There’s still a lot of consolidation going on among bitcoin and its buddies these days!
Are we about to see huge breakouts soon? Let’s take a look at the cryptocurrency charts to find out.
Bitcoin is still stuck in consolidation, as price formed lower highs and found support at the $30,700 area to create a descending triangle.
Buyers were able to defend the triangle support and are probably setting their sights on the resistance again. Sellers might just be waiting to jump in at the triangle top since technical indicators are reflecting the presence of bearish pressure.The 100 SMA is below the 200 SMA to hint that the path of least resistance is to the downside while Stochastic is approaching the overbought region to show exhaustion among buyers.
Turning lower could confirm that bears are taking over and might even be strong enough to spur a triangle breakdown. If that happens, bitcoin could tumble by the same height as the chart pattern, so watch out!
Ethereum is still on a steady climb, and it looks like buyers are eager to hop in at the mid-channel area of interest.
This level might be enough to keep losses in check since it happens to line up with the 50% Fibonacci retracement and the $1,275 mark. In that case, ethereum might resume its climb to the swing high at $1,500 or even up to the channel top.
The 100 SMA is safely above the 200 SMA to indicate that the uptrend is likely to carry on while Stochastic looks ready to pull up without even reaching the oversold region.
A larger pullback could still find support at the 61.8% Fib that’s near the 100 SMA dynamic inflection point or at the very bottom of the rising channel.
Litecoin is joining its buddy BTC in consolidation mode as price is also stuck inside a descending triangle pattern.However, LTC is seeing mixed signals since Stochastic is just turning higher from the oversold region, suggesting that buyers are just about to get started. This could be enough to spur a bounce off support or even lead to an upside breakout!
In any case, better keep your eyes peeled for a potential breakout since this could lead to either a rally or selloff that’s at least the same size as the triangle.
XRP has formed lower highs and slightly lower lows to trade inside a falling wedge pattern visible on its 4-hour time frame.
The consolidation is getting tighter, which means that buyers and sellers might be winding up for a big break soon. But which way would it go?
Moving averages and Stochastic seem to be hinting that a downside move is likely to follow, as the 100 SMA is below the 200 SMA while the oscillator approaches overbought territory. Aside from that, the 200 SMA lines up with the wedge resistance to add to its strength as a ceiling.
If this is your first time checking out crypto charts, keep in mind that there is a considerable amount of risk in trading cryptocurrencies due to their inherent volatility and sensitivity to headlines. Be careful out there!