Fresh all-time highs, baby!
Crypto bulls have been charging lately, and it looks like these consolidation patterns could draw more buyers in.
Bitcoin is hovering around the $50,000 levels, trying to decide whether to retreat from the rally or to go for more gains.Price is consolidating inside a rising wedge pattern with its higher lows and slightly higher highs, and a break higher could confirm that a steeper climb would follow.
I’m seeing a bullish divergence as Stochastic made lower lows while price had higher lows, and it looks like buyers have jumped in at the 100 SMA dynamic support.
This faster-moving MA is above the 200 SMA to confirm that bullish momentum is present, but the gap between the two has narrowed to reflect a weakening trend.
Ethereum is pacing back and forth between support around $1,706 and resistance near $1,850.
Another test of the range bottom might be underway, and Stochastic seems to be hinting that buyers are eager to jump in!
Moving averages also suggest that the floor is more likely to hold than to break, but ETH has already broken below both dynamic inflection points as an early indicator of selling pressure.
A move below the range support could set off a drop that’s at least the same height as the chart pattern, especially if the 100 SMA crosses below the 200 SMA.
Litecoin drew lower highs and found support around $195, creating a descending triangle pattern on its short-term time frame.Price is retreating from the triangle resistance, but technical indicators are hinting that bulls could go for a break higher. After all, the 100 SMA is above the 200 SMA while Stochastic is turnin’ up from the oversold region.
The 100 SMA is holding as dynamic resistance at the triangle top, adding to its strength as a ceiling. Clearing this barrier would mean that bulls could lift LTC by the same height as the chart pattern!
XRP bulls might be ready to return soon yo!
This neat reversal candlestick right on the 61.8% Fibonacci retracement level, 100 SMA dynamic support, and the rising trend line connecting the lows on the 4-hour time frame suggests that a big bounce is likely.Of course you might be better off waiting for the next candle to close above the doji‘s high as confirmation that bulls are back in the game.
If that happens, watch out for another rally back up to the swing high and beyond!
Note that the gap between the moving averages is widening to show strengthening bullish momentum while Stochastic is closing in on the oversold region to reflect exhaustion among bears.
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!