The leading digital asset keeps trading above the support level of $9,100 as buyers manage to keep leadership.
The movement upwards should be confirmed by a breakaway of the upper border of the Triangle pattern and securing above $12,385, in which case the levels of $15,000 and $16,000 per coin may become available in the short term.
What is more, technical analysis suggests further growth as the main variant of development for Bitcoin. However, in case of a negative scenario, a breakaway of the lower border may provoke falling to $7,200.
Furthermore, such a scenario may send all altcoins even deeper down, while Litecoin and Bitcoin Cash are already prone to declining inside the reversal patterns.
All in all, BTC, ETH and EOS are generally preparing for growth, even after a possible correction, which is not the case for other cryptocurrencies.
BTC quotations keep correcting inside a Triangle. There has been another test of the area of the Moving Averages, and presently we are contemplating a bounce.
This still signifies the dominance of the bulls, keeping the key support level at $9,100. As the main trading idea, we should expect a test of the lower border of the pattern and an attempt of moving upwards with the first goal at $13,900.
The scenario may be confirmed by a test of the support level on RSI. The general uptrend may be confirmed by a breakaway of the upper border of the Triangle pattern and securing above $12,385.
The scenario may no longer be valid in case of a decline below $9,115, which will mean an escape from the pattern and the beginning of a decline to $7,200.
On H4, the leading digital asset keeps moving inside the descending channel. Another attempt to fall and test $9,550 before the beginning of growth should not be excluded.
A supplementary signal of a bounce upwards may be a test of the lower border of the descending channel on RSI. As we may see, previously such a test provoked strong growth of the cryptocurrency.
The growth may be confirmed by a breakaway of the resistance line at $11,005. However, we shall be speaking about full-scale returning into the bullish trend only upon a breakaway of the upper border of the descending channel.
The scenario may be canceled by a decline below $9,115, which may signal further correction to the lower border of the descending channel.
The leading altcoin is still testing the area near $190.00 as well as the lower border of the ascending channel.
The quotations push off the descending trendline, which signifies a potential further decline with a test of the support level of $145.00.
However, at the moment of this test, a potential for an ascending Wolfe Wave pattern may appear, aiming at $275.00. So, the probable decline should not be perceived as a “collapse”, rather, as quite a good opportunity for a bounce and a new wave of growth.
The beginning of the movement upwards will be a breakaway of the descending trendline. The positive variant for the Ethereum may be canceled by a breakaway of $120,00, which will signify further decline to $91.95.
On H4, the currency is squeezed inside a Wedge – such a pattern is usually a reversal one. However, here another decline to $146.00 lacks as well for it to become possible to talk about the beginning of growth.
A supplementary signal confirming the completion of the model is another bounce off the resistance level on RSI. As we may see, the growth begins if the indicator values fall somewhat lower.
The scenario of growth may no longer be valid in case the quotations secure below $145.00, which will signify a breakaway of the lower border of the pattern and a further decline.
On the daily timeframe, the quotations have neared the lower border of the ascending channel. However, RSI values are not testing the support line yet, so we cannot speak about the beginning of growth from the current level.
The main trading idea here is a decline to $2.15, where a potential for the growth will emerge. The scenario is supported by an ascending Wolfe Wave forming, which will push the price towards $5.00.
The growth may be confirmed by a breakaway of the upper border of the descending channel. Conversely, it may be canceled by a fall below $2.15, which will signify further decline to $1.45.
On H4, the EOS keeps moving around the minimums. Here, we can also see a potential for falling with the aim at $2.15.
RSI values keep pushing off the descending resistance line, which signifies strong pressure from the sellers.
An attempt to test the upper border of the descending channel near $4.00 and further decline is not to be excluded.
The scenario may no longer be valid in case of growth and a breakaway of $4.85, which will mean an escape from the borders of the channel and the beginning of the growth of the cryptocurrency.
LTC remains under the pressure of the Head and Shoulders pattern. As we may see, the quotations have slumped below $75.00, which means a breakaway of the Neck and a high probability of a further decline aiming below $40.00.
The development of the decline may be confirmed by a breakaway of the lower border of the ascending channel and securing below $65.00.
The negative scenario may be canceled by strong growth above $107.80, which will confirm a trend reversal upwards, when testing of the local minimum may be easily expected.
On H4, Litecoin quotations have managed to secure below the Neck, which is acting like a tough resistance level.
The next goals of descending are $65.00 and $55.00. A bounce off the resistance line on RSI also confirms such a decline.
The negative scenario may be canceled by strong growth and a breakaway of the upper border of the descending channel, which will bring buyers back to the market and entail a test of $107.80.
On the daily timeframe, Bitcoin Cash is still trading in the framework of the reversal Head and Shoulders pattern forming.
There is a potential of further decline with the aim below $177.00. This negative scenario is confirmed by a bounce off the resistance line on RSI.
The movement downwards may be confirmed by a breakaway of $248.45, which is the Neck, and the completion of the pattern.
The scenario may be canceled by strong growth and a breakaway of $400.00, which will mean a breakaway of the right Shoulder of the pattern and further growth of BCH.
On smaller timeframes, the digital asset is declining inside a descending channel.
RSI values are squeezed inside the Triangle, so a strong movement is to be expected upon the breakaway of the border of the pattern.
As a short-term scenario, falling to the support level of $248.45, the breakaway of which will send the price even lower to $177.35.
The scenario may no longer be valid in case of a breakaway of the upper border of the descending channel and securing of the quotations above $355.00, which will mean potential growth to $457.10.
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.