I’m seeing a fresh round of bullish breakouts on these crypto charts, with some gearing up for a test of their all-time highs!
How high can these altcoins go?
Bitcoin has surged to new record highs but is approaching a ceiling at the top of its rising wedge pattern on the 4-hour time frame.Will bulls take a break right here?
Stochastic is hinting that buyers are feeling exhausted and might be willing to let sellers take over soon. If that’s the case, BTC could retreat to the bottom of the wedge around $60,000.
The 100 SMA remains above the 200 SMA, though, so the floor is more likely to hold than to break. In addition, these moving averages are close to the wedge bottom to add to its strength as support.
Ether recently busted through the top of its symmetrical triangle on the daily time frame and has since completed its retest of the broken resistance.
Bulls have taken it past the 50% Fibonacci extension level, but the latest long green candlestick suggests that more gains are in the cards. In that case, ETH could make its way to the 61.8% level at $2,343 or the 76.4% extension at $2,440.
Stronger bullish momentum might even take it all the way up to the full extension near $2,600. However, Stochastic has been indicating overbought conditions for quite a while, so sellers could return anytime.
Litecoin is still cruising higher inside its ascending channel and is closing in on the resistance near the $300 major psychological level.Profit-taking could happen soon since Stochastic has been hovering around the overbought zone for nearly a month already. This could be followed by a pullback to nearby support areas, such as the channel support around $200 or the mid-channel area of interest at $250.
Still, the moving averages confirm that the longer-term climb is likely to persist. After all, the 100 SMA is above the 200 SMA and is increasing its lead to indicate that bullish momentum is picking up.
Bitcoin Cash was able to bust through the mid-channel area of interest we were watching last week and is now setting its sights higher.Bulls might be able to take BCH up to the top of the channel at the $800 mark, but they might be keen on booking profits since Stochastic is reflecting overbought conditions.
Then again, the 100 SMA is safely above the 200 SMA to suggest that further gains are in the cards. If the rally isn’t strong enough to push past the channel top for now, a pullback to nearby support regions like the middle of the channel could gather more buying energy.
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!