This column will provide our readers a basic update on what they can expect from the leading cryptocurrencies in the upcoming week.
This is a weekly column. For more frequent updates on markets, join Sumnesh’s telegram channel Price Action Trading.
BTC bounced back from a lower support at 9905 USDT (mentioned here a few weeks back) after falling by more than 15% at the start of the month. ETH also bounced back with BTC but XRP continued to remain sideways and is showing weakness as stated last week.
The upcoming week will tell if BTC can cross its previous resistance from where the fall for this month had begun and if alts will be able to join BTC’s upward movement along the way.
BTC/USDT (Daily Chart)- Reversed from support
BTC/USDT has started moving up again after multiple retests of the support level at 9905 USDT. While uptrend needs to be re-established before price rises strongly, it looks like BTC may retest the first resistance level.
The bulls would first want a better structure to be in place with BTC making higher highs and higher lows again which was broken last week. The falling volumes are also a concern at the moment but breaking out from the immediate resistance would be a positive sign.
The immediate support for BTC lies at 9905 USDT and the resistance level is 10854 USDT.
Traders should wait for clarity of trend and only look to enter long positions after a confirmed breakout on daily chart through a close above resistance level.
ETH/BTC (Daily Chart)- Reversed from support
ETH/BTC also reversed from support similar to BTC/USDT. However, the structure for ETH seems to have lesser momentum than BTC at the moment and the price needs to break above the previous swing high to continue moving upwards.
ETH/BTC has also given a lower low similar to BTC and currently seems to be forming a lower high too. This needs to be negated if bulls want to move the price higher. The falling volumes are similar to BTC too and a daily close above resistance level is what bulls would want, to turn things around.
The immediate support for ETH/BTC lies at 0.033921 BTC whereas the immediate resistance levels are around 0.03826 BTC region.
Traders should wait for clarity and only take trades on either side depending on whether we get a daily close above resistance or below support first.
XRP/BTC (Daily Chart)- Downtrend continues
XRP/BTC resumed its downtrend last week after one way price rise a couple of months back. The price pulled back to resistance yesterday but was rejected from the level as expected. This in turn provided a good short entry and price continues to decline this week.
XRP tried to breakout above the resistance at the end of last month but retraced back below the resistance despite a daily close above it. This retrace coincided with BTC but XRP continued to remain sideways and infact fell more when BTC bounced back. Bears seem to have stronger grip on the price at the moment.
The immediate support for XRP/BTC lies at 0.00002220 BTC whereas the immediate resistance levels are around 0.000024 BTC region.
Traders may slowly build short positions with adequate stop loss and aggressively trail their stop losses to reduce risk.
BNB/BTC (Daily Chart)- Followup breakout
BNB/BTC started rising from the end of June month after being in downtrend ever since February month. The sideways trend ended last week when it finally gave breakout above its swing high which was in place for several months.
BNB/BTC continued to rise one way throughout the last week and broke through the next resistance yesterday without a pullback. The volumes are also rising along with price and the structure on daily chart looks stronger than most alts.
The immediate support for BNB/BTC lies at 0.0028005 BTC whereas the immediate resistance levels are around 0.0036532 BTC region.
Traders should wait for pullback to the nearest support level for entering long positions instead of entering now as the prices have already increased sharply in the last few days.
THETA/BTC (Daily Chart)- Pullback after breakout
THETA/BTC has had a terrific price increased this year and it seems to be continuing the same after a brief sideways trend. The price gave a daily close above resistance level two days back and is currently retesting the support region.
THETA/BTC has been rising from almost the start of the year but the sharp one way increase in price during the month of May brought this coin in spotlight. What followed was an equally dramatic fall the very next month and then there was a sideways movement for a few weeks. All this ended in beginning of August month which has resumed the uptrend in THETA and the bulls seem in control of price for now.
The immediate support for THETA/BTC lies at 0.00004984 BTC whereas the immediate resistance levels are around 0.00005800 BTC region.
Traders can use this pullback to the support region to build long positions along with a stop loss in place and add to their positions when previous swing high gets taken out.
ICX/BTC (Daily Chart)- Breakout after pullback
ICX/BTC retraced sharply last month but currently seems to have reversed from support and gave daily closing above the resistance level day before yesterday.
ICX started the year with one way uptrend without pullback and that was followed by a long sideways movement which has lasted for several months now. The price gave a breakout from the resistance in the middle of last month but the price retraced within a few days from higher resistance levels. It seems to have rebounded again from the earlier support and may retest the resistance levels. The cause of concern though are the shrinking volumes but bulls may still be able to take the prices higher for now.
The immediate support for ICX/BTC lies at 0.00004548 BTC whereas the immediate resistance levels are around 0.00005420 BTC region.
Traders should wait for pullback to support area for entering long positions unless we get a daily close below the support price.
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.