With bitcoin and its peers stalling at resistance levels, could this be our chance to catch pullbacks on the rallies?
Here are the levels I’m watching.
Bitcoin (BTC/USD) is hitting a wall at the $67,000 level and might need to retreat to nearby support levels to gather more bullish energy.
Stochastic is already on the move down to suggest that bulls are taking a break for now and that price might keep sliding until oversold conditions are met.Using the handy-dandy Fib tool on the latest swing low and high on the daily time frame shows were buyers might be waiting.
The 61.8% level lines up with the $51,000 area and a rising trend line that’s been holding since mid-July. The 50% Fib is also near this area of interest around the $53,000-54,000 levels.
A bullish moving average crossover just took place, so support levels are more likely to hold than to break.
Litecoin (LTC/USD) bounced off that area of interest we were watching last week and is now up to the top of its range on the daily chart.
Stochastic is suggesting so, and the oscillator has already started to make its way south to signal a return in selling pressure. This might take LTC back to the support zones at the bottom of the range at $118 or until the area of interest at the middle.
The 100 SMA is also below the 200 SMA to suggest that resistance is more likely to hold than to break. Then again, the gap between the indicators is narrowing to hint at a potential bullish crossover.
A break past the resistance could set off a climb that’s around the same height as the range, so better stay on your toes if that happens!
Monero (XMR/USD) is still cruising inside its rising channel on the daily chart and might be attempting to break past the mid-channel area of interest.A short-term inverted head and shoulders pattern formed right after the bounce off the channel support, confirming that a rally is underway.
Price has yet to break past the neckline before making a beeline for the next upside target at the channel top.
Just be careful when going long since technical indicators appear to be hinting at another dip to the bottom!
The 100 SMA is still below the 200 SMA while Stochastic is closing in on the overbought zone to reflect exhaustion among buyers.
XRP/USD is hanging out at the top of its symmetrical triangle on the long-term time frame, still deciding whether to make a bounce or a break.
If resistance holds, price could retreat back to the triangle bottom around $0.6950 or at least until the area of interest around $0.9350.
The moving averages seem to be attempting a bullish crossover while Stochastic is pointing up, both suggesting that an upside breakout is in the cards.
If that happens, XRP/USD could climb by roughly the same height as the chart formation!
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