The crypto market is correcting again, losing around 10%. Many say this comes from large players’ pressure, while others believe the Sino-US trade wars make traders leave high risk assets.
Technically, however, this is none other than a correction phase before a new leap. Besides, BTC bounced off a round number, $9,000, which is quite common in the market in general.
BTC is trading near the ascending channel lower boundary. With the MA’s headed up, the trend is still ascending.
The price failed to stay above $9,000, while the area between the MA’s got tested, which many believe to be a good start for a new rising impulse.
The fundamental risk is still high, but, financially, there are no reasons for BTC to get sunk.
RSI, meanwhile, is down below 30 for the fourth time. Previously, the major crypto rose after that, and this may be the case now as well.
Conversely, the price may hit the lower channel boundary and stay below $7,175, which will then send BTC outside the channel towards $5,660.
On H1, BTC is correcting, too. In the short term, the price may pull back to $7,000 and then continue rising. This is well confirmed with RSI bouncing off the trend line.
The target is $8,400, which may be reached in case the price breaks out the upper descending channel boundary.
Conversely, this rise may be prevented in case price breaks out the lower boundary and closes below $6,950, which will be a signal for a further fall to $5,660 and below.
A head and shoulders pattern may form as well, in which case the price will first test $7,625 and then hit $8,000 to continue rising.
EOS is also correcting, but is still trading above the Ichimoku cloud, which means the market is still bullish.
The price is not moving much ahead after hitting the upper ascending channel boundary, though, and is currently inside, which means the buyers do not have enough strength.
Most likely, however, the price will first correct and test the cloud boundary at $5.90, and then continue going up, once the resistance is broken out and it stays above $7.10.
Conversely, EOS may fall down and close below $4.55, being pushed out of the ascending channel. In this case, the downtrend will resume.
On H4, EOS is rising after bouncing off the support. EOS is going to rise further in case it breaks out the resistance at $7.10 and closes above.
If the bulls fail to maintain the price above and the bears drop it till the support at $5.93 and below, the crypto may hit $4.58 and continue falling.
ETH is correcting and may bounce off the Bollinger bands, which could be a good buy signal. Previously, a signal like that led to a leap from $145 to $280, and the current situation looks very much similar.
This is very likely to work out in case the price stays above the upper ascending channel boundary, with the target equal to the channel width.
On D1, ETH will most likely test the once broken out support at $231 and then continue rising. Conversely, it may hit the upper ascending channel boundary and stay below $230, heading then towards $190.
The price bounced of the lower ascending channel boundary, which may take the price to $284, especially once the middle Bollinger band gets broken out and ETH stays above $260.
If this is the case, this will end the downtrend and reverse the price. Conversely, the support at $230 may get broken out, which will send the price to $187.
LTC tested the lower ascending channel boundary and bounced. The price managed to stay above the round number of $100, which is the support, and is likely now to head towards $122.
However, in case LTC closes below the lower boundary at $97, a fall will be likely, and the price may head down towards $83.
On H1, one can also see LTC bounce off support, while RSI broke out the trend line, which may send the price higher to the resistance at $122 and further.
With the correction going on, conversely, LTC may head to $95 and below.
XRP is trading along an ascending channel and forming a 5-0 pattern, which means the crypto is likely to continue rising after testing the lower channel boundary, probably to reach $0.4795 or even to break out the local high.
Conversely, XRP may break out the lower boundary as well, in which case it will fall to 88.60% Fibo, or $0.3000.
On H1, XRP is inside a triangle, and the volatility is down before a major move. With a lower triangle boundary test, XRP should then continue rising.
In case the upper boundary at $0.4790 gets broken out, it will most likely hit $0.5875, a distance equal to the triangle’s height.
Conversely, XRP may hit the lower model boundary and stay below $0.3600, which will then send Ripple’s crypto to $0.2830 and below.
The weekly Crypto Technical Analysis is provided by Dmitriy Gurkovskiy, Chief Analyst at RoboForex.
Needless to say, all statements and views expressed above and any forecasts contained herein are solely based on the author’s particular opinion.
This analysis may not be treated as trading advice. RoboForex and Trustnodes bears no responsibility for trading results based on trading recommendations and reviews contained herein.