This column will provide our readers a basic update on what they can expect from the leading cryptocurrencies in the upcoming week.
BTC gave a daily close below 9075 USDT (support mentioned earlier) for the first time after a month on Saturday. The largest cryptocurrency by market cap is currently retesting the lower part of the range it has been stuck in for over 2 months now.
The upcoming week will decide if BTC finally breaks down from the range or are bulls able to push the price higher once again and continue to hold BTC within the range. If BTC breaks down, alts will also retrace and may test their support levels. Alts in general will continue their party only if BTC remains range bound like it has been for past few months.
BTC/USDT (Daily Chart)- Retesting range lows
BTC/USDT is still in the range mentioned earlier (9075-9905 USDT) but is retesting the lows at the moment.
BTC inches closer to the previous swing low (8642 USDT) while retesting the support region. Bulls need to hold the support and protect the swing low to ensure the uptrend remains intact. Uptrend will end if we get a low below the previous swing low showing signs of control by bears.
The immediate support for BTC lies at 9075 USDT and the resistance level is 9905 USDT.
The breaking of support around 9075 may lead to prices falling towards the previous swing low and alongside larger buying area placed around 8491 USDT. However if the bulls manage to hold the support, the prices will again return in the broader range.
Traders should wait for swing low to break decisively before building short positions and go long only if swing low remains intact.
ETH/BTC (Daily Chart)- Sideways
ETH/BTC continues to remain sideways for close to a month now as it trades closely along its support region.
ETH remains sideways as of now even as BTC may be retesting its support. The important thing though is that the price keeps bouncing back everytime we see a daily close below the support level marked. So far bulls seem to have held it from sliding lower but need to retest highs of the range to continue uptrend.
The immediate support for ETH/BTC lies at 0.024630 BTC whereas the immediate resistance levels are around 0.026933 BTC region.
There is nothing new to analyse about ETH at the moment and traders may want to wait for BTC to give clear indication of its direction as ETH is fairly correlated with it.
XRP/BTC (Daily Chart)- Downtrend
XRP continues its downtrend as usual and there are no indications of reversal at least for now on the chart.
There is nothing new to analyse for XRP too as its in strong downtrend and lacks any upside momentum at the time of publication. The level of control by bears can be clearly seen by how any small pullback and a couple of green candles are followed by large sized high volumes red candles. The green candles also have large wicks in some cases showing price rejection at higher levels.
The immediate resistance levels are around 0.00002220 BTC for the XRP/BTC pair.
Traders should avoid longs on this cryptocurrency and should wait for pullbacks to build short positions only.
ONT/BTC (Daily Chart)- Pullback after breakout
ONT/BTC went up by close to ten percent last week from the levels mentioned earlier and is currently retesting the same price levels again.
ONT had given a good move last week and had almost achieved the first resistance levels mentioned earlier on the charts. The price is currently retesting the breakout zone again and is back to support area after 2 down days.
The immediate support lies at 0.0000652 BTC whereas the resistance levels are around 0.0000714 BTC.
Although the price fell sharply after reaching close to resistance levels and traders need to be careful, the cryptocurrency has an upcoming event of mainnet 2.0 launch which has created buzz around it. As long as the price holds the support and doesn’t break the swing low placed around 0.0000630, the price may rise again towards the previous high region.
Traders should ensure confirmation of support being held before looking to build long positions.
This was the weekly column, for daily updates on markets join Sumnesh’s telegram channel Price Action Charts
Disclaimer: The views and opinions expressed above are solely for educational purposes and should not be taken as investment or trading recommendations. Readers are advised to do their own research and due diligence before making any investment or trading decision.
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