Bitcoin Bit Bearish Says This Week’s Crypto Technical Analysis

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Trade Floor

Bitcoin’s price failed to test the resistance level and returned to the support level. Such a movement indicates the presence of sellers.

Most probably, the price is ready to break through the local minimum and fall to $6,500. Litecoin is also ready to test $50.00 and perhaps decline to $40.00.

Ethereum chart also looks unadvantageous, a pattern forecasting a decline is forming on RSI with the probable aim at $145.00 or below.

EOS quotations did not manage to secure above the resistance level, and there is a risk of new lows.

There is a reversal pattern Double Bottom forming for XRP, however, until the prices remain under the resistance level, the pattern is unlikely to execute; anyway, XRP has potential for growth.

Bitcoin

The leading digital asset remains under bearish pressure. What is more, there is still a descending impulse, regardless of all attempts to bounce up.

At the moment, another bounce off the descending resistance line on RSI is happening, which signifies the possibility of further decline with the first aim at $6,875. A breakaway of this level will mean falling to $5,720.

The negative scenario may no longer be valid in the case of a strong growth above the upper border of the descending channel and securing above $9,800.

Then we may speak about the return of buyers and an attempt at moving to $12,405.

As a strong signal confirming the growth may be a breakaway of the descending resistance line on the RSI; this might mean a potential breakaway of the upper border of the descending channel

On H4, the quotations are declining inside a descending channel. Here, there is also a Triangle forming; such patterns are normally broken away in the direction of the current trend.

However, an attempt of a correction to the upper border of the pattern should not be excluded; at this moment, a bounce off the support line on RSI may happen, followed by falling with the first aim at $7,630 and the second one at $6,875.

The scenario may no longer be valid in the case of a breakaway of the upper border of the channel and securing above $9,190, which will mean an escape from the Triangle and further growth to $10,995.

Ethereum

As it was expected in the previous forecasts, the Head and Shoulders pattern is completing on the RSI. Execution of such a pattern may provoke a serious decline of the ETH/USD to $100.00.

Here, we can see constant bounces of the price off the area between the Moving Averages, which points at strong pressure from the buyers.

The scenario may be canceled is the resistance level is broken away and the quotations secure above $239.75, which will mean an escape from the channel and an attempt of growth to $280.60.

On the smaller timeframes, the prices are also declining inside a descending channel. The nearest aim of the falling might be at $147.40.

Again, RSI values have pushed off the resistance line. The quotations have also escaped from the short-term ascending channel, which means strong bearish pressure.

The decline of Ethereum may no longer be valid in the case of a breakaway of the upper border of the descending channel and securing above $200.00, in which case the aim of the growth will be at $239.75.

XRP

XRP/USD quotations keep trading above the upper border of the Ichimoku Cloud, which still demonstrates the strength of buyers. There remains potential for growth.

However, this idea should be confirmed by a breakaway of the resistance level and securing above $0.3215, which will mean an escape from the descending channel.

The scenario may no longer be valid in the case of falling below $0.2495, which will signify a return of the bears and a decline to $0.2290.

On H4, the quotations are squeezed inside a Triangle. The price has broken through the upper border of the Ichimoku Cloud and is trading inside it, which points at some pressure from the sellers.

As the main trading idea, we should expect a bounce off the lower border of the Triangle and further growth with the first aim at $0.3215.

A breakaway of this area and an escape from the descending channel might show the end of the formation of the reversal Double Bottom pattern and provoke a strong upward movement.

The growth may be canceled in the case of a decline below $0.2740, in which case the next goal will be at $0.2290.

Litecoin

On D1, the quotations remain under the Ichimoku Cloud, which signifies the continuation of the bearish impulse.

As a strong signal confirming the decline, we should expect another bounce off the resistance line on the RSI.

As we may see, the values remain under the line, so it is too early to speak about a reversal.

The first aim of the price fall might be around $40.30, and the next one — $21.80. Such a negative scenario may be canceled in the case of a breakaway of the upper border of the Ichimoku Cloud and securing above $66.50, in which case there preserves a potential for a reversal of the trend and the beginning of growth.

On smaller timeframes, Litecoin is declining inside a descending channel and is currently testing the support area.

RSI values have shown a bounce off the trendline again, which points at bearish pressure. Falling to $50.20 should be expected.

The scenario may no longer be valid in the case of a breakaway of the upper border of the channel and securing of the LTC/USD above $62.20, which will mean an escape from the descending channel and further growth to $79.05.

EOS

EOS remains under the resistance level. The quotations have also bounced off the upper border of the Bollinger Bands and are ready to go on falling with the first aim at $2.06. Such a scenario is confirmed by a bounce off the resistance line on the RSI.

The second aim of the decline may be at $1.45. The scenario may be canceled by a breakaway of the resistance level and securing above $4.30, which will mean an escape from the channel and further growth with the aim at $5.35.

On the smaller timeframes, the quotations are pushing off the MAs, which points at the presence of a mid-term downtrend.

We are most likely to see further declining with the aim at the lower border of the descending channel. Here, the decline is also confirmed by a bounce off the resistance line on the RSI.

At the test of 70 by the indicator values, a bounce downwards happens and the price falls, which means the presence of the bears on the market.

The scenario may no longer be valid in the case of a breakaway of the upper border of the descending channel and securing above $3.31, in which case the next aim of the growth will be at $4.29.

The weekly Crypto Technical Analysis is provided by Dmitriy Gurkovskiy, Chief Analyst at RoboForex.

Needless to say, all statements and views expressed below 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.

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