Bearish vibes seem to be picking up for bitcoin and its peers these days. Take a look at these short-term charts to see what’s up!
Check out this ranking of bitcoin and its buddies for the past seven days:
Ack, all red again! This time, XRP is looking at the smallest loss among its peers at -6.25% while Bitcoin Cash is deep in the red.
BTC/USD: 1-hour
Bitcoin continues to tread lower as it moves below a descending trend line visible on its 1-hour time frame. Price looks ready for a pullback to this resistance level that is spanned by the Fibonacci retracement levels as stochastic moves north.
A large correction could last until the 61.8% level at $8,441.80 that’s close to the 100 SMA dynamic inflection point. This moving average is below the 200 SMA to indicate that the downtrend is more likely to resume than to reverse.
ETH/USD: 1-hour
Ethereum slumped back in selloff mode as it sold off to the bottom of its descending channel on the 1-hour time frame. Price is bouncing off support and could retreat to the 61.8% Fib that lines up with the channel top around $182 or the mid-channel area of interest closer to the 38.2% level.
Stochastic is just turning higher from the oversold zone to show that sellers are exhausted. Heck, the altcoins are all seeing oversold conditions, so bulls might return soon!
LTC/USD: 1-hour
Litecoin is also in selloff mode as it trends lower inside a falling channel and is currently testing support. Stochastic has some room to head lower before reaching the oversold region, which suggests that a break below the channel bottom is possible.
On the other hand, if support holds, price could bounce back to the channel top around $59 or at least until the mid-channel area of interest. Long-term trend strength analysis reveals that litecoin is in bearish territory, along with the rest of its peers.
XRP/USD: 1-hour
Last but certainly not least is XRP, which is already in the middle of a correction on its short-term slide. Price appears to be inching towards the 61.8% Fib that lines up with the top of the channel and is also close to the 100 SMA dynamic inflection point.
This faster-moving MA is below the 200 SMA to confirm that the downtrend could keep gaining traction while stochastic is closing in on the overbought zone to signal a return in selling momentum.
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!
