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.
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.
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!
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.
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!