Home Crypto Crypto Market Analysis Weekly crypto update 06.08.2018 – Lower lows ahead

Weekly crypto update 06.08.2018 – Lower lows ahead

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General overview


  • Market Cap: $254,384,641,922
  • 24h Vol: $11,174,577,378
  • BTC Dominance: 47.4%

From last Monday on July 30. cryptocurrency market cap was around 297 billion dollars in the evaluation. Since then the evaluation has been in a constant decline and from where it’s been to the current levels its fallen by 43 billion dollars.

The market experienced some short-term recovery on 3. of August but the recovery was short lived as the market slumped down again afterward.


News


Some of the top headlines that have marked the prior week are the following:

New York Stock Exchange Operator Announces Digital Assets Platform, BTC Futures

Intercontinental Exchange, the operator of 23 global exchanges including the New York Stock Exchange (NYSE), has announced plans to launch an “open and regulated” global digital asset ecosystem, as well as one-day physically delivered Bitcoin contracts pending CFTC review and approval. The company, called “Bakkt,” will work with enterprises including BCG, Microsoft, and Starbucks.

Bank Of Thailand Allows Banks To Set Up Crypto-Related Subsidiaries

The Bank of Thailand has announced that local banks can set up subsidiaries for dealing with cryptocurrencies, while maintaining that banks and other financial institutions are still banned from directly dealing with crypto. According to the regulatory announcement, Thai banks can now issue digital tokens, provide crypto brokerage services, run crypto-related businesses, and invest in cryptocurrencies through subsidiaries.

Australia Awards $1.7 Million Grant For Sustainable Sugar Blockchain Project

The Australian government has granted around $1.7 million in a grant to the Sustainable Sugar Project for using blockchain to track the provenance of sugar supplies to Australia. The initiative, known as the Smart Cane Base Management Practice, is part of the sugar industry push for more sustainability and traceability.


Analysis


BTC/USD

From last Monday’s opening at 8245$, the price of Bitcoin has fallen by 15,45% as its currently trading at 6968$.



Looking at the daily chart we can see that the price is again below the support baseline 2. As this level was broken again it has less significance but that means that is now strong support around those levels anymore. Currently, the price is looking for support and it found some temporary on the minor range support level, but judging by the momentum of the down move the price is heading further down.


Market sentiment

Daily chart technicals signal a sell.


Pivot points

S3 4649.4 
S2 6033.9 
S1 6523.6
P 7418.4 
R1 7908.1 
R2 8802.9 
R3 10187.4

ETH/USD

From last Monday till now the price of Ethereum has decreased by 13,24% from 467$ to 406$.



Looking at the daily chart we can see that the price is below the uptrend semi-significant level on the same level as the Z wave of the prior low. The price broke out from the ascending channel after a down move which is why the likelihood of the retest of the prior low on the C wave at 360$ is very high in the following week.


Market sentiment 

Daily chart technical indicators are signaling a sell.


Pivot points

S3 276.29 
S2 351.05 
S1 379.03 
P 425.81 
R1 453.79 
R2 500.57 
R3 575.33

XRP/USD

From Monday’s open at 0,445$ the price of Ripple has decreased by 5,87% and is currently trading at 0.428$.



Looking at the daily chart we can see that the last Monday’s open was on the 0 Fibonacci retracement level and from there it has fallen below it to the current range support line. As indicated by the price action this range is going to be broken from the downside.


Market sentiment 

Daily chart technicals are signaling a strong sell.


Pivot points 

S3 0.36357 
S2 0.40144 
S1 0.41552 
P 0.43931 
R1 0.45339 
R2 0.47718 
R3 0.51505

LTC/USD

From last Monday’s open the price of Litecoin has depreciated in value from 84,8$ to 73,872$ which is 12,56% decrease.



Looking at the daily chart we can see that the price of Litecoin has broken out from the ascending channel in which it was consolidating as has gone on to find support on the next horizontal level is found. I am expecting an interaction with the 71,3$ support level and if that level doesn’t hold then the price will head down to the downtrend triangle support line.


Market sentiment 

Litecoin is in the sell zone.


Pivot points

S3 50.034 
S2 63.454 
S1 68.228 
P 76.874 
R1 81.648 
R2 90.294 
R3 103.714

Conclusion


Because the prices have broken there key support levels on the daily chart, more downside is expecting in the following week and search for next support levels. I am expecting the price pattering to create lower lows which would in the case of Bitcoin be from 5500$.

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