Bitcoin, litecoin, and ethereum appear to be easing into their trends after last week’s strong moves. Can we catch some retracements this time?
Bitcoin quickly got back on its feet after crashing below the ascending trend line connecting the lows on its 4-hour time frame. But bulls ain’t out of the woods just yet as price appears to be finding resistance at the broken support close to the 61.8% Fib.
To top it off, a bearish divergence has materialized, with price forming lower highs and stochastic showing higher highs. This means that bears could get back in the game and push bitcoin back to the swing low as soon as the oscillator heads down from the overbought region.
However, the 100 SMA is still above the 200 SMA on this chart, so there could still be some upside momentum left and the moving averages could hold as dynamic support zones.
Ethereum buyers are still at it, pushing price up to the top of the ascending channel on its 1-hour time frame after that upside breakout from a symmetrical triangle.
Price seems to be retreating from the ceiling and could be due for a correction to the channel support near the 61.8% Fib, broken triangle resistance, and 200 SMA dynamic inflection point.
Stochastic is also pulling up, so ethereum might follow suit and even go for a break past the swing high at $340.25 to start a steeper climb.
Litecoin has made a lot of progress on its climb since breaking past the top of its descending triangle pattern. Price hit a roadblock around $65.390 and looks prime for a retracement from here.The 61.8% level is closest to the broken triangle resistance and the $60.00 major psychological support while the 50% level coincides with the dynamic inflection points at the moving averages, so either could be enough to keep losses at bay.
However, the 100 SMA is below the longer-term 200 SMA, which means that bearish pressure is brewing. A break below the Fibs could take litecoin back down to the triangle support and swing low at $57.11.