so we will need to monitor what happens closely at these levels, on which are the prices of the three major cryptocurrencies, but it definitely looks like the first support has been found. Can that support hold the momentum to the downside, we would just have to wait and see.

Categories
Crypto Market Analysis

Correction Almost Over


General overview


Market Cap: $397,806,215,035

24h Vol: $27,157,849,685

BTC Dominance: 37.7%

Daily Cryptocurrency Update: In the last 24 hours, cryptocurrency market cap fell from 440B to 389B with a steep fall.


daily crypto update-11-05-2018

Among the top 100 coins, the average price drop is around 14%.


News

The top stories that came out in the last 24 hours are mostly positive with the dominant topic being an adoption of the blockchain technology.

These are some of the significant headlines  (Green positive, Brown negative):

  1. Ethereum ‘Stakeholders’ Meet To Discuss Governance, Without Vitalik Buterin’s Involvement
  2. Bank Of America CTO Calls Bitcoin ‘Troubling’, Reconfirms Credit Card Purchase Ban
  3. Iran Sanctions: Citizens Use Crypto To Move $2.5 Bln Out Of Country
  4. Robinhood App Raises $363 Mln To Expand Its Zero-Fee Crypto Trading Platform US-Wide
  5. De Beers Tracks Diamonds With Blockchain For The First Time
  6. Dutch Ministry Develops National Blockchain Research Agenda
  7. Kodak Announces Token Offering Goal For Blockchain Image Protection Platform
  8. Ripple Cross-Border Payments Pilot: Financial Institutions Report Significant Time, Cost Savings
  9. Huawei Releases Bitcoin Wallet In App Store, Pre-Installed On All New Smartphones
  10. Nvidia Reports First Quarter Crypto Sales, Expects Two-Thirds Drop In the Second Quarter

 


Analysis


BTC/USD

From yesterdays opening, the price of Bitcoin has fallen by 6.27% – from $9329 to $8751 where it is now.


 

Looking at the daily chart we can see that the price has fallen below 0.5 Fibonacci level and the 50 days EMA.


 

Zooming into an hourly chart we can see that the price is looking for support, and has found one at 0.786 Fibonacci extension level.


Market Sentiment

  • The overall market sentiment for the BTC  is in the SELL zone.
  • Oscillators are in a neutral zone while Moving averages show a STRONG SELL.


Pivot points:

S3   8356.5
S2   8747.4
S1   8882.7

P    9138.3

R1   9273.6
R2   9529.2
R3   9920.1



 

ETH/USD

In the last 24 hours, the price of Ethereum has decreased by 11% from yesterday’s high at $766 to $682 where is now sitting.


 

As you can see from the daily chart the price is in a downward trajectory, heading down toward 0.5 Fibonacci retracement level, trying to find support.


 

On its hourly chart, we can see that, after yesterday’s breakout from the triangle from the upside, the price failed to exceed the $840 level and create new highs, and has dropped significantly, which made the EMA’s cross.


Market Sentiment

  • The overall market sentiment for the ETH  is in the SELL zone.
  • Oscillators are in a neutral, although leaning to the sell zone, while Moving averages show a STRONG SELL.

 

Pivot points:

S3    645.29
S2    691.64
S1    707.51

P     737.99

R1    753.86
R2    784.34
R3    830.69



 

XRP/USD

From yesterday’s high, the price of Ripple has fallen by 18%, from $0.81 to $0.667 where it is now.


 

On the daily chart, we can see that the price fell below 0.382 Fibonacci retracement level, and the support line 2, and is in a downward trajectory heading toward 0.236 level.


 

On the hourly chart, we can see that the price broke out off the descending channel with strong momentum.


Market Sentiment

  • The overall market sentiment for the XRP  is in the SELL zone.
  • Oscillators are in a sell zone as well, while Moving averages show a STRONG SELL.

Pivot points:

S3   0.64964
S2   0.70799
S1   0.72798

P    0.76634

R1   0.78633
R2   0.82469
R3   0.88304

 


Conclusion

Daily Cryptocurrency Update: We are seeing the final stages of the correction, but more downside is expected, especially having in mind that the weekend is coming. The prices of the three major cryptocurrencies are looking for support at new lows. For a clearer picture of what’s coming next, make sure to check the weekly update, in which I provide a forecast for the upcoming week.

 

Categories
Crypto Market Analysis

Is This Really The End Of The Crypto Market Rebound?

The Crypto Market Rebound: The crypto market has reached an important supply area and now has turned to the downside again. It remains to see how larger the corrective phase will be. Technically, a minor decrease was expected on all cryptocurrencies after the impressive upside movement.

There are all kinds of rumours that said that the crypto market will crash again and will reach fresh new lows. Personally, I still believe that the major cryptocurrencies could resume the upside movement and could reach fresh new highs.

Please take a look at one of my editorials (Is the crypto market sell-off natural?), and you will notice that I have talked about a correction on the cryptocurrencies. The rates need to accumulate more directional energy to be able to resume the upside movement.

All main cryptocurrencies have started an important rebound in the short term, but we still need a confirmation that may increase in the medium to the long-term again. That is why we need a corrective phase followed by an accumulation or maybe an extended sideways movement before we can say for sure that we may have a major upside movement.

I believe that the next major upside movement will be slower because the fundamental factors are very strong. We may have a rough period on the crypto market with all the regulation talks.

You should know that some cryptocurrencies could drop significantly and could die even if the crypto market returns to its bullish condition because not all projects are viable. The cryptocurrencies were driven higher by the bullishness of the overall crypto market, but this could change in the future.

Bitcoin


 

Bitcoin dropped after another false breakout above the 50% Fibonacci line and after the failure to close above the third warning line. The price will drop much more only if will close and will stabilize below the sliding line (SL1). The rate could move towards the lower median line (LML) and towards the outside sliding line (SL) if the WL3 resistance will hold.

A further increase will be invalidated only by a drop below the outside sliding line (SL). However, we could go long on this crypto after a valid breakout above the WL3 and above the 50% Fibonacci line.

Ethereum


Ethereum has declined after the failure to reach the median line (ML) of the ascending pitchfork. The drop was somehow expected after the impressive breakout above the first warning line (WL1) of the descending pitchfork. The price has come back down to retest the broken WL1 of the descending pitchfork and now could increase again.

We may have another bullish movement as long as the rate stays above the WL1 and the 50% Fibonacci line (ascending dotted line). You should know that we will have a larger upside movement only after a valid breakout above the median line (ML).

Conclusion

You have noticed that the minor retreats were natural in the short term. Right now you don’t have to worry that the crypto market will crash again. Personally, I believe that only the fundamental factors could send the major cryptocurrencies down again. Otherwise, they should push up in the upcoming period.

Categories
Crypto Market Analysis

Cryptocurrency prices looking for support


General overview


Market Cap: $420,694,166,630

24h Vol: $23,401,165,415

BTC Dominance: 36.8%

In the last 24 hours, the cryptocurrency market cap has dropped by approximately 10B, from 430B to around 420B.

cryptocurrency market cap

The valuation is at the same level as it was nine days ago, at the start of the month.

The market is currently in red, with the biggest decrease of around 11% for some cryptocurrencies like Salt, Kyber Network, Ox and Aion. Meanwhile, some cryptos are in the green like Pundi X +25%, Augur +12%, Zilliqua +10.11%.


News

Some of the significant stories that came out yesterday are the following:

Facebook Forms Exploratory Blockchain Team Led By Coinbase Board Member

David Marcus, the head of Facebook’s messaging app Messenger, announced that the social media site is exploring possible applications for blockchain technology, CNBC reported May 8. “I’m setting up a small group to explore how to best leverage blockchain across Facebook, starting from scratch,” Marcus shared in a post Tuesday afternoon on his personal page. Marcus has been leading Messenger for almost four years. In December, he joined cryptocurrency exchange Coinbase as a board member. However, Facebook hasn’t revealed how interested it is in applying blockchain.

Source: cointelegraph.com

 

Ukrainian Securities Regulator To Consider Crypto As Financial Instrument

The Ukrainian National Securities and Stock Market Commission (SSMCS) will consider recognizing cryptocurrencies as a financial instrument, according to an announcement on the 8th of May. The head of the commission, Timur Khromaev, made the announcement in a Facebook post following the annual conference of the International Organization of Securities Commissions (IOSCO) on Crypto and Initial Coin Offerings (ICOs).

Source: cointelegraph.com

 

Ex-Goldman Sachs President Says Global Cryptocurrency Will Come, But It’s Not Bitcoin

Gary Cohn, former Goldman Sachs President as well as former chief economic advisor to US President Donald Trump, believes that there will a global cryptocurrency in the future, but it will be a coin “more easily understood” than Bitcoin (BTC), CNBC reports May 8.

Source: cointelegraph.com


Analysis


BTCUSD

From yesterday’s opening until now, the price of Bitcoin has decreased by 3.14% – from $9380 to $9081.

 

On the daily chart, we can see that the price is currently sitting on a 0.5 Fibonacci retracement level, slightly below the 100-day EMA. This is the fourth consecutive red candle on the daily chart, which indicated that bears are in control.

Zooming into an hourly chart, we can see the interaction with the Fibo level. The price has fallen below it four times, after which it quickly bounced back above it, leaving a lot of wicks. This looks like the price is struggling to find support there, but the bears have more power at the moment.


Market Sentiment

Overall, hourly chart signals a strong sell.

hourly chart signals a strong sell


Pivot points:

S3  8382.3
S2  8808.0
S1  8996.3
P   9233.7
R1  9422.0
R2  9659.4
R3 10085.1


ETH/USD

In the last 24 hours, the price of Ethereum has dropped from $770 to $716, which is a 7% decrease.

Looking at the daily chart, we can see that the price has fallen below the 0.786 Fibonacci level, and is currently looking for support at the prior high of the triangle from which the price broke out, which is around the $710 level. Exponential moving averages are below the price and the 0.618 Fibo level, so the price is likely heading towards them for support.



Zooming into an hourly chart, we can see that the price is ready for another drop.


Market Sentiment

Overall hourly chart signals a strong sell.

ETH hourly chart signals a strong sell


Pivot points:

S3  637.60
S2  692.76
S1  720.35
P   747.92
R1  775.51
R2  803.08
R3  858.24



XRP/USD

Since yesterday’s open, the price of Ripple has dropped by 8.68% going from $0.84 to $0.769 where is currently sitting.

 

Looking at the daily chart, we can see that the price is currently below the 50-day EMA, which didn’t serve as support, so the price is heading towards the 0.786 Fibonacci retracement level, as it is the next significant level which can serve as support.



Zooming into an hourly chart, we can see that the 0.786 Fibonacci level is crossing over my downward channel support line, which would be a perfect point of reference for a short-term target.


Market Sentiment

Overall, hourly chart signals a sell.

Market Sentiment Overall, hourly chart signals a sell


Pivot points:

S3 0.70279
S2 0.75859
S1 0.78247
P  0.81439
R1 0.83827
R2 0.87019
R3 0.92599


Conclusion

Having three major cryptocurrencies falling below their pivot points, they are now looking for a strong support which can hold back this bear momentum. Even though we can see that this find is almost completed I wouldn’t say this for a correction overall. I am expecting a larger move to the downside in the following days, as buyers were exhausted previously. The only thing that can push prices back up, and past the prior high is some global hype like we have seen in December, so a catalyst is needed.

Categories
Crypto Market Analysis

Cryptocurrency Market Is On The Rise Again

General overview

Market Cap: $413,692,195,374

24h Vol: $26,702,372,910

BTC Dominance: 37.9%

Since yesterday, cryptocurrency market cap is on the rise again. Market capitalization was  380,513,000,000$ at the lowers point, and it has increased to almost 416B.Cryptocurrency Market Cap Is On The Rise Again

The market is in green, and some of the biggest gainers among top 100 are Siacoin +52% and Bitcoin Diamond 42%. Other cryptos are about 7-9% up on average since yesterday.

News

IBM And Jewelry Industry Leaders To Use Blockchain To Trace Origin Of Diamonds

>Leaders in the gold and diamond industry have partnered with IBM to develop a blockchain network for tracing the origin of finished pieces of jewelry, IBM announced in a blog post-April 26.
Source: cointelegraph.com

Mt. Gox Moves Around $165 Mln In BTC And BCH From Its Wallets
>16,000 Bitcoin (BTC) and 16,000 Bitcoin Cash (BCH) have been moved out of cold wallets associated with the infamous, now defunct Japanese Bitcoin (BTC) exchange MT. Gox today, April 26, according to Mt. Gox cold wallet tracking data on Crypto Ground.

Source: cointelegraph.com

Comcast’s Venture Capital Arm Is Bullish On Bitcoin and Blockchain

>Gil Beyda, managing director of the venture capital (VC) arm of Comcast, appeared on CNBC today, April 26, with a bullish outlook for Bitcoin and real-world applications of blockchain technology

Source: cointelegraph.com

17 Mln Of Total 21 Mln Bitcoins Now Mined In Milestone For Digital Scarcity

>In a round million milestone, 17 mln bitcoins (BTC) have now been mined as of today, April 26, according to data from statoshi.info. Because of Bitcoin’s supply cap of 21 mln, this means that only four mln Bitcoin, or about 19 percent, remain to be mined.

Source: cointelegraph.com

 

Analysis

BTC/USDBTC/USD

In the last 24 hours, the price of Bitcoin has increased by 5,42% coming from 8750$ to 9200$ where it is now. Looking at the daily chart we can see that the price went above 0.5 Fibonacci level and the 100 day EMA againThe current sentiment for Bitcoin is positive according to sentimnt.io having 74% positive mentions out of 70 in total.

The current sentiment for Bitcoin is positive according to sentimnt.io having 74% positive mentions out of 70 in total.

 

Bitcoin is positive having 74% positive mentions out of 70 in totalZooming into an hourly chart, we can see that the move to the upside had momentum and that the price has formed a mini cup and handle.

Overall hourly chart signals a buy.

Overall hourly chart signals a buy

Pivot points

S3        6109.5
S2        7355.5
S1        8134.0
P          8601.5
R1       9380.0
R2       9847.5
R3       11093.5

 

ETH/USD

ETH/USD

Since the start of April 26 until now the price of Ethereum went from 599$ to 651$ which is an 8,45% increase. Looking at the daily chart, we can observe that the price went above 1.618 Fibo level and is now sitting right on it. 100 day EMA is also below serving as support.Ethereum is very positive

The current sentiment for Ethereum is very positive according to sentimnt.io having 82% positive mentions out of 67 in total.

Ethereum is very positiveHourly chart is similar to that of Bitcoin, meaning that the price is forming a mini cup and handle pattern.

 

Overall hourly chart signals a buyOverall hourly chart signals a buy

Pivot points

S3        324.51

S2        450.42
S1        527.43
P          576.33
R1       653.34
R2       702.24
R3       828.15

XRP/USD

XRP/USD

The price of Ripple has also increased in the last 24 hours and did so by 7,83% coming from 0.772$ to 0.832$. The daily chart is looking bullish, as the price is above 100-day EMA.

The current sentiment for Ripple is negativeThe current sentiment for Ripple is negative, having 61,5% negative mentions out of 13 in total, according to sentimnt.io

RIPPLE

 

Hourly chart is similar to that of Bitcoin and Ethereum, however, unlike those cryptocurrencies, XRP is below 100 EMA.

Overall hourly chart signals a buy.Hourly chart is similar to that of Bitcoin and Ethereum

Pivot points

S3        0.20439

S2        0.50804
S1        0.68659
P          0.81169
R1       0.99024
R2       1.11534
R3       1.41899

 

Conclusion

A strong correlation between the three largest cryptocurrencies is shown, meaning that the chart looks pretty much the same. Market capitalization hasn’t exceeded the prior high at around 434B and has formed a mini cup and handle that retraced back to prior lows for a retest of support. In the next 24 hours, we are going to monitor what is going to happen but, I am expecting a new influx of money into the market, which will push the evaluation further to breakout and form new highs above 434B evaluation.

©Forex.Academy

Categories
Crypto Market Analysis

Bitcoin Cash Long Again?

Market Cap. $21.76B

Circulating Supply: 17.09M BCH

Max Supply: 21M BCH

Volume (24%) $1.95B

 

Bitcoin Cash (BCH)

The BCH/USD signaled an exhaustion since yesterday, so the current drop is somehow natural. Price dropped as much as 1227 today and now is pressuring a very strong dynamic support (resistance turned into support). We could have a great buying opportunity in the upcoming days if the rate will test and retest the near-term support levels and will stay above.

Bitcoin Cash (BCH) chart

The rate has finally managed to break above the 50% Fibonacci line of the descending pitchfork and now is retesting it. Price has shown an oversold when has failed to stabilize below the median line (ML) after many breakdown attempts.

Technically, the BCH/USD it was expected to approach and reach the upper median line (UML) of the descending pitchfork. Right now is very important to see if we’ll have a valid breakout above the 50% Fibonacci line  (descending dotted line).

Bitcoin Cash could drop in the upcoming days after the failure to close on the 250% Fibonacci line and near the 1567 static resistance.

Price has also made a false breakout above the 23.6% retracement level, which has signaled an exhaustion. It could drop along the 50% Fibonacci line till will reach and retest the upper median line (uml) of the ascending pitchfork or even the median line (ml).

Conclusion

You can go long again after the retests and after a significant increase. It could climb at least till the upper median line (UML) if will have enough energy to make a valid breakout above the sliding line (SL).

©Forex.Academy

Categories
Crypto Market Analysis

EOS reached a major target, now what?

EOS (EOS)

Market Cap. USD 11.16B

Volume (24h) $3,36B

Circulating Supply: 815.92M EOS

Total Supply: 900.000.000 EOS

Max Supply: 1.000.000.000 EOS

 

EOS Price Analysis:

EOS/USD rallied aggressively in the last days and has managed to reach a major dynamic resistance. Price plunged today and could try to test and retest some support levels before will make the next move.

eos price target - eos price chart

You can see on the daily chart that it has registered an impressive rally in the yesterday’s trading session. EOS increased as much as 16.1460 level failing to approach and reach the 18.6700 historical high.

The perspective remains bullish despite the current drop. This could be only temporary before it tries to reach the historical high and to pass above it.

I’ve said in the last week’s trade setup that the EOS price should increase further after the breakout above the UML of the descending pitchfork. The confirmation has come after the amazing breakout above the sliding parallel line (sl) of the ascending pitchfork.

EOS/USD has found strong resistance at the first warning line (WL1) of the descending pitchfork and now is somehow expected to come to test and retest the upper median line (uml) of the ascending pitchfork.

You should know that only a valid breakout above the WL1 will confirm a further increase. Otherwise, the rate will drop towards the median line (ml) of the ascending pitchfork and towards the 150% Fibonacci line of the descending pitchfork.

© Forex.Academy

Categories
Crypto Market Analysis

Pullback In The Crypto Market Has Begun

General overview

Market Cap: $407,231,674,925

24h Vol: $36,479,367,950

BTC Dominance: 39.1%

In the last 24 hours, cryptocurrency market cap evaluation went from $400B to just slightly below  $437B at the highest point, and is now 30 billion dollars less, sitting at around $407B.

 

Pullback In The Crypto Market Has BegunThe market is mostly in the red, with the numbers being from -0.38% for ZRX and -0.31 for Ontology to the most prominent loser among top 100 Bytom -17%. However there are some gains today, for example, Decred rose up by 27% followed by Tron whose price has increased by 21% in the last 24 hours.

News

Most talked about news in the last 24 hours is MyEtherWallet DNS hack, and for a good reason, people who have their funds stolen wanted to make sure others wouldn’t.

MyEtherWallet Warns That A “Couple” Of Its DNS Servers Have Been Hacked

Cryptocurrency wallet MyEtherWallet (MEW) tweeted a warning that a “couple” of its DNS servers have been hacked and users risk being redirected to a phishing site this morning, April 24. MEW is now in the process of verifying which servers have been targeted and is working to resolve the hack “asap,” they added.

Source: cointelegraph.com

Other news is either analytical in nature or just not relevant as a catalyst for impacting the market.

Bitcoin Price Will Top $11,500 Soon, Says Crypto Bull who Predicted Recent Crash And Rally

Bill Baruch, a cryptocurrency bull who foresaw both bitcoin’s recent slump and ensuing rally, has set a near-term bitcoin price target of $11,500 to $11,800. Baruch, the president of Blue Line Futures, has a pretty good track record for bitcoin price predictions. In February 2018, when BTC plunged to $7,200 during the market correction, Baruch confidently forecast that bitcoin would return to $10,000.

Source: ccn.com

MIT Publishes a Plan to ‘Destroy’ Bitcoin

The MIT Technology Review has a plan — or three — to take down Bitcoin. Writing in an article titled “Let’s Destroy Bitcoin,” tech writer Morgan Peck presents three scenarios that she believes could lead to Bitcoin’s eventual demise.

Source: ccn.com

Snoop Dogg to Perform at Ripple’s Blockchain Week NYC Party

Distributed ledger startup Ripple is hosting a VIP gathering featuring Snoop Dogg – and will be giving away 10 tickets to the event on Twitter.The company announced Tuesday that Snoop would perform at its XRP Community Night during Blockchain Week NYC in May. The event itself will celebrate the company’s work to date in developing its XRP token and the accompanying ledger technology.

Analysis

BTC/USD

In the last 24 hours the price of Bitcoin went from 8911$ to 9700$ which is 9,31% increase, but since the price reached the highest point, it has retraced to 9380$ where is now sitting.

Analysis BTC/USD

Looking at the daily chart, we can see that the price has created a higher high exceeding the levels of the price of the lower high, which is a bullish sign. The price has pulled back to the 0.786 Fibonacci level, but its still over the 100-day EMA.

 

The current market sentiment is slightly positive, meaning out of 199 mentions in total 65.33% are positive.

Bitcoin price sentiment is slightly positive

Source: sentimnt.io
current market sentiment is slightly positive

Zooming-in to the hourly chart we can see that the price has pulled back to the 50 EMA which held the price as well as the significant Fibo level.

Overall, hourly chart signals a buy.

 hourly chart signals

Pivot points

S3 6109
S2 7355
S1 8134

P 8601
R1 9380
R2 9847
R3 11093

ETH/USD

In the last 24 hours, Ethereum’s price changed only by +2.7%. However, the price went all the way up to 710$ before falling back to the levels at which is now sitting, just slightly above 660$.

ETH/USD

Looking at the daily chart, we can see that the price is still above 100-day EMA and 1.618 Fibonacci level.

The current sentiment for Ethereum is positive, meaning out of 98 mentions in total, 77,5% are positive.

 sentiment for Ethereum is positive

Source: sentimnt.io
Ethereum is positive

Looking at the hourly chart, we can observe the interaction with the 1.618 Fibonacci level better. The price went below it and is now retesting it from the other side. Also on this chart, we can see that the price has fallen to the 100 EMA which served as support.

 

Overall, hourly chart signals a sell.

Overall, hourly chart signals a sell

Pivot points

S3 324
S2 450
S1 527
P 576
R1 653
R2 702
R3 828

 

XRP/USD

In the last 24 hours, Ripple’s price has dropped by 5,8%.  Ripple opened at 0,87$, rose up to 0.96$ before falling down to the lower point from yesterday’s open at 0.82$.

XRP/USD

Looking at the daily chart we can see that the price of Ripple is on the downward trajectory, but its held by 100% Fibonacci level. The price is likely going to fall back to somewhere around the levels of the 50-day EMA and the blue support line at approximately 0.7$

 

The current market sentiment for Ripple is positive, meaning 79% out of 73 mentions in total are positive.

Ripple is positive

Source: sentimnt.io

XRPUSD-

Looking at the hourly chart, we can see that the price has begun falling steeply, going below 50 and 100 EMA and the 100% Fibo level.

Overall hourly chart signals a sell.

hourly chart signals

Pivot points:

S3 0.20439

S2 0.50804
S1 0.68659
P 0.81169
R1 0.99024
R2 1.11534
R3 1.41899

Conclusion:

The highly anticipated pullback in the crypto market has begun. This is only a short-term pullback, to retest prior levels for support. How low will it go? I wouldn’t be surprised to see market capitalization at around 350B again, but we will have to wait and see.

©Forex.Academy

Categories
Crypto Market Analysis

Qtum Crucial Breakout Eyed

Qtum (QTUM)

Market Cap. $1.92B

Circulating Supply: 88.55M QTUM

Max Supply: 0 QTUM

Volume (24h): $231.36M

 

QTUM/USD increased and resumed yesterday’s bullish candle. It went up by more than 4.4% today, and the bullish movement should continue. The crypto is trading near an important resistance area, so you should wait for a valid breakout.

qtum price chart

The current increase is natural and it was expected after the breakout above the minor downtrend line. It has shown an oversold when has failed to approach and reach the 10.74387040 swing low. Qtum price increased again after many retests of the upper median line (UML) of the descending pitchfork.

Right now is premature to talk about a more significant increase as long as the rate is trapped below the first warning line (WL1) of the descending pitchfork and below the 21.75638400 static resistance.

Personally, I want to see a valid breakout above the  WL1 followed by a lower median line (lml) retest to be sure that it will increase at least till the 50% Fibonacci line (ascending dotted line).

A further increase will be invalidated by a valid breakdown below the outside sliding parallel line (sl) of the ascending pitchfork. You should be careful because we don’t have a valid breakout above the lower median line (lml).

It has made a false one in the last days, so we need a confirmation that it will stabilize above the lower median line (lml). You should know that only a valid breakout above the 50% Fibonacci line will confirm an increase towards the median line (ml) and towards the 38.2% retracement level.

qtum chart - forex academy

QTUM/USD reached a dynamic resistance represented by the inside sliding parallel line (sl2). It will be very important for the rate to close above this dynamic obstacle because another rejection could send the price towards the outside sliding line (sl1).

QTUM Price Prediction Conclusion:

If you decide to go long from above the 23.00000000 psychological level, then you should place a Stop Loss somewhere below the 18.00000000 level. The crypto market has shown signs of life as the major cryptocurrencies have registered significant gains in the last days, but you should be very careful because this could still be only a temporary rebound.

 

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Crypto Market Analysis

NEM Further Increase Could Be Confirmed

NEM (XEM)

Market Cap. $3.05B

Circulating Supply: 9.00B XEM

Max Supply: 0 XEM

Volume (24h): $30.37M

 

The XEM/USD has lost the bullish momentum in the short term and now seems undecided. It has changed little since yesterday, but it maintains a bullish bias. Maybe the rate will make a minor consolidation before will move towards fresh new highs.

NEM Price

NEM (XEM) is trading much above the 0.30000000 psychological level and is somehow expected to resume the rebound in the upcoming period. NEM price has made a false breakout above the median line (ML) of the minor ascending pitchfork so that a minor decrease will be natural.

It should pressure the 50% Fibonacci line (ascending dotted line) of the minor ascending pitchfork and also the 0.35471335 static support. The perspective will remain bullish as long as the rate stays within the ascending pitchfork’s body. XEM/USD was expected to increase after the breakout above the downtrend line, but we still need a confirmation that we’ll have a broader upside movement.

Personally, I believe that only a valid breakdown below the lower median line (lml) could invalidate a further increase.

nem stock price

You can see on the H4 chart that the rate failed to reach and retest the median line (ml) signaling a minor exhaustion in the short term. It is still expected to increase further despite a minor drop. You can go long on this crypto if the rate will make a valid breakout above the median line (ml), or if will come back down to test and retest the lower median line (lml).

The next upside targets will be at the upper median line (uml) and higher at the Fibonacci retracement levels.

NEM Price Prediction Conclusion:

NEM (XEM) will become strongly bullish after a valid breakout above the median line (ml). NEM price prediction could consolidate the latest gains before will resume the upside movement. Personally, I really hope that we’ll have a fresh buying opportunity soon.

©Forex.Academy

Categories
Crypto Market Analysis

Market Is Moving Strong But For How Long?

General overview

Market Cap: $393,028,123,788

24h Vol: $21,794,182,916

BTC Dominance: 38.2%

During the weekend evaluations of the cryptocurrency market capitalization went from 395,120,000,000$ to 367,852,000,000$ on Saturday, and has been rising steadily since then, coming at around 393 billion dollars where is now sitting.

cryptocurrency market capitalization

News

There is no significant news that can impact the market. Most dominant headlines are about the percentage gains made by cryptocurrencies and are mostly optimistic in sentiment.

Bitcoin Brushes $9,000 As Crypto Markets Continue Making Steady Gains

Bitcoin (BTC) is on the cusp of $9,000, and Ethereum (ETH) is over $630, as the crypto markets continue to climb upwards today, April 22, according to data from Coin360.

Source: Molly Jane Zuckerman, April 22. cointelegraph.com

Buyers Control the Cryptocurrency Market More Than Any Time Since March 2017

The percentage of cryptocurrency traders ‘in the buy’ has reached the highest level in over a year, a strong sign that the market’s two-week recovery has more room to grow.

Source: Sam Bourgi, Aprill 22. hacked.com

This kind of news may impact the market positively because investors may be grabbed by their attention.

Analysis

BTC/USD

BTC/USD

In the last day, the price of Bitcoin has been stagnating at around the levels of the prior high on March 20-24. As you can see from the daily chart, 22. April candle was a doji, and the price has been held by 100-day EMA.

market sentiment for Bitcoin

The current market sentiment for Bitcoin is positive, meaning out of 150 mentions in total 74% are positive.
Source: sentiment.oi

 

Bitcoin is positive,

Looking at the hourly chart, we can see that the price has bounced off the 50-period EMA and is now looking to potentially cross it below, to retest the 100 EMA before advancing further to the upside.

Overall hourly chart signals a buy.

hourly chart

Pivot points

S3 6109
S2 7355
S1 8134
P 8601
R1 9380
R2 9847
R3 11093

 

ETH/USD

 

ETH/USD

Since yesterday the price of Ethereum has been rising from 594$ to 642$, and it retraced since to 634$. Looking at the daily chart, we can see that the price is held back by 100 day EMA, but it’s on a steep upward trajectory.

Ethereum has been rising

The current sentiment is positive, meaning out of 50 mentions in total 78% are positive.

Source: sentiment.io

 

 sentiment is positive

Looking at the hourly chart, we can see that the price is almost going to hit 1.618 Fibonacci level, which in combination with the 100-day EMA on the daily chart is going to serve as a strong resistance.

Overall, hourly chart signals a buy.

hourly chart signals a buy

Pivot points:

S3 324
S2 450
S1 527
P 576
R1 653
R2 702
R3 828

 

 

XRP/USD

XRP/USD

In the last 24 hours price of Ripple is stagnating on the same levels around 0.86$. As you can see from this daily chart, the price went above 100-day EMA and 100% Fibo level. Since then it has fallen back to exactly to the Fibo level to retest it for support.

The current market sentiment for Ripple is positive, meaning out of 70 mentions in total, 75% are positive.

Source: sentiment.io
Ripple is positive

FOREX ACADEMY

Looking at the hourly chart, we can see the interaction between the Fibonacci level and the 50 EMA.

Overall, hourly chart signals a sell.

hourly chart signalsPivot points:

S3 0.20439
S2 0.50804
S1 0.68659
P 0.81169
R1 0.99024
R2 1.11534
R3 1.41899

 

 

 

Conclusion

After the market experienced a run-up, the prices are starting to get held back from advancing further, by first stronger resistance served by 100-day EMA’s and significant Fibonacci levels. Will the price breach out to the more upside, or retrace back to retest prior support we will just have to wait and see. However, Ripple can offer some clues on what is likely going to happen, as Ripple was the first cryptocurrency that showed advancement in this upward move.

 

© Forex.Academy

Categories
Crypto Market Analysis

ICON (ICX) Buying Opportunity?

ICON (ICX)

Market Cap. $1.27B

Circulating Supply 387.23M ICX

Crypto Max Supply: 0 ICX

Volume (24h): $50.43M

ICX tradingview:

ICX/USD increased today as much as 3.544012 level but failed to stay above the 3.4807593 yesterday’s high and now is showing some exhaustion signs. The last hour’s drop could be natural after the impressive rally. It could test and retest the broken resistance level before will move towards new highs.

ICX tradingview

The ICX/USD has finally managed to break out above the minor downtrend line and to jump above the lower median line (LML) of the ascending pitchfork again. It remains to see if this will be a valid breakout. The breakout above the minor downtrend line has signaled that we may have a larger rebound. Personally, I want to see if the rate will stabilize above the lower median line (LML) of the ascending pitchfork before I go long again.

We’ll have a great buying opportunity if the rate comes back down trying to retest the outside sliding line (SL2) before will stabilize within the ascending pitchfork’s body. The first significant upside target will be at the inside sliding parallel line (SL1). A valid breakout above this dynamic obstacle will lead the rate towards the median line (ML) and the upper median line (UML) in the upcoming months if the technical factors continue to drive the crypto market.

ICON buying opportunity

I’ve drawn on the H4 chart a perfect bullish scenario. Right now is risky to go long as the rate is far away from the near-term support levels. You can go long now, but only if you place a large Stop Loss somewhere below the 2.3562634 level, or you could wait for a retreat towards the SL2 and only them to buy the ICX/USD with a minor Stop Loss below the sliding line (SL2).

© Forex.Academy

Categories
Crypto Market Analysis

Pressure From Both Sides

General overview

Market Cap: $359,246,046,514

24h Vol: $22,391,963,491

BTC Dominance: 39.1%

In the last 24 hours cryptocurrency market capitalization increased by around 20B.

cryptocurrency market capitalization - forex academy

News

There is no significant news to justify this increase in market cap. Dominant headlines are regarding exchanges

South Korean Crypto Exchange Bithumb To Issue its Own Token In Singapore

Bithumb, South Korea’s leading cryptocurrency exchange, has recently revealed plans to issue its own token, Bithumb Coin, in an Initial Coin Offering (ICO), local news outlet TokenPost reports Thursday, April 19.

Source: Helen Partz, April 19. cointelegraph.com

Decentralized Exchanges, Off-Chain Atomic Swaps, And A Brief Look Into The Future

For an economy that emphasizes decentralization, cryptocurrency has ironically relied primarily on centralized platforms of exchange. This is problematic as they often hold funds in giant “honeypot” addresses that attract sophisticated attackers. This has resulted in several cases where exchange funds have been drained. In fact, there were two in the past 3 months alone! Bitgrail reported on Feb.12 that over $170 mln in XRB was stolen from their wallets. Coincheck suffered one of the largest losses ever with over $400 mln in NEM being stolen.

Source: guest author, April 19. cointelegraph.com

Crypto Exchange CEO Runs For Mayor Of Taipei To Make It Asia’s ‘Pioneer Blockchain City’

CEO of major over-the-counter (OTC) crypto exchange OTCBTC and Facebook hackathon winner Yi-Ting Cheng (better known as xdite) has announced that she is running for mayor of the Taiwanese capital city Taipei this year, according to Cheng’s Facebook post on April 14.

Source: Molly Jane Zuckerman, April 19. cointelegraph.com

Chilean Banks vs. Crypto Exchanges: Will Citizens Have Access to Technology?

Earlier this week, a group of cryptocurrency exchanges in Chile applied to the courts to fight the decision of banks to shut down their bank accounts. The exchanges, including Buda, Orionx, and CryptoMarket (CryptoMKT), state that the banking system in Chile is taking matters into their own hands and that they are “killing the entire industry.”

Source: Darryn Pollock, April 20. cointelegraph.com

Analysis

BTC/USD

BTC/USD - pressure from both sides

In the last 24 hours, the price of Bitcoin went from 8146$ to 8366$ and has retraced since, to 8280 where is now sitting. Looking at the daily chart, we can see that the price is held by 50-day EMA. The  created a doji candle for now.

Bitcoin is positiveThe current market sentiment for Bitcoin is positive, meaning 70% out of 85 mentions in total are positive.
Source: sentimen.io

short-term support line BTCUSD

Zooming into the hourly chart, we can see the pressure from both sides. The price is above the short-term support line, but it has been repealed again at the same levels.

Overall, hourly chart signals a buy

hourly chart signals a buy Pivot points:

S3 4361.0
S2 5990.0
S1 6997.9
P 7619.0
R1 8626.9
R2 9248.0
R3 10877.0

ETH/USD

ETHUSD

In the last 24 hours price of Ether was increased by 8,57%, rising from 521$ to 566$ where it is now. On the daily chart, you can see that, similar to Bitcoin, the 50 day EMA is in combination with 1,414 Fibo level are repealing the price. But there is buying pressure also, which is creating a doji candle.

Ethereum is positive, meaning 78% out of total 97 mentionsThe current market sentiment for Ethereum is positive, meaning 78% out of total 97 mentions are positive.

Source: sentimen.io

ETHUSD chart

Looking at the hourly chart, we can see that the price was broken down from this upward channel with strong momentum, but has now bounced back off at the Fibo levels.

Overall hourly chart signals a buy.

XRP/USD

 Pivot points:

S3 183.46
S2 327.57
S1 415.01
P 471.68
R1 559.12
R2 615.79
R3 759.90

XRP/USD

XRPUSD-D-4

Ripple has been rising with strong momentum in the last 24 hours and has increased by 16,5%, coming from 0,7$ to 0,83$. Looking at the daily chart, we can see that momentum is slowing down by the 100% Fibonacci level, which is the top of the prior range.

The current market sentiment for Ripple is slightly positive, meaning 69% of 42 mentions in total are positiveThe current market sentiment for Ripple is slightly positive, meaning 69% of 42 mentions in total are positive.
Source: sentiment.io

interaction between the Fibo level

Looking at the hourly chart, we can observe the interaction between the Fibo level and how the price quickly bounced.

Overall, hourly chart signals a buy.

hourly chart signals Pivot points:

S3 0.13715
S2 0.37215
S1 0.50608
P 0.60715
R1 0.74108
R2 0.84215
R3 1.07715

 

Conclusion

After a powerful bull run market experienced in the past couple of days, the first firm resistance is found. Three coins that we are covering in this report are all currently held at Fibonacci significant levels, and their price has been pushed from both sides. Who will win, bulls or the bears, we will see by the end of the day.

Categories
Crypto Market Analysis

Stellar To The Moon?

Stellar (XLM)

Market Cap. $6.69B

Circulating Supply 18.57B XLM

Max Supply: 0 XLM

Volume (24h): $177.67M

 

XLM/USD increased sharply in the last days and has managed to jump above some very important resistance levels. Stellar increased like the other major crypto after the massive drop but remains to see how long the rebound will be.

Stellar (XLM) - Forex Academy

XLM/USD has finally managed to breakout above the downtrend line. Price has failed to reach this line since January 2018. You can see that I’ve added an ascending pitchfork hoping that I’ll catch a significant upside movement.

The rate has made several false breakdowns below the lower median line (LML) of the ascending pitchfork. It has failed to stay below the 0.2000000 psychological level and now tries to reach new highs.

Stellar increased by 60.22% in the last 7-days and has managed to jump above the 50% Fibonacci line (ascending dotted line) and above the 0.3433903 static resistance. The breakout needs confirmation because another false breakout above the 50% Fibonacci line will send the rate down again.

A valid breakout will lead the rate towards the next upside target represented by the median line (ML). The major upside target remains at the upper median line (UML) as long as the rate stays within the ascending pitchfork’s body.

Price has come back down to test and retest the broken 50% Fibonacci line and the 0.3433903 level. We should wait to see if this will really be a valid breakout before we go long on this crypto. A failure to stay above the 50% line could signal a minor corrective phase. Stellar could still increase despite a minor drop as long as stays above the outside sliding line (SL).

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Crypto Market Analysis

Ripple Further Increase Expected

Ripple (XRP)

Market Cap. $28 179 718 865

Volume (24h) $754 165 000

Circulating Supply: 39 122 794 968 XRP

Total Supply: 99 992 362 643 XRP

Max Supply: 100 000 000 000 XRP

 

The Ripple XRP has finally managed to jump above the short-term downtrend line. The crypto has lost the bearish momentum, so the current rebound was natural and expected.

Ripple XRP Price Predictions April 2018

XRP/USD retested the broken downtrend line and now is pressuring the 0.71192 static resistance. Maybe some of you have already entered long on Ripple after the breakout above the downtrend line. Personally, I’m waiting for a valid breakout above the inside sliding parallel line (sl1) to be sure that the rate will really move towards new highs.

It seems like that the major corrective phase is completed, but we still need a confirmation that the Ripple XRP will start a broader upside movement.

A valid breakout above the sliding line (sl1)  and above the 0.80000 level will signal a further increase towards the median line (ML) of the ascending pitchfork. The major upside target will be at the upper median line (UML).

The perspective is bullish on the short term as long as the rate stays above the downtrend line and most important above the outside sliding parallel line (sl) of the ascending pitchfork.

Ripple XRP Predictions April 2018

XRP/USD slipped lower to test and retest the 0.70835 broken resistance. A failure to make a valid breakout above the sliding line (sl1) will signal a minor exhaustion. Price could come back to test and retest the lower median line (LML) or the outside sliding (sl) before will give birth to a larger bullish movement.

Note: if you want to go long on the XRP/USD you should place a Stop Loss somewhere below the outside sliding line (sl). You can place it somewhere below the 0.53550 to be safe if the rate will come down a little.

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Forex Market Analysis

Consolidation In The Crypto Market

Cryptocurrencies have been stagnant and without many big moves to either side. The reason for that is the uncertainty abbot what happens on the tax day. We see less movement in crypto because, whoever wanted to pull their money out before tax date, did already, and we now see only people that hold.

BTC/USD consolidating

After the recent spike due to positive fundamental news (approval of the Muslim community), Bitcoin has its momentum slowed down. It made an attempt over an 8230 Fibonacci retracement line of resistance, but failed and is now consolidating and going slightly downwards, with decreasing volume. The price range is currently between the 50 EMA and 100 EMA on the 1h time frame.

crypto consolidation

NEO/USD bouncing off the resistance line

As we have concluded in the last analysis, neo was in a tough spot, and the most likely thing that would happen to it was the bounce off the red resistance line (shown in the graph). That is exactly what happened to it. This is a big deciding point for NEO, as indicators are “fighting” for the range and the direction of the next movement. RSI just left overbought, volume is declining, and there is a major resistance on the upside, but there are also both EMAs as support, they crossed each other, signaling a bull trend. I am more inclined towards the bear side for a bit until all the indicators get in line.

NEO/USD bouncing off the resistance line

XRP/USD forming a triangle pattern

XRP has recently spiked, after the big announcement that regarded cooperation with Apple. When that happened, XRP spiked up and broke the $0.63 resistance line, which has now become support. It bounced off of it a couple of times, forming a perfect triangle pattern, with the expected breakout from the pattern around the 19th or 20th of April. It will most likely be an upwards move, but it can’t be said with certainty. EMAs and the support line form a “defense” against triangle patter break downwards, but ultimately, people will decide.

XRP/USD forming a triangle pattern

Final word

Markets are mostly consolidating since these are uncertain times fundamentally. Everyone is waiting for a catalyst, for a reason to re-enter the market. The next few days will determine the overall short-term trend of the market, so watch out for the swing trades for now. One thing is good, and that is the increasing volume in the general crypto market.

© Forex.Academy

Categories
Crypto Market Analysis

Low Volatility In The Cryptocurrency Market

General overview:

Market Cap: $325,989,899,352

24h Vol: $15,576,816,007

BTC Dominance: 41.7%

Low volatility in the cryptocurrency market

In the last 24 hours market capitalization has fallen from 338,7B to 318,3B and has risen steadily since then to around 326B.

News:

There is no significant news that came out in the last day that can impact the market fundamentally. These are the most interesting once.

Mastercard Patents Blockchain Tech To Combat Fake Identity

Mastercard has registered a patent for a Blockchain system to save and verify identity data, in an application published by the U.S Patent and Trademark Office (USPTO).

Source: Marie Huillet, April 16. Cointelegraph.com

Crypto Investor Ian Balina Hacked for Millions of Ether During Livestream

Notable cryptocurrency investor and Youtube influencer Ian Balina ended a livestreamed ICO review last night when he realized he was being hacked. Balina seemed to realize something was amiss when he was required to sign back into Google to save changes to the spreadsheet he was using, saying “I have to get going” and ending the stream. Balina took to social media to ask for the support of his followers in tracing over $2 million worth of cryptocurrency being moved from his Etherscan wallets.

Source: Conor Maloney, April 16. Ccn.com

NASA Researches Ethereum Blockchain Tech for Deep Space Exploration

A research project funded and co-run by NASA is looking to leverage the Ethereum blockchain’s smart contracts technology to automate spacecraft maneuvering while avoiding space debris.

Source: Samburaj Das, April 16. Ccn.com

Analysis

BTC/USD

BTC/USD Cryptocurrency Market

Since yesterday the price of Bitcoin has decline by 5,07% coming from 8380$ to 8010$ where is now sitting.

sentiment for this cryptocurrency is slightly positive

The current sentiment for this cryptocurrency is slightly positive, meaning 69,15% from 389 mentions in total were positive.
Source: sentiment.io

Cryptocurrency Market Chart

On the hourly chart, we may observe that the price is close to the support line which served as resistance and was broken by a bull flag. Volatility is low, and there is not much going on.

Overall, hourly chart signals a buy, but it’s more like neutral.

hourly chart signals

Pivot points:

S3 4361
S2 5990
S1 6997.9
P 7619.
R1 8626.9
R2 9248
R3 10877

ETH/USD

ETHUSD-D

In the last 24 hours, Ethereum’s price has been bouncing in the range from 516$ to 502$. Looking at the daily chart, we observe that price has fallen below the 1.272 Fibonacci level (green line).

Ethereum’s price has been bouncing in the range from 516$ to 502$The current market sentiment for Ethereum is positive, meaning out of 133 mentions in total 77,44% were positive.

Source: sentiment.io

current market sentiment for Ethereum

Zooming into the hourly chart, we can see that price went slightly above the Fibo level and is now below it. Volatility is low as in the case of Bitcoin.

Pivot pointsOverall, hourly chart signals a buy, however, there are also nine neutral signals.

Pivot points:

S3 183.46
S2 327.57
S1 415.01
P 471.68
R1 559.12
R2 615.79
R3 759.90

XRP/USD

XRPUSD-D

In the last day, Ripple’s price has slightly declined from 0.68$ to around 0.66$ where is no sitting. Looking at the daily chart, we can see that the price has bounced off the 0.7$ level which may be serving as a psychological resistance level.

ripple sentiment todayThe current sentiment for Ripple is slightly positive meaning 62.71 out of 59 mentions in total are positive.
Source: sentimen.ioXRPUSD-H

Zooming into an hourly chart we can see that the rising wedge has been breached to the downside as it should have, and the price bounced off the 0.618 Fibonacci level which serves as a support.

 

Overall hourly chart signals a buy - Forex AcademyOverall hourly chart signals a buy.

Pivot points:

S3 0.13715
S2 0.37215
S1 0.50608
P 0.60715
R1 0.74108
R2 0.84215
R3 1.07715

 

Conclusion:

After the market capitalization surged in the last couple of days, we are experiencing a slight pullback. Volatility is low, and the prices of three coins that we’ve covered in this report are resting at the prior resistance levels, which is a good thing because the upward trajectory will be more sustainable in the long run.

Categories
Crypto Market Analysis

Surge in Crypto-Coin Capitalization

General overview

Market Cap: 311,391,250,022$

24h Vol: 25,736,521,327$

BTC Dominance: 42.6%
In the last 24 hours, cryptocurrency market capitalization went from 268,960,000,000$ to 311,391,259,000 where is now sitting.

As you can see from the chart, the momentum was strong, and it broke the resistance which is now serving as support around $299B.

Crypto-Coin Market Cap News

Mainly, cryptocurrency market capitalization news that came out in the last 24 hours are mostly about the crypto surge market experienced.

Cryptocurrency Market Cap Clips $300 Billion as Bear Trap Liquidates Shorts

>Analysts largely attributed the precipitous surge to a “bear trap,” which occurs when futures and margin traders attempt to short an asset but have their positions liquidated due to a price increase, forcing them to buy at market prices to cover their position. Source: Josiah Wilmoth, April 12. 2018, ccn.com

Future Gains! Bitcoin Has Bottomed Out, Says Pantera Capital in a Bold Cal

>Now’s the time to get long bitcoin, a leading cryptocurrency hedge fund says. Not only is bitcoin out of the doldrums, but it’s onward and upward from here. Source: Gerelyn Terzo April 12. 2018, ccn.com

However, there was some significant regular news as well.

Bank Of America Seeks Patent On Blockchain-Based Data Storage System

>On April 12, the US Patent and Trademark Office published Bank of America’s application for a patent on a Blockchain-based storage system with automated data authentication. Source: Ana Alexandre April 13. 2018, cointelegraph.com

UAE Government Launches Blockchain Strategy 2021

>Sheikh Mohammed bin Rashid, Vice President and Prime Minister of the UAE and Ruler of Dubai, has launched the ‘UAE Blockchain Strategy 2021’ with the goal of becoming a world leader in adopting this technology, the Dubai Media Office reported April 11. Source Ana Alexandre April 13. 2018, cointelegraph.com

Australian Power Company to Reopen Coal Power Plant to Mine Bitcoin

>An Australian power company have signed a contract with a cryptocurrency mining firm to provide them with cheap off-grid power. The IOT Group will be building a digital currency mining hub that’s actually inside a disused coal-fired power station in the Hunter Valley region. Source: Rick D. April 12. 2018, newsbtc.com

Analysis

BTC/USD

In the last 24 hours, Bitcoins price went up from 6770$ to 8030$ at one point. Since then, the price was pulled back slightly to around 7800$ where is now sitting. Overall the price of Bitcoin rose up 13.67% making it breach the falling wedge in which the price was since December 17 last year.

cryptocurrency market capitalization chartThe current sentiment for Bitcoin is slightly positive, meaning only 69,89% of total 356 mentions on the web are positive.

Source: sentiment.io

Zooming into its hourly chart, we can see that price has formed a bull flag and is now is sitting at a pivot point, testing those levels for support, before it can proceed forward.

Overall hourly chart signals a buy.

 

Pivot points:

S3        4773.3
S2        5857.9
S1        6375.2
P          6942.5
R1       7459.8
R2       8027.1
R3       9111.7

ETH/USD

Ethereum’s price has risen 16,46% in the last 24 hours. From 430$ to 505$ at the highest point and is now sitting around 487$. Looking at the daily chart, we can see that the price has breached out the falling wedge, like in the case of Bitcoin.

positive cryptocurrency market sentimentThe current market sentiment for this cryptocurrency is positive, meaning  71.3% positive mentions on the web out of a total of 115.

Source: sentiment.io

 

Looking at the hourly chart, we can note that price has formed two bull flags on the way of forming a cup and handle. That is an extremely bullish sign, and if you look back at the daily chart, this formation was also the bottom last time the price surged all the way up to above 1000$

Overall the hourly chart signals a buy.

Pivot points:

S3        266.92
S2        326.80
S1        355.48
P          386.68
R1       415.36
R2       446.56
R3       506.44

XRP/USD

Ripple was the first among three pairs that are covered in this report who’s price broke out of the correctional channel yesterday. The breakout resulted in a staggering 32% price increase in the last two days to its highest point of about 0.66$ per Ripple.

Ripple - Surge In Cryptocurrency Market Capitalization

The current sentiment for this crypto is very positive. However, there are only 47 mentions in total recorded by sentiment.io

 

 

Zooming into its hourly chart we can see that price formed two bullish flags after the cup-and-handle was completed, and after price tested the 0.38 Fibonacci level for support.

Overall the hourly chart signals a buy.

 

Pivot points:

S3        0.29764
S2        0.39765
S1        0.44120
P          0.49766
R1       0.54121
R2       0.59767
R3       0.69768

Conclusion

What happened yesterday in cryptocurrency market is another great example to observe the strong correlation of all assets in this market. We’ve seen how all three major currencies experience the same condition – breaching out of theirs corrective channels and creating bull flags. I think we are still going to experience a couple of days in a sideways movement before the uptrend is established, but one thing’s for sure – “crypto recession” is over.

Categories
Crypto Market Analysis

The crypto market showing oversold signs

The cryptocurrency market has started to show some oversold signs in the last days but is still premature to talk about a broader rebound at this moment. The major cryptocurrencies have found temporary support and are fighting hard to jump higher again.

Bitcoin

The BTC/USD dropped a little today and continued to stay below the 7000 psychological level. Price is moving sideways in the short term and remains to see if this will be an accumulation or a distribution movement. Unfortunately, the Bitcoin remains under high selling pressure; the perspective remains bearish as long as it is trapped below some very important resistance levels. Technically, the crypto is somehow expected to start a significant upside movement after the amazing corrective phase, but the fundamental factors are still very strong.

Cryptocurrency Market BTC/USD dropped

You can see on the Daily chart that the rate has made a valid breakout above the first warning line (WL1) of the major descending pitchfork, but only a valid breakout above the lower median line (lml) of the minor ascending pitchfork will confirm an upside movement.

Bitcoin has tested and retested the sliding line (sl) and continues to stay much above the 6000 support level. A valid breakout above the lower median line (lml) will signal an increase towards the 50% Fibonacci line and towards the median line (ml).

However, a valid breakdown below the sliding line (sl) will force the rate to drop below the 6000 psychological level as well.

Ethereum

The Ethereum downside movement was paused and now is trying to approach and reach some very important upside targets.

Ethereum downside movement

Price has failed to stabilize below the 385 static support and now has jumped much above the median line (ML) of the major descending pitchfork. Resistance can be found at the 50% Fibonacci line again. Only a valid breakout above it will send the rate towards the upper median line (UML).

The failure to approach and retest the downside 50% Fibonacci line has signaled an oversold and a potential leg higher. A valid breakout from the descending pitchfork will really confirm a larger upside movement.

Ripple

Ripple tries to become the leader in the payments transfer sector on the cryptocurrency market. It could launch a Ripple-based international payment app. in partnership with the Bank Santander. Ripple invests $25 million worth of XRP in the VC Firm Blockchain Capital. All these efforts could help the crypto price to increase in the upcoming period.

Ripple tries to become the leader in the payments transfer sector

Technically, the XRP/USD is still trapped below the minor downtrend line and below the 0.57210 broken static support. I’ve drawn an ascending pitchfork hoping that I’ll catch an upside movement. Price slipped below the lower median line (lml), but a false breakdown could signal another leg higher. We may go long on this cryptocurrency after a valid breakout above the downtrend line and if will stabilize above the lower median line (lml).

Categories
Crypto Market Analysis

Market Capitalization Steadily Rising

General overview:

Market Cap: 265,099,377,794$

24h Vol: 11,200,759,879$

BTC Dominance: 43.8%

Cryptocurrency Daily Update

In the last 24 hours, the market capitalization has been steadily rising from around 259B and is now sitting at the resistance levels again.

Ripple - Cryptocurrency Daily Update

Another plateau was formed at approximately 10B more than the previous point, which in terms of the price is around 259,000,000,000$.

News

Goldman Sachs Exec Leaves To Join Mike Novogratz’s Crypto Merchant Bank

>Cryptocurrency merchant bank Galaxy Digital, founded and run by former Wall Street exec Mike Novogratz, will reportedly be hiring Goldman Sachs executive Richard Kim as its new chief operating officer. “Crypto capitalist” Anthony Pompliano posted on Twitter that the “brain drain from Wall Street continues.” Source: Molly Jane Zuckerman April 10. 2018, cointelegraph.com

Japan Has Over 3.5 Million Cryptocurrency Investors

>The Financial Services Agency (FSA), Japan’s financial watchdog, has published a report that gathered data from the 17 leading cryptocurrency exchanges in Japan and found that over 3.5 million people, close to 2.8% of its population, is investing in the emerging asset class. Source: Ricardo Esteves April 10. 2018, newsbtc.com

European Commission Urges EU To Play ‘Leading Role’ In Blockchain Development

>European Commission (EC) Vice-President Andrus Ansip has recently called on Europe to become a world leader in digital innovation by embracing Blockchain technology, along with Artificial Intelligence (AI),  in a speech at EC’s Digital Day 2018 in Brussels Tuesday, April 10. Source: Helen Partz April 10. 2018, cointelegraph.co,

UNOPS Partners With Dutch Government To Explore Blockchain’s Untapped Legal Potential

>A joint initiative between the Dutch government’s “Blockchain Pilots” program and the United Nations Office for Project Services will explore the legal potential of distributed ledger technology. Source: Jordan Daniell April 10.2018, ethnews.com

New Blockchain Investment Fund With Chinese State Ties Launches

>After two failed starts by separate investment funds, a new Chinese blockchain innovation fund has solidified the nation’s long-term commitment to blockchain technology and has over a billion USD in government backing. Announced today, the Zhejiang Xiongan Blockchain Strategic Development Research Institute (ZXBSDRI) was launched inside China’s Hangzhou Blockchain Industrial Park. Source: Jordan Daniell April 10. 2018, ethnews.com

Analysis

BTC/USD

 

The daily chart is looking bearish as the Bitcoins price failed to create a higher high and is now 6823$. Not much has changed since yesterday, expect that the price slightly rose by 1,84%.

The current Bitcoin sentiment is positive, which means that discussions and mentions on the internet are 72,12% positive from 104 mentions in total.  Source: sentiment.ioBitcoin - Cryptocurrency Daily Update

 

Looking at the hourly chart, we are seeing that the head and shoulders pattern is completed since the price failed to exceed the previous high.

Overall hourly chart signals a sell.

Pivot points:

S3        4773.3

S2        5857.9

S1        6375.2

P          6942.5

R1       7459.8

R2       8027.1

R3       9111.7

 

Closely monitor these levels. If the uptrend support line is breached, we are in for more movement to the downside with high volatility.

 

ETHUSD

Ethereum’s price rose around 4.25% in the last 24 hours coming from 400$ to 413$ where it sits now. However, the price is still below the uptrend support line in a no-trade zone.

The current Ethereum sentiment is positive, giving it a score of 73,33% from 120 mentions in total. Source: sentiment.io

Ethereum - Cryptocurrency Daily Update

On the hourly chart, we can see that another kissing point has been made with the uptrend support line which is now serving as resistance, making a quadruple top. Lower spectrum of the price action is rounded, and it seems like a bottom of a cup and handle formation, but with the upper end of the range interacting four times with resistance, the formation is not certain.

 

Overall the hourly chart signals a buy.

Pivot points:

S3        266.92

S2        326.80

S1        355.48

P          386.68

R1       415.36

R2       446.56
R3       506.44

 

Since May 29. Till today the Ethereum’s price is interacting with the uptrend support line which is now serving as resistance and is stuck in a range between 414$ and 370$. This is because on the 416$ there is a 100% Fibonacci level which is the top of the previous range, and is serving as a strong resistance. There was to be a strong momentum behind an upward trajectory to break that resistance, and it hasn’t been experienced four times now.

XRP/USD

Ripple has been sitting around the same levels as yesterday, with a slight rise of 2,04% making the price to sit at 0.488$.

The current sentiment for Ripple is very positive, giving it a score of 83,67% out of 49 mentions in total.  Source: sentiment.io

Ripple XRP/USD

Zooming into an hourly chart, we can see that the price, in fact, did form a symmetrical triangle, which I was expecting yesterday. Symmetrical triangle a consolidation pattern which means that the price can break out of it from any side.

 

Overall hourly chart signals a buy.

Pivot points: 

S3        0.29764

S2        0.39765
S1        0.44120
P          0.49766
R1       0.54121
R2       0.59767
R3       0.69768

Even though there are no clear signs as to which side is the price likely to breach, the formation is almost completed, so we will soon see.

Conclusion

Markets have been really quiet in the last 24 hours – no major news, low volatility and little action overall. This may, in fact, be the calm before the storm. As to which side the wind will blow, we would just have to wait and see, but from a probability standpoint, I would say we are up for more downward trajectory.

Categories
Crypto Market Analysis

Bitcoin reverses and entered into losses again

 

BTC

The Bitcoin price for today reports loses around -4.06% as the session has progressed on Monday, after initially starting the day with some gains. Following on from some decent buying seen over the weekend, as has proven to be the case on several occasions.

Upward price movements were seen across the crypto market after over-excitement produced by reports of big players interest in cryptos. The intentions of George Soros and Rothschild were mentioned, among others.

Technically, BTC/USD looks pretty vulnerable to another drop, as the price has formed a bearish pennant pattern, seen within the 4-hour time frame view. Support is currently set around $6,600. If this support is broken, we could see a downward move to the mid $5,000 region. The closer resistance is its 200 EMA, located at around $ 6.935, but the price has to cross first its 100 EMA around $6.848.

 

ETHEREUM

Ethereum’s price shows a slight increase of about 0.79% in the last 24 hours, after an exciting rise up to $ 430.24 in the today’s early hours. Over the weekend, ETH broke its 200 Period EMA in the 1 H chart, and it was quite bullish, but this morning it quickly resigned its profits to return around the 200-period EMA.  At this moment it is quoted at around  $400. Now its 200-EMA seems to become a strong support for the coming days on the ETHUSD pair.

The bullish trend line that was forming was not strong enough neither it held the price, so we will watch if it becomes resistance in the next few days.

The next visible resistance is $ 411, and above $ 430, if the price returns below $ 400, the $ 391 would be its closest support, then the 100-period EMA close at $ 386 and, below,  $ 376 (last April’s bottom price)

XRP

Ripple lost -1.42% in the last 24 H, and it is now moving around $0.48. After starting the day up 5%, the gains were quickly taken back by the market bears, reconfirming that the current trend is still firmly pointing to the downside.

XRP as BTC was receiving some renewed optimism initially after several reports raised a lot of excitement. They were suggesting that there were big players interested in cryptocurrency investing, such as George Soros, Rothschild, and others.

But the news wasn’t good enough for the XRP price, and it ran into some heavy selling that sent price close to the $0.50 level.  Now its wise to look back towards $0.45 area for support and if crossed, the likelihood of its price to visit the $0.40 level is high.

 

 

Categories
Crypto Market Analysis

Cryptocurrencies Market Cap Slightly Up From Its Lowest Point

General overview:

Cryptocurrency Market Cap: 265,511,000,000$

24h Vol: $9,014,760,000

BTC Dominance: 44.8%

Current Crypto Market Cap

In the last 24 hours crypto market cap has slightly risen from its lowest point at 259,285,000,000$ to its highest point at 267,789,00,000$ and has now pulled back to 265,511,000,000$ because of the resistance at these levels.Current Crypto Market Cap

 

As we’ve recently bounced upward from a support around 250B which is where we were on November 25th last year, more sideways movement is expected.

News:

Some positive news came out in the last 24 hours which might change this sideways action to an upward trajectory.

As it turns out, State Bank of Pakistan never banned the use of cryptocurrencies.

>The State Bank of Pakistan (SBP) has released information that seeks to clarify the bank’s position on digital currencies. Although the statement “advises” both the public and institutions against dealing in the coins, it is not an outright ban.

Source: Thomas Delahunty | April 8, 2018, newsbtc.com

Soros, Rothschild, and Big Institutional Investors are Entering Bitcoin Market

>Financial moguls, including George Soros, the Rothschild family, and others, now have their sights set on Bitcoin. It makes for an interesting development, albeit the potential impact has yet to be determined.

Source: JP Buntinx | April 8, 2018, newsbtc.com

Petition To Reverse Indian Central Bank’s Crypto Ban Gains 17,000 Signatures

>A Change.org petition for “Mak[ing] India at the forefront of Blockchain Applications Revolution” in response to the Indian central bank ending all dealings with crypto-related accounts this week has gained over 17,000 thousand signature since going online April 5.

Source: Molly Jane Zuckerman | April 8, 2018, cointelegraph.com

OTC Bitcoin Trading Surges in Canada, Same May Happen in India

>In Canada, it seems OTC trading is quickly gaining popularity. Just last week, the volume has spiked well beyond the regular volume. Over in India, the regulatory situation has taken a bit of a dire turn. The Reserve Bank of India made it clear banks are expected to end support for cryptocurrency companies. Exchanges and trading solutions may find different ways to counter this solution, assuming the need arises to do so.

Source: JP Buntinx | April 8, 2018, newsbtc.com

 

Analysis

 

BTC/USD

BTC/USD Cryptocurrencies Market Cap
As you can see from this daily chart, the price is still in this falling wedge, which started as a correction on December 16. Since then the price has fallen around 65% and is now sitting around 7000$ after the uptrend support line, originating from July 17 last year, repealed the price.

cryptocurrency valuesThe current crypto market cap sentiment for Bitcoin is slightly negative, meaning that mentions and discussions on the web are leaning 10% toward negative.

 

Source: sentiment.io

 

 

 

current market cap

 

Zooming into an hourly chart, we can clearly see the interaction with the uptrend support line and how it held pretty good. The price is currently experiencing sideways movement because of the interaction with these significant levels which can be interpreted as indecision.

Overall hourly chart signals a buy.

Overall hourly chart signals

 

Even though hourly chart signals a buy, be cautious if trading, as we are still in a no-trade zone, and without confirmation for a trend reversal. As you can see from the daily chart, I’ve drawn another non-confirmed uptrend support line (dotted line), originating from March 25 last year. That line crosses over 50% Fibonacci level which is very significant, so in the next couple of days, I will be closely monitoring price action, as I am expecting another downward movement to retest those levels which in terms of price will be 6000$. However I am not expecting it to be a wick like last time on February 6, but a proper close, and a wick to extend to 5500$.

ETH/USD

cryptocurrency value

Ethereum daily chart shows that the price is still in the falling wedge, and not only that but has also fallen below the secondary uptrend support as is now sitting at around 400$ which is a 71% less than at its highest point of 1419$ per ETH on January 13.

 

current Ethereum sentiment is mixedThe current Ethereum sentiment is mixed, meaning that there are equally positive and negative mentions and discussions on the web.

Source: sentiment.io

 

 

crypto currencies market cap

In the last 24 hours, ETH price has risen 6.95% and is now sitting at 412$ interacting with a 100% Fibonacci level that was the top of the range on June 12 last year.

 

Overall hourly chart signals a buy.

 

 

 digital currency values

 

Even though the price is showing an upward movement, Ethereum is like Bitcoin in a no-trade zone. Closely monitor what happens at these levels, as I would expect the price to go down from here to the cross-section of the uptrend support line number 2, top of the triangle from which the price has previously broken and 0.78 Fibo level which will be in the term of price around 330$.

 

XRP/USD

cryptocurrency market

As you can see from this daily chart, the price was broken out of the first falling wedge only to get caught into a downward channel that brought the price down to where it is now sitting at around 0.5$ interacting with 0.38 Fibonacci level which is 57% less than the starting point of the channel.

RippleThe current Ripple sentiment is slightly negative, meaning mentions and discussions on the web are just slightly leaning toward the negative side.

Source: sentiment.io

 

digital currency by market cap

Hourly chart shows sideways price action but definitely on a short-term uptrend in which the price rose up 5.66% in the last 24 hours and is now interacting with 0.38 Fibo level which serves as a resistance point for now.

 

Overall hourly chart signals a buy.

crypto market

 

 

What is stated about Bitcoin and Ethereum implies here as well – no trade zone.

Conclusion

As a conclusion, I would like to say that the correlation between these three cryptocurrencies is strong and that they are all in the same point of their cycle. These are interesting levels as the downtrend is losing its momentum and the bulls are waiting for a confirmation to reenter the market. Expect a lot of sideways action as we are nearing the accumulation zone.

Categories
Crypto Market Analysis

Risk aversion returning to crypto markets once again

BTC

Today, the Bitcoin price shows a decline of -2.55% in the last 24 H and its moving at the time of writing this update around $ 6587.

The Immediate support is $ 6495 and a bullish pressure not necessarily strong can send it to $ 6434 (Minimum of April 1)

The 200 and 100 SMA lines are approaching. If the 100 SMA crosses over the 200 SMA, we could be facing a reversal; however, this SMA can become an important resistance in the short term even for a probable rebound.

The stochastic is pointing down to indicate that sellers still have some energy to pressure the BTC to have more losses, although it is still far from oversold conditions which indicate weakness in the bearish pressure.

Risk aversion returned to markets once again in the face of worsening trade tensions between the US and China. Any of the parties refuses to back down and has announced higher tariff blocks between them in the last 24 hours.

That has led to a large wave of stock and commodity sales, which has motivated traders to place funds in the Dollar as a safe haven. This morning’s NFP did not bring good news for the dollar either, as only 103,000 jobs were generated in the last month compared to an expected data of 190,000. This result discourages the hopes of rising rates during the rest of the year and does not make the dollar attractive compared to the Bitcoin price.

XRP

The Ripple price lost -4.20% in the last 24 H, and it is now moving around $0.46

The XRP has not had any recovery during the last sessions above $ 0.5000. There were mainly bearish movements below the resistance of $ 0.5000 and the Simple Moving Average of 100 hours. The recent minimum was formed at $ 0.4754, and after that, its price has been moving in a range.

The most important barrier to a recovery is near the resistance at $ 0.5000 and the simple 100-hour moving average. If the price crosses this number, most likely will visit the $0.5260 and then the $0.5487.

Below that level, we find an immediate support at $ 0.4538 reached on April 1, and, below that level, there are no other supports other than the last prices reached on December 12,  at $0.3715

The stochastic is pointing up (1H graphic) and close to the 80 level, which means that the price could bounce and still move lower.

 

ETH

Ethereum price has lost -3.68% in the last 24  Hours, currently moving around $367.

A short-term bearish trend line has been formed, with resistance at $ 385 on the 1H chart. If we want to see gains in the pair, its price would have to exceed this level, and also exceed the 100 SMA level, which is located a bit higher, and approach the round number $400; but to get there, it must break the resistance at $385 and $391.

There is a positive fact that the price has managed to stay above its support at $ 362-364. The most recent minimum was formed at $364.32 before the price started to consolidate. Currently, it is trading above the $ 364 level.

Categories
Crypto Market Analysis

Another down move down in the Crypto markets

BTC

The price of Bitcoin went down 3.66% in the last 24 hours. It reached $7,499, just crossing the 100 period EMA in the 1 Hour chart, but the price wasn´t strong enough, and it bounced back. It is now moving around the $6,916 level.

The 200 EMA seems to offer strong resistance in the path of recovery. The 100 EMA, on the other hand, couldn´t support the price in the $7,202 area and the next support is located near the level of $7,000. The MACD is dipping into negative territory indicating the presence of a bearish force. If the price breaks below the $7,000 level, $6,930 could be the next support. However, it is not far from the recent low at $6,450.

The stochastic is very close to the 20 level and showing a very strong force to go lower with a high selling pressure and still without touching oversold levels. Sellers are having a good time right now.

XRP

Right now, Ripple is undervalued from the longer-term perspective. The cryptocurrency lost over 70% since January 2017, but the massive sell-off was not because of clear fundamental reasons. In this scenario, we could see a more pronounced rebound when the cryptocurrency market starts recovering from recent lows.

The main partners in the Ripple Network are payment operators, big banks, and financial institutions, especially in the emerging markets. The market is driven by global catalysts and correlated to Bitcoin movements. So, Ripple has good upside potential, but it won’t have a chance to realise it until the global sentiment shift takes place.

XRP/USD is trading at $0.4935, losing 6.65% in the last 24 hours. The price crossed the 100 EMA easily today, also breaking the uptrend line and the $0.5000 wasn´t a problem neither. It is now looking for the next support at $0.4823. On the upside, the resistance is seen at $0.5500, that’s where the recovery stalled on Tuesday. Once it is cleared, the cryptocurrency will have a chance to get to the $0.60 level.

The stochastic is under the 20 level and seems to have still some grounds to go down further.

ETH

The price of Ethereum has been falling considerably in the last hours after reached $415, and then broke a major resistance near the area of $390-395. Then it came the strong sellers force generating a downward correction sending the price to where we have it at this time in the $375 area. There was no consideration of the significant support near the $400 level and the 100 EMA on the 1Hour chart.

If the price loses the support in the $374 area, we could be visiting $360. On the positive side, $445 would be the next resistance level and maybe above $460, the 28th March maximum.

The Stochastic is recovering a bit and trying to leave the oversold area but still below the level of 20.

 

Categories
Crypto Market Analysis

The bearish sentiment remains firm in the Crypto world

BTC

The Bitcoin price for today reports a decline of -1.74% in the last 24 hours, the price at the time of writing this update is $6,740. The technical indicators are giving us mixed signals, but it seems that the bearish sentiment remains firm and the bears will continue to win, although if we look at the Stochastic pointing upwards, we could be feeling a bullish pressure, so the price of Bitcoin could bounce from here.

If the Bitcoin price reaches its minimum of the 1st of April, we would be forming a double bottom pattern. This would indicate a buying opportunity, taking the neckline as a reference in the $7,500 area, which would give good dividends. We find immediate support in $6,495, below $6,185.90 and then $5,876.60.

Below the current price range, the price would drop to the $5,000-$5,500 region if these few supports are broken. This scenario would make a price recovery very difficult.

An important consideration in the current market is the global uncertainty caused by commercial tensions between China and the United States, as this is one of the main factors that drives the price of Bitcoin down. Under these situations of uncertainty, traders feel less appetite for risk, and instead, put their funds in safe assets such as the Dollar and bonds. Operators have also taken this step back as an opportunity to liquidate positions, fearing that the upticks will not last long in this market environment.

The 100 and 200 periods SMA appear even distant for the price, so it seems unlikely for Bitcoin to break them. If the 100 SMA is broken, the next reference point would be the 200 SMA at $7,151. Above $7,344 and $7,500 are the next resistances for the price, if reached, it would probably set the bullish trend to an end.

XRP

The Ripple price lost -1.74% in the last 24 hours and had started another day of loses, which is normal lately for this cryptocurrency. Ripple is currently within a four week consecutive period of losses and dealing with low levels that have not been seen since December 2017. During the bull run, the cryptocurrency dropped to $3.

Technically, XRP/USD is moving in a range between $0.48-0.43. If the price goes lower, it would be facing a quick drop to the $0.20 area, within the short term, upside looks to be reached around $0.55 and then the $0.70.

The stochastic touched the oversold area and now is pointing up but this hasn’t had any influence on the price.

ETH

The price of Ethereum has gained 1.50% in the last 24 hours, but it remains on the back foot in trading on Thursday, and it’s trying to reach the support area around $370. The bears are providing added pressure, after allowing some minor upside at the start of the week.

Most of the important cryptos are in a strong downward trend right now, but there is not much in the way of fundamental drivers to attribute this situation.

Yesterday, we could see a small upward movement above $400 in price against the US dollar. However, the price couldn´t gain traction and started a downward movement from $405, first breaking the round number of $400, and then the 100 period SMA. The lower part of a very defined bullish channel with support at $395 has also been broken in the hourly chart. At this moment, the price is negotiating close to $376, and if recovery does not appear in the short term, we could be visiting the minimum of $364. A break of $360 could open the doors to $300.

 

 

Categories
Crypto Market Analysis

BTC Testing a Dynamic Inflection Point

BTC

The price of Bitcoin reports an increase of 3.80% in the last 24 hours, moving above 7000 USD. The price of Bitcoin still couldn’t overcome a resistance around the 7110 level and is moving within a bearish channel in the 4-hour chart. However, the price bounced off the centerline of the channel and could be due to an imminent setback. The price crossed up the downtrend line in the short term to indicate a rebound in the upward pressure.

100-period Moving Average

The 100 period Simple Moving average is below the 200 Simple Moving average; it indicates that the path of least resistance is Bearish and also that sales can be resumed more easily than purchases.

BTC price is currently testing the dynamic inflection point of its 100 SMA, and if it remains as resistance, the BitCoin could make another visit to its nearest support or move to the bottom of this descending channel. Its 200-SMA line is quite close to the top of the channel, around $ 7,500, and is gaining strength as a hard resistance for the price.

Stochastics

The stochastic is bouncing off its 20 level even without showing buying pressure and quite hesitant at this time, which also indicates that the price of bitcoin could go down. The oscillator has grounds to move down before reaching oversold levels, which suggests that sellers could maintain control for a longer time.

Bitcoin ended the previous quarter with a significant decline in its price, thanks to a series of negative news at the end of the month. These include Google’s plans to ban cryptocurrency ads from its search engine and Twitter’s decision to ban ICO ads as well.

Meanwhile, the Dollar managed to stay supported by the risk flows derived from the concerns of the commercial war and the increase in interest rates of the Federal Reserve. The main catalyst for the Dollar this week is the NFP on Friday and pessimistic results could further reduce the adjustment expectations.

With that, investors could continue to wait for positive reports from the cryptocurrency industry to see if Bitcoin price could be able to stop its fall

Headlines have not been so upbeat, with countries like Chile and Kazakhstan taking adverse decisions against cryptocurrencies, and help keeping regulatory fears in play.

ETH

The Ethereum price reports an increase of 3.15% but it has not been enough for the price to reach the resistance near the level of USD 390.

The price of ETH reached a new low in the day in $ 360 to find then a buyer impulse that led the currency to touch the resistance again in the 390 The pair is trying to cross the bearish trend line near the $386, if the cross is confirmed, it could move above the resistance zone of $ 390-for an upward correction in the short term.

However, there are many upside barriers close to the mentioned resistance level at $ 390. The price is not too strong for now and could be going back looking for the minimums. Still, we must be alert to a close above the 100-period EMA in the 1-hour chart that can lead the coin up to $407 and then to $418 in the short term.

Its Stochastics is moving below the 80 level and looks quite weak and indecisive; the 200 and 100-period EMAS are quite separated which indicates weakness and indecision in the pair.

BCH

The price of Bitcoin Cash had an increase of 2.69%, moving the price to $ 680.

The pair is under a lot of pressure and trades below the $ 700 level against the US dollar. The pair crossed the bearish trend line near $660 that is now an important support. Apparently, it has been gaining strength in the last few hours and is looking for the 100-period EMA in the 1 H chart, very close to 700 USD. If it crosses this level, we will be possibly seeing a new rising wave in the short term.If the price can’t cross this resistance in the 700 USD, we could possibly see a rebound towards $662 and below in the $624 (minimum of April 1st).

 

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Forex Educational Library

Profitable Trading – Chapter 1: Market Anatomy

Introduction

In their pursuit of a profitable system or strategy, traders look at past behaviors as a forward indicator of prices.

Indeed, if the price movement is an objective manifestation of the average trader sentiment, then wherever in the future the same sentiment arises, a pattern might take place with a shape similar to the one drawn in the past.  From this belief, it follows that the study of patterns may be of help to find entry and exit points in our pursuit of profits.

There is a catch, though. The human brain is a natural pattern recognizing system. We see patterns everywhere. In ordinary life, that’s the way we recognize things: A round tire, a rectangular table, or a staircase shape. When random events enter into the equation, we continue seeing patterns, although not always, they may exist. Nowadays, Technical Analysis is evolving toward a more evidence-based framework, pushed by authors such as David Aronson, Robert Carver, and others.

I’ll deal with this framework in a future article series, but, throughout the following issues, we’ll deal with the standard TA framework as a foundation for the later. We will develop a base knowledge and the tools to trade the three different market types.

Please keep in mind that, here, we’re dealing with uncertain events, so nothing is 100% sure. Sometimes not even 50% sure. But our objective when trading isn’t being right, but profitable, so as long as our overall performance is positive, the technical signal is good.

Market classification

There are three basic market types:

  • Bull markets: broad ascending trends with sporadic retracements or sideways moves or channels.
  • Bear markets: broad, descending trends with sideways movements or strong and fast bear-trap retracements.

Of course, when trading currency pairs, a bearish market in one pair is a bullish market in its inverse pair, so the tools for bear and bull markets tend to be somewhat similar, and the situations encountered quite symmetric.

Sometimes, lateral markets aren’t perfectly horizontal. The main feature of a lateral market is its increased volatility and noise. The other trait is the seemingly cyclic nature of their movements.

Anatomy of a trend

In Fig 1, we may observe a bullish trend on the EUR/AUD, back in 2015. We may see that prices move in waves. However, the crest of a new wave goes higher than its preceding one. Similarly, its valley is more elevated than preceding valleys, as well.

So, a practical definition of an uptrend is a price pattern with higher highs and higher lows. Consequently, a bearish trend, or downtrend, is, then, a price pattern with lower highs and lower lows.

Trends happen on any time-frame. Even a single bar might be classified as a bull, bear, or lateral. A candlestick with a long white body and short shadows is, in fact, a bullish trend in its tiny time-frame while a long black candle with small shadows accounts as a bearish trend.

Lateral movements on a single bar happen when the candle presents a small body, or none at all, together with long upper and/or lower shadows.

Phases of a bullish trend:

The wavelike pattern, present in most trends, is the result of phases of accumulation, distribution, and sale that draw two different kinds of patterns: One impulsive and one corrective. Every one of these phases accounts as a trend (or lateral channel) in a shorter time frame, which might be composed, at the same time, by shorter trends with its own phases of accumulation, distribution, and selling.

Accumulation phase:

In the later stages of a wave valley, there is accumulation by smart traders who think there is an excellent opportunity with low risk, forming a support level. Sometimes, this support is briefly broken to the downside; stops are taken, and, then, the price back up, again, above support.

After this last trick to fool the weak hands, price starts to climb, slowly at first, faster as momentum grows. In the final moments of this phase, price moves quickly, with substantial price increases on higher volume.

Distribution phase:

In the final stage of an impulsive phase, selling begins by smart profit takers, while the price is still rising, then it reaches overbought levels. A kind of barrier seems to have been established: It’s called a resistance level.

At those levels, more traders are willing to sell than buyers can manage, so price stagnates. Latest bulls don’t have the strength to raise prices beyond that point, but this new leg high is higher than the one in the previous impulsive phase.

Selling phase:

Price moves in a declining channel. Traders that went long at its highs close at a loss. Thus, the price moves down. Then, price recovers as if a new leg up might happen, just to fade again a bit lower than before. Several push-pull phases take place, its pattern like a fading oscillation.

Price reached a new support, and a new accumulation phase begins. Usually, this support is at or near the high of the previous impulse high. This stage draws a corrective pattern.

Phases of a bearish trend

In stock and futures markets, there is a marked asymmetry between bull and bear markets. The former being orderly and, usually, less volatile, except at its beginning, while its ending depicts exuberance and extremely positive expectations. Conversely, bear markets depict much higher volatility, together with fast, bear-trap rallies.

Sell-offs drives prices down much faster than when they are rising. Bear markets tend to be short and fast, losing between 20 to 70% of its value. On stocks, it may lose up to 95% of its value, as it happened to some tech stocks back in 2000 or bank stocks in 2008.

Currency pairs, by its own nature -currency prices moving against each other- make bull and bear phases symmetrical. The discussion above may have been the same if we swap the pair. So A bearish trend in a currency pair has identical stages because it’s just a bullish trend looked from the short side.

What is essential to be aware of is that the impulsive pattern, be it up or down, is the one where we could make more profits with reasonable reward to risk ratios. And the corrective leg (2), the product of a selling phase, is harder to trade and presents more mediocre rewards for its risks.

Fig 2 shows this behavior. We may discover that the Reward to risk channel on the impulsive phase (1) is much broader than on the reactive leg (2) when traded to the short side.

On the impulsive leg, the potential reward is more than 2x its risk, while to the short side, on a corrective phase, it’s less than one, even in the ideal case of taking profits at the lowest low of the channel.

This is a good example of why we should never fight the trend. Instead, we might use a corrective leg to add to a position or entering near support, that is, near the bottom of the channel.

Upside down, this example applies to a bear trend. Here, the impulsive leg, of course, is downward.

There are trends where the channel is more extensive, and both phases, impulsive and corrective, are equally profitable. But those cases are comparable to a sideways market, so the same kind of strategies applies there.

Sideways channels

A sideways channel happens when the price oscillates between two levels that seldom move or move up or down very slowly.  If the channel is wide enough, it may offer trading opportunities, although, usually, volatility is higher, so it’s harder to trade.

Fig 3 shows a sideways channel that took place in the EUR/GBP from Nov. 2016 until Jun. 2017.  Here, we observe there’s a floor level and a ceiling level, where bounces occur.  On this sideways channel, we could split every leg and consider each leg as a bull or bear trend, and go to a shorter time frame to trade it.

But not always, this may be possible. Fig 4 shows the price behavior on the USD/CHF pair for the last five months, from the end of May 2017, till the beginning of October. We may observe that the high volatility that takes place in the last two legs makes it difficult to differentiate impulsive from corrective.  There we must switch to a shorter time frame in search of better behaved impulsive patterns.

A final word about time frames. We should use a higher-order time frame as our guide to decide which side to trade on the shorter frame, then mark support and resistance levels and potential entry points and stops to assess the reward and its risk.

Levels, breakouts, support, and resistance

I’ll tell you here my personal view about levels, support, resistance, and breakouts. People trade their beliefs about the markets. Price is continuously moving in a struggle of two sides, while a third side is watching.

The fight is between those who believe it’ll go up and those thinking it’s already too high and must go down. If the believers on one side are less than on the other hand, price moves against them until a new consensus is made where both parties have similar power.

At price levels where the power of bulls and bears is similar, the price cannot move up or down any longer, until one of the parties weaken or the other gets more strength. In the first case of a price going up and then stagnating, the level is called resistance. The case of a price falling and then stopping its downfall is called support.

On the occasions when the price is pushed beyond resistance, it’s called a breakout. If the price crosses a support level to the downside, it’s called a breakdown. Sometimes the breakout or breakdown is of short duration, price resuming to its previous levels after a few bars. In such cases, it’s called a failed breakout or a failed breakdown. Thus, the passing of time confirms the breakout or breakdown. As time goes, the strength of a support or resistance level increases.

Fig 5 shows a couple of support and resistance channels with two breakouts. Please note that on the second channel, supports are located at the peaks of the sideways channel that preceded the first breakout. This is quite usual, and a persistent pattern in trading charts. Current support levels were, first, resistance levels crossed by a price breakout, becoming supports. Similarly, current resistance levels were support places that were pierced down.

Support and resistance patterns are extraordinarily useful because of their rather good predictive value. Buying at support and selling at resistance is one of the better strategies around, and not only by its success rate but also because they are locations with excellent reward to risk ratio.

Channel contractions

Channel contractions are patterns sometimes called flags and sometimes pennants, wedges, triangles, etc. Although many books about trading patterns make a differentiation between them, they are the same corrective phase, after an impulsive leg.

The critical point to remember about this type of formations is that they are excellent places to trade following the breaking direction. We don’t care which one is it. Usually, it’s a trend continuation, but that doesn’t matter much because the second most important feature of a range contraction is that at those spots, the reward to risk is increased almost double compared to its beginning point.

Fig 6 shows an example of a channel contraction, where we will be able to observe at 1 the risk at its beginning and at 2 the risk at its end. We, also, are able to see that this type of formations is a trend continuation most of the time.

In the next issue, we’ll talk about trendlines, moving averages, and channels.

That’s all for today.

©Forex.Academy

 


References:

I took some ideas from Essential Technical Analysis, Tools, and Techniques to Spot Market Trends by Leigh Stevens. The rest is mine.

All charts are taken from the MT4 trading platform.