It’s a mix of trend reversals and continuation for bitcoin and its buddies these days. Here’s what’s moving up and what’s not.
Ethereum had a pretty strong run in the previous week as it left its crypto rivals eating dust with an 8.79% gain.
Bitcoin was also in the green as it closed 1.63% higher while BCH lagged behind.
Check out this ranking of bitcoin and its buddies for the past seven days:
Bitcoin bears seem to be gaining ground after taking the altcoin price below the head and shoulders neckline last week. Price is now forming lower highs and lower lows in a descending channel on the 1-hour time frame.There’s a bit of consolidation going on around the mid-channel area of interest for now, but sustained bearish momentum might be enough to take bitcoin all the way down to the channel support around $6,500.
The 100 SMA is still above the 200 SMA for now, so there may still be a chance for bulls to stay strong. Stochastic is also heading north, so price might follow suit before overbought conditions are seen.
Ethereum is still keeping up its climb as price bounced off its rising trend line and looks ready for another test of support.Using the handy-dandy Fib tool on the latest swing low and high shows that the 61.8% level once again lines up with the trend line, this time around the $165 mark.
It also happens to be right smack in line with the 100 SMA dynamic inflection point, which is above the 200 SMA to confirm that buyers have the upper hand.
At the same time, stochastic looks ready to pull up from the oversold region, suggesting that buying pressure is about to return while sellers take a break.
Litecoin completed its retest of the broken trend line on its short-term chart, hinting that a reversal from the climb is underway.Applying the Fibonacci extension tool shows the next downside targets, and price already dipped to the 50% level around $39.70. Stronger selling pressure could take it down to the 61.8% Fib near the swing low or the full extension at $34.84.
However, the 100 SMA is above the 200 SMA to suggest that support is more likely to hold than to break, and stochastic is also on the move up to confirm that buyers are present.
XRP is joining most of its peers in selling off, as price is cruising lower inside a falling channel on its 1-hour time frame.A break below the mid-channel area of interest has already taken place, but price seems to be retesting this level before heading further south.
Stochastic has room to climb before indicating overbought conditions, so a larger correction to the channel top might also be a possibility. The 100 SMA is above the 200 SMA but looks prime for a bearish crossover soon.
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!