Bitcoin and its buddies recently retreated from their rallies, but there are still signs that bulls might just be waiting to charge. Take a look!
Bitcoin is pulling up from a brief dive as it once again found support at the area of interest around the middle of a new symmetrical triangle forming.
Bulls might set their sights back on the top of the triangle around the $4,200 handle and beyond. After all, the 100 SMA is above the longer-term 200 SMA to indicate that the path of least resistance is to the upside or that support is more likely to hold than break.
Stochastic is also pointing up to indicate that buyers have the upper hand, but this oscillator is closing in on the overbought region to signal exhaustion.
Ethereum still seems to be stuck in consolidation mode as a symmetrical triangle might be forming on its 4-hour time frame. So much for that double bottom we were eyeing last time!
Price is halfway through on its move back to the bottom of the triangle, but it looks like the 200 SMA dynamic support is holding like a boss. Ethereum looks poised for another test of the triangle top close to the $150 mark while stochastic is heading north and the 100 SMA is above the longer-term 200 SMA.
Litecoin is cruising inside its ascending channel on the 4-hour chart but looks prime for a break higher and a steeper climb. Price has been hovering at the upper half of the channel for most of February, hinting that buyers are refusing to let up.
The 100 SMA is also holding as dynamic support at the middle of the channel and is above the 200 SMA to reflect the presence of bullish momentum. However, stochastic is already approaching overbought territory, so another dip to support might be due.
XRP made a pretty strong bounce over the past few days but the top of the descending triangle on its 1-hour time frame still kept gains in check. With that, price could head back to support once more.Stochastic is starting to turn lower from the overbought zone to indicate that sellers are ready to regain the upper hand. Also, the 100 SMA is below the 200 SMA to confirm that resistance is more likely to hold than to break.
A break past the triangle top, on the other hand, could allow XRP to climb by the same height as the chart formation.
Just be warned, there is a considerable amount of risk in trading cryptocurrencies due to their inherent volatility and sensitivity to headlines. Be careful out there!