Price analysis 9/23: BTC, ETH, XRP, BCH, DOT, BNB, CRO, LTC, LINK, BSV

Bitcoin and altcoins are at risk of a deeper correction if they do not rise above their immediate resistance levels soon.

According to survey data from crypto asset insurance firm, Evertas, institutional investors believe that clearer regulations and better infrastructure in terms of trading, reporting, and custodial services will increase their participation in the crypto market.

About a quarter of the respondents expect that pension funds, sovereign wealth funds, insurance companies, and family offices will also become more involved with digital assets. The survey also found that 32% of the participants expect hedge funds to substantially increase their crypto holdings in the future.

The approval of the world’s first crypto asset exchange-traded fund on the Bermuda stock exchange is a positive step that is likely to entice several institutional investors to add exposure to cryptocurrencies. The ETF is a partnership between Nasdaq and Brazilian fund manager Hashdex and is expected to trade on the BSX by the end of 2020.

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

After the 2018 bear market, even a minor fall in Bitcoin (BTC) turns investor sentiment bearish as many instantly fear that a sharp fall is on the cards.

However, on-chain analytics provider Santiment has found that crypto assets tend to bounce sharply when uncertainty and fear are high.

With Bitcoin price still trapped below the $11K level, traders will want to know if  the current technical picture supports a rebound or further downside.

Let’s analyze the charts of the top 10 cryptocurrencies to find out.

BTC/USD

Bitcoin formed an inside day candlestick pattern on Sep. 22, which shows indecision among the bulls and the bears. If the bulls can push the price back above $10,625, the recovery can extend to the 50-day simple moving average at $11,197.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

If the bulls can push the price above the 50-day SMA and the downtrend line, the recovery is likely to pick up momentum and reach the recent highs of $12,460. A break above this resistance will increase the possibility that the uptrend resumes.

However, if the BTC/USD pair turns down from $10,625 or the 50-day SMA, the bears will once again try to sink the price below the $9,835 support. If they succeed, the decline can extend to the 200-day SMA ($9,204).

The 50-day SMA has started to slope down gradually, while the 200-day SMA is moving up slowly. This suggests a balance between supply and demand and points to a few days of range-bound action between the moving averages.

A breakout of either moving average will be a significant event that is likely to start a trending move.

ETH/USD

After the sharp fall on Sep. 21, the bulls are attempting to arrest the decline and start a relief rally in Ether (ETH). However, the small inside day candlestick pattern on Sep. 22 shows a lack of urgency among the bulls.

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

If the ETH/USD pair does not break above the downtrend line within the next few days, the bears are likely to intensify their selling. The relative strength index in negative territory suggests that the advantage is with the bears.

If the pair turns down from the current levels or the downtrend line and breaks below the $308.392 support, the decline can extend to the 200-day SMA ($255).

Conversely, if the bulls can push the price above the downtrend line, it will be the first sign of strength. A breakout of the 50-day SMA ($389) will suggest that the correction has ended and a retest of the recent highs of $488.134 may be on the cards.

XRP/USD

XRP closed (UTC time) below $0.235688 on Sep. 21 and since then, the bears have not allowed the bulls to reclaim the level. The bears will now attempt to sink the price below $0.2290 and resume the downtrend.

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

If they succeed, the XRP/USD pair could decline to the 200-day SMA ($0.214). The bulls will try to defend this level aggressively because if the price sustains below the 200-day SMA, it acts as a stiff resistance as seen between March and July of this year (marked via ellipses on the chart).

The first sign of strength will be a breakout and close (UTC time) above the downtrend line. This will increase the possibility of a move to the 50-day SMA ($0.269), which could act as a resistance. However, if the buyers can push the price above this resistance, bullish momentum is likely to pick up.

BCH/USD

The bulls purchased the dip on Sep. 22 but could not maintain the buying pressure today. This has renewed the selling and the bears are now attempting to sink Bitcoin Cash (BCH) to the critical support at $200.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

The price is trading below both moving averages that are sloping down and the RSI is in the negative zone, which suggests that the bears have the upper hand.

If the $200 support cracks, the BCH/USD pair might start a new downtrend that can result in a fall to $140.

This bearish view will be invalidated if the pair rebounds off the $200 level aggressively and rises above the 200-day SMA ($243).

DOT/USD

Polkadot (DOT) is witnessing a stiff battle at the $4 support level with the bears attempting to break below it and the bulls trying to defend it.

DOT/USD daily chart. Source: TradingView​​​​​​​

DOT/USD daily chart. Source: TradingView

The small range day on Sep. 22 and the doji candlestick pattern today shows indecision among the bulls and the bears about the next direction.

If the bears can sink the price below $3.90, the DOT/USD pair may decline to $3.5321. This is an important support to watch out for because if it cracks, the drop can extend to $2.60 and below it to $2.00.

Contrary to this assumption, if the bulls can push the price above $4.50, an up-move to $4.921 is possible.

BNB/USD

Binance Coin (BNB) plunged below the 50-day SMA ($23.78) on Sep. 21 but the bears could not sustain the selling pressure and the bulls reclaimed the level on Sep. 22. Currently, the bulls are attempting to sustain the price above the 50-day SMA.

BNB/USD daily chart. Source: TradingView​​​​​​​

BNB/USD daily chart. Source: TradingView

A breakout of the downtrend line will be the first sign that the correction might be over. Above this level, a relief rally to the $25.82–$27.1905 resistance zone is possible.

However, the bears are likely to defend the downtrend line aggressively. If they can again sink the BNB/USD pair below the 50-day SMA and the $22 support, the decline may extend to the 200-day SMA ($17.95).

The bulls are likely to buy the drop to the 200-day SMA and the strength of the rebound will suggest whether the downtrend is over or not.

CRO/USD

Crypto.com Coin’s (CRO) pace of decline has slowed down near the critical support at $0.144743, which shows that the selling pressure is reducing. However, any recovery attempt is likely to face resistance at the downtrend line.

CRO/USD daily chart. Source: TradingView

CRO/USD daily chart. Source: TradingView

A weak relief rally from the current levels will suggest a lack of confidence among the buyers that the correction is over. That could attract selling by the aggressive bears who will then try to sink the price below $0.144743.

If they succeed, the CRO/USD pair can decline to the 38.2% Fibonacci retracement level of $0.12749 but if this support also cracks, the next major support is $0.11, just above the 200-day SMA ($0.107).

This bearish view will be invalidated if the pair turns up from the current levels and rises above the downtrend line.

LTC/USD

Litecoin (LTC) plummeted below the 200-day SMA ($46) on Sep. 21. If the bulls do not push the price back above this moving average quickly, the possibility of a fall to the next support at $39 increases.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

The three previous declines to $39 had proven to be a good buying opportunity, hence, the aggressive bulls might once again attempt to arrest the decline at this level. Any pullback is likely to face stiff resistance at the 200-day SMA.

If the LTC/USD pair turns down from the 200-day SMA, it will increase the likelihood of a break below $39. If that happens, the decline may extend to $32. Conversely, if the bulls can push the price back above the 200-day SMA, the pair can move up to $51.

LINK/USD

Chainlink (LINK) broke below the $8.908 support on Sep. 21 and has continued its journey towards the next critical support at $6.90, which is just above the 200-day SMA ($6.62).

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

The RSI is close to the oversold levels for the first time since March, which suggests that the decline has been overdone in the short-term. Therefore, as the price nears the critical support at $6.90, the bulls might buy the dip.

If the rebound off this level can rise above the downtrend line and the $8.908 resistance, it will be the first signal that the downtrend may be over.

However, this does not mean that a new uptrend will start immediately because, after such a sharp fall, the price usually forms a bottoming pattern before turning bullish.

BSV/USD

The bulls purchased the dip below $146.20 on Sep. 22 but they could not push Bitcoin SV (BSV) above the downtrend line. This shows that the bears are selling on pullbacks to this resistance.

BSV/USD daily chart. Source: TradingView​​​​​​​

BSV/USD daily chart. Source: TradingView

The downsloping moving averages and the failure of the RSI to rise above the 40 level suggests that the bears are in command.

If the BSV/USD pair turns down and breaks below the $146.20–$135 support zone, a new downtrend might start. The first support on the downside is $100 but if the bears sink the price below it, the decline can extend to $77.

Contrary to this assumption, if the bulls can push the price above the downtrend line, the pair could rise to the 200-day SMA ($185).

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 9/21: BTC, ETH, XRP, BCH, DOT, BNB, LINK, CRO, LTC, BSV

The market has taken a bearish turn and Bitcoin and altcoins will need strong relief rallies in order to restore their uptrends.

Legacy and crypto crypto markets saw a strong correction today as traders fear that the second round of economic stimulus might be delayed as the White House, Senate and Congress could become entangled in a fight to fill the vacancy created by the passing of Supreme Court Justice Ruth Bader Ginsburg. 

In addition to this, financial stocks are leading the bloodbath as reports emerged that several banks could have been involved in facilitating the movement of over $2 trillion over a two-decade period. These suspicious transactions have been flagged as possible money laundering or criminal activity by the banks internal compliance officers. 

While Bitcoin price is correcting today, this exposure of potentially illegal behavior by banks will only strengthen the narrative for why investors should buy Bitcoin (BTC).

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

The increasing number of coronavirus cases across the world is also adding to the negative sentiment seen in the market today. This has led to panic selling by traders who are dumping equities, gold, crude oil and cryptocurrencies and instead are buying the U.S. dollar. 

However, after the initial round of selling, most asset classes are likely to chalk their own course depending on their long-term fundamentals and cryptocurrencies may be among the first to rebound.

Let’s study the charts of the top 10 cryptocurrencies to spot the critical support levels that could attract buyers.

BTC/USD

Bitcoin turned down from the 50-day simple moving average ($11,225) on Sep. 19 and broke below the 20-day exponential moving average ($10,781) and the $10,625 support today. This fall suggests that the bears used the recent relief rally to $11,000 to initiate short positions.  

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The bears will now try to sink the price below the $9,835 support and if they succeed, it could result in panic selling that may drag the price down to $9,000 or even further.

If this sharp fall was followed by a strong rebound, it would suggest that the bulls are accumulating at lower levels and such a move might attract several buyers once again.

However, if the BTC/USD pair fails to rebound quickly from the lower levels, then the recovery is likely to take much longer as the bulls will then wait for a bottoming formation to complete before buying.

Contrary to these assumptions, if the pair rebounds off the $10,000–$9,835, support, the bulls will once again attempt to push the price above the downtrend line. If they succeed, then the uptrend is likely to resume.

ETH/USD

The pullback in Ether (ETH) stalled close to the 50% Fibonacci retracement level of $398.263 and turned down on Sep. 20. The selling intensified after the bears broke the immediate support at $353.443.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

The next support on the downside is $308.392 and below it $288. If the ETH/USD pair rebounds off this support zone aggressively, it will indicate that the bulls are accumulating on dips.

However, the bears are unlikely to give up their advantage easily. They will attempt to stall any pullback attempts at the downtrend line and then at $398.263. If they succeed, it will be a huge negative and will increase the possibility of a break below $288.

This bearish view will be invalidated if the bulls can push the price above the downtrend line and the overhead resistance at $400.

XRP/USD

The bears are trying to sink XRP below the $0.235688–$0.229582 support zone and if they succeed, the altcoin can decline to $0.19, completing a 100% retracement of the up-move that started in mid-July.   

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

The lack of a strong bounce off the support zone indicates that buyers are currently not defending this zone aggressively. They are likely to wait for the decline to end before venturing out to buy.

This bearish view will be negated if the XRP/USD pair rebounds off the current levels and breaks above the downtrend line.

BCH/USD

The failure of the bulls to propel Bitcoin Cash (BCH) above the 20-day EMA ($235) attracted profit booking by the short-term bulls and shorting by the aggressive bears. This has resulted in a sharp fall to the critical support zone of $215–$200.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

If the bears can close (UTC time) the price below $215, the BCH/USD pair can drop to the critical support at $200. This is an important support because the bulls have not allowed the price to break below this level since the end of March.

Aggressive bulls might buy the dip to $200 but they will have to push the price back above the 20-day EMA to invalidate the bearish sentiment. If they fail to do so, the bears will again sell on the relief rally to the 20-day EMA.

A break below the $200 support will be a huge negative as it can start a downtrend that has a target objective of $140.

DOT/USD

Polkadot (DOT) broke below the rising wedge pattern on Sep.19 and quickly dropped to the $4.00 support. The bulls will attempt to defend the $4.00–$3.5321 support zone while the bears will try to break below it. 

DOT/USD daily chart

DOT/USD daily chart. Source: TradingView

If the bears succeed, the DOT/USD pair can drop to $2.60 and then to $2.00. Such a move will be a huge negative as it is likely to drive away the bulls and reduce the possibility of a sharp recovery.

However, the pair could remain range-bound for a few days if it rebounds off the support zone and breaks above the 20-day EMA ($4.87).

BNB/USD

Binance Coin (BNB) broke below the $25.82 support on Sep. 20 but the price recovered from the intraday lows and closed (UTC time) at $26.31. However, renewed selling today has resulted in a sharp fall that has broken below the $25.82 support. 

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

The bulls are currently attempting to arrest the decline at $23 but the bears are likely to sell on pullbacks to the downtrend line and to the 20-day EMA ($25.68). 

If the BNB/USD pair turns down from the downtrend line or the 20-day EMA, the bears will once again attempt to sink the price below $23. A break below this support could result in a decline to the next support at $18.

This bearish view will be invalidated if the bulls can push the price back above $25.82. Such a move will suggest that the current decline was a bear trap.

LINK/USD

Chainlink (LINK) is in a downtrend as it continues to make lower highs and lower lows. The break below $8.908 support shows that the bulls are not aggressively defending this level as they are not confident that the bottom is in place yet.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

If the LINK/USD pair closes (UTC time) below $8.908, the selling is likely to intensify. The next support is at $6.90 from where the pair had bounced off in July.

However, if the bears fail to sustain the price below $8.908, the aggressive buyers might step in and buy. A strong bounce off this support can reach the 20-day EMA ($11.5) where the bears might again step in and short.

This bearish view will be invalidated if the bulls can push the price above the 20-day EMA. Such a move will be the first sign that the downtrend might be over.

CRO/USD

Crypto.com Coin (CRO) turned down from the resistance line and broke below the moving averages on Sep. 20. The altcoin can now drop to the critical support at $0.144743.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

If the bears can sink and sustain the price below $0.144743, it will suggest that the CRO/USD pair has topped out at $0.191101. 

The next support on the downside is the 38.2% Fibonacci retracement level of $0.12749 and if this breaks down, the decline can extend to $0.11.

This bearish view will be invalidated if the pair rebounds off $0.144743 and rises above the downtrend line.

LTC/USD

The indecision between the bulls and the bears resolved in favor of the bears when Litecoin (LTC) broke below the symmetrical triangle pattern on Sep. 20. The next support on the downside is $39.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

Some buying can be expected at the $39 support because this level has not been breached convincingly since April 1 and the buyers have been rewarded every time they purchased on dips to this support.

The strength of the rebound off this critical support will provide insight into the conviction of traders. 

If the bounce is strong, it will suggest that the bulls have again purchased closer to the support because they expect it to hold. However, a weak rebound will show a lack of confidence and this will increase the possibility of a break below $39.

BSV/USD

The tight range trading in Bitcoin SV (BSV) resolved to the downside on Sep. 20 as the altcoin plunged below the $160 support. Repeated retests of a support level tend to weaken it as traders lose conviction that the support will hold, hence, they stop buying.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The bears will now use the opportunity and try to sink the BSV/USD pair below the $146.20–$135 support zone. If they succeed, it could start the next leg of the downtrend that can reach $100 where buying might emerge as it is a psychologically important level.

This bearish view will be invalidated if the pair rebounds off the current levels and rises above the 20-day EMA ($167). Until then, the bears are likely to view the relief rallies as a selling opportunity.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 cryptocurrencies to watch this week: BTC, NEO, XMR, ADA, LINK

Bitcoin is attempting to form a bottom altcoins continue to decline, which opens up opportunities on the long and the short side.

The total crypto market capitalization has recovered from the Sep. 6 lows near $314 billion but it is struggling to sustain above the $350 billion mark, which shows that higher levels continue to attract sellers.

Bitcoin’s (BTC) dominance fell from above 68% in mid-May to about 56% in the first half of this month as DeFi tokens embarked on a strong bull run. 

However, in the past few days, the DeFi assets have witnessed sharp corrections and their volatility has increased. This could possibly shift traders’ attention back to Bitcoin. It’s also possible that Bitcoin’s inability to hold above the $11,000 level could also be negatively weighing on the confidence of altcoin and DeFi-token traders.

Crypto market data daily view

Crypto market data daily view. Source: Coin360

Although Bitcoin has been struggling to find momentum, a positive is that the volume of Bitcoin futures trading on Bakkt has been increasing and the exchange whale ratio is near yearly lows. This suggests accumulation by the whales and institutional traders.

Currently, most major cryptocurrencies are not following a general trend as the price action has been mostly coin specific. This has opened up opportunities both on the short side and the long side. Hence, in today’s list, two short ideas have been discussed for the traders who are bearish on the crypto markets.

BTC/USD

The relief rally in Bitcoin is facing stiff resistance near the 50% Fibonacci retracement level of $11,147.60. This shows that the bears have used the current relief rally to initiate short positions.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

If the bears can sink the price below the uptrend line and the $10,625 support, it will signal weakness. If the BTC/USD pair sustains below $10,625, it will increase the possibility of a retest of $9,835.

However, if the pair rebounds off the $10,625 support sharply, this will be the first sign that the correction might be over. Trading momentum is likely to pick up after the rally breaks above the downtrend line.

If the price closes (UTC time) above the downtrend line, the possibility of a rally to $12,460 increases. Even though there is resistance at $12,000 it seems likely that it will be crossed.

BTC/USD 4-hour chart

BTC/USD 4-hour chart. Source: TradingView

The pair is currently attempting to rebound off the uptrend line, which suggests that the bulls purchased the dip to this support. The buyers will now make one more attempt to push the price above the $11,147.60 resistance.

If the bounce fizzles out and the bears sink the pair below the uptrend line, a drop to $10,625 could occur. This is an important support for the bulls because selling is likely to intensify if this level breaks down.

If the pair rebounds off $10,625, a few days of range-bound action is possible. The flattening moving average on the 4-hour chart suggests a balance between supply and demand. 

NEO/USD

NEO is currently facing stiff resistance at $25.23, which shows that the bears are aggressively defending this resistance. However, as it is in an uptrend, traders are likely to view the dips as a buying opportunity. 

NEO/USD daily chart

NEO/USD daily chart. Source: TradingView

The immediate support on the downside is at $23 and below that at the 10-day simple moving average ($22.26). If the NEO/USD pair rebounds off either support, it will indicate that the bulls are not waiting for a deeper fall to buy which is a positive sign.

If the bulls can push the price above the $25.23–$25.78923 resistance zone, the uptrend is likely to resume. The next target on the upside is $29.

A break below the 10-day SMA will be the first sign that the momentum is weakening and a drop below $20.9633 will signal a possible change in trend.

NEO/USD 4-hour chart

NEO/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bulls pushed the price above the $25.23 resistance twice but they could not sustain the higher levels. This shows that the bears are attempting to stall the rally at this resistance. 

However, on the downside, the bulls have not allowed the price to sustain below $23, which shows that the buyers are accumulating on every minor dip. 

This could keep the pair stuck between $23 and $25.50 for a few more days. The moving averages have flattened out, which suggests a balance between supply and demand. 

XMR/USD

The recovery in Monero (XMR) from the Sep. 5 low of $74.1012 has been strong and the bulls have pushed the price back above the moving averages, which increases the possibility that the correction might be over. 

XMR/USD daily chart

XMR/USD daily chart. Source: TradingView

However, the bears are unlikely to give up without a stiff fight at the $97.4615 resistance. If the XMR/USD pair turns down sharply from the current levels and breaks below $84, a drop to $74.1012 is possible.

Conversely, if the bulls can arrest the next dip at the 20-day exponential moving average ($89), it will increase the possibility of a breakout of $97.4615. Above this resistance, a move to $105.9131–$107.3742 is possible. A break above $107.3742 can result in a rally to $120.  

XMR/USD 4-hour chart

XMR/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the recovery from $74.1012 has been gradual. Although the bears broke the pair below the 30-EMA on several occasions, they could not capitalize on it and intensify the selling. 

This shows that the bulls are accumulating on dips. Currently, the price has again dipped back below the 30-EMA. If the pair rebounds off the current levels, the bulls will try and drive the price above the overhead resistance at $97.4615.

The short-term momentum is likely to weaken if the bears can break and sustain the price below the immediate support at $87.5629. 

ADA/USD

The relief rally in Cardano (ADA) from the lows of $0.0855982 on Sep. 6 hit a stiff resistance at $0.0997444 on Sep. 13. The moving averages are sloping down, which suggests that the bears are in command.

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

In a downtrend, the bears short on pullbacks to resistance levels as that improves the risk to reward ratio of the trade. Currently, if the bears can sink the ADA/USD pair below the $0.0855982 support, the decline might resume.

Traders can consider taking positions on the short side with an appropriate stop-loss to benefit from the likely down move. The next support on the downside is at $0.074 but if this support fails to hold, the drop can extend to $0.05. 

This bearish view will be invalidated if the pair rebounds off $0.0855982 and the bulls drive the price above $0.10. Such a move will suggest that the downtrend might be over. 

However, it is not necessary that a new uptrend starts as soon as a downtrend ends because many times, the price remains range-bound as it tries to form a bottom. 

Therefore, traders can step aside and wait for a new bullish setup to form if the price breaks above $0.10.

ADA/USD 4-hour chart

ADA/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the pair has been gradually declining towards the critical support at $0.0855982 and a close (UTC time) below this level is likely to start the next leg of the down move.

However, if the pair rebounds off $0.0855982, the bulls will make one more attempt to propel the price above $0.10. If they succeed, a quick relief rally is possible.

Conversely, if the price again turns down from $0.10, the pair might remain range-bound for a few days.

LINK/USD

Chainlink (LINK) is in a downtrend and it has been making a lower high and a lower low pattern for the past few days, which shows that the bears are using the relief rallies to sell. 

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The down sloping moving averages suggest that the trend favors the bears. If they can sink the LINK/USD pair below $9.65, a drop to $9 is likely. This is an important support to watch out for because a break below this level is likely to resume the downtrend.

The next support on the downside is $7. Therefore, traders can consider benefiting from the possible down-move.

This bearish view will be invalidated if the pair turns up from the current levels or rebounds off sharply from the $9 levels and breaks above the downtrend line. 

LINK/USD 4-hour chart

LINK/USD 4-hour chart. Source: TradingView

On Sep. 5 and 6, the bears were unable to sustain the price below $10.50, which shows that the bulls were attempting to defend this level. 

However, during the current fall, the price has been sustaining below $10.50 for the past two days, which suggests that the buying has dried up.

The moving averages are sloping down gradually and the price is below the averages, which suggests that the advantage is with the bears.

A break above the 30-EMA will be the first sign that the bears are losing their grip. Until then, the path of least resistance is to the downside. 

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price analysis 9/18: BTC, ETH, XRP, DOT, BCH, BNB, LINK, CRO, LTC, BSV

Bitcoin and altcoins are facing selling near key resistance levels, but for now the possibility of a sharp fall remains low.

The U.S. Federal Reserve recently hinted that it could keep interest rates near zero at least through 2023. The Bank of England went a step ahead and said that it could explore options for cutting rates below zero in order to support an economy battered by the coronavirus lockdowns and the upcoming Brexit.

In other news, Kraken exchange has become the first digital asset company to receive a charter to operate as a bank in the U.S. This is a huge change from the days when traditional banks refused to support crypto businesses.

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

MicroStrategy’s immense Bitcoin (BTC) purchase is also a major step ahead as that will encourage several companies to at least diversify a portion of their cash reserves into cryptocurrencies.

All these events are long-term bullish for cryptocurrencies, but in the short-term, negative sentiments continue to weigh on prices. Fortunately, as is the nature of markets, crypto markets will eventually react positively to the strong fundamentals that exist and the uptrend will resume.

Let’s study the charts to spot the levels that indicate that the current correction has possibly ended.

BTC/USD

The bulls have not been able to sustain the price above the $11,000 level for the past two days, which suggests that bears are aggressively defending this resistance. Bitcoin formed an inside day doji candlestick pattern on Sep. 17 and this shows indecision among the bulls and the bears.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

Both moving averages have flattened out and the relative strength index is close to the 50 level, which also points to a balance between supply and demand.

If the price turns down from the current levels, the bears will try to sink the BTC/USD pair below the $10,625–$10,500 support. If successful, this will indicate that the bears have aggressively shorted during the current relief rally and a retest of $9,835 is likely.

Conversely, if the pair rebounds off the $10,625–$10,500 support, it will show that the bulls continue to buy at higher levels.

A breakout and close (UTC time) above $11,000 could push the pair to the downtrend line. This level is again likely to act as a stiff resistance but if the bulls can drive the price above it, a rally to $12,460 will be on the cards.

ETH/USD

Ether (ETH) has found support close to the $353.443 support four times since Sep. 11, which shows that the bulls have been accumulating on dips. The buyers tried to extend the relief rally with a sharp up-move on Sep. 17 but could not clear the barrier at the 50-day simple moving average ($391).

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

If the ETH/USD pair does not dip below $366, the bulls will make one more attempt to clear the 50-day SMA hurdle. If they succeed, a rally to the 61.8% Fibonacci retracement level of $419.473 is likely.

This positive view will be invalidated if the bears sink the pair below the $353.443 support because if this level breaks down, several aggressive bulls could close their short-term positions. The next support on the downside is much lower at $308.392.

XRP/USD

The repeated failure of the bears to sink XRP below $0.235688 attracted buying from the aggressive bulls on Sep. 18. However, the bears have not thrown in the towel yet as they are trying to stall the pullback at the 20-day exponential moving average ($0.252).

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

If the XRP/USD pair turns down from the current levels, the bears will once again attempt to sink the price below the $0.235688–$0.229582 support zone. If they succeed, a drop to $0.19 is likely.

However, if the bulls push the price above the 20-day EMA, a rally to $0.268478 is likely. The bears are likely to defend this level aggressively, which could keep the pair range-bound for a few days.

The flat moving averages and the RSI just below the midpoint show a balance between supply and demand. The advantage will shift in favor of the bulls if they can propel the pair above the downtrend line.

DOT/USD

Polkadot (DOT) rebounded off the support at $4.921 on Sep. 16 but the bulls could not push the price above the overhead resistance at $5.5899, which suggests selling by the bears at higher levels.

DOT/USD daily chart. Source: TradingView

DOT/USD daily chart. Source: TradingView

If the DOT/USD pair breaks below the rising wedge pattern and the $4.921 support, a drop to $4.50 and then to $4.00 is possible. However, if the bulls defend the $4.921 support, the pair could remain range-bound for a few days.

The first sign of strength will be a breakout of the overhead resistance at $5.5899 and the pair is likely to pick up momentum after it breaks above the rising wedge pattern. Above this level, a rally to $6.8619 is possible.

BCH/USD

Bitcoin Cash (BCH) has been facing stiff resistance at the 20-day EMA ($239), which shows that the bears are selling on pullbacks to this level.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

However, the positive thing is that the bulls have not allowed the price to slip and sustain below $230.

A tight consolidation close to a stiff resistance increases the possibility of a breakout from it. If the BCH/USD pair breaks out of the 20-day EMA, a move to $260 is possible.

Conversely, if the bears can sink the pair below the $227 support, a drop to $215 is likely. A break below this support can result in a retest of the critical support at $200.

BNB/USD

Binance Coin (BNB) bounced from close to the $25.82 support on Sep. 16 and 17, which shows that the bulls are aggressively defending this level.

BNB/USD daily chart. Source: TradingView​​​​​​​

BNB/USD daily chart. Source: TradingView

However, the buyers have not been able to push the price above the 38.2% Fibonacci retracement level of $28.7113, which suggests that the bears are aggressively shorting close to this resistance.

If the bears sink the BNB/USD pair below the 20-day EMA ($25.69), a drop to the 50-day SMA ($23.43) is likely.

Conversely, if the pair again rebounds off the $25.82 support, the bulls will make one more attempt to push the price above $28.7113. If they succeed, a rally to $30.4975 is possible.

LINK/USD

The bulls attempted to push Chainlink (LINK) back above the uptrend line on Sep. 17 but failed. This line which had previously acted as a strong support will now behave as a resistance.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

The bears will now try to sink the LINK/USD pair below the critical support at $8.908. This is an important support level to watch out for because if it breaks down, the decline can extend to $7.

The 20-day EMA ($12.27) is sloping down and the RSI is in the negative territory, which suggests that the bears have the upper hand.

This bearish view will be negated if the pair reverses direction and breaks above the $13.28 resistance.

CRO/USD

Crypto.com Coin (CRO) is facing resistance at the downtrend line but the bulls have not allowed the price to drop below the moving averages, which shows buying on dips.

CRO/USD daily chart. Source: TradingView​​​​​​​

CRO/USD daily chart. Source: TradingView

However, both moving averages have flattened out and the RSI is just above the midpoint, which suggests a balance between supply and demand.

The advantage will shift in favor of the bulls if they can push the price above the downtrend line. Above this resistance, a rally to $0.183416 and then to the recent highs at $0.191101 is likely.

If the bears can sink the price below the moving averages, the CRO/USD pair might drop to the critical support at $0.144743.

LTC/USD

Litecoin (LTC) is currently trading inside the symmetrical triangle and the next directional move will start after the price breaks out or breaks down from this pattern.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

The downsloping moving averages and the RSI in the negative territory suggest that the bears have the upper hand. If they can sink and sustain the price below the triangle, a drop to $39 is possible.

Conversely, if the bulls can push the LTC/USD pair above the triangle, a rally to $58 and above it to $64 is possible.

Although the symmetrical triangle usually acts as a continuation pattern, it can sometimes start a reversal. Hence, it is better to wait for the price to break out before taking positional bets.

BSV/USD

The bulls are not confident that the correction is over and the bears are not convinced that they can sink Bitcoin SV (BSV) below the $146.20–$135 support zone. Hence, the intraday range has shrunk in the past few days.

BSV/USD daily chart. Source: TradingView​​​​​​​

BSV/USD daily chart. Source: TradingView

Both moving averages are sloping down and the RSI has dipped below the 40 level, which suggests that the advantage is with the bears.

If the bears sink the BSV/USD pair below $259, a retest of the support zone is likely. A break below this zone could start the next leg of the down move.

However, if the pair again rebounds off the $146.20 support, a few days of range-bound action is likely. The first sign of strength will be a breakout and close (UTC time) above the downtrend line.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 9/16: BTC, ETH, XRP, DOT, BCH, BNB, LINK, CRO, LTC, BSV

Bitcoin and a few altcoins have broken above key resistance levels, which suggests that the bulls are attempting to take control of the market.

This week MicroStrategy, a Nasdaq-listed company, announced that it had added 16,796 Bitcoin (BTC) to its existing holding of 21,454 Bitcoin. This means in less than a year the firm has amassed 38,250 Bitcoin. This is a defining moment as MicroStrategy becomes the first public company to adopt a Bitcoin standard. 

Other large companies may follow in MicroStrategy’s footsteps but they are likely to purchase at much higher levels according to Datavetaren, a pseudonymous software engineer.

CNBC Mad Money host Jim Cramer also suggested that he might place 1% of his portfolio into Bitcoin as he considers gold ‘dangerous’. During a podcast with Anthony Pompliano, Cramer said that storing gold was dangerous, hence, his desire for Bitcoin.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

In other news, Rich Dad Poor Dad author Robert Kiyosaki said that Bitcoin ranks among the top three long-term investments that everyone should have in their portfolio. Kiyosaki believes that investors will dump these safe haven assets when a coronavirus vaccine is developed but according to him, that could be a great buying opportunity.

Generally, Bitcoin continues to have a bullish outlook in the long-term but what can traders expect in the short-term? Let’s analyze the charts to find out. 

BTC/USD

Bitcoin broke above the 20-day exponential moving average ($10,759) on Sep. 15 and is now attempting to sustain above the $11,000 resistance. This is encouraging as the further the price moves away from the recent lows at $9,835 the harder it will be for the bears to resume the correction. 

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The next two levels where the bears might try to stall the recovery is at the 50-day simple moving average ($11,269) and above it at the downtrend line.

Even if the BTC/USD pair turns down from either of these overhead resistances, the bears will have to slice through several support levels to reach $9,835, which is likely to be a difficult task.

The relative strength index has broken out of its downtrend line and has crossed over into positive territory, which suggests that the momentum is with the bulls. If the bulls can push the price above $11,700, a rally to $12,460 is likely.

ETH/USD

Ether (ETH) dipped below the $366 support today but rebounded from $354.381. This shows that the bulls are accumulating at lower levels. They will now try to push the price above the moving averages.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

If they succeed, the ETH/USD pair could rally to the 61.8% Fibonacci retracement level of $419.473. This level could act as a stiff resistance but if the bulls can push the price above it, a retest of the $480–$488.134 resistance is likely.

This bullish view will be invalidated if the pair turns down from the moving averages and breaks below $353.43. Such a move is likely to attract further selling that could drag the price down to the critical support at $308.392.

XRP/USD

XRP has again bounced off the $0.235688 support today, which confirms that the bulls are defending this level aggressively. However, repeated retests of a support level tend to weaken it.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

The 20-day EMA ($0.252) is sloping down and the RSI is in the negative territory, which suggests that the bears have the upper hand.

If the bears can sink the price below the $0.235688–$0.229582 support zone, the selling is likely to intensify. The next support on the downside is much lower at $0.19.

The first sign of strength will be a breakout and close (UTC time) above the 20-day EMA and a break above the downtrend line will signal the resumption of the up-move.

DOT/USD

Polkadot (DOT) turned down from $5.5761 on Sep. 14, which is just below the 61.8% Fibonacci retracement level of $5.5899. This suggests that the bears are selling on rallies.

DOT/USD daily chart

DOT/USD daily chart. Source: TradingView

The DOT/USD pair is currently trading inside a rising wedge pattern. A breakdown and close (UTC time) below the wedge could result in a fall to $4 and then to $3.5321. If the pair bounces off this support, then a few days of range-bound action is possible.

Contrary to this assumption, if the pair rises from the current levels and breaks above the wedge, the uptrend is likely to resume. The first target on the upside is $6.50 and above it $6.8619. 

BCH/USD

Bitcoin Cash (BCH) broke above the $235.05 resistance on Sep.15, but the bulls could not clear the 20-day EMA ($240) hurdle, which suggests that the bears are selling on pullbacks to this level.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

However, the bears have not been able to break the $215 support for the past few days, which shows that selling is drying up at lower levels.

The BCH/USD pair is at the $235.05 resistance and the bulls will once again attempt to push the price above it. If they succeed in driving the price above the 20-day EMA, it will increase the likelihood of a rally to $260 and then to $280.

Failure to rise and sustain above $235.05 will keep the pair range-bound for a few more days. 

BNB/USD

Binance Coin (BNB) formed a doji candlestick pattern on Sep. 14, which showed indecision among the bulls and the bears. The failure to sustain the price above the $32 resistance attracted profit booking by short-term traders and dragged the price down to $26.7123.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

However, even after the sharp fall on Sep. 15, both moving averages are sloping up and the RSI is in the positive territory, which suggests that the advantage is still with the bulls.

The bulls purchased the dip to $25.82 today, which shows demand at lower levels. They will now once again attempt to push the price above the $32–$34 resistance. If they succeed, a retest of the all-time highs at $39.5941 is likely.

If the BNB/USD pair fails to rise above the $32–$34 zone, a few days of range-bound action is possible. The advantage will shift in favor of the bears if the pair dips below $25. 

LINK/USD

Chainlink (LINK) broke below the uptrend line on Sep. 15 and the bears will now try to sink the price to the next support at $8.908. A break below this support could result in a fall to $7 and then to $5.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The downsloping 20-day EMA ($12.66) and the RSI in negative territory suggests that the bears have the upper hand.

However, if the bulls can quickly push the price back above the uptrend line, it will suggest that they are accumulating at lower levels. 

The first sign of strength will be a breakout and close (UTC time) above $13.28 and the uptrend is likely to resume after the LINK/USD pair rises above the downtrend line. 

CRO/USD

Crypto.com Coin (CRO) has risen above both moving averages, but the bears are unlikely to throw in the towel easily. They will try to stall the up-move at the downtrend line.  

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

If the CRO/USD pair turns down from the downtrend line and breaks below the moving averages, a retest of $0.144743 is possible. A breakdown of this support will signal the likelihood of a deeper fall to $0.11.

However, if the bulls propel the price above the downtrend line, a move to $0.183416 and then to the highs at $0.191101 is likely. A breakout of $0.191101 will signal the start of the next leg of the uptrend.

LTC/USD

Litecoin (LTC) turned down from $50.2979 on Sep. 15, which shows that the bears are aggressively defending the $50–$51 zone. If they can sink and sustain the price below the trendline, a drop to $45.1626 is likely.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

The 20-day EMA ($51) is sloping down and the RSI is in the negative territory, which suggests that bears have the upper hand. If the $45.1626 support fails to hold, the decline can extend to the critical support at $39. 

Contrary to this assumption, if the LTC/USD pair rebounds off the current levels and rises above the $51–$53 resistance zone, it will signal that the correction has possibly ended. The first target objective on the upside is $64 and then $68.9008.

BSV/USD

Bitcoin SV (BSV) has roughly been trading between the $160–$170 range for the past few days, which suggests indecision among the traders.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

If the bears sink and sustain the price below $160, the BSV/USD pair could drop to the critical support at $146.20. The bears have not been able to break this support since March, hence, the bulls are likely to defend this level once again.

However, if the selling pressure picks up and the pair slips below the $146.20–$135 support, it will signal the start of a new downtrend that has a target objective of $100 and then $77.

This bearish view will be invalidated if the pair turns up from the current levels and breaks above the downtrend line. 

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 9/14: BTC, ETH, XRP, BNB, DOT, LINK, BCH, CRO, LTC, BSV

Bitcoin and several altcoins are trying to break out of their respective overhead resistance levels in order to restore bullish momentum.

Most retail traders find it difficult to go against the herd and buy when the market is down. They generally wait for the price to recover and for improvements in sentiment before jumping in. By doing this, retail traders typically miss the larger part of relief rallies and pocket a smaller profit.

On the other hand, professional investors capitalize on sharp corrective moves by purchasing if they believe that the fundamental long-term trajectory remains intact.

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

New research by OKEx Insights and Catallact indicates that retail traders were “shaken out” by Bitcoin’s (BTC) crash in March and they did not return to the markets quickly due to a wait and watch approach. In contrast, larger players bought during the Black Thursday crash and continued to accumulate throughout the summer.

Now that Bitcoin has risen above the $10,500 resistance, do the charts point to a resumption of the upturned or is there a possibility of a reversal at a higher level?

Let’s check the charts to find out!

BTC/USD

Although Bitcoin turned down from the overhead resistance of $10,625 on Sep. 13, the bulls did not allow the price to dip below the immediate support at $10,200 and this shows accumulation was occurring at this level.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

If the bulls can sustain the price above the 20-day exponential moving average ($10,728), a quick move to $11,000 is likely. This will be the first sign of strength but the bears are unlikely to give up without a fight.

Traders looking to go short will likely attempt to defend the $11,000 level aggressively and this could result in a minor pullback. If the bulls are able to hold the next move to $10,625, it will increase the possibility of a rally to $12,460.

Contrary to this assumption, if the BTC/USD pair turns down from the overhead resistance and slips back below $10,625, it will suggest selling at higher levels. Trading sentiment will sour if the bears sink the price below the $9,835 support.

Traders can keep an eye on the relative strength index as sometimes the indicator projects a breakout or breakdown. If the RSI rises above the downtrend line, it could be followed by an upside move in price.

ETH/USD

Ether (ETH) has rebounded off the lower trendline, which is a positive sign as it shows that the bulls are buying on dips to this support.

Over the weekend traders pushed the price above the 20-day EMA ($379) and now they will attempt to overcome the hurdle at the 50-day simple moving average ($387).

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

If the bulls can sustain the price above the 50-day SMA, the possibility of a rally to the 61.8% Fibonacci retracement level of $419.473 is likely.

The ETH/USD pair could turn down from this resistance as the bears are likely to defend it aggressively. However, if the bulls successfully defend the next dip to the $366 support, it could signal an end to the correction.

This view will be invalidated if the pair again turns down from the moving averages and plummets below $350. Such a move could result in a retest of $308.392.

XRP/USD

XRP has held the $0.235688 support for the past few days, which suggests that the bulls are defending this level aggressively. They attempted to start a relief rally on Sep. 13 but the bears had other plans.

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

However, the positive thing is that the bulls continue to buy on dips to the $0.235688 support. The bulls will make one more attempt to push the XRP/USD pair above the 20-day EMA ($0.25).

If they succeed, a move to $0.268478 is likely. The bears are likely to defend this resistance and if the pair turns down from this, a few days of range-bound action between $0.268478– $0.235688 is possible.

The next leg of the down move could start if the bears sink the pair below the $0.235688–$0.229582 support zone.

BNB/USD

Binance Coin (BNB) picked up momentum after it broke above the $25.8262–$27.1905 resistance zone on Sep. 12. The bulls are currently attempting to sustain the price above the $32 resistance.

BNB/USD daily chart. Source: TradingView​​​​​​​

BNB/USD daily chart. Source: TradingView

If they succeed, the BNB/USD pair is likely to move up to $34 and then challenge the all-time highs at $39.5941.

However, the sharp rally of the past few days has pushed the RSI into overbought territory and this is a signal that a minor consolidation or a pullback could occur.

The uptrend is likely to resume if the bulls do not give up much ground during the next pullback. This positive view will be invalidated if the pair turns down from the $32–$34 resistance zone and breaks below $27.1905.

DOT/USD

The bulls propelled Polkadot (DOT) above the $4.9210 resistance on Sep. 12, which is a positive sign. They will now try to drive the price above the 61.8% Fibonacci retracement level at $5.5899.

DOT/USD daily chart. Source: TradingView​​​​​​​

DOT/USD daily chart. Source: TradingView

If they succeed, the rally can extend to the 78.6% retracement level of $6.1493 and then to the highs at $6.8619.

However, the bears are unlikely to give up without a fight. They will try to defend the $5.5899 resistance, which could result in a minor pullback or consolidation. If the bulls do not allow the price to dip below $4.9210, it will suggest that the correction is over.

This view will be invalidated if the DOT/USD pair turns down from $5.5899 and plummets below $4.9210. Such a move could result in a fall to $4.50 and then to $4.

LINK/USD

Chainlink (LINK) is currently stuck between the trendline and the $13.28 resistance on the upside. The moving averages are on the verge of a bearish crossover and this signals that sellers may have the upper hand.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

However, if the LINK/USD pair rebounds off the trendline, the bulls will make one more attempt to push the price above the $13.28 resistance. If they succeed it could attract further buying and push the price to the downtrend line.

The bears are likely to defend the downtrend line aggressively but if the bulls can arrest the next decline above $13.28 the level will act as a new floor and increase the possibility of a breakout above the downtrend line.

This bullish view will be invalidated if the pair turns down from $13.28 and breaks below the trendline. In such a case, a drop to $8.908 is likely.

BCH/USD

Bitcoin Cash (BCH) continues to be range-bound between $215–$235.05. The bulls attempted to push the price above this range on Sep. 13 but failed, which shows that the bears are defending the resistance.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

The next trending move is likely to begin after the price escapes this range. If the bulls can propel the BCH/USD pair above $235.05 and the 20-day EMA ($242), a move to $260 is possible.

Conversely, if the price turns down and breaks below $215, a drop to $200 is likely. This is an important support to watch out for because it has not been broken since March. A break below this level could intensify selling with the next support at $140.

CRO/USD

Crypto.com Coin (CRO) has resumed its up move. The bears attempted to stall the up-move at the 50-day SMA ($0.164) on Sep.13 but the bulls did not allow the price to dip below the 20-day EMA ($0.161).

CRO/USD daily chart. Source: TradingView​​​​​​​

CRO/USD daily chart. Source: TradingView

Currently, the CRO/USD pair has risen above the 50-day SMA, which suggests that the bulls continue to buy at higher levels. The next target is $0.183416 and if this level is crossed, a retest of the highs at $0.191101 is likely.

This bullish view will be invalidated if the pair turns down and plummets below $0.144743. Such a move will suggest that the bulls are closing their positions at higher levels.

LTC/USD

The bulls attempted to propel Litecoin (LTC) above the $51 resistance on Sep. 12 and 13 but failed. This indicates that the bears are aggressively defending the level.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

However, a positive sign is that the bulls are buying on dips to the trendline support. They will once again try to clear the hurdle at $51 and the downsloping 20-day EMA ($51.9). If they succeed, a move to the 50-day SMA ($56.4) and $64 is likely.

Contrary to this assumption, if the LTC/USD pair turns down from the overhead resistance, the bears will try to sink the price below the trendline. A break below this support could result in a fall to $45.1626.

BSV/USD

Bitcoin SV (BSV) is currently attempting to rebound off the $160 support. The bulls will once again attempt to push the price above the downsloping 20-day EMA ($175).

BSV/USD daily chart. Source: TradingView​​​​​​​

BSV/USD daily chart. Source: TradingView

If the bulls manage to surmount $175 the price could rally to $227 but it’s expected that overhead resistance will prevent this from happening in one go.

Conversely, if the pair turns down from the 20-day EMA or the downtrend line, the bears will try to break the $160 support and hammer the price to $146.20.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 Cryptocurrencies to Watch This Week: BTC, BNB, NEO, YFI, LINK

Bitcoin remains stuck in a tightening range but select altcoins may begin moving higher if they bounce off their key support levels.

This week Digital Assets Data CEO Mike Alfred told Cointelegraph that mainstream investors are still “skeptical of Bitcoin and the ecosystem." 

However, Alfred believes that this “skepticism and disbelief” will turn out to be a positive for Bitcoin (BTC) because when the “traditional folks capitulate, they will be forced by their clients and partners to get involved at significantly higher prices."

While Bitcoin has struggled to start a sustained uptrend in the past few weeks, select altcoins and tokens in the DeFi space have been in a strong bull run. This shows that traders attention has shifted away from Bitcoin.

Crypto market data daily view

Crypto market data daily view. Source: Coin360

Pantera Capital founder and CEO Dan Morehead believes that the DeFi space will outrun Bitcoin in the next five years and grow by about 100x. 

In the long-term, most analysts are uber bullish on the crypto space but what can traders expect in the next few days? 

Let’s have a look at the cryptocurrencies that could offer short-term trading opportunities and spot the critical levels on each of them.

BTC/USD

Bitcoin completed a bullish inverse head and shoulders pattern on July 27 when it closed above $10,500 and usually the price retests the breakout levels of such reversal patterns.  

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

In ideal conditions, the price should not dip below the neckline of the inverse H&S pattern, but trading is anything but ideal.

Although the bears pulled the BTC/USD pair below the neckline on Sep. 3, there has not been much follow up selling, which suggests buying by the bulls at lower levels. However, this buying dries up when the price tries to move up above the $10,500 level.

Due to this, the pair is currently stuck in the $9,835–$10,625 range. After the bears failed to sink the price below the range on Sep. 8, the bulls today attempted to push the price above the overhead resistance but failed.

The 20-day exponential moving average ($10,719) is just above the resistance of the range, hence, the bears are likely to defend it aggressively. 

However, if the bulls can propel the pair above the 20-day EMA and sustain the higher levels for three days, it will suggest that the correction is over. That could result in a retest of $12,460 and if this resistance is crossed, the uptrend is likely to resume.

This bullish view will be invalidated if the pair breaks and sustains below the $9,835 support. 

BTC/USD 4-hour chart

BTC/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bears are aggressively defending the $10,625 resistance but if they fail to sink the price below the $10,200 support, the bulls will once again try to clear the overhead resistance of the range.

If they succeed, aggressive traders are likely to jump in, which could result in a quick move to $11,400 and possibly $12,000.

Contrary to this assumption, if the bears sink the price below the $10,200 support, a drop to $10,000 and then to $9,835 is possible. 

BNB/USD

While most major cryptocurrencies are searching for a bottom, Binance Coin (BNB) has resumed its uptrend and made a new 52-week high, which is a sign of strength.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

Although the relative strength index was showing the formation of a bearish divergence, the sharp move on Sep. 12 invalidated this bearish setup.

Currently, the BNB/USD pair is facing stiff resistance at the $32 level but if the bulls do not allow the price to dip below the critical support at $27.1905, a retest of $32 is likely. A break above this resistance could push the price to $38.

Contrary to this assumption, if the bears pull the pair down below $27.1905 it will indicate that the current move might have been a bull trap.

BNB/USD 4-hour chart

BNB/USD 4-hour chart. Source: TradingView

The bears are aggressively defending the $32 level as seen from the long bearish candle on the 4-hour chart. However, the positive sign is that the bulls are not panicking and they continue to purchase the dip.

They will now again try to push the price above the $32 resistance. If they succeed, the momentum is likely to pick up but if the price again turns down from $32, the pair could remain range-bound for a few days.

NEO/USD

The failure of the bears to sink and sustain NEO below the breakout level of $16.72441 attracted buying by the bulls who pushed the price to $21.97869 today.

NEO/USD daily chart

NEO/USD daily chart. Source: TradingView

The bears are defending the $22–$22.82612 resistance zone aggressively but if the NEO/USD pair rebounds off the 20-day EMA ($18.54), the bulls will once again attempt to push the price above the resistance zone.

If they succeed, the next leg of the up-move is likely to begin. There is a minor resistance at $25.23 above which the momentum is likely to pick up.

However, if the bears sink the price below the 20-day EMA, the pair might drop to $16.72441. A breakdown and close below this support will be a huge negative. 

NEO/USD 4-hour chart

NEO/USD 4-hour chart. Source: TradingView

The failure to break above the $22 level could have attracted profit booking by the short-term bulls. This has pulled the price below the 20-EMA.

However, if the bulls can keep the price above $19.27244, (50% Fibonacci retracement level), then another attempt to clear the overhead resistance is likely.

A break below the $19.27244–$18.63376 support could weaken the momentum and result in a drop to $16.72441.

YFI/USD

The correction in Yearn.finance (YFI) that started on Aug. 31 found support close to $21,345, which was the 50% Fibonacci retracement level of the entire run-up from $3,000–$39,690. 

YFI/USD daily chart

YFI/USD daily chart. Source: TradingView

Repeated attempts by the bears to break below the $21,345 support failed and the range shrunk between Sep. 5 and Sep. 8, which suggested indecision among the bulls and the bears.

This uncertainty resolved to the upside with a sharp up-move on Sep. 9, which indicated that the bulls had reasserted their dominance. The target objective of this next leg of the uptrend is $46,632.46 and then the psychological resistance at $50,000.

However, the bears are attempting to stall the rally at $43,966.31. If they can sink the YFI/USD pair below the 50% Fibonacci retracement level of the most recent leg of the rally at $31,011.37, the momentum is likely to weaken. 

The developing bearish divergence on the RSI warrants caution but if the pair rebounds from the $34,068.74–$31,011.37 support zone, the bulls will make another attempt to resume the uptrend. 

YFI/USD 4-hour chart

YFI/USD 4-hour chart. Source: TradingView

The bears have pulled down the pair below the 20-EMA, which suggests that the short-term momentum has weakened. The next support on the downside is $31,011.37.

If the pair rebounds sharply from $31,011.37, the bulls will make one more attempt to push the price above the overhead resistance at $43,966.31.

LINK/USD

Chainlink (LINK) has thrice turned down from the $13.28 levels since Sep. 6 but the positive sign is that the bears have not been able to sink the price below the trendline, which shows buying at lower levels.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

If the LINK/USD pair again rebounds off the trendline, the bulls will make one more attempt to push the price above $13.28. If they succeed, the pair is likely to pick up momentum and rally to the downtrend line.

This level is again likely to act as a resistance but if the bulls can push through it the pair could rally to $17.7777.

However, if the bears sink the price below the trendline, it will suggest weakness, which could result in a drop to $8.908. Such a move will be a huge negative and it will hurt sentiment.

LINK/USD 4-hour chart

LINK/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bears are aggressively defending the $13.28 levels but the positive sign is that the bulls have not allowed the price to dip below the $11 level. 

If the pair rebounds off the current levels or from the trendline, the bulls will make one more attempt to push the price above the $13.28 resistance. If they succeed, momentum is likely to pick up and a quick move to $15 is likely.

This bullish view will be invalidated if the bears sink and sustain the price below the trendline.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price analysis 9/11: BTC, ETH, XRP, LINK, BCH, DOT, BNB, LTC, CRO, BSV

Although Bitcoin price is range-bound, a few altcoins have started a relief rally which could push them above key resistance levels.

The President of the European Central Bank (ECB) Christine Lagarde said that the coronavirus pandemic has acted as a catalyst in boosting the adoption of digital payments in the European Union. Lagarde expects the majority of the consumers to continue using digital services even in the future.

In order to support the digitalization, the ECB has formed a task force, which is “exploring the benefits, risks and operational challenges” of developing a digital euro and is expected to announce its findings within the next few weeks.

While a central bank digital currency might build up consumer interest in the short-term, it is unlikely to sustain because the stimulus measures announced across the globe since the start of the outbreak have reduced the confidence in fiat currencies.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

This has driven investors towards other assets such as stocks, gold and cryptocurrencies. Bloomberg’s crypto newsletter shows that the correlation between gold and Bitcoin (BTC), when calculated on a monthly basis has hit a 10-year high. This indicates that several investors are viewing Bitcoin as a safe haven asset similar to gold.

However, every asset goes through periodic corrections. Let’s analyze the charts of the top-10 cryptocurrencies to ascertain whether the correction is over or not.

BTC/USD

The bulls are currently attempting to push Bitcoin to the top of the $9,835–$10,625 range. The price action inside a range is usually random and it is difficult to predict the direction of the breakout with certainty. 

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

It is generally assumed that the breakout will happen in the direction of the trend that was prevailing before the range formed. In this case, the BTC/USD pair had dipped from the recent highs of $12,460, which shows that the bears had the upper hand.

The downsloping 20-day exponential moving average ($10,798) and the relative strength index in the negative zone also indicate that the advantage is with the sellers.

If the bears can sink the pair below $9,835, a drop to $9,000 and then to $8,000 is likely. Such a move will be a huge negative.

However, if the bears fail to capitalize on this advantage, the aggressive bulls are likely to start accumulating and they will try to push the price above $10,625. If they succeed, a move to $11,000 and then to $12,460 is likely. 

ETH/USD

Ether (ETH) rose above the $366 resistance on Sep. 10 but the bulls are facing resistance at the 20-day EMA ($379), which is close to the 38.2% Fibonacci retracement of the most recent fall. 

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

However, if the bulls do not give up much ground, it will increase the possibility of a break above the 20-day EMA. If the ETH/USD pair sustains above this resistance, a move to the 61.8% Fibonacci retracement level of $419.473 is likely.

The bears will once again attempt to defend this level but if the bulls can overcome their challenge, a retest of $488.134 will be on the cards.

Contrary to this assumption, if the pair turns down from the current levels and dips back below $350, the bears will try to sink the price to $308.392. The selling is likely to intensify on a break below $288.

XRP/USD

The bulls attempted to start a relief rally on Sep. 10 but could not sustain above $0.245, which shows that demand dries up at higher levels. As a result, XRP has again dipped back to the $0.235688 support.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

If the bears sink the XRP/USD pair below $0.229582, the next leg of the down move is likely to begin. The next support on the downside is the $0.19–$0.20 zone. 

The downsloping 20-day EMA ($0.257) and the RSI in the negative territory suggest that bears are in command.

However, if the pair rebounds off the current levels and rises above $0.250, it can move up to the 20-day EMA and above it to $0.268478. A break above this level will suggest that the bulls are back in the game.

LINK/USD

Chainlink (LINK) had broken above the $12.89 overhead resistance but the bulls could not push the price above the 20-day EMA ($13.35), which suggests that the bears are aggressively selling on rallies.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

If the bears can keep up the selling pressure and sink the LINK/USD pair below the trendline, a drop to $8.9080 is possible. A break below this support will be a huge negative.

Conversely, if the pair rises from the current levels or from the trendline, the bulls will once again attempt to scale the price above the 20-day EMA. If they succeed, a relief rally to the downtrend line is likely.

A breakout of this resistance will increase the likelihood of a rally to $17.77 and then to the highs at $20.1111.

BCH/USD

Bitcoin Cash (BCH) has roughly been trading in the tight range of $215–$231 for the past few days, which suggests indecision among the bulls and the bears about the next directional move.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

The downsloping 20-day EMA ($248) and the RSI below the 40 level suggest that bears have the upper hand.

If they can sink the price below $215, a retest of the critical support at $200 is possible. A breakdown of this support will be a huge negative that can result in a fall to $140.

Conversely, if the bulls can push the price above $231, the likelihood of a rally to $245 increases. Above this level, a move to $260 and then to $280 is possible.

DOT/USD

The bulls could not push Polkadot (DOT) above the $4.9210 resistance on Sep. 10, which suggests that the bears are defending this level.

DOT/USD daily chart

DOT/USD daily chart. Source: TradingView

The bears will now try to sink the DOT/USD pair below the $4–$3.50 support. If they succeed, a drop to $3 and then to $2 is possible.

However, if the price turns up from the current levels or the $4 support, the bulls will again try to push the price above $4.9210. If they succeed, a rally to the 61.8% Fibonacci retracement level of $5.5899 is possible.

Between $4 and $4.9210, the price action is likely to be random. The longer the time spent inside the range, the stronger will be the eventual breakout from it.

BNB/USD

Binance Coin (BNB) turned down from the $25.8262 resistance on Sep.10, which shows that the bears are defending this level. The RSI has formed a bearish divergence, which suggests that the bullish momentum has weakened.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

If the bears can sink the BNB/USD pair below the moving averages, it will be the first sign of weakness, which could result in a drop to $18.

However, both moving averages are sloping up, which suggests that the advantage is still with the bulls. 

The pair has currently bounced off the 20-day EMA ($22.95), which suggests buying on dips by the bulls. They will now again try to propel the price above $25.8262 and if they succeed, a rally to $27.1905 is likely.

LTC/USD

The bulls are struggling to push Litecoin (LTC) to the overhead resistance at $51, which suggests a lack of demand even at the current levels.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

If the bulls do not push the price above the $51 resistance within the next few days, the bears will make an attempt to sink the LTC/USD pair below $45. If they succeed, a retest of the critical support at $39 is possible.

Conversely, if the bulls can push the price above the $51 resistance and the downsloping 20-day EMA ($52.8), it will signal strength. The next target on the upside is likely to be $56 and then $64.

CRO/USD

Crypto.com Coin (CRO) has broken above the $0.154322 resistance and has reached the 20-day EMA ($0.260), which is a positive sign as it shows a lack of selling pressure at lower levels.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

If the bulls can push the CRO/USD pair above this resistance, a retest of the $0.183416–$0.191101 resistance zone is likely. A breakout of this zone could start the next leg of the uptrend.

Contrary to this assumption, if the bears aggressively defend the 20-day EMA, the pair could again dip back to the $0.144743 support. A break below this support could pull down the price to the 38.2% Fibonacci retracement level of $0.127459.

BSV/USD

The relief rally in Bitcoin SV (BSV) hit a wall close to the 20-day EMA ($179), which could have attracted profit booking by the traders who had purchased the recent dip to $150 levels.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

If the bears can now sink the price below the immediate support at $160, a drop to the critical support zone of $146.20–$135 is likely. A break below this zone will be a huge negative that can result in a fall to $100.

Contrary to this assumption, if the BSV/USD pair rebounds off the current levels, the bulls will once again try to push the price above the 20-day EMA. If they succeed, a move to the downtrend line is possible. 

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 9/9: BTC, ETH, XRP, LINK, BCH, DOT, BNB, BSV, LTC, CRO

If the bulls can find momentum from the current bounce in Bitcoin and altcoins a short-term bottom may be in place.

The short-term gyrations in crypto and stock prices are usually based on sentiment and technicals, while the long-term trends generally follow stronger underlying fundamentals. Therefore, if the fundamentals do not weaken, smart investors view short sharp corrections as a buying opportunity.

Data suggests that large investors, oftentimes dubbed ‘whales’, have been accumulating Bitcoin (BTC) since March. Along with them, several new small traders have also been buying Bitcoin and this suggests that retail and high net worth traders believe that Bitcoin will work as a store of value during the next crisis.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

Morgan Stanley’s head of emerging markets and chief global strategist Ruchir Sharma believes that inflation is likely to rear its head as early as next year, hence, alternative assets are in demand. Sharma said that about 5% of a portfolio could be in gold and the “more adventurous” investors could make allocations to “Bitcoin and other cryptocurrencies.”

While the long-term expectation for Bitcoin price is bullish, do the charts project that a bottom is in place or  is another further fall likely in the next few days? 

Let’s review the charts to find out.

BTC/USD

Bitcoin has been stuck in the $9,835–$10,625 range for the past few days, which suggests that both the bulls and the bears are playing it safe and are waiting for the next trending move to start before making large bets.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The long tail on the candlesticks of the past five days shows that the bulls have been buying at lower levels but they have not been able to push the price above the top of the range at $10,625, which suggests that demand dries up at higher levels. 

The downsloping 20-day exponential moving average ($10,902) and the relative strength index in the negative zone suggest that bears have the upper hand.

If the bears can sink and close (UTC time) the price below $9,835, the BTC/USD pair can drop to the next support at $9,000 and then to $8,000. 

This bearish view will be invalidated if the bulls can push the price above the $10,625–$11,000 zone. Such a move will indicate that the correction is possibly over. 

ETH/USD

Ether (ETH) has formed inside day candlestick patterns for the past three days, which suggests indecision among the bulls and the bears about the next directional move. 

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

This contraction in volatility is likely to resolve with a strong move within the next few days. The downsloping 20-day EMA ($381) and the RSI in the negative zone suggests that bears have the upper hand.

The ETH/USD pair might weaken if the bears sink the price below the $308.392–$288 support zone. If the price sustains below $288, the selling is likely to intensify, which could pull down the pair to $220.

However, if the volatility expands to the upside and the pair breaks above the $366 resistance, a rally to the 50% Fibonacci retracement level of $398.263 is possible.

XRP/USD

XRP has held the $0.235688 support for the past few days but the bulls have not been able to achieve a strong rebound off it, which suggests that demand dries up at higher levels.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

If the XRP/USD pair does not rise above $0.245 within the next few days, the bears will again attempt to resume the correction. The 20-day EMA ($0.26) is sloping down and the RSI has been trading below the 40 level, which suggests that bears have the upper hand.

If the bears sink the price below $0.229, a drop to the $0.19–$0.20 zone is possible. This bearish view will be invalidated if the bulls can push and sustain the price above the overhead resistance at $0.268478.

LINK/USD

Although the bears are aggressively defending the overhead resistance at $12.89, the positive thing is that the bulls have not allowed Chainlink (LINK) to dip below the trendline, which suggests buying at lower levels.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

If the bulls can push the price above the $12.89–$13.24 resistance zone, a rally to the downtrend line is likely. A breakout of this resistance will be the first indication that the downtrend could be over.

However, the downsloping 20-day EMA ($13.53) and the RSI in the negative zone suggest that bears have the upper hand.

If the LINK/USD pair turns down from the current levels or from the resistance zone, the bears will try to sink it below the trendline. If they succeed, a drop to $8.908 is possible. A breakdown of this support will be a huge negative.

BCH/USD

Bitcoin Cash (BCH) has formed a pennant after the recent fall, which usually acts as a continuation pattern. The 20-day EMA ($253) is sloping down and the RSI is below the 40 level, which suggests that bears have the upper hand.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

If the bears can sink the price below the pennant and the $200 support, selling is likely to intensify and a drop to $140 could be on the cards.

Conversely, if the bulls can push the price above the pennant, a move to $245 is likely. The bears are again likely to defend this level but if the bulls can scale the price above it,  the BCH/USD pair could move up to $280.

DOT/USD

Polkadot (DOT) is facing resistance at $4.9210 but the positive thing is that the bulls are not allowing the price to dip below the $4 support.

DOT/USD daily chart

DOT/USD daily chart. Source: TradingView

If the bulls can push the price above $4.9210, it will be the first sign that the correction might be over. Above this level, a move to the 61.8% Fibonacci retracement level of $5.5899 and then to the 78.6% retracement level of $6.1493 is likely.

Conversely, if the DOT/USD pair again turns down from $4.9210, a few days of range-bound action is possible. The pair will turn negative if the bears sink the price below the $4–$3.5 support zone.

BNB/USD

Binance Coin (BNB) has been among the strongest major cryptocurrencies as it has quickly recovered most of the lost ground. The bulls are currently attempting to sustain the price above the $24 resistance.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

The bears might attempt to stall the up-move at $25.8262 but this resistance is likely to be crossed as the momentum is strong. If the bulls can scale the price above $27.1905, a rally to $32 is likely.

The 20-day EMA ($22.58) has started to turn up once again and the RSI is just above the midpoint, which suggests that the bulls have a slight advantage.

However, if the price turns down from the current levels, the BNB/USD pair could remain range-bound for a few days.

BSV/USD

The relief rally in Bitcoin SV (BSV) is likely to face resistance at the 20-day EMA ($182), which is sloping down. The RSI is also in the negative territory, which suggests that the bears have the upper hand.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

However, if the bulls can push the price above the 20-day EMA, a move to the downtrend line is likely. A break above this resistance will signal strength and can result in a move to $227.

On the other hand, if the BSV/USD pair turns down from the 20-day EMA or the downtrend line, the bears will once again attempt to sink the price below the $146.20–$135 support zone. If they succeed, the decline can extend to $100 and then to $77.

LTC/USD

Litecoin (LTC) has bounced off the $45.1626 support, which suggests strong buying at lower levels. The bulls will now try to push the price to the overhead resistance zone of $51–$52.3594.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

The 20-day EMA ($53.79) is sloping down and the RSI is in the negative territory, which suggests that bears have the upper hand. They are likely to defend the overhead resistance zone aggressively.

If the LTC/USD pair turns down from either resistance, the bears will try to sink the price below the $45.1626 support. If they succeed, a drop to $39 is likely. However, if the bulls can push the price above $52.3594, it will suggest that the correction might be over.

CRO/USD

Crypto.com Coin (CRO) is attempting to rebound off the $0.144743 support, which is just below the 23.6% Fibonacci retracement level of $0.151783. The relief rally is likely to face resistance at the 20-day EMA ($0.160), which is sloping down.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

If the price turns down from the 20-day EMA, the bears will attempt to deepen the correction by sinking the CRO/USD pair below $0.144743. If they succeed, the next support is at the 38.2% Fibonacci retracement level of $0.127459.

Conversely, if the bulls can push the price above the 20-day EMA, a move to $0.183416 and then to $0.191101 is likely. A breakout above this level will indicate the resumption of the uptrend.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 9/7: BTC, ETH, XRP, LINK, BCH, DOT, BSV, BNB, LTC, CRO

Bitcoin and altcoins could consolidate in a tight range for a few days before making the next decisive move.

Corrections are healthy for the strength of an uptrend because they shake out the excess exuberance and provide an opportunity to the traders who missed the bus earlier to make an entry at lower levels.

About 68 crypto investors did the same thing when they used the recent dip to purchase anywhere between 1,000–10,000 Ether (ETH). 

Buying against the prevailing short-term negative sentiment during a correction is not an easy task but it is generally the right thing to do if the medium-term trend is bullish. 

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

Tops and bottoms are confirmed only in hindsight, hence, selling at the top or buying at the bottom is a difficult task. Instead, traders can consider buying after the price rebounds off a support level repeatedly.

Even these purchases are not foolproof because many times, the price jumps up a little, only to turn around sharply and break below the support. Therefore, traders should always keep a stop-loss to protect their capital. 

Let’s study the charts to spot the cryptocurrencies that are showing signs of having bottomed out.

BTC/USD

The bulls are attempting to defend the $9,835 level in Bitcoin (BTC) as seen by the long tails on the candlesticks of the past three days. However, they have not been able to push the price above $10,625, which suggests that buying dries up at higher levels.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The short-term trend has turned negative as the moving averages have completed a bearish crossover and the relative strength index is in the negative territory. This suggests that the bears are back in the game.

If they can sink the BTC/USD pair below $9,835.20, there is a minor support at $9,540, which is close to the large symmetrical triangle and is also the target objective of the head and shoulders breakdown. 

If this support also cracks, a drop to $9,000 and then to $8,000 is possible. Such a move will shatter sentiment and could drive away buyers. 

This bearish view will be invalidated if the bulls can push the price above $11,000 and sustain it.

ETH/USD

The rebound off the $308.392 level could not even reach the previous support turned resistance of $366 on Sep. 6, which is a huge negative. A weak rebound after a sharp fall suggests that Ether (ETH) is likely to face another wave of selling.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

If the bears sustain the price below $308.392, a drop to $288 is possible. This is an important support to watch out for because if this gives way, the decline could extend to $220.

The 20-day exponential moving average ($390) is sloping down and the RSI has dipped into the negative zone, which suggests that the bears have the upper hand.

This bearish view will be invalidated if the ETH/USD pair breaks out of the $366–$400 resistance zone.

XRP/USD

The rebound off the $0.235688 support on Sep. 4 could not rise above the $0.268478 resistance, which suggests that the bears aggressively defended the breakdown level. Currently, the bears are attempting to resume the correction in XRP.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

If the XRP/USD pair sustains below $0.229582, the next support is $0.21, and if that also cracks, the decline could extend to $0.19. 

The moving averages have completed a bearish crossover and the RSI is in the negative zone, which suggests that the bears have the upper hand.

This bearish view will be invalidated if the pair reverses direction and rises above the $0.268478 resistance. Such a move will suggest that the correction has ended. 

LINK/USD

Chainlink (LINK) has been swinging wildly inside the $8.908–$12.89 range for the past three days, which suggests a tussle between the bulls and the bears as they attempt to establish their supremacy.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The 20-day EMA ($13.83) has started to turn down and the RSI is in the negative zone, which suggests that the bears have the upper hand.

If the LINK/USD pair breaks below the trendline, a drop to $8.908 is possible. This is the important support to watch out for because if this breaks down, a drop to $7 is likely.

On the upside, a break above $12.89 will be the first sign of strength. Above this level, a move to the downtrend line is possible. A breakout of this level will suggest that the correction is over. 

BCH/USD

The rebound off the $200 level fizzled out at $240.38 on Sep. 4 and the price again dipped back close to $217.55. If bears sustain Bitcoin Cash (BCH) below this support, a drop to $200 is possible.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

The 20-day EMA ($259) is sloping down and the RSI is close to the oversold levels, which suggests that the bears are in command.

A break below $200 will be a huge negative as this level has not been broken down convincingly since March 19. The next support on the downside is way lower at $140.

On the other hand, if the bulls defend the $217.55–$200 support zone, the BCH/USD pair could remain range-bound for a few days. 

DOT/USD

Polkadot (DOT) formed inside day candlestick patterns on Sep. 6 and today as the bulls attempt to stall the decline at the 61.8% Fibonacci retracement level of $3.8572.

DOT/USD daily chart

DOT/USD daily chart. Source: TradingView

However, the rebound on Sep. 6 was short-lived as the bears are currently attempting to resume the decline. 

If they can sink and sustain the DOT/USD pair below $3.8572, a drop to $3.0404 is possible. If this support also cracks, the pair will complete a 100% retracement and drop to $2.

Conversely, if the bulls can push the price above $$4.921, a move to $5.3147 and then to $6 is likely.

BSV/USD

Bitcoin SV (BSV) has rebounded off the $146.2 support, which suggests that the bulls are defending this level. However, the bulls are likely to face stiff resistance at the downsloping 20-day EMA ($185).

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

If the BSV/USD pair turns down from the 20-day EMA, the bears will once again attempt to break below the critical support zone of $146.20–$135. If they succeed, a drop to $100 and then to $77 is likely.

However, if the bulls can push the price above the 20-day EMA, a move to the 50-day simple moving average ($202) is possible. A break above this level can retest the $227 resistance.

BNB/USD

Binance Coin (BNB) has been swinging wildly for the past few days, which suggests aggressive buying by the bulls on dips and selling by the bears on rallies as both attempt to wrestle the advantage in their favor.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

Both moving averages are flat and the RSI is just below the midpoint, which suggests a range-bound action between $18–$24 for a few days. If the bears sink the price below $18, the BNB/USD pair can drop to $14.80. 

On the other hand, if the bulls can push the price above $24, the pair could move up to $27.1905. A breakout of this resistance will be a huge positive, with the next target objective at $32.

LTC/USD

The bears did not allow Litecoin (LTC) to sustain above the breakdown level of $51 on Sep. 4, which attracted another round of selling that had pulled down the price to about $46 levels.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

The only minor positive is that the LTC/USD pair has formed long tails for the past three days, which suggests that the bulls are buying the dips. 

However, if the bulls fail to push the price above $51 within the next few days, the bears will again attempt to sink the pair to $42 and then to $39.

This bearish view will be invalidated if the bulls can push and sustain the pair above the breakdown level of $51.

CRO/USD

The bulls could not sustain Crypto.com Coin (CRO) above the breakdown level of $0.154322 on Sep. 5, which suggests profit booking by traders. There is a minor support at $0.14 below which a drop to the 38.2% Fibonacci retracement level of $0.127459 is possible.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

Barring the sharp decline on Sep. 3, the fall in the CRO/USD pair has been gradual, which suggests that traders are not dumping their positions yet. This increases the possibility of another attempt by the bulls to stall the decline. 

However, the moving averages have completed a bearish crossover and the RSI is close to the oversold zone, which suggests that the bears have the upper hand in the short-term.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 Cryptocurrencies to Watch This Week: BTC, ETH, LINK, NEO, XEM

A short-term bottom for Bitcoin and altcoins may be confirmed if the bulls do not allow the recent lows to be broken during the next fall.

The U.S. stock markets, gold, crude oil, and crypto markets have all corrected in the past week, which shows that traders booked profits in most asset classes. The total crypto market capitalization corrected from a high of above $394 billion to a low of about $313 billion, which is roughly a 20% correction.

This decline also led to a sharp fall in Bitcoin (BTC) futures open interest, which was down by $653 million on Sep. 3, suggesting squaring up of positions by a few professional short-term traders.

However, even after the fall, the trend in several major cryptocurrencies has not turned bearish because they are still trading above their respective 200-day simple moving average. Professional traders watch this moving average closely and it is generally considered that if the price stays above it, the trend remains positive.

Crypto market data daily view. Source: Coin360

Crypto market data daily view. Source: Coin360

Usually, every sharp fall is followed by a rebound because aggressive traders use the dip to buy. However, the bears who could not sell in the first fall wait to sell on relief rallies. If the next drop breaks below the recent lows, then it will suggest the start of a deeper correction.

Conversely, if the bulls can defend the recent lows and sustain the rebound, it will suggest that the correction might be over. The cryptocurrencies selected in this analysis are all trading above their 200-day SMAs and are attempting a rebound off their recent lows.

As the correction has been sharp, traders should watch the price action carefully before initiating any long positions.

BTC/USD

Bitcoin has failed to rebound sharply from the $10,000 level in the past three days, which suggests that the bears are selling on every relief rally. This suggests that the sentiment has turned from buy on dips to sell on rallies.

BTC/USD daily chart. Source: TradingView​​​​​​​

BTC/USD daily chart. Source: TradingView

If the bulls fail to push the price above $10,400 and sustain it, the bears will make one more attempt to resume the correction. If the BTC/USD pair sustains below $10,000, a drop to the 200-day SMA ($9,078) is likely.

This is an important support to watch out for because if the price breaks and sustains below this level, the selling could intensify further. The next support on the downside is $8,000 and then $7,000.

However, if the pair rebounds off the current levels and rises above $10,625, a move to $11,000 is likely. This is an important level to watch out on the upside because if the bulls can push the price above this it will suggest that the downtrend has ended.

BTC/USD 4-hour chart. Source: TradingView​​​​​​​

BTC/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bulls have not allowed the price to sustain below the $10,000 level, which suggests that they are accumulating at lower levels.

If the bears do not break the $10,000 support convincingly within the next few days, the possibility of a sharp rebound increases because the aggressive bulls will buy expecting that a bottom has been made.

A breakout or breakdown of the $9,835–$10,625 range is likely to start the next trending move. Until then, trading inside the range is likely to remain volatile.

ETH/USD

Ether (ETH) plunged and closed (UTC time) below the strong support of $366 on Sep. 5, which is a negative sign. The altcoin is currently attempting to rebound off $308.392, which is just above the 100- day SMA ($304).

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

The bears will try to stall the relief rally at $377.053, which is the 38.2% Fibonacci retracement level of the most recent leg of the fall from the 52-week highs.

If the ETH/USD pair turns down from this level and breaks below $308.392, a drop to $288 is possible. A break below this support will be a huge negative.

Conversely, if the bulls can sustain the price above $366 or if they can arrest the next dip above $308.392, it will increase the possibility that the bottom has been made. That is likely to attract further buying, which could resume the up-move.

The upsloping moving averages suggest that this is only a correction and the medium-term trend still favors the bulls.

ETH/USD 4-hour chart. Source: TradingView​​​​​​​

ETH/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the decline has been sharp and the bears have sold aggressively on a pullback to the downtrend line.

However, the bulls are currently attempting to push the price above the downtrend line. If they succeed, it will suggest that the short-term selling pressure has reduced and that could result in a rebound to $366.

If the bulls can push and sustain the price above the $366–$377.053 resistance zone, it will suggest that the correction might be over.

LINK/USD

Chainlink (LINK) plunged to an intraday low of $9.10 on Sep. 5, which is just above the critical support at $8.90 and the 100-day SMA ($8.69). The sharp rebound off the support shows that the bulls have aggressively purchased at lower levels.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

Currently, the bulls are attempting to push the price above the 50-day SMA ($12.29). Above this level, the bears could again pose a stiff challenge at $12.89. If the LINK/USD pair turns down from either level, the bears will try to sink the price below the $8.90 support.

Conversely, if the bulls can push the price above $12.89, a move to the downtrend line is possible. A break above this level will suggest that the bulls are back in command and a rally to $17.7777 is likely.

LINK/USD 4-hour chart. Source: TradingView​​​​​​​

LINK/USD 4-hour chart. Source: TradingView

The long tail on the 4-hour candlestick that dropped to $9.10 shows that the bulls aggressively purchased at lower levels.

The bulls again stepped in to buy the next dip at $9.7155, which is a positive sign as it shows that traders are not waiting for lower levels to buy.

However, the bears are unlikely to give up without a fight as they will try to stall the recovery at $12.89. If the pair turns down from this level, the price might remain range-bound between $8.90–$12.89 for a few days before making a decisive breakout.

If the bulls can sustain the price above $12.89, it will be the first indication that the correction is likely over.

NEO/USD

The bears have not been able to sink and sustain NEO below the breakout level of $16.72441, which is a positive sign. This suggests that the bulls are not dumping their positions in fear.

NEO/USD daily chart. Source: TradingView​​​​​​​

NEO/USD daily chart. Source: TradingView

The 50-day SMA ($14.98) and the 100-day SMA ($12.89) are sloping up, which suggests that the medium-term trend remains bullish.

However, the bears are unlikely to give up without a fight as they will mount a stiff resistance at $18.75334 and again at $19.53099, which are 38.2% and 50% Fibonacci retracement levels of the most recent correction from the 52-week highs.

If the bulls again buy the next dip to the $16.72441 level aggressively, it will suggest that a short-term bottom might be in place.

Contrary to this assumption, if the bears sink and sustain the NEO/USD pair below $16.72441, the correction could extend to the 50-day SMA and then to the 100-day SMA.

NEO/USD 4-hour chart. Source: TradingView​​​​​​​

NEO/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that bears have been aggressively selling on any pullback to the downtrend line. If the pair turns down from this line once again, the bears will try to resume the correction by breaking below the $16.23586 support.

Conversely, if the bulls can push the price above the downtrend line, it will be the first sign of strength. This could attract buying from the aggressive bulls who will then attempt to resume the up-move.

XEM/USD

NEM (XEM) is attempting to rebound off $0.1023475, which is just below the 50% Fibonacci retracement level of the entire leg of the up-move that started in end-June. This suggests that the bulls are buying on dips, indicating positive sentiment.

XEM/USD daily chart. Source: TradingView​​​​​​​

XEM/USD daily chart. Source: TradingView

The rebound is likely to face resistance at $0.1413531, which is the intraday high of Sep. 5 but if the bulls can scale the price above this level, a retest of the recent 52-week high at $0.1690655 is possible.

Contrary to this assumption, if the XEM/USD pair turns down and breaks below $0.10, the correction could extend to the 61.8% Fibonacci retracement level of $0.0890120. A break below this support will be a huge negative.

XEM/USD 4-hour chart. Source: TradingView​​​​​​​

XEM/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bulls did not allow the price to sustain below $0.105 levels but the relief rally is facing resistance at the 38.2% Fibonacci retracement of the most recent fall.

If the pair turns down from this resistance, the bears will once again try to sink and sustain the price below $0.105. If they succeed, the decline can extend to $0.0890120.

Conversely, if the bulls again buy the next dip aggressively, it will indicate strong demand at lower levels. If they can propel the price above the downtrend line, it will increase the possibility that the bottom might be in place.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Top 5 Cryptocurrencies to Watch This Week: BTC, ETH, LINK, NEO, XEM

A short-term bottom for Bitcoin and altcoins may be confirmed if the bulls do not allow the recent lows to be broken during the next fall.

The U.S. stock markets, gold, crude oil, and crypto markets have all corrected in the past week, which shows that traders booked profits in most asset classes. The total crypto market capitalization corrected from a high of above $394 billion to a low of about $313 billion, which is roughly a 20% correction.

This decline also led to a sharp fall in Bitcoin (BTC) futures open interest, which was down by $653 million on Sep. 3, suggesting squaring up of positions by a few professional short-term traders.

However, even after the fall, the trend in several major cryptocurrencies has not turned bearish because they are still trading above their respective 200-day simple moving average. Professional traders watch this moving average closely and it is generally considered that if the price stays above it, the trend remains positive.

Crypto market data daily view. Source: Coin360

Crypto market data daily view. Source: Coin360

Usually, every sharp fall is followed by a rebound because aggressive traders use the dip to buy. However, the bears who could not sell in the first fall wait to sell on relief rallies. If the next drop breaks below the recent lows, then it will suggest the start of a deeper correction.

Conversely, if the bulls can defend the recent lows and sustain the rebound, it will suggest that the correction might be over. The cryptocurrencies selected in this analysis are all trading above their 200-day SMAs and are attempting a rebound off their recent lows.

As the correction has been sharp, traders should watch the price action carefully before initiating any long positions.

BTC/USD

Bitcoin has failed to rebound sharply from the $10,000 level in the past three days, which suggests that the bears are selling on every relief rally. This suggests that the sentiment has turned from buy on dips to sell on rallies.

BTC/USD daily chart. Source: TradingView​​​​​​​

BTC/USD daily chart. Source: TradingView

If the bulls fail to push the price above $10,400 and sustain it, the bears will make one more attempt to resume the correction. If the BTC/USD pair sustains below $10,000, a drop to the 200-day SMA ($9,078) is likely.

This is an important support to watch out for because if the price breaks and sustains below this level, the selling could intensify further. The next support on the downside is $8,000 and then $7,000.

However, if the pair rebounds off the current levels and rises above $10,625, a move to $11,000 is likely. This is an important level to watch out on the upside because if the bulls can push the price above this it will suggest that the downtrend has ended.

BTC/USD 4-hour chart. Source: TradingView​​​​​​​

BTC/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bulls have not allowed the price to sustain below the $10,000 level, which suggests that they are accumulating at lower levels.

If the bears do not break the $10,000 support convincingly within the next few days, the possibility of a sharp rebound increases because the aggressive bulls will buy expecting that a bottom has been made.

A breakout or breakdown of the $9,835–$10,625 range is likely to start the next trending move. Until then, trading inside the range is likely to remain volatile.

ETH/USD

Ether (ETH) plunged and closed (UTC time) below the strong support of $366 on Sep. 5, which is a negative sign. The altcoin is currently attempting to rebound off $308.392, which is just above the 100- day SMA ($304).

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

The bears will try to stall the relief rally at $377.053, which is the 38.2% Fibonacci retracement level of the most recent leg of the fall from the 52-week highs.

If the ETH/USD pair turns down from this level and breaks below $308.392, a drop to $288 is possible. A break below this support will be a huge negative.

Conversely, if the bulls can sustain the price above $366 or if they can arrest the next dip above $308.392, it will increase the possibility that the bottom has been made. That is likely to attract further buying, which could resume the up-move.

The upsloping moving averages suggest that this is only a correction and the medium-term trend still favors the bulls.

ETH/USD 4-hour chart. Source: TradingView​​​​​​​

ETH/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the decline has been sharp and the bears have sold aggressively on a pullback to the downtrend line.

However, the bulls are currently attempting to push the price above the downtrend line. If they succeed, it will suggest that the short-term selling pressure has reduced and that could result in a rebound to $366.

If the bulls can push and sustain the price above the $366–$377.053 resistance zone, it will suggest that the correction might be over.

LINK/USD

Chainlink (LINK) plunged to an intraday low of $9.10 on Sep. 5, which is just above the critical support at $8.90 and the 100-day SMA ($8.69). The sharp rebound off the support shows that the bulls have aggressively purchased at lower levels.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

Currently, the bulls are attempting to push the price above the 50-day SMA ($12.29). Above this level, the bears could again pose a stiff challenge at $12.89. If the LINK/USD pair turns down from either level, the bears will try to sink the price below the $8.90 support.

Conversely, if the bulls can push the price above $12.89, a move to the downtrend line is possible. A break above this level will suggest that the bulls are back in command and a rally to $17.7777 is likely.

LINK/USD 4-hour chart. Source: TradingView​​​​​​​

LINK/USD 4-hour chart. Source: TradingView

The long tail on the 4-hour candlestick that dropped to $9.10 shows that the bulls aggressively purchased at lower levels.

The bulls again stepped in to buy the next dip at $9.7155, which is a positive sign as it shows that traders are not waiting for lower levels to buy.

However, the bears are unlikely to give up without a fight as they will try to stall the recovery at $12.89. If the pair turns down from this level, the price might remain range-bound between $8.90–$12.89 for a few days before making a decisive breakout.

If the bulls can sustain the price above $12.89, it will be the first indication that the correction is likely over.

NEO/USD

The bears have not been able to sink and sustain NEO below the breakout level of $16.72441, which is a positive sign. This suggests that the bulls are not dumping their positions in fear.

NEO/USD daily chart. Source: TradingView​​​​​​​

NEO/USD daily chart. Source: TradingView

The 50-day SMA ($14.98) and the 100-day SMA ($12.89) are sloping up, which suggests that the medium-term trend remains bullish.

However, the bears are unlikely to give up without a fight as they will mount a stiff resistance at $18.75334 and again at $19.53099, which are 38.2% and 50% Fibonacci retracement levels of the most recent correction from the 52-week highs.

If the bulls again buy the next dip to the $16.72441 level aggressively, it will suggest that a short-term bottom might be in place.

Contrary to this assumption, if the bears sink and sustain the NEO/USD pair below $16.72441, the correction could extend to the 50-day SMA and then to the 100-day SMA.

NEO/USD 4-hour chart. Source: TradingView​​​​​​​

NEO/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that bears have been aggressively selling on any pullback to the downtrend line. If the pair turns down from this line once again, the bears will try to resume the correction by breaking below the $16.23586 support.

Conversely, if the bulls can push the price above the downtrend line, it will be the first sign of strength. This could attract buying from the aggressive bulls who will then attempt to resume the up-move.

XEM/USD

NEM (XEM) is attempting to rebound off $0.1023475, which is just below the 50% Fibonacci retracement level of the entire leg of the up-move that started in end-June. This suggests that the bulls are buying on dips, indicating positive sentiment.

XEM/USD daily chart. Source: TradingView​​​​​​​

XEM/USD daily chart. Source: TradingView

The rebound is likely to face resistance at $0.1413531, which is the intraday high of Sep. 5 but if the bulls can scale the price above this level, a retest of the recent 52-week high at $0.1690655 is possible.

Contrary to this assumption, if the XEM/USD pair turns down and breaks below $0.10, the correction could extend to the 61.8% Fibonacci retracement level of $0.0890120. A break below this support will be a huge negative.

XEM/USD 4-hour chart. Source: TradingView​​​​​​​

XEM/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bulls did not allow the price to sustain below $0.105 levels but the relief rally is facing resistance at the 38.2% Fibonacci retracement of the most recent fall.

If the pair turns down from this resistance, the bears will once again try to sink and sustain the price below $0.105. If they succeed, the decline can extend to $0.0890120.

Conversely, if the bulls again buy the next dip aggressively, it will indicate strong demand at lower levels. If they can propel the price above the downtrend line, it will increase the possibility that the bottom might be in place.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price analysis 9/4: BTC, ETH, XRP, LINK, BCH, DOT, LTC, CRO, BNB, BSV

A dead cat bounce from Bitcoin and altcoins’ critical support levels may attract further selling that could result in lower levels over the next few days.

The Nasdaq, S&P500 and Dow all corrected sharply on Sep. 3 and opened today with additional downside, suggesting that traders are rushing to the exit. Bitcoin (BTC) and several other major altcoins have also witnessed a strong bout of profit booking that has pulled down the total crypto market capitalization from $394 billion on Sep. 2 to about $339 billion today.

Even gold, which is a traditional safe haven asset, has not been spared and lost ground in the past two days. This shows that traders are booking profits in every asset class that has run-up in the past few weeks.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

Retail traders may view the current fall as a buying opportunity because over the last few months the fundamentals of Bitcoin and cryptocurrencies have improved remarkably. Even market data suggests that several large investors could be waiting to accumulate at lower levels.

However, in a falling market, the prudent strategy should be to wait for the price to stabilize and confirm a bottom before attempting to buy.  Before buying, it’s crucial to determine where the critical support levels are that might attract bottom fishing from the aggressive bulls. 

Let’s find out!

BTC/USD

Bitcoin plunged below the $11,000 and $10,400 support on Sep. 3 and hit an intraday low of $9,958. This fall completed a bearish head and shoulders pattern, which has a minimum target objective of $9,540. 

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

Currently, the bulls are attempting to defend the $10,000 support but the weak bounce suggests that buyers do not think a bottom has been found yet. 

The 20-day exponential moving average ($11,331) has turned down and the relative strength index has dipped into the negative territory, which suggests that the bears have an upper hand.

If the bears sustain the price below $10,000, the next support is at the breakout level of the large symmetrical triangle, which is close to $9,500 but if this support also cracks, the decline could extend to $9,000 and then to $8,000.

This bearish view will be invalidated if the BTC/USD pair rebounds off the current levels and rises above $11,000.

ETH/USD

Although the bulls defended the $415.634 support on Sep. 2, they could not build upon it and push the price higher. The aggressive selling on Sep. 3 broke below the 20-day EMA ($405) and pulled Ether (ETH) down to the next support at $366.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the 50-day simple moving average ($368), which is just above the critical support at $366.

Any relief rally from the current level will face stiff resistance at the 20-day EMA. If the ETH/USD pair turns down from this resistance and breaks below $366, a deeper correction to $288 is possible.

However, if the bulls can push the price above the 20-day EMA, the pair could remain range-bound for a few days. 

XRP/USD

XRP broke below the 50-day SMA ($0.265) on Sep. 3 and plummeted to the $0.235688 support. The price has dipped below both moving averages and the 20-day EMA ($0.275) is sloping down, which suggests that the bears are in command.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

Currently, the bulls are attempting to defend the $0.235688 support but any relief rally is likely to face stiff resistance at the 20-day EMA. If the XRP/USD pair turns down from this level and breaks below $0.235688, a deeper correction to $0.19 is possible.

This bearish view will be invalidated if the pair rebounds off the current levels and rises above both moving averages. Such a move will suggest that the bulls accumulated at lower levels instead of panicking.

LINK/USD

Chainlink (LINK) plummeted below the $12.89 support on Sep. 3 and formed a lower low, which broke the uptrend. Currently, the altcoin is trading inside a descending channel and the bulls are attempting to defend the $11 level.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The 20-day EMA ($14.49) has started to turn down and the RSI has dipped into the negative territory, which suggests that the advantage has tilted in favor of the bears. The relief rally is likely to face resistance at $12.89 and again at the 20-day EMA.

If the LINK/USD pair turns down from either resistance, the bears will try to resume the correction by breaking below the descending channel. If they succeed, a drop to $8.908 is possible.

The first sign of strength would be a break above the 20-day EMA and a rally above the descending channel will suggest that the bulls are back in the game. 

BCH/USD

Bitcoin Cash (BCH) nosedived on Sep. 3 and hit an intraday low of $201.51, which is a huge negative. The 20-day EMA ($270) is turning down and the RSI has slipped into the negative zone, which suggests that the bears are in command.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

Currently, the bulls are attempting to defend the critical $200 support but they are likely to face stiff resistance at $245 and again at the 20-day EMA.

If the price turns down from either level, the bears will again try to sink the BCH/USD pair below $200. If they succeed, a deeper correction to $150 is possible.

However, if the bulls defend the $200 support, the pair could remain range-bound for a few days.

DOT/USD

Polkadot (DOT) has catapulted into the top ten cryptocurrencies by market capitalization, due to its stellar rally of the past few days. The altcoin rallied from $2 on Aug. 18 to a high of $6.8619 on Sep. 1 where traders started booking profits.

DOT/USD daily chart

DOT/USD daily chart. Source: TradingView

The current correction had pulled down the DOT/USD pair to $4.50, which is just above the 50% Fibonacci retracement level of $4.431. If the pair sustains the current rebound, then a rally to $5.7 and above it to $6.8619 is possible. 

Conversely, if the relief rally fails to find buyers at higher levels, then the next support on the downside is the 61.8% Fibonacci retracement level of $3.8572. 

LTC/USD

Litecoin (LTC) broke below the 50-day SMA ($55) and the $51 support on Sep. 3 and fell to an intraday low of $45.40, which is a huge negative.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

The moving averages are on the verge of a bearish crossover and the RSI has dipped into the negative zone, which suggests that the bears have the upper hand. 

Any recovery is likely to face stiff resistance at $51 and above it at the 20-day EMA. If the price turns down from either level, a drop to $39 is likely.

This bearish view will be invalidated if the bulls can push the LTC/USD pair above $51 and sustain the level for three days.

CRO/USD

Traders rushed to book profits in Crypto.com Coin (CRO) on Sep. 3, which resulted in a break below both the moving averages for the first time since April, which suggests that the upward momentum has broken.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The next support on the downside is $0.14 and if that cracks, the correction can extend to $0.127459, which is the 38.2% Fibonacci retracement level of the entire up-move that started way back in mid-March.

If the CRO/USD pair rises from either level, it will suggest that the sentiment remains positive as the bulls are buying on dips to strong support levels.

However, if the bears sink the price below $0.127459, the next support is the 50% Fibonacci retracement level of $0.107801. 

BNB/USD

Binance Coin (BNB) had closed (UTC time) above the overhead resistance of $24.4588 on Sep. 2, which showed that the sentiment was bullish.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

However, it did not take long for the sentiment to change and the BNB/USD pair turned around and plunged below the critical support of $20.5710 on Sep. 3. 

This is a good example of how sentiment can turn around in a jiffy, hence, traders should always be very alert.

When the price dips below both moving averages, it signals weakness. The bears will now try to sink the pair to $18.23 and if that support also cracks, the decline could extend to $16.40.

This bearish view will be invalidated if the bulls can push the price above $20.571 levels and sustain it for three days. Such a move will indicate that the current fall was a bear trap.

BSV/USD

The failure of the bulls to sustain Bitcoin SV (BSV) above $200 on Sep. 2 attracted selling, which intensified on Sep. 3 and pulled the altcoin to the critical support at $146.20.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The weak attempt to rebound from the current levels suggests a lack of confidence among the bulls that this support will hold. If the bears sink the BSV/USD pair below the $146.20–$135 support zone, a drop to $77 is possible.

Conversely, if the bulls defend the $146.2 levels aggressively, the pair could attempt to rise to $200 and remain range-bound between these two levels for a few days.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 9/2: BTC, ETH, XRP, LINK, BCH, LTC, BNB, CRO, BSV, ADA

If the bearish patterns on Bitcoin and altcoins complete the current correction could see prices drop to new lows.

The U.S. stock market continues to hit new all-time highs while gold, which acts as a safe haven asset has retreated from it's all-time highs. This suggests that there sentiment is to own risky assets. Meanwhile, Bitcoin (BTC), which at times behaves as an uncorrelated asset, remains stuck in a range.

However, with the U.S. presidential elections approaching, the volatility in all the markets is likely to pick up. 

If President Donald Trump is re-elected, then there is unlikely to be a huge change in the current economic policies. If Joe Biden wins the election, then economists, traders and corporations are likely to remain cautious for a few weeks and this could lead to a correction as markets hate uncertainty. Therefore, traders should get ready for a roller-coaster ride for the next few months.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

According to PlanB, the creator of the popular stock-to-flow model, Bitcoin’s price action after its halving in May has been closely following the model. If Bitcoin continues to follow the model, then the price is likely to skyrocket within a few months and embark on a long-term bull market, with a target objective of $288,000.

While the long-term picture might look bullish, what do the charts project for the short-term? 

Let’s study them to find out!

BTC/USD

Bitcoin has once again turned down from the $12,113.50 overhead resistance, which suggests that the bears are aggressively defending this level. 

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

Currently, the 20-day exponential moving average ($11,558) has flattened out and the relative strength index is just below the midpoint, which suggests a balance between the bulls and the bears.

However, if the bears sink and sustain the price below the $11,000 support, it will complete a bearish head and shoulders pattern, which has a pattern target of $9,540.

It is unlikely to be a straight fall to the target because the bulls will attempt to defend the $10,400–$10,000 zone aggressively.

Conversely, if the price rebounds off the $11,000 levels, the BTC/USD pair is likely to remain range-bound for a few days. The trend will shift in favor of the bulls if they can scale the price above the $12,113.50–$12,460 resistance zone. 

The next few days are critical because the breakout or breakdown from the $11,000–$12,113.50 range could start the next directional move.

ETH/USD

Ether (ETH) surged above the overhead resistance of $446.479 on Sep. 1 and hit its first target objective of $480. This attracted a huge bout of profit booking from traders that resulted in a sharp intraday fall to $416.248 today.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the 20-day EMA ($408), which is a positive sign as it shows that the positive sentiment remains intact.

Both moving averages are sloping up and the RSI is still in the positive zone, which suggests that the bulls have the upper hand. However, they will have to push the price above the $480 resistance for the uptrend to resume.

If the bears sink the ETH/USD pair below $415.634, a drop to $366 is possible. A break below this support will tilt the advantage in favor of the bears.

XRP/USD

XRP rallied just above the $0.295813 level on Sep. 1 and the bulls tried to resume the up-move today but they encountered huge selling pressure at $0.303746 and this pulled the the price to $0.262484.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

The positive sign is that the bulls purchased the dip to the 50-day simple moving average ($0.263) again today, which makes this a critical level to watch out for. If the bears sink the price below this support, the possibility of a deeper fall to $0.235688 increases.

Conversely, if the bulls defend the 50-day SMA, the XRP/USD pair could remain range-bound between $0.26–$0.30 for a few days. On a close (UTC time) above $0.30, a move to $0.326113 is possible.

The flat 20-day EMA ($0.280) and the RSI just below the 50 level suggests a balance between supply and demand, with a minor advantage to the bears.

LINK/USD

Chainlink (LINK) attempted to bounce off the 20-day EMA ($14.99) on Sep. 01 but a sharp reversal today resulted in a decline to $14. 

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The 20-day EMA has flattened out and the RSI has dipped close to the midpoint, which suggests that the LINK/USD pair could remain range-bound between $12.89 and $17.7777 for the next few days.

If the bears sink the price below $12.89, it will be a huge negative as that will form a lower high and a lower low pattern, which will suggest that the uptrend has ended.

Conversely, if the bulls manage to push the pair above $17.7777, a retest of the highs at $20.1111 is possible. 

BCH/USD

Bitcoin Cash (BCH) broke above the 20-day EMA ($280) on Sep. 1 but that victory for the bulls was short-lived as the altcoin reversed sharply today, which suggests that bears are selling aggressively at higher levels.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

The BCH/USD pair has bounced off $245.63 today, which is just above the intraday low of $245 made on Aug. 2. This is an important support to watch out for because if it cracks, a drop to $217.55 is possible.

The moving averages are on the verge of a bearish crossover and the RSI has again dropped into the negative territory, which suggests that bears have the upper hand.  This bearish view will be invalidated if the pair rises and sustains above the $280 resistance.  

LTC/USD

Litecoin (LTC) stayed above the 20-day EMA ($59.31) for the past two days but the bulls could not push the price above the $64 resistance, which suggests that the bears are aggressively defending this level.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

The LTC/USD pair has formed a possible head and shoulders pattern, which will complete on a breakdown and close (UTC time) below the neckline. This setup has a target objective of $39.

However, if the pair rebounds off the 50-day SMA ($55.36) or the neckline, the bulls will again attempt to push the price above $64. If they succeed, a rally to $68.90 is possible.

BNB/USD

Binance Coin (BNB) broke out of the $24.4588 overhead resistance on Sep. 1, which suggested a resumption of the up-move.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

However, the BNB/USD pair reversed direction sharply from $25.8262 today. The only positive thing is that the bears could not sink the price below the 20-day EMA ($22.85), which suggests strong buying on dips.

The 20-day EMA is sloping up and the RSI is in the positive territory, which suggests that the advantage is with the bulls.

If the pair rises above $24.4588 once again, it is likely to rally to $27.1905 and if this level is scaled, a move to $32 is possible. The bullish view will be invalidated if the pair breaks below $20.5710.

CRO/USD

Crypto.com Coin (CRO) has broken below the breakout level of $0.176596, which suggests profit booking at higher levels. If the bears sink the price below the 20-day EMA ($0.171), a drop to the 50-day SMA ($0.162) is likely.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

However, the 20-day EMA is gradually sloping up and the RSI is just above the midpoint, which suggests a minor advantage to the bulls.

If the CRO/USD pair rebounds off the 20-day EMA, the bulls will once again try to push the price above the $0.176596–$0.183416 resistance zone. If they succeed, a retest of $0.191101 is likely.

BSV/USD

Bitcoin SV (BSV) broke above the $200 overhead resistance on Sep. 1 but that proved to be a bull trap as the price turned down sharply today and fell to an intraday low of $173.53.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The next support on the downside is $160 and if that also cracks, a retest of $146.20 will be on the cards. The downsloping 20-day EMA ($198) and the RSI in the negative zone suggest advantage to the bears.

This bearish view will be invalidated if the BSV/USD pair turns around from the current levels and breaks out of the downtrend line. Such a move will suggest that bulls are back in the game.

ADA/USD

The rebound off the $0.10 critical support in Cardano (ADA) hit a barrier just below the previous support turned resistance of $0.13, which suggests that the bears are selling on rallies to critical resistance levels. 

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

The 20-day EMA ($0.122) is sloping down and the RSI is in the negative territory, which suggests that bears have the upper hand.

If the bears sink the ADA/USD pair below the $0.10 support, it will be a huge negative as it will suggest the possible start of a new downtrend. The next support on the downside is way lower at $0.08.

However, if the bulls defend the $0.10 support, the pair could remain range-bound for a few days. The trend will shift in favor of the bulls on a close (UTC time) above $0.13.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 8/31: BTC, ETH, XRP, LINK, BCH, LTC, BSV, CRO, BNB, EOS

Bitcoin and altcoins have bounced off their range lows but they are likely to encounter resistance at higher levels.

The U.S. stock market is on track to clock its best August performance since 1984. Meanwhile, Bitcoin (BTC) is attempting a positive close for the month, after having declined consecutively in August 2018 and 2019. However, gold futures and the U.S. dollar index (DXY) have not been in favor as both could end the month in the red.

Berkshire Hathaway disclosed a 5% stake each in five leading Japanese trading companies and just a few days back, the company announced that it had a stake in a gold mining company.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

Max Keiser of the Keiser report believes that these recent purchases by Berkshire are an indication that Buffett is diversifying away from the dollar. Hence, Keiser expects Bitcoin, gold and silver to make new all-time-highs in the near term.

While anything is possible in the markets, does Bitcoin’s chart show bullish setups that support the view of a sharp rally in the short-term?

Let’s analyze the charts to find out!

BTC/USD

Bitcoin broke out of the 20-day exponential moving average ($11,559) on Aug. 30, which is a positive sign. The bulls will now try to propel the price above the $12,113.50–$12,460 resistance zone.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

If they succeed, it will signal the possible resumption of the uptrend with the next target objective at $13,000 and then $14,000.

However, the 20-day EMA is flat and the relative strength index is just above the midpoint, which suggests a balance between supply and demand. 

If the price turns down from the overhead resistance, the BTC/USD pair could remain range-bound between $12,113.50–$11,000 for a few days. 

A break below $11,000 will indicate weakness and the pair will turn negative on a drop below the critical support zone of $10,400–$10,000.

ETH/USD

The bulls pushed Ether (ETH) above the 20-day EMA ($400) on Aug. 28 and followed that up with a strong up-move on Aug. 30 which brought the price above the $415.634 resistance.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

With this rise, the 20-day EMA has again started to slope up and the RSI has broken out of a downtrend line, which suggests that the bulls are in command.

If they can propel and sustain the ETH/USD pair above $446.479, the uptrend is likely to resume with the first target at $480 and then $550.

Contrary to this assumption, if the pair turns down from the overhead resistance, it could spend some more time in consolidation. The momentum will weaken if the bears sink the price back below the critical support at $366.

XRP/USD

The bulls pushed XRP above the 20-day EMA ($0.28) on Aug. 30, which suggests strong buying at lower levels. The 20-day EMA has flattened out and the RSI has risen above the 50 level, which suggests that the selling pressure has reduced. 

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

If the bulls can sustain the price above the 20-day EMA, a move to $0.295 and then to $0.326113 is possible.

Contrary to this assumption, if the XRP/USD pair again dips back below the 20-day EMA, the bears will try to sink the price below the 50-day simple moving average ($0.26). If they succeed, the decline could extend to the 61.8% Fibonacci retracement level of $0.241068.

LINK/USD

Chainlink (LINK) broke above the symmetrical triangle on Aug. 29, which suggests buying at lower levels but the bears are not willing to give up without a fight. They are currently attempting to stall the up-move at $17.6738.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

However, the 20-day EMA ($15) is sloping up and the RSI is in the positive territory, which suggests that bulls have the upper hand.

If the bulls do not give up much ground, the possibility of a break above $17.6738 increases. Above this level, a retest of $20.1111 is likely. If the bulls can push the price above this level, the uptrend is likely to resume.

Contrary to this assumption, if the bears sink the LINK/USD pair below the 20-day EMA, a deeper decline to the 50-day SMA ($11.72) is possible. 

BCH/USD

Bitcoin Cash (BCH) has bounced off the $260 support but is facing resistance at $280. The 20-day EMA ($282) is also placed just above this resistance, hence, the bears will try to defend this level aggressively. 

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

If the BCH/USD pair turns down from the current levels, the bears will once again try to break below the $260 support. If they succeed, a decline to $245 and then to $232 is possible.

Currently, the 20-day EMA has flattened out and the RSI is just below the midpoint, which suggests a balance between supply and demand. However, if the bulls push the price above the 20-day EMA, a move to $300 and then to $326.30 is likely. 

LTC/USD

Litecoin (LTC) soared above the 20-day EMA ($59.24) and the downtrend line on Aug. 30, which suggests that the bulls are back in the game. However, the bears are currently attempting to stall the relief rally at the minor resistance of $64.

 

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

If the LTC/USD pair turns down from the current levels, a drop to the 20-day EMA is possible. 

The 20-day EMA has started to turn up and the RSI has jumped into the positive territory, which suggests a minor advantage to the bulls. If the pair rebounds off this support, the bulls will once again attempt to push the price above the $64–$68.9008 resistance zone.

This bullish view will be invalidated if the bears sink the price below the 20-day EMA. In such a case, a drop to the 50-day SMA ($54.72) is possible.

BSV/USD

The recovery in Bitcoin SV (BSV) is currently facing resistance at the breakdown level of $200. Both moving averages are placed just above this resistance, hence, the bears are likely to defend this level aggressively.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The 20-day EMA ($201) is sloping down and the RSI is in the negative zone, which suggests that the bears have the upper hand.

If the BSV/USD pair turns down from the current levels, the bears will again attempt to sink the price below the $180 support. If they succeed, the decline could extend to $160 and then to $146.20.

Contrary to this assumption, if the bulls can push the price above the 50-day SMA ($203), a move to the downtrend line is possible. A break above this resistance will suggest that the bulls are attempting a comeback.

CRO/USD

Crypto.com Coin (CRO) broke above the $0.176596 overhead resistance on Aug. 30, which is a bullish sign. The bulls will now try to push the price to $0.191101 and if this level is scaled, a move to $0.20 is possible.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The 20-day EMA ($0.169) is sloping up and the RSI has broken above the resistance at 65, which shows that bulls have the upper hand. 

However, the bears are unlikely to give up without a fight. They will try to pull down the price back below $0.176596 and trap the aggressive bulls. If they succeed, a drop to the 20-day EMA is possible. A break below this support could result in a fall to $0.154322.

If the CRO/USD pair rebounds off the 20-day EMA, the bulls will once again attempt to resume the uptrend. Hence, this is the critical support to watch out for on any dips.

BNB/USD

Binance Coin (BNB) is currently facing resistance at the $23.91–$24.4588 zone, which shows a lack of demand at higher levels.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

However, if the BNB/USD pair rebounds off the 20-day EMA ($22.53), the bulls will make one more attempt to push the price above the $23.91–$24.4588 resistance zone. If they succeed, a rally to $27.1905 is possible.

Conversely, if the bears sink the price below the 20-day EMA, a drop to the $20.5710 support is likely. The bulls are likely to defend this support aggressively. If they succeed, the pair could consolidate between $23.91 and $20.571 for the next few days.

EOS/USD

EOS broke above the 20-day EMA ($3.22) on Aug. 30, which suggests that the bears are losing their grip. If the bulls can sustain the price above the 20-day EMA, a move to $3.4275 and then to $3.63 is possible.

EOS/USD daily chart

EOS/USD daily chart. Source: TradingView

However, if the EOS/USD pair turns down from $3.4272, a few days of consolidation is possible. The flat 20-day EMA and the RSI just above the midpoint suggest a balance between supply and demand.

Contrary to this assumption, if the pair turns down from the current levels and plummets below the 20-day EMA, a drop to the 50-day SMA ($3.03) and then to $2.83 is possible. A break below this level will be a huge negative.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 Cryptocurrencies to Watch This Week: BTC, ATOM, LEND, XEM, YFI

Bitcoin is likely to consolidate for a few days but during this time select altcoins are likely to extend their up-move.

Ripple Labs CEO Brad Garlinghouse believes that the U.S. Federal Reserve’s recent decision to allow inflation to stay above its 2% target objective could debase the dollar further. According to Garlinghouse, this decision is likely to lead “to further diversification of assets which will certainly be good for crypto.”

The various stimulus and fiscal measures announced around the world to counter the coronavirus pandemic led economic slowdown are bullish for Bitcoin (BTC). However, Bitcoin’s major bull market cycles show that each successive cycle has been longer than the previous one.

Hence, if history were to repeat itself, Bitcoin could consolidate for another 3-12 months before making a decisive move.

Crypto market data daily view. Source: Coin360

Crypto market data daily view. Source: Coin360

During this period, when Bitcoin remains range-bound, several other altcoins are likely to rally in rotation.

For the past few months, the market action has been in the DeFi tokens, which have been in a bull run of their own.

So, while Bitcoin consolidates, let’s look at some of the altcoins that could provide an opportunity in the short-term.

BTC/USD

The average directional index (ADX), a component of the directional movement indicator, has dipped below 24 and the 20-day exponential moving average ($11,534) has flattened out, which suggests that the trend in Bitcoin has weakened considerably.

BTC/USD daily chart. Source: TradingView​​​​​​​

BTC/USD daily chart. Source: TradingView

Currently, the price is largely stuck between the $12,000 and $11,000 levels, which has brought the positive directional indicator (+DI) and the negative directional indicator (-DI) closer to each other.

After the bears failed to sink the price below the $11,000 support on Aug. 25 and 27, the bulls will now try to push the price above the $12,000–$12,460 resistance zone. If they succeed, the next leg of the up-move is likely to begin.

However, if the price turns down from the overhead resistance zone, the BTC/USD pair is likely to spend some more time inside the range.

BTC/USD 4-hour chart. Source: TradingView​​​​​​​

BTC/USD 4-hour chart. Source: TradingView

The -DI and the +DI are closer to each other and the ADX is below 18, which suggests a balance between supply and demand.

However, a minor positive is that the buyers are aggressively defending the $11,000–$11,200 support zone. They will now try to push the pair to $12,000 level.

Unless the pair picks up momentum, the possibility of a breakout in the short-term looks weak, hence, the range-bound action is likely to extend for a few more days.

ATOM/USD

The bears aggressively defended the $8.50 level on Cosmos (ATOM), which attracted profit booking by the short-term traders that dragged the price down to the breakout level of $7.249.

ATOM/USD daily chart. Source: TradingView​​​​​​​

ATOM/USD daily chart. Source: TradingView

If the ATOM/USD pair rebounds off the breakout level, then it is likely to act as a strong floor during further declines.

The ADX remains strong above 35 and the +DI is above the -DI, which suggests that the bulls have the upper hand. On a break above $8, a retest of the recent highs at $8.877 is likely.

If the bulls can push the price above this level, the uptrend could resume with the next target objective at $10.471.

Contrary to this assumption, if the pair turns down from $8, the bears will again try to sink and sustain the price below $7.249. If they succeed, a drop to the 20-day EMA ($6.69) is possible.

ATOM/USD 4-hour chart. Source: TradingView

ATOM/USD 4-hour chart. Source: TradingView

Although the bears pulled the pair below $7.249, they could not sustain the price below it, which shows that the bulls are buying at lower levels.

If the bulls can push the price above the $7.844 resistance, a retest of $8.877 is possible. Above this level, the uptrend is likely to resume.

This bullish view will be invalidated if the pair turns down and sustains below $7.249. Such a move will suggest that the correction could deepen to $6.604 and then to $5.50.

LEND/USD

The ADX is trading above 55 and the +DI is above the -DI, which suggests that Aave (LEND) is in a strong uptrend, with the bulls firmly in command.

LEND/USD daily chart. Source: TradingView​​​​​​​

LEND/USD daily chart. Source: TradingView

Currently, the LEND/USD pair has pulled back after reaching a high of $0.89985 on Aug. 26. However, the positive thing is that the bulls have not allowed the price to dip below $0.70426, which is the 50% Fibonacci retracement level of the most recent leg of the rally.

History suggests that since July, the pair has not spent a long time in consolidation (marked via ellipses on the chart). Hence, the bulls are likely to again make an attempt to resume the uptrend by pushing the price above $0.89985.

If they succeed, a rally to $1 and above it to $1.10918 is likely. However, if the price turns down from $0.89985, the pair could enter a consolidation.

LEND/USD 4-hour chart. Source: TradingView​​​​​​​

LEND/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that ADX has dipped below 23 and the 20-EMA is flattish, which suggests a balance between supply and demand. The pair has formed a symmetrical triangle, which usually acts as a continuation pattern.

If the bulls can push the price above the triangle, a retest of $0.89985 is likely. A breakout of this resistance is likely to resume the uptrend.

Contrary to this assumption, if the bears sink the price below the triangle, a drop to $0.65 is possible. If this support also cracks, it will suggest that the pair has topped out at $0.89985.

in the short-term.

XEM/USD

NEM (XEM) broke out of the $0.1295715 overhead resistance on Aug. 29, which is a huge bullish sign. However, the sharp up move of the past few days has led to profit booking by the short-term traders today.

XEM/USD daily chart. Source: TradingView​​​​​​​

XEM/USD daily chart. Source: TradingView

The bulls are likely to defend the $0.1215678–$0.1129611 support zone, which are the 50% and 61.8% Fibonacci retracement levels of the most recent leg of the rally. If the XEM/USD pair rebounds off this zone, the bulls will again attempt to resume the uptrend.

The ADX is strong above 63 and the +DI is well above the -DI suggesting that bulls have the upper hand. If they can scale the price above $0.158037, the up-move can extend to $0.18 and then $0.20.

Conversely, if the bears sink the price below $0.1129611, a drop to the 20-day EMA ($0.091) is possible. A bounce off this level will be a positive sign as it will suggest that the bulls are buying on dips to this support.

The bullish view will be invalidated if the bears sink and sustain the price below the 20-day EMA. Such a move will suggest that the current breakout was a fake one.

XEM/USD 4-hour chart. Source: TradingView​​​​​​​

XEM/USD 4-hour chart. Source: TradingView

The ADX on the 4-hour chart is above 48 and the +DI is above the -DI, which suggests that the advantage is with the bulls.

Currently, profit booking has dragged the price to the breakout level of $0.1295715. If the pair rebounds off this level, it will be a huge positive as it will suggest that the bulls have defended the breakout level, which will increase the possibility that the uptrend will resume.

However, if this level cracks, the next support is at the 20-EMA. If the pair bounces off this support, the bulls will again attempt to resume the uptrend.

YFI/USD

Yearn.finance YFI has been on a stellar run. It has risen from a low of $3,000 on Aug. 13 to a high of $38,855.31 today, which is a 1,195% rally within a short span of time. Usually, such vertical rallies are not sustainable.

YFI/USD daily chart. Source: TradingView

YFI/USD daily chart. Source: TradingView

Today, the YFI/USD pair witnessed profit booking close to the 200% Fibonacci extension level of $38,451.95 and has given back the intraday gains.

If the price closes near the lows of the day, it will form a bearish shooting star candlestick pattern. Usually, if this pattern is followed by a large bearish candlestick on the next day, it could indicate that a short-term top is in place.

However, the bulls are unlikely to give up without a fight. They will try to provide support between $26,436.24 and $23,505.34, which are 50% and 61.8% Fibonacci retracement levels of the most recent leg of the rally.

If the price rebounds off this zone, the bulls will once again attempt to push the price above $38,855.31 and resume the uptrend. If they succeed, the next target will be the 261.8% Fibonacci extension level of $46,899.39.

YFI/USD 4-hour chart. Source: TradingView

YFI/USD 4-hour chart. Source: TradingView

The ADX is above 54 and the +DI is above the -DI, which suggests that the trend remains strong and in favor of the bulls.

Currently, the pair is attempting to rebound off the 50% Fibonacci retracement level of $26,436.24. If the bulls can push the price above $32,500, a retest of $38,955.31 is likely.

On the other hand, if the bears sink the price below $26,436.24, a drop to the 20-EMA is possible. A break below this support could sink the price to $19,332.53 and below that to $14,017.17.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price analysis 8/28: BTC, ETH, XRP, LINK, BCH, LTC, BSV, CRO, BNB, EOS

Bitcoin and altcoins are holding key support levels, suggesting bulls will try to break above overhead resistance levels soon.

In his speech on Aug. 27, U.S. Federal Reserve chairman Jerome Powell said that the central bank will allow inflation to stay above its 2% target level if the figure has been languishing below that level for a long time. Some analysts believe that this could mean no rate hikes for at least five years.  

In response to the speech, the U.S.dollar index (DXY) resumed its downtrend while gold is trading in the black. This shows that traders believe that the central bank’s change in strategy could debase the dollar further, hence, the demand for gold as a store of value remains intact.

Gemini co-founder Tyler Winklevoss believes that eventually, Bitcoin (BTC) will overtake gold as the store of value due to its inherent advantages. Bitcoin’s current market capitalization is just above $200 billion while gold’s market cap is roughly $9 trillion. That means Bitcoin will have to rise 45-fold to $500,000 to reach the desired target objective, according to Winklevoss.

Daily cryptocurrency market performance. Source: Coin360

Such a huge spike in Bitcoin’s price is unlikely to happen without the participation of the institutional investors. Fortunately, recent developments have shown that institutional demand has been picking up in 2020.

In order to attract large ticket buyers, Fidelity has filed the paperwork with the US regulators to launch a new Bitcoin fund dedicated to its institutional clients. Even if institutional investors only allocate 1% of their funds into Bitcoin, it could spark a sharp rally.

So, is this a good time for retail traders to consider buying, or could the crypto market enter a period of correction? Let’s study the charts to find out.

BTC/USD

Although Bitcoin had been trading below the 20-day exponential moving average ($11,530) for the past two days, the bears could not sink the price below the $11,000 support, which suggests that bulls are buying on dips. 

BTC/USD daily chart. Source: TradingView

The 20-day EMA has flattened out and the relative strength index is close to the midpoint, which shows a balance between supply and demand.

If the bulls can push the price above the 20-day EMA, a retest of the overhead resistance at $12,113.50 is likely. The next uptrend is likely to start after the bulls can sustain the BTC/USD pair above the $12,113.50–$12,460 resistance.

Conversely, if the pair turns down from $12,113.50, the bears will once again attempt to sink the price below the $11,000 support. If successful, a retest of the critical support at $10,400 is possible. A break below this level will be a huge negative. 

ETH/USD

The bulls are aggressively defending the $366 support, which is a positive sign. If they can sustain the price above the 20-day EMA ($392), Ether (ETH) can rise to $415.634 and above it to the $446.479 resistance.

ETH/USD daily chart. Source: TradingView

The 20-day EMA is flat and the RSI is just above the 50 level, which suggests a balance between supply and demand. A break above $446.479 is likely to resume the uptrend with the next target objective at $480. 

Conversely, if the bears defend the $415.634 resistance aggressively, the ETH/USD pair could drop to $366 levels. Such a move will be a huge negative as that could form a bearish head and shoulders pattern, increasing the possibility of a deeper correction.

XRP/USD

XRP broke below the $0.268478 support on Aug. 27 but the bulls purchased the dip to the 50-day simple moving average ($0.255), which suggests demand at lower levels. 

XRP/USD daily chart. Source: TradingView

Currently, the buyers are attempting to push the price back above $0.268478. If they succeed, a move to the 20-day EMA ($0.28) is possible. This level is likely to act as a stiff resistance but if the buyers can scale the price above it, a move to $0.326113 is likely.

However, if the XRP/USD pair turns down from the 20-day EMA, the bears will try to break the 50-day SMA support and if they succeed, a drop to the 61.8% Fibonacci retracement level of $0.241068 is possible.

With the 20-day EMA gradually sloping down and the RSI in the negative zone, the advantage is with the bears.

LINK/USD

Chainlink (LINK) has been hovering around the 20-day EMA ($14.56) for the past few days and has formed a symmetrical triangle pattern, which suggests indecision.

LINK/USD daily chart. Source: TradingView

If the bulls can push the price above the triangle and the $16 resistance, a move to the pattern target of $18.69 and then to $20.1111 is possible.

The 20-day EMA is rising gradually and the RSI has been sustaining in the positive territory, which suggests that the advantage remains with the bulls.

However, if the LINK/USD pair turns down and breaks below the triangle, it will be a huge negative and can result in a drop to the 50-day SMA ($11.13). Such a move will suggest that a short-term top has been made at $20.1111.

BCH/USD

The weak bounce off the 50-day SMA ($272) on Aug. 26 attracted another round of selling that pulled Bitcoin Cash (BCH) down to the first support at $260.

BCH/USD daily chart. Source: TradingView

Currently, the bulls are defending the $260 support but the recovery is likely to face stiff resistance at $280. The downsloping 20-day EMA ($284) and the RSI in the negative zone suggests that bears have the upper hand.

If the BCH/USD pair turns down from the 20-day EMA, the bears will again attempt to sink the price below the $260 support. If they succeed, a drop to $240 is possible.

However, if the buyers push the price above the 20-day EMA, a retest of the overhead resistance at $326.30 is likely.  

LTC/USD

Litecoin (LTC) has bounced off the 50-day SMA ($53.78), which suggests that the bulls are aggressively defending this support. They will now try to push the price above the downtrend line, which could extend the recovery to $63 and then to $68.9008.

LTC/USD daily chart. Source: TradingView

However, the 20-day EMA ($58.84) is sloping down and the RSI is just below 50, which suggests a marginal advantage to the bears.

If the LTC/USD pair turns down from the downtrend line, it will suggest that the bears are selling on rallies. If they can sink the price below the 50-day SMA, the decline can extend to the critical support at $51. 

BSV/USD

The bulls are currently attempting to defend the $180 support but any recovery in Bitcoin SV (BSV) is likely to face stiff resistance at $200.

BSV/USD daily chart. Source: TradingView

If the BSV/USD pair turns down from $200, the bears will attempt to resume the correction by pulling down the price to $160 and then to $146.20.

Conversely, if the bulls can push the price above the moving averages, the recovery can extend to the downtrend line. The bears are again likely to defend this resistance aggressively.

The pair is likely to pick up strength after the bulls can propel the price above the $227 overhead resistance. 

CRO/USD

Crypto.com Coin (CRO) has been trading above the 20-day EMA ($0.167) for the past three days, which is a positive sign. 

CRO/USD daily chart. Source: TradingView

The 20-day EMA has been gradually sloping up and the RSI is in the positive territory, which suggests that bulls have the upper hand. 

A breakout and close (UTC time) above $0.176596 will signal a possible resumption of the uptrend. The bears are likely to defend the highs at $0.191101 but if the bulls can push the price above it, a move to $0.20 is possible.

Contrary to this assumption, if the bears sink the price below the 20-day EMA, the CRO/USD pair could drop to the 50-day SMA ($0.158) and then to $0.154322.

BNB/USD

Binance Coin (BNB) broke above the downtrend line and the overhead resistance of $22.93 on Aug. 27, which suggests that the bulls are back in the game. 

BNB/USD daily chart. Source: TradingView

However, the bears are unlikely to give up without a fight. They will offer a stiff resistance in the $23.91–$24.4588 zone. If the BNB/USD pair turns down from this resistance, the bears will try to sink the price to $20.5710.

The 20-day EMA ($22.28) has turned up marginally and the RSI is in the positive territory, which suggests advantage to the bulls. If the buyers can push the price above the overhead resistance zone, a rally to $27.1905 is possible.

EOS/USD

EOS corrected sharply from the Aug. 16 highs of $3.95 and fell to an intraday low of $2.8577 on Aug. 27, which completed a 100% retracement of the entire leg of the rally that had started on Aug. 12.

EOS/USD daily chart. Source: TradingView

The bulls are currently attempting to start a relief rally, which is likely to face stiff resistance at the 20-day EMA ($3.23). If the price turns down from this resistance, it will suggest that the bears are selling on rallies. 

They will then try to sink the EOS/USD pair below the $2.83 support and if they succeed, a drop to $2.60 is possible.

Conversely, if the bulls can push the price above the 20-day EMA, the recovery could extend to $3.42 and then to $3.631.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 8/26: BTC, ETH, XRP, LINK, BCH, LTC, BSV, CRO, BNB, ADA

Bitcoin and altcoins are likely to remain range-bound in the short-term as the bulls and the bears attempt to assert their dominance.

On Thursday, U.S. Federal Reserve chairman Jerome Powell is expected to deliver an important speech that will highlight a new strategy of targeting “average inflation.” This means that the Fed might allow inflation to overshoot the 2% target temporarily if it has spent a long time below that level.

If the Fed adopts this new strategy, it could keep interest rates near zero for five years or more, according to a Bloomberg report.

The abundant liquidity is likely to drive asset prices higher across the board and create bubbles that will eventually burst. If this occurs, investors are likely to lose complete faith in the central banks and fiat currencies.

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

Smart investors are likely to seek the safety of gold and Bitcoin (BTC) during this time of uncertainty. Larger investors have already started accumulating Bitcoin and this has pushed the number of addresses holding over 1,000 BTC to a new record high.

While this is all great news, traders will want to know if the crypto market will extend it’s current up-move or whether a period of extended consolidation is at hand.

Let’s study the charts to find out!

BTC/USD

Bitcoin plunged and closed (UTC time) below the 20-day exponential moving average ($11,554) on Aug. 25, which is the first indication that the bulls were losing their grip.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the $11,100–$10,900 support zone but are likely to face significant resistance at the 20-day EMA.

If the bulls fail to push the price back above the 20-day EMA, a drop to the 50-day simple moving average ($10,728) and then to $10,400 is possible.

Conversely, if the bulls can push the price above the 20-day EMA, a move to $12,113.50 is likely. The bears are likely to defend this level aggressively.

The 20-day EMA has flattened out and the relative strength index is just above the midpoint, which suggests a few days of range-bound action.

The next trending move is likely to start after the bulls push the price above the $12,113.50–$12,460 resistance zone or sink the price below the $10,400–10,000 support zone.

ETH/USD

The failure of the bulls to push Ether (ETH) above the $415.634 resistance on Aug. 24 attracted profit booking on Aug. 25 that pulled down the price to the critical support at $366.

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

Although the bulls purchased the dip on Aug. 25, they are struggling to push the ETH/USD pair above the 20-day EMA ($393), which is a negative sign. This shows a lack of demand at higher levels.

A break and close (UTC time) below $366 could intensify selling and result in a drop to the 50-day SMA ($336). Such a move will suggest that a short-term top has been made at $446.479.

However, if the bulls can push the price above the 20-day EMA, a few days of range-bound action between $366– $415.634 is likely.

XRP/USD

XRP closed (UTC time) above the 20-day EMA ($0.284) on Aug. 24 but a lack of buying at higher levels again pulled down the price to the $0.268478 support.

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the $0.268478 support but unless they sustain the price above the 20-day EMA, the advantage will remain with the bears.

If the bears sink the XRP/USD pair below $0.268478, a drop to the 50-day SMA ($0.25) is possible. This is an important support to watch out for because if it cracks, the decline can extend to the 61.8% Fibonacci retracement level of $0.241068.

Contrary to this assumption, if the pair rebounds off the $0.268478 support and rises above the 20-day EMA, then a few days of range-bound action between $0.326113 and $0.268478 is likely.

LINK/USD

The bulls failed to push Chainlink (LINK) above the overhead resistance of $16 on Aug. 23 and 24, which attracted profit booking that pulled the price back below the 20-day EMA ($14.49) on Aug. 25.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

However, the positive thing is that the lower levels are attracting buying by the bulls, which shows that the sentiment remains bullish. Currently, the LINK/USD pair has again risen above the 20-day EMA.

If the bulls can propel the price above $16, LINK will attempt to resume the uptrend and retest the highs at $20.1111.

On the other hand, if the pair again turns down from $16, the bears will try to sink the price to the 61.8% Fibonacci retracement level of $11.9281.

BCH/USD

The rebound from the breakout level of $280 in Bitcoin Cash (BCH) turned down from the 20-day EMA ($288) on Aug. 25, which suggests that the bears are aggressively defending this resistance.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

The bulls purchased the dip to the 50-day SMA ($271) on Aug. 25 but if they fail to push the price back above $280, it is likely to attract another round of selling that could sink the BCH/USD pair to $260 and then to $240.

The downsloping 20-day EMA and the RSI in the negative territory suggest that bears have made a comeback. 

This bearish view will be invalidated if the pair rebounds off the current levels and rises above the $280–$295 resistance.

LTC/USD

Litecoin (LTC) turned around and plunged below the 20-day EMA ($59) on Aug. 25, which suggests selling by the bears on minor rallies.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

The next support on the downside is the 50-day SMA ($53) and if this support also gives way, a drop to $51 will be on the cards. 

Conversely, if the LTC/USD pair rebounds off the current levels, the bulls will attempt to push the price above the downtrend line. If they succeed, a move to $64 and then to $68.9008 is possible.

The flat 20-day EMA and the RSI close to the midpoint suggest a few days of range-bound action.

BSV/USD

The bulls pushed Bitcoin SV (BSV) above the overhead resistance of $200 but could not clear the 20-day EMA ($206) hurdle on Aug. 24, which attracted selling on Aug. 25 that pulled the altcoin back below $200.

BSV/USD daily chart. Source: TradingView

BSV/USD daily chart. Source: TradingView

The moving averages are on the verge of a bearish crossover and the RSI is in the negative zone, which suggests that the bears have the upper hand.

If the bulls fail to push the price back above $200 within the next few days, the BSV/USD pair is likely to slide to $160 and then to $146.20.

This bearish view will be invalidated if the bulls can push the price back above the downtrend line.

CRO/USD

Crypto.com Coin (CRO) turned down from the overhead resistance of $0.176596 on Aug. 25, which suggests that the bears are aggressively defending this level.

CRO/USD daily chart. Source: TradingView​​​​​​​

CRO/USD daily chart. Source: TradingView

However, both moving averages are gradually sloping up and the RSI is in the positive territory, which suggests that the bulls are at a minor advantage.

If the CRO/USD pair rebounds off the 20-day EMA ($0.166), the bulls will once again attempt to scale the price above $0.176596. If they succeed, the uptrend is likely to resume. The first target on the upside is $0.191101 and then $0.20.

Conversely, if the pair turns down and breaks below the 20-day EMA, a drop to the 50-day SMA ($0.157) is possible.

BNB/USD

Binance Coin (BNB) turned down from the overhead resistance of $22.93 on Aug. 25 and dropped below the 20-day EMA ($22), which suggests aggressive selling by the bears at higher levels.

BNB/USD daily chart. Source: TradingView

BNB/USD daily chart. Source: TradingView

However, the bears could not capitalize on the opportunity and sink the BNB/USD pair below the critical support at $20.5710.

This has attracted buying from the aggressive bulls who are attempting to push the price above the downtrend line. If they succeed, a move to $22.93 and then to $23.91 is likely.

On the other hand, if the pair turns down from the downtrend line and plummets below $20.5710, a deeper correction to $19.10 is possible.

ADA/USD

Cardano (ADA) plunged to the $0.10–$0.11 support zone on Aug. 25, which is a negative sign. The moving averages have completed a bearish crossover and the RSI is in the negative territory, suggesting advantage to the bears.

ADA/USD daily chart. Source: TradingView​​​​​​​

ADA/USD daily chart. Source: TradingView

Currently, the bulls are attempting to defend the support zone aggressively. However, any recovery is likely to face stiff resistance from the 20-day EMA ($0.129). If the ADA/USD pair turns down from the 20-day EMA, the bears will attempt to sink the price below $0.10.

If they succeed, it will be a huge negative as the next support on the downside is way lower at $0.075.

This negative view will be invalidated if the bulls can push the price back above the 20-day EMA and the overhead resistance at $0.13.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price analysis 8/24: BTC, ETH, XRP, BCH, LINK, LTC, BSV, CRO, BNB, ADA

The bulls are aggressively defending the 20-day EMA in Bitcoin and select altcoins, which could result in the resumption of the uptrend.

The coronavirus pandemic has forced people to change several social behavioral habits. Along with maintaining social distance from one another, people are also averse to using notes, coins or cards as they might transmit COVID-19. 

A new report from the Bank for International Settlements suggested that social distancing procedures and the “government-to-person payment schemes” have accelerated the efforts towards launching central bank digital currencies (CBDCs). The paper shows that the public interest in CBDCs has exceeded that of Bitcoin (BTC) and Libra in 2020.  

However, the CBDCs will only be a digital version of the fiat currencies that will be controlled by the central banks. Hence, the problems that plague the U.S. dollar currently will even affect the digital version of the dollar. 

Therefore, after people familiarize with CBDCs and realize their ease of use, they are likely to warm up to cryptocurrencies due to their inherent advantages over fiat currencies.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

Even with its numerous advantages, Bitcoin continues to have its naysayers. Ryanair CEO Micheal O’Leary painted a very bearish picture of Bitcoin and said it was “equivalent to a Ponzi scheme”. This shows how several institutional investors are still wary of cryptocurrencies but retail traders have been quick to embrace the new asset class.

BTC/USD

The bulls are defending the 20-day exponential moving average ($11,589), which is a positive sign as it indicates that the sentiment remains bullish. Bitcoin could now move up to the $12,113.50 resistance.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The 20-day EMA is gradually sloping up and the relative strength index is in the positive zone, which suggests that the path of least resistance is to the upside. 

If the bulls can propel the price above the $12,113.50–$12,460 resistance zone, the uptrend is likely to resume with the next target at $13,000 and then $14,000.

However, the bulls are unlikely to give up without a fight. They will again mount a stiff resistance at $12,113.50. If the BTC/USD pair turns down from this zone, a drop to $11,000 and then to $10,400 is possible.

ETH/USD

Ether (ETH) repeatedly slipped below the 20-day EMA ($394) for three consecutive days between Aug. 21 to 23 but the bears could not intensify the selling and pull the price down to $366, which suggests that the bulls were accumulating at lower levels.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

Currently, the bulls are attempting to push the ETH/USD pair above the $415.634 resistance. If they succeed, a retest of $446.479 is likely. A breakout of this level will signal the possible resumption of the uptrend, with the next target objective at $480 and then $516.11.

However, if the pair turns down from either $415.634 or $446.479, a few days of range-bound action is possible. 

The flat 20-day EMA and the RSI just above the midpoint also suggests a consolidation for a few days. The trend will turn negative if the bears sink the price below the critical support at $366. 

XRP/USD

XRP is currently range-bound between $0.326113 and $0.268478. The 20-day EMA ($0.285) has flattened out and the RSI is just above the midpoint, which suggests a balance between demand and supply.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

This balance will shift in favor of the bulls if they can push the price above $0.326113. Above this level, a rally to $0.346727 and then to $0.40 is possible.

However, if the pair turns down from $0.326113, it will extend its stay inside the range for a few more days.

The advantage will shift in favor of the bears if the XRP/USD pair breaks below the $0.268478 support. If this level cracks, a drop to $0.24 is likely.

BCH/USD

The bulls have managed to defend the breakout level of $280, which suggests buying on dips. They will now try to push Bitcoin Cash (BCH) to the overhead resistance at $326.30. The bears are likely to defend this level aggressively.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

If the price turns down from $326.30, the BCH/USD pair could remain range-bound for a few more days.

However, if the bulls can push the price above $326.30, a rally to $353 is possible. A breakout of this resistance could result in a rally to $400.

This view will be invalidated if the pair breaks and sustains below the $280 support. The next target on the downside is $260 and then $245.

LINK/USD

Chainlink (LINK) dipped below the 50% Fibonacci retracement level of $13.4906 on Aug. 21 but the price rebounded sharply on Aug. 22, which shows strong buying at lower levels.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The LINK/USD pair is currently trading above the 20-day EMA ($14.43), which is gradually sloping up and the RSI is in the positive territory, suggesting a slight advantage to the bulls.

If the bulls can push the price above $16, the pair is likely to pick up momentum and move up to $17.6738. A breakout of this level can result in a retest of $20.1111.

Contrary to this assumption, if the pair turns down from $16, the bears will again try to sink the price below the 20-day EMA. If they succeed, a drop to $12.89 is likely.

LTC/USD

Litecoin (LTC) broke below the 20-day EMA ($59.54) on Aug. 22 and 23 but the bears could not sustain the lower levels, which suggests accumulation by the bulls on dips.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

Currently, the LTC/USD pair has bounced off the 20-day EMA and the bulls will try to push the price above the $65.1573–$68.9008 resistance zone. If they succeed, the uptrend is likely to resume, with the next target at $80.

The moving averages are sloping up and the RSI is also in the positive zone, which suggests that bulls are at an advantage.

This view will be invalidated if the pair turns down from the overhead resistance and breaks below the $57.7736 support.

BSV/USD

Bitcoin SV (BSV) broke down of the $200 support on Aug. 21, which completed the descending triangle pattern. This setup has a pattern target objective of $142. 

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The 20-day EMA ($209) is sloping down and the RSI is in the negative zone, which suggests that the bears have the upper hand. If the bears defend the breakdown level of $200, the BSV/USD pair is likely to drop to $160.

However, if the bulls can push the price back above $200 and the 20-day EMA, a move to the downtrend line of the triangle is possible. A break above this resistance will shift the advantage in favor of the bulls.

CRO/USD

Crypto.com Coin (CRO) has bounced off the 20-day EMA ($0.165) and the bulls will now try to push the price above the $0.176596 resistance. If they succeed, the uptrend is likely to resume.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The first target on the upside is $0.191101 and if this level is scaled, the next target is $0.20. The 20-day EMA is gradually sloping up and the RSI is in the positive zone, which suggests that the path of least resistance is to the upside.

This bullish view will be invalidated if the CRO/USD pair turns down from the overhead resistance and breaks below the 20-day EMA. Such a move will suggest that the momentum has weakened. A break below $0.154322 could start a deeper correction.

BNB/USD

Binance Coin (BNB) broke below the 20-day EMA ($22.16) for three consecutive days between Aug. 21 to 23, but the bears could not sustain the price below the $21.7628 support, which suggests that the bulls are defending this support aggressively.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

The bulls are currently attempting a relief rally. If they can push the price above $22.93, a move to $24.4588 is possible. If this level is also scaled, the up move can extend to $27.1905.

Contrary to this assumption, if the BNB/USD pair turns down from $22.93, the bears will once again attempt to sink and sustain the price below $21.7628. If they succeed, a drop to the 50-day simple moving average ($20.26) is likely.

ADA/USD

Cardano (ADA) decisively broke below the $0.13 support on Aug. 21, which points to a possible change in trend. The 20-day EMA ($0.132) has started to slope down and the RSI is in the negative territory, suggesting advantage to the bears.

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

The first target objective on the downside is $0.11 and if that breaks, a drop to $0.10 is possible.

However, the bulls are unlikely to give up without a fight. They will try to push the price back above $0.13 and the 20-day EMA. 

If they succeed, it will suggest strong demand at lower levels but if the price turns down from the overhead resistance, the downtrend is likely to resume.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 Cryptocurrencies to Watch This Week: BTC, ETH, ATOM, NEO, CRO

Bitcoin and Ethereum are likely to consolidate for a few days, leading select altcoins to possibly continue their uptrend.

This week the S&P 500 made news by notching a new intraday all-time high and recovering 100% of the losses caused by the coronavirus pandemic in mid-March. 

Despite this, there are signs U.S. stock markets could be overvalued. The Buffett indicator, an analysis tool which divides the Wilshire 5000 Index by the U.S. GDP, currently shows 1.7. This figure is quite near to the dot-com era top at 1.71 which was followed by a strong market correction. 

However, one major difference between now and the dot-com era is that the current interest rates are at record lows and central banks have been pumping huge amounts of money to support the economy. 

Although certain pockets could be looking like a bubble, it is unlikely that the stock markets will crash because of this metric alone. 

Crypto market data daily view

Crypto market data daily view. Source: Coin360

If the stock markets did crash, Bitcoin (BTC) might dip initially due to souring sentiment, but the price is unlikely to remain low for long because traders who sold their positions in the stock markets will look at safe haven assets to park their money.

Recent Bitcoin investments by hedge fund manager Paul Tudor Jones and the increased institutional inflow in Grayscale Investments products shows that traders are looking at Bitcoin as a store of value and a hedge against inflation. 

For the past few months several altcoins have been strongly outperforming Bitcoin. Let’s analyze a few of the altcoins that could do well in the next few days.

BTC/USD

The bulls pushed Bitcoin above the $12,304.37 resistance on Aug. 17 but failed to sustain above it. This attracted profit booking by the short-term traders on Aug. 18, which has pulled the price down to the 20-day exponential moving average ($11,568).

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The average directional index (ADX), a component of the directional movement indicator, remains strong above 35 but the positive directional indicator (+DI) and the negative directional indicator (-DI) are coming close to each other and the 20-day EMA has flattened out, suggesting a range-bound action in the near term.

If the bears can sustain the BTC/USD pair below the 20-day EMA, a drop to the $11,000–$10,900 zone is possible. The bulls are likely to defend this zone aggressively and if they succeed, the pair could again rally to $12,304.37. A breakout and close (UTC time) above this resistance is likely to resume the up move.

However, if the bears sink the price below $10,900, a retest of $10,400 is likely. This is an important support to watch out for because if this breaks down, the sentiment will turn hugely negative.

BTC/USD 4-hour chart

BTC/USD 4-hour chart. Source: TradingView

The -DI is above the +DI and the 20-EMA is sloping down on the 4-hour chart, which suggests that bears have the upper hand in the short-term. They are aggressively selling on pullbacks to the 20-EMA.

On the downside, the $11,000 level is likely to act as a strong support. A strong bounce off it will keep the pair range-bound between $11,000–$12,304.37 for a few days.

The first sign of strength will be a break above the 20-EMA as that will suggest a change in sentiment in the short-term.

ETH/USD

The failure of the bulls to sustain Ether (ETH) above the immediate support at $415.634 resulted in profit booking by the short-term traders. This has pulled the price below the 20-day EMA ($393), which is a negative sign.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

The next support on the downside is $366. If the price rebounds off this level, it will suggest that the bulls are defending this support. The 20-day EMA has flattened out and the +DI and -DI are close to one another, which suggests a balance between supply and demand. 

This points to a possible range-bound action between $366–$446.479 for a few days. A breakout above the range is likely to resume the uptrend while a break below it can result in a decline to the next support at $320.

ETH/USD 4-hour chart

ETH/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the -DI is above the +DI and the 20-EMA is sloping down, suggesting an advantage to the bears in the short-term. Previously, the $366 support had acted as a strong support, hence, the bulls will again attempt to defend this level.

A strong bounce off it could result in a rally to $415.634. If the price turns down from this resistance, then a few days of range-bound action is possible. 

Conversely, if the $366 support breaks, it will be a huge negative that could result in a decline to $320. 

ATOM/USD

Cosmos (ATOM) has broken above the $7.249 resistance today, which is a huge positive as this suggests a possible resumption of the uptrend. The ADX is above 30 and the +DI is above the -DI, which suggests that the bulls have the upper hand.

ATOM/USD daily chart

ATOM/USD daily chart. Source: TradingView

If the bulls can close (UTC time) the price above $7.249, the next target to watch out for is $8.50 and then $10.

However, if the bears sell at higher levels and pull the price back below $7.249, a drop to $6.604 is possible. If the ATOM/USD pair rebounds off this support, the bulls will again attempt to resume the uptrend.

Conversely, if the bears sink and sustain the price below $6.604, it will suggest that the momentum has weakened. Below this support, a drop to $5.423 is likely.

ATOM/USD 4-hour chart

ATOM/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bullish momentum picked up after the buyers pushed the price above the $6.604 resistance. Although the bears attempted to stall the up move at $7.249, strong buying by the bulls soaked up all the selling.

The 20-EMA is sloping up and the +DI has risen above the -DI, which shows that the path of least resistance is to the upside. A break below $7.249 will be the first sign that the bullish momentum has weakened.

NEO/USD

The ADX in NEO is above 57 and the 20-day EMA ($15.38) is sloping up, which suggests that the trend favors the bulls. However, the bears are attempting to stall the up-move at $19.82219.

NEO/USD daily chart

NEO/USD daily chart. Source: TradingView

This could result in a minor correction or consolidation that is likely to find support at $16.72441 and below it at the 20-day EMA.

If the NEO/USD pair rebounds off either support, the bulls will once again attempt to push the price above $20.9633. If they succeed, the next target on the upside is $25.23.

This bullish view will be invalidated if the bears sink the price below the 20-day EMA. Such a move will suggest that the momentum has weakened.

NEO/USD 4-hour chart

NEO/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bears are aggressively defending the overhead resistance at $19.82219. Currently, the 20-EMA is sloping up, which suggests that the advantage is with the bulls.

If the price rebounds off this level, the bulls will make another attempt to push the price above the resistance. If they succeed, the uptrend is likely to resume.

Conversely, a break below the 20-EMA will weaken the bullish momentum and could result in a drop to $15.64796–$16.72441 support zone. A bounce off this zone could keep the pair range-bound for a few days.

CRO/USD

Crypto.com Coin (CRO) has been range-bound between $0.15306–$0.176596 for the past few days. In an uptrend, when the price consolidates near the overhead resistance, it is a positive sign because it suggests that the bulls are not closing their positions in a hurry.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The ADX is above 31 and the +DI is above the -DI, which suggests that the advantage is with the bulls. Although the bulls had pushed the price above $0.176596 on Aug. 21, they could not sustain the higher levels.

However, the positive thing is that the buyers have not allowed the price to sustain below the 20-day EMA ($0.164). If the bulls can again propel the price above $0.176596, the uptrend is likely to resume.

The first target is $0.191101 and above it $0.20. This bullish view will be invalidated if the bears sink the CRO/USD pair below $0.15306.

CRO/USD 4-hour chart

CRO/USD 4-hour chart. Source: TradingView

The 20-EMA on the 4-hour chart is flattish, which suggests a balance between the bulls and the bears.

However, the pair has formed a series of higher lows, which has resulted in an ascending triangle pattern, which will complete on a breakout and close (UTC time) above $0.176596.

The first sign of weakness will be a break below the trendline. Such a move can drag the price down to the critical support at $0.15306. A break below this level will shift the advantage in favor of the bears.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price Analysis 8/21: BTC, ETH, XRP, BCH, LINK, LTC, BSV, ADA, BNB, CRO

Bitcoin and several altcoins have formed bearish divergences, which suggests that the bullish momentum has weakened.

Rich Dad Poor Dad author Robert Kiyosaki believes that Warren Buffet’s recent closure of his bank stock positions is a warning sign that the world might be starting a “major banking crisis.” Therefore, Kiyosaki suggests traders buy safe haven assets such as gold, silver and Bitcoin (BTC) to protect themselves from the downward spiraling value of the fiat currencies.

Popular Bitcoin derivatives trader Tone Vays believes that Bitcoin could breakout to new all-time highs in 2021. He pointed out that historically, Bitcoin has tended to double in price after breaking out of its all-time high, especially if it took years to do that. Hence, if Bitcoin breaks above $20,000, Vays expects a rally to at least “$45,000 to $50,000.”

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

A report by Grayscale Investments suggests that the current market conditions are similar to the one seen in 2016 before Bitcoin began its stellar bull run. Grayscale highlights the growing dependence of the U.S. economy on expansionary monetary policy and believes that it will be very difficult to reverse it. This could stoke inflation, which will be bullish for Bitcoin.

While these are long-term projections, in the short-term, the total crypto market capitalization has slid from $380 billion on Aug. 17 to about $360 billion, which shows profit booking by short-term traders.

Investors will now want to know if the current correction will deepen or if the prices rebound in the coming days. Let’s study the charts to find out!

BTC/USD

Given that Bitcoin has been in a strong uptrend, traders have consistently purchased dips to the 20-day exponential moving average ($11,570) because they believe that the rally will resume and the price would not dip to these levels again.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

However, Bitcoin’s weak rebound off the 20-day EMA on Aug. 20 suggests that the bulls are not confident that the uptrend will resume, hence, they are not buying aggressively at this support.

The negative divergence on the relative strength index suggests that the momentum has weakened. If the price breaks and sustains below the 20-day EMA, the traders are likely to wait for the BTC/USD pair to find support at lower levels, before buying.

On a drop below the 20-day EMA, the decline can extend to the $11,100–10,900 support zone.

Contrary to this assumption, if the pair rebounds off the 20-day EMA, the bulls will make another attempt to push the price above the $12,113.50–$12,460 resistance zone. If they succeed, the uptrend is likely to resume.

ETH/USD

The rebound off the 20-day EMA ($395) on Aug. 20 fizzled out close to $415.634, which suggests that the bears are aggressively defending this resistance. They will now try to sink Ether (ETH) price below the 20-day EMA.

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

If they succeed, a drop to $366 is possible. The bulls are likely to defend this support aggressively. A bounce off this support could keep the ETH/USD pair range-bound between $366–$415.634 for a few days.

The negative divergence on the RSI shows that the momentum has weakened. If bears sink the pair below $366, a drop to the 50-day simple moving average ($321) is possible.

Conversely, if the pair rebounds off the 20-day EMA, the bulls will make one more attempt to propel the price above $415.634–$446.479 resistance zone.

XRP/USD

The weak rebound off the 20-day EMA ($0.285) on Aug. 20 suggests a lack of buyers at higher levels. If the bears can now sink XRP below the 20-day EMA, a drop to $0.268478 is possible.

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

The 20-day EMA has flattened out and the RSI has dropped close to the midpoint, which suggests a range-bound action in the short-term. A strong bounce off the $0.268478 support will signal strength and the bulls will try to push the price back to $0.326113.

Contrary to this assumption, if the bears sink the XRP/USD pair below $0.268478, a deeper correction to the 50-day SMA ($0.243) is likely.

BCH/USD

Bitcoin Cash (BCH) is struggling to stay above the 20-day EMA ($293), which suggests a lack of buying interest among the bulls. The altcoin can now drop to the $280 support.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

The flat 20-day EMA and the RSI close to the 50 level suggests a balance between supply and demand.

If the bears sink and sustain the BCH/USD pair below $280, it will be a huge negative as it would suggest a lack of buyers at higher levels. The next support on the downside is at the 50-day SMA ($266).

However, if the pair rebounds off $280, the bulls will once again attempt to carry the price to $326.30.

LINK/USD

Chainlink (LINK) formed consecutive inside day candlestick patterns on Aug. 19 and 20, which showed indecision among traders. This was resolved to the downside today when the altcoin broke below the $14.69 support.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the 20-day EMA ($14.12). If they succeed, the LINK/USD pair could rise to $17.6738. The bears are likely to defend this level aggressively.

The 20-day EMA has flattened out and the RSI is just above the midpoint, which suggests a range-bound action in the short-term.

However, if the bears sink and sustain the pair below the 20-day EMA, a drop to the 50% Fibonacci retracement level of $13.4906 and below it to the 61.8% retracement level of $11.9281 is likely.

LTC/USD

The bulls defended the 20-day EMA ($59) on Aug. 19 but they could not push Litecoin (LTC) to the overhead resistance at $65.1573, which suggests a lack of demand at higher levels. This usually happens when traders believe they will get a better entry opportunity at lower levels if they wait for some time.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

If the bears sink the price below the 20-day EMA, a decline to $56 and below it to $51 is possible. Such a move will suggest that the momentum has weakened and could result in a range-bound action for a few days.

The gradually rising 20-day EMA and the RSI in the positive territory suggest that bulls have a slight advantage.

If the LTC/USD pair rebounds off the 20-day EMA, it will suggest that the bulls are defending this support and this could attract buyers who will then try to push the price above the $65.1573–$68.9008 resistance.

BSV/USD

Bitcoin SV (BSV) is not finding buyers even at the $200 support, which is a negative sign as it suggests that the buyers expect lower levels in the short-term.

BSV/USD daily chart. Source: TradingView

BSV/USD daily chart. Source: TradingView

If the BSV/USD pair breaks and closes (UTC time) below $200, it will complete a descending triangle pattern, which has a target objective of $142.

The 20-day EMA ($214) has started to turn down and the RSI has slipped into the negative territory, suggesting advantage to the bears.

Contrary to this assumption, if the pair rebounds off $200, the bulls will try to push it above the $227 resistance. If successful, it will invalidate the bearish setup that can result in a move to $260.86.

ADA/USD

Cardano (ADA) closed (UTC time) below the $0.13 support on Aug. 19, which is a negative sign. The bulls tried to fake this move and push the price back above $0.13 on Aug. 20 but the bears aggressively defended the 20-day EMA ($0.136).

ADA/USD daily chart. Source: TradingView​​​​​​​

ADA/USD daily chart. Source: TradingView

This suggests that the sentiment has changed from buy on dips to sell on rallies. If the ADA/USD pair closes (UTC time) below $0.125, a drop to the next support at $0.11 is possible.

The 20-day EMA has started to turn down and the RSI has dipped into the negative territory, which suggests that the bears are making a comeback.

This bearish view will be invalidated if the pair turns up from the current levels and rises above the 20-day EMA. Such a move will indicate strong buying at lower levels.

BNB/USD

Binance Coin (BNB) is struggling to stay above the 20-day EMA ($22.15), which suggests that the bulls are not buying aggressively at this support.

BNB/USD daily chart. Source: TradingView

BNB/USD daily chart. Source: TradingView

If the bears sink the price below the $21.7628 support, a drop to the 50-day SMA ($19.86) is possible. Such a move will suggest that the bullish momentum has weakened.

The 20-day EMA is flattening out and the RSI is just above the midpoint, which suggests a range-bound action in the short-term.

Contrary to this assumption, if the BNB/USD pair rises from the current levels and breaks above $24.4588, a rally to $27.1905 is possible.

CRO/USD

Crypto.com Coin (CRO) has been trading between the 20-day EMA ($0.1638) and the overhead resistance of $0.176596 for the past few days. This shows that the bulls are defending the 20-day EMA, which is a positive sign.

CRO/USD daily chart. Source: TradingView​​​​​​​

CRO/USD daily chart. Source: TradingView

Today, the bulls had pushed the price above $0.176596 but they could not sustain the higher levels, which shows selling by the bears on sharp rallies.

If the CRO/USD pair sustains above the 20-day EMA, the bulls will make another attempt to push the price above $0.176596. If the price closes (UTC time) above this level, a rally to $0.20 is possible.

Conversely, if the bears sink the pair below the 20-day EMA, a drop to $0.154322 is possible. A rebound off this support could keep the pair range-bound between $0.154322–$0.176596 for a few days.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price Analysis 8/19: BTC, ETH, XRP, LINK, BCH, LTC, BSV, ADA, BNB, EOS

Bitcoin and the altcoins continue to correct but lower levels are likely to attract buyers as the bullish macro trend has not changed.

Bloomberg Intelligence senior strategist Mike McGlone is bullish on Bitcoin (BTC) as he believes that “something unexpected needs to happen for Bitcoin's price to stop doing what it's been doing for most of the past decade: appreciating.”

However, with the S&P 500 hitting a new all-time high today, traders are booking profits in gold and crypto assets. As U.S. markets surge to new highs, Bitcoin price has corrected sharply in the last two days but this is likely to be a short-term blip in a secular uptrend.

Veteran investor Jim Rogers thinks that the U.S. stock market is in a bubble and the recent monetary measures by numerous central banks could result in the worst economic meltdown in his lifetime.

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

In other news, crypto investment firm Pantera Capital has seen strong inflows into its Pantera Venture Fund III over the past twelve months, which shows that cryptocurrencies are attracting new investors.

However, as the bull market progresses, greed takes over and some traders take excessive risk in order to earn quick returns.

Although a few traders might get lucky, most tend to give back their hard-earned gains due to reckless trading. Therefore, traders should be disciplined and stick to their trading principles to generate long-term wealth.

BTC/USD

Bitcoin completed the ascending triangle pattern on Aug. 17 when it closed (UTC time) above $12,113.50 but the bulls could not sustain the breakout and the price dipped back into the triangle on Aug. 18.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the 20-day exponential moving average ($11,515), which is an important level to watch out for because the bears have not been able to sustain the price below it since July 22.

A strong bounce off this support will show that the bulls continue to buy on dips and if they can propel the price above $12,460, the uptrend is likely to resume.

The moving averages are sloping higher and the relative strength index is in the positive territory, which suggests that the bulls have the upper hand.

However, if the bears sink and sustain the price below the 20-day EMA, a drop to $11,000 and then to $10,400 is possible.

ETH/USD

The failure of the bulls to sustain Ether (ETH) above $444.15 on Aug. 17 attracted profit-booking, which has pulled the price below the breakout level of $415.634.

ETH/USD daily chart. Source: TradingView​​​​​​​

ETH/USD daily chart. Source: TradingView

If the ETH/USD pair rebounds off the 20-day EMA ($392), it will suggest that the bulls continue to buy on dips and if they can push the price above $415.64, a retest of $446.479 is possible.

A breakout above $446.479 can result in a rally to the $480–$500 resistance zone. The upsloping moving averages indicate an advantage to the bulls but the negative divergence on the RSI suggests caution.

If the bears sink the price below the 20-day EMA, it will indicate that the momentum has weakened and a drop to $366 is possible. Below this support, the correction could extend to the 50-day simple moving average ($314).

XRP/USD

The bulls could not propel XRP above the overhead resistance zone of $0.326113–$0.346727 on Aug. 17, which attracted profit booking by the short-term traders. This has pulled the price down to the 20-day EMA ($0.285).

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

If the XRP/USD pair rebounds off the 20-day EMA, the bulls will once again attempt to scale the price above the overhead resistance zone. If they succeed, the uptrend is likely to resume.

However, if the bears sink the price below the 20-day EMA, a drop to $0.268478 is possible. If the bulls defend this support, the pair could remain range-bound for a few days.

A break below the $0.268478 will be a negative sign that can result in a decline to the 50-day SMA ($0.238).

LINK/USD

Chainlink (LINK) corrected to $14.69 on Aug. 18, which is just below the 38.2% Fibonacci retracement level of $15.053. The bulls have purchased this dip and are currently attempting to resume the uptrend.

LINK/USD daily chart. Source: TradingView​​​​​​​

LINK/USD daily chart. Source: TradingView

If the buyers can push the price above $17.6738, a retest of the highs at $20.1111 is possible. A breakout of this resistance will signal resumption of the uptrend.

The moving averages are sloping up and the RSI is in the positive zone, which suggests advantage to the bulls.

However, if the bulls fail to push the price above $20.1111, a few days of range-bound action is possible. The LINK/USD pair is likely to signal a deeper correction on a break below the $14.69 support.

BCH/USD

The bulls could not propel Bitcoin Cash (BCH) above the $326.30 resistance on Aug. 17 and 18, which attracted profit booking. This has pulled the altcoin down to the 20-day EMA ($293) and has resulted in the formation of a symmetrical triangle.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

If the bears can sink and sustain the BCH/USD pair below the triangle, a drop to the 50-day SMA ($263) and then to $245 is possible. The 20-day EMA is flattening out and the RSI has dropped close to the midpoint, which suggests that the bulls are losing their grip.

However, if the pair rebounds off the current levels and breaks above the $326.30 resistance, a retest of $353 is likely.

LTC/USD

Litecoin (LTC) scaled above the overhead resistance of $65.1573 on Aug. 17 but the bulls could not sustain the higher levels. The bears are attempting to fake this breakout and have pulled the altcoin back below $65.1573.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

The negative divergence on the RSI suggests that the momentum has weakened. If the bears can sink the price below the 20-day EMA ($58), a drop to $51 is possible.

However, if the bulls defend the 20-day EMA aggressively, the LTC/USD pair will make one more attempt to rise above the $65.1573–$68.9008 resistance. If they succeed, a rally to $80 is likely.

BSV/USD

Bitcoin SV (BSV) turned down from $235.32 on Aug. 18 and broke below the 20-day EMA ($216), which suggests a lack of demand at higher levels.

BSV/USD daily chart. Source: TradingView​​​​​​​

BSV/USD daily chart. Source: TradingView

The bulls are currently attempting to defend the $200 support, which is just above the 50-day SMA ($198). If the BSV/USD pair rebounds off this level, the bulls will attempt to push the price above the $227–$235.32 resistance zone. If they succeed, a rally to $260 is possible.

However, if the bulls fail to push the price above $227, a few days of range-bound action between $200–$227 is likely. A break below $200 could signal weakness and result in a fall to $160.

ADA/USD

Cardano (ADA) slipped below the $0.13–$0.15 zone today but the bears have not been able to sustain the lower levels, which suggests some buying at lower levels.

ADA/USD daily chart. Source: TradingView

ADA/USD daily chart. Source: TradingView

The 20-day EMA ($0.137) has flattened out and the RSI has dipped below the 50 level, which points to a possible consolidation in the short-term.

A breakdown and close (UTC time) below $0.13 will signal a possible change in trend. Below this support, a drop to the $0.11–$0.10 zone is likely.

The next leg of the uptrend is likely to start after the bulls push the ADA/USD pair above the $0.15–$0.1543051 resistance.

BNB/USD

Binance Coin (BNB) turned down from the $22.93–$24.4588 resistance zone on Aug. 17 and has dipped to the 20-day EMA ($22).

BNB/USD daily chart. Source: TradingView​​​​​​​

BNB/USD daily chart. Source: TradingView

If the BNB/USD pair rebounds off the 20-day EMA, the bulls will make one more attempt to push the price above the overhead resistance zone. If they succeed, a rally to $27.1905 is likely.

However, if the bears sink the pair below the 20-day EMA a fall to $20.50 is possible. Below this level, the correction could deepen to the 50-day SMA ($19.58). The negative divergence on the RSI signals a weakening momentum.

EOS/USD

EOS could not sustain above the $3.8811 resistance on Aug. 17, which resulted in profit booking by the short-term traders. The altcoin corrected to $3.3086 today, which is just above the 61.8% Fibonacci retracement level of $3.2766 and the 20-day EMA ($3.264).

EOS/USD daily chart. Source: TradingView​​​​​​​

EOS/USD daily chart. Source: TradingView

Usually, in a strong uptrend, the corrections end between the 38.2% and 50% Fibonacci retracement levels because the bulls are in a hurry to buy and they do not wait for a deeper fall.

However, a sharper fall to the 61.8% Fibonacci retracement level or below it suggests that the momentum has weakened. The critical support to watch on the downside is $3.2766 and the breakout level of $3.1104. A break below this support will be a huge negative.

If the bulls defend the 20-day EMA, the EOS/USD pair will again attempt to rise to the $3.8811–$3.95 resistance zone. A break above this zone will signal the possible resumption of the uptrend.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price Analysis 8/17: BTC, ETH, XRP, LINK, BCH, LTC, BSV, ADA, EOS, BNB

Bitcoin’s strong move above the $12,200 resistance could boost sentiment and lead to a stronger rally in select altcoins.

Investors usually buy large quantities of gold when they do not have faith in fiat currencies and want to protect their purchasing power against debasement. Berkshire Hathaway’s recent purchase of Canadian gold miner Barrick Gold suggests that Warren Buffet is not confident about the future health of the United States and global economy.

Morgan Creek Digital co-founder and partner Jason Williams believes that although Buffet might not directly invest in Bitcoin (BTC), it is likely that one of the younger managers will.

Daily cryptocurrency market performance. Source: Coin360

Daily cryptocurrency market performance. Source: Coin360

With gold making a sharp move today, Bitcoin has also followed it higher, which shows that their correlation in the short term might be increasing once again.

Grayscale Investments has also widened its offering after its Bitcoin Cash Trust and Litecoin Trust received the green light to deposit at the Depository Trust Company. This enables the products to list on major U.S. stock exchanges.

Let’s take a look at some of the strongest crypto assets to see where they might go this week.

BTC/USD

Bitcoin broke out of its overhead resistance at $12,113.50, and if the bulls can close (UTC time) the price above this resistance, the ascending triangle pattern will complete.

BTC/USD daily chart. Source: TradingView

BTC/USD daily chart. Source: TradingView

This bullish setup has a pattern target of $13,702.55, which is just below the June 26, 2019 high at $13,973.50. If the price reaches this level, it may act as a stiff resistance.

Currently, both moving averages are rising, and the relative strength index (RSI) is in the overbought zone, which suggests that the bulls have the upper hand.

If the bulls fail to sustain the price above $12,113.50, Bitcoin's price could drop to the 20-day exponential moving average (EMA) ($11,457). A break below this support will be the first indication that momentum has weakened.

ETH/USD

Ether (ETH) has been sustaining above the $415.634 level for the past few days, which is a positive sign. This suggests that the bulls are not waiting for a deeper correction to buy.

ETH/USD daily chart. Source: TradingView

ETH/USD daily chart. Source: TradingView

If the bulls can sustain the price above $444.15, the uptrend is likely to resume. The next target is the $480–$500 zone. The upsloping moving averages and the RSI in the overbought zone suggest that the trend favors the bulls.

Contrary to this assumption, if the bears sink the price below $415.634, a drop to the 20-day EMA ($387) is possible. If the ETH/USD pair rebounds off the 20-day EMA, the bulls will again attempt to resume the uptrend.

A break below the 20-day EMA will be the first sign of weakening momentum and a break below $366 could tilt the advantage in favor of the bears.

XRP/USD

XRP has picked up momentum after breaking out of the falling wedge pattern on Aug. 14. The bulls will now try to push the price above the $0.326113–$0.346727 overhead resistance zone.

XRP/USD daily chart. Source: TradingView​​​​​​​

XRP/USD daily chart. Source: TradingView

If they succeed, a rally to $0.40 is possible. The upsloping moving averages and the RSI in the overbought territory indicates advantage to the bulls.

However, if the pair turns down from the overhead resistance zone, then the XRP/USD pair could remain range-bound for a few more days.

A breakdown below the 20-day EMA ($0.28) will be the first sign of weakness. The trend will turn in favor of the bears if the pair plummets below $0.268478.

LINK/USD

Chainlink's LINK continues to be in a strong uptrend. Since the start of this leg of the up move on July 30, the altcoin has not corrected for three days in a row, which shows that the bulls are buying on every minor dip.

LINK/USD daily chart. Source: TradingView

LINK/USD daily chart. Source: TradingView

The sharp rally of the past few days has pushed the RSI above the 80 levels, which suggests that the LINK/USD pair is heavily overbought in the near term. However, this alone is not a reason to fall because in May 2019 the RSI topped out close to 90.

If the bulls push the price above $20.1111, the uptrend can extend to $21.60 and then to $24.18. However, vertical rallies usually witness waterfall declines. Hence, traders should be careful not to be swayed by greed.

On the downside, a break below $16 could be the first sign that momentum has weakened.

BCH/USD

Bitcoin Cash (BCH) has broken out of the downtrend line, which invalidates a developing descending triangle pattern. The 20-day EMA ($292) is sloping up, and the RSI has risen close to the overbought zone, which suggests that the bulls have the upper hand.

BCH/USD daily chart. Source: TradingView​​​​​​​

BCH/USD daily chart. Source: TradingView

The bulls will now try to push the price to $326.30 and then to $353. A breakout of this resistance is likely to result in a rally to $410 and then to $430.

However, if the bears defend the overhead resistance at $353, the BCH/USD pair might extend its stay inside the range for a few more days.

The trend will turn in favor of the bears if the pair turns down and breaks below the $280 support.

LTC/USD

Litecoin (LTC) picked up momentum after breaking above the descending channel on Aug. 15. The bulls are currently attempting to push the price above the overhead resistance at $65.1573.

LTC/USD daily chart. Source: TradingView​​​​​​​

LTC/USD daily chart. Source: TradingView

The 20-day EMA ($57) has started to slope up once again, and the RSI is close to the overbought zone, which suggests that the bulls are again back in the driver’s seat.

A breakout and close (UTC time) above $65.1573 is likely to start the next leg of the up move to $80 and then to $84.

However, if the LTC/USD pair turns down from the current levels, it could drop to the 20-day EMA. A break below this support could sink the price to $51.

BSV/USD

Bitcoin SV (BSV) broke above the downtrend line on Aug. 15, but the bulls have not been able to pick up momentum, which shows a lack of demand at higher levels. The altcoin is currently facing resistance at $227.

BSV/USD daily chart. Source: TradingView

BSV/USD daily chart. Source: TradingView

However, a minor positive is that the bulls have not allowed the BSV/USD pair to slip below the 20-day EMA ($217). If the bulls can push the price above $227, a rally to $260.86 is likely. A breakout of this resistance could extend the rally to $320.

Conversely, if the pair turns down from the current levels and breaks below the 20-day EMA, a drop to $200 is possible. A break below this support will shift the advantage in favor of the bears.

ADA/USD

Cardano (ADA) remains range-bound between the $0.13–$0.15 zone, which suggests a balance between supply and demand. It is difficult to predict the direction of the breakout, hence traders should wait for the price to make a decisive move before entering any trades.

ADA/USD daily chart. Source: TradingView​​​​​​​

ADA/USD daily chart. Source: TradingView

The 50-day SMA is sloping up, which suggests that the medium-term trend remains in favor of the bulls. If the buyers can propel the price above $0.1543051, the next leg of the up move is likely to start. The next target to watch out for is $0.20.

If the bears defend the overhead resistance at $0.1543051, the ADA/USD pair could extend its stay inside the range.

A breakdown and close (UTC time) below $0.13 will signal the possible start of a deeper correction to the $0.11–$0.10 support zone.

EOS/USD

The bulls are attempting to push EOS above the overhead resistance at $3.8811, but the bears are defending this level aggressively.

Both moving averages have turned up, and the RSI is in the overbought zone, suggesting advantage to the bulls.

EOS/USD daily chart. Source: TradingView​​​​​​​

EOS/USD daily chart. Source: TradingView

If the bulls can sustain the price above $3.8811, a rally to $4.85 and then to $5.40 is possible. There is a minor resistance at $4.40 and again at $4.60, but both these are likely to be crossed.

However, if the EOS/USD pair turns down from the current levels, a minor consolidation or correction is possible. The momentum might weaken if the bears sink the pair below the 50% Fibonacci retracement level of $3.4052.

BNB/USD

Binance Coin (BNB) is facing resistance in the $22.93–$24.4588 resistance zone; however, the positive sign is that the bulls have managed to keep the price above $22.93 for the past two days.

BNB/USD daily chart. Source: TradingView​​​​​​​

BNB/USD daily chart. Source: TradingView

The moving averages are sloping up, and the RSI is in the positive zone, suggesting advantage to the bulls. Above $24.4588, a rally to $27.1905 is possible. The bears are likely to defend this resistance aggressively, but if this level is scaled, the next target is $32.

This bullish view will be invalidated if the BNB/USD pair turns down from the current levels and breaks below $20.50.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 Cryptocurrencies to Watch This Week: BTC, ETH, EOS, XTZ, ATOM

Bitcoin is nearing the end of its consolidation phase and the resulting move will determine if altcoins continue to outperform BTC price in the short term.

This week Warren Buffett made waves throughout financial media as reports that Berkshire Hathaway sold several bank stocks and purchased shares in Barrick Gold were made public thanks to the company’s latest quarterly shareholder filing. 

This purchase is significant because Buffet has been a strong critic of gold, however, in the current economic conditions, he appears to have changed his view and sought safety in the asset.

Bitcoin advocate Max Kaiser believes that several fund managers are now likely to increase their allocation to gold, which could boost its price to $5,000. 

Kaiser also expects institutional money to flow into Bitcoin (BTC) resulting in a rally to $50,000.

Crypto market data daily view

Crypto market data daily view. Source: Coin360

Galaxy Digital CEO Mike Novogratz said that Bitcoin has cemented its position as a store of value over the past year. 

Although he expects gold to move higher, Novogratz believes that Bitcoin is a better buy because it only has “a $220 billion market cap, where gold is over $10 trillion and so Bitcoin has a long way to go to catch gold in just adoption.”

Grayscale Investments CEO Barry Silbert said that their recent advertisements on various television networks bore fruit as the company has seen an inflow of $217 million into various Grayscale funds in a week.

BTC/USD

Bitcoin continues to consolidate near the recent highs of $12,113.50, which shows that the bulls are not closing their positions as they anticipate the uptrend to extend further.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The average directional index (ADX), a component of the directional movement indicator, remains strong above 38 and the 20-day exponential moving average ($11,357) is sloping up, which suggests that the uptrend is strong.

The BTC/USD pair has formed a pennant, which is a bullish pattern. If the buyers can propel the price above the pennant and the overhead resistance at $12,304.37, the uptrend is likely to resume.

This setup has a target objective of $14,956. However, the bears will try to stall the rally at $13,000 and again at $14,000. 

Instead of the breakout, if the bears sink the pair below the pennant, a drop to $10,400 is likely. A break below this level will suggest a lack of buyers at higher levels and might signal a short-term top.

BTC/USD 4-hour chart

BTC/USD 4-hour chart. Source: TradingView

The positive directional indicator (+DI) and the negative directional indicator (-DI) are criss crossing and the ADX has dropped near to 18. This suggests a lack of direction on the 4-hour chart.

Currently, the price has turned down from the resistance line of the pennant, which suggests that the bears are aggressively defending this level. However, the bears have not been able to sustain the price below the 20-EMA, which suggests buying on dips.

A breakout of the resistance line of the pennant will signal that bulls are back in the driver’s seat. On the other hand, if the price sustains below the 20-EMA, a drop to the support line of the pennant is likely.

ETH/USD

Ether (ETH) remains in a strong uptrend with the ADX trading above the 53 levels and the 20-day EMA ($382) rising up. The +DI remains well above the -DI, which suggests that the bulls have the upper hand.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

The ETH/USD pair has rebounded off the breakout level of $415.634, which shows strong buying by the bulls at this support. If the bulls can push the price above $444.15, a rally to $480 is likely.

Conversely, if the bears sink and sustain the price below $415.634, a drop to the 20-day EMA is possible. If the pair rebounds off this support, the bulls will again attempt to resume the uptrend.

However, if the bears sink the price below the 20-day EMA, then a drop to $366 is likely. A strong rebound off this level could keep the pair range-bound for a few days.

ETH/USD 4-hour chart

ETH/USD 4-hour chart. Source: TradingView

The bears had pushed the price below the 20-EMA on the 4-hour chart but they could not sustain the price below the $415.634 support, which suggests that the bulls are aggressively defending this support. If the bulls can now drive the price above $444.15 then the uptrend is likely to resume. 

However, if the pair turns down from $444.15, then the price might consolidate in a tight range for a few days. 

The ADX has corrected to below 23 levels, which suggests that the trend has weakened in the short-term. This also points to a possible consolidation in the near term. This view will be invalidated if the pair turns down and breaks below the $415.634 support.

EOS/USD

The ADX on EOS is below the 20 level, which suggests that it is not in a strong trend yet. However, the sharp rally on Aug. 15 carried the price close to the critical overhead resistance at $3.8811.

EOS/USD daily chart

EOS/USD daily chart. Source: TradingView

Currently, the bears are defending this resistance level but the bulls are attempting to push the price above it. 

If the bulls can sustain the EOS/USD pair above the overhead resistance at $3.8811, the momentum is likely to pick up. The next target on the upside is $4.4 and then $4.66. If both these levels are scaled, the rally can extend to $5.40.

Contrary to this assumption, if the bears sink the price below $3.50, a drop to the 20-day EMA ($3.16) is possible.  

EOS/USD 4-hour chart

EOS/USD 4-hour chart. Source: TradingView

The ADX on the 4-hour chart has risen to above 41 level, which suggests that the short-term trend is strong. The +DI is above the -DI and the 20-EMA is sloping up, which suggests that the bulls have the upper hand.

Currently, the price has rebounded off the 20-EMA, which suggests strong buying on dips to this support. The bulls will now try to sustain the price above the $3.8811 resistance. If successful, the uptrend is likely to pick up momentum. 

This view will be invalidated if the price turns down from the current levels and breaks below the 20-EMA. Such a move will signal advantage to the bears. 

XTZ/USD

Tezos (XTZ) broke above the overhead resistance of $3.96 on Aug. 10. Although the bears attempted to fake this breakout on Aug. 11 and 12, they could not sustain the lower levels, which suggests aggressive buying by the bulls on dips.

XTZ/USD daily chart

XTZ/USD daily chart. Source: TradingView

The ADX has risen to above 28 level, which suggests that the trend is gaining strength. If the XTZ/USD pair rebounds off the $3.96 levels, the bulls will try to resume the uptrend by pushing the price above $4.50. If successful, the pair can rally to $5.5.

Contrary to the assumption, if the bears sink the price below the critical support at $3.96, a drop to the 20-day EMA ($3.62) is possible. If the pair bounces off this support, the bulls will attempt to resume the up move.

This bullish view will be invalidated if the bears sink the pair below the 20-day EMA. Below this level, the decline can extend to $2.6.

XTZ/USD 4-hour chart

XTZ/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that the bulls have held the $3.96 support. If they can push the price above the downtrend line, a move to $4.50 is possible. However, if the bears defend this resistance, the pair could remain range-bound for a few days.

The flat 20-EMA and the sharp fall in the ADX suggests a balance between supply and demand. This view will be invalidated if the bears sink the price below the $3.96 support. If that happens, a fall to $3.60 and then to $3 is possible.

ATOM/USD

Cosmos (ATOM) broke above the overhead resistance of $5.423 on Aug. 12, which has pushed the ADX to above 30 levels. The +DI is above the -DI and the 20-day EMA ($4.97) is sloping up, suggesting an advantage to the bulls.

ATOM/USD daily chart

ATOM/USD daily chart. Source: TradingView

Currently, the ATOM/USD pair has recovered from the intraday lows, which suggests strong buying on dips.

If the bulls can push the price above $6.604, the uptrend is likely to resume. If an uptrend resumes only after a one to three day correction, it indicates strong momentum. The pair remains positive as long as it sustains above the breakout level of $5.423.

The bears will gain an upper hand if the pair drops below $5.423 and sinks below the 20-day EMA. Such a move will signal a lack of buyers at higher levels and could result in a deeper correction.

ATOM/USD 4-hour chart

ATOM/USD 4-hour chart. Source: TradingView

The ADX on the 4-hour chart has dropped to below 25 levels, and the +DI and the -DI are close to each other, suggesting a balance between the bulls and the bears. The 20-EMA is also flattening out, which is another indication of a consolidation.

However, if the bulls can propel the price above the downtrend line, a move to $6.35 and then to $6.604 is possible. The uptrend is likely to resume on a close (UTC time) above 6.604.

Conversely, if the bears sink the price below the trendline, a drop to $5.423 is likely. A break below this support will turn the short-term trend in favor of the bears.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price Analysis 8/14: BTC, ETH, XRP, LINK, BCH, BSV, LTC, ADA, BNB, CRO

Traders have turned bullish on Ethereum again and the strong break above $400 could pull Bitcoin and other altcoins higher.

Data from Grayscale Investments shows that the firm’s assets under management soared from about $1.9 billion at the end of 2019 to over $3.5 billion by the end of June 30, 2020. 

The correction in the U.S. dollar (DXY) and the possibility of further weakness due to continued money printing by the U.S. Federal Reserve could be one of the main reasons for the surge in institutions investing in Bitcoin (BTC). 

Interestingly, about 40% of the Bitcoin accumulated over the past two years has not been moved, which suggests that investors are “HODLing” their purchases as they anticipate higher levels in the future.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

Abra CEO Bill Barhydt believes that Bitcoin is witnessing a “pivotal moment” as a new asset class. Rumors suggest that the U.S. government could try to revive growth by stoking inflation. Hence, Barhydt considers that this is the best time for Bitcoin to stake a claim “as the defacto hard digital asset.”

BTC/USD

Bitcoin bounced off the 20-day exponential moving average ($11,253) on Aug. 12, which shows that the bulls are aggressively buying the dips to this support. 

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The price action of the past few days has formed an ascending triangle pattern, which will complete on a breakout and close (UTC time) above $12,113.50. The target objective of this set up is $13,702.55.

Both moving averages are sloping up and the relative strength index is in positive territory, which suggests that bulls have the upper hand.

This bullish view will be invalidated if the BTC/USD pair turns down from the current levels or the overhead resistance of $12,113.50 and breaks below the 20-day EMA. 

Such a move will be the first sign of profit booking at higher levels. Below the 20-day EMA, a drop to $10,400 is possible. If this support holds, the pair might remain range-bound for a few days. The trend will turn negative on a break below the $10,400–$10,000 support zone.

ETH/USD

Ether (ETH) surged above the downtrend line and the overhead resistance of $415.634 on Aug. 13, which shows that the uptrend has resumed. 

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

Both moving averages are sloping up and the RSI is in the overbought zone, suggesting advantage to the bulls. The next target on the upside is $480 and then $520.

This bullish view will be negated if the bears fake the current breakout and pull the ETH/USD pair down below $415.634. Such a move will indicate profit booking at higher levels and could result in a deeper pullback.

XRP/USD

XRP has broken out of the falling wedge pattern, which is a bullish sign. If the bulls can scale the price above $0.307301, a rally to the $0.326113–$0.346727 resistance zone is likely. A breakout above this zone will signal a resumption of the uptrend.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

Above $0.346727, the next target to watch out for is $0.40. The uptrending moving averages and the RSI close to the overbought zone suggest that bulls have the upper hand.

Contrary to this assumption, if the XRP/USD pair turns down from $0.307301, the bears will make another attempt to sink the price below the 20-day EMA ($0.275). If they succeed, a deeper correction to the 61.8% Fibonacci retracement level of $0.244472 is likely.

LINK/USD

Chainlink (LINK) broke above the 261.8% Fibonacci extension level of $17.4319 on Aug. 13 but the bulls could not sustain the price above it, which suggests some profit booking at higher levels.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

However, the LINK/USD pair has not given up much ground, which suggests that the majority of the bulls are still holding on to their positions as they expect the rally to continue. If the buyers can push the price above $18.3488, the rally can extend to $20.

On the other hand, selling could pick up momentum on a break below $15.9175. Below this level, a drop to the 38.2% Fibonacci retracement level of $13.9639 is possible. 

If the pair bounces off this level, the bulls will again attempt to resume the uptrend but a break below this level could signal that the momentum has weakened.

BCH/USD

Bitcoin Cash (BCH) has held the $280 support for the past few days, which suggests that the bulls are buying at these levels. However, unless the bulls push the price above the downtrend line, the bears will again try to break the $280 support.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

If the price again turns down from the downtrend line, it will form a bearish descending triangle pattern, which will complete on a breakdown and close (UTC time) below $280. The pattern target of this setup is $222.

However, if the bulls push the price above the downtrend line, a move to $325 and then to $353 is possible. A breakout of this resistance will signal the possible resumption of the uptrend.

BSV/USD

Bitcoin SV (BSV) has held the $200 support but the rebound lacks strength, which shows a lack of urgency among the bulls to buy at these levels.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The price has reached the downtrend line, which is likely to act as a stiff resistance. If the BSV/USD pair turns down from this resistance, the possibility of a break below $200 and the 50-day simple moving average ($192) increases. Below the level, the decline can extend to $160.

Currently, the 20-day EMA ($214) is flat and the RSI is close to the midpoint, which shows a balance between supply and demand. A breakout above the downtrend line and the $227 resistance will signal that bulls are making a comeback. Above this level, a retest of $260.86  is likely.

LTC/USD

The bulls have successfully defended the breakout level of $51, which is a positive sign. If they can push Litecoin (LTC) above the descending channel, a move to $60 and then to $65.1573 is possible.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

A break above $65.1573 could result in a rally to $80. The LTC/USD pair is presently above the 20-day EMA ($55) and the RSI has risen to just under 60 level, which suggests a minor advantage to the bulls.

Contrary to this assumption, if the pair turns down from the current levels, then the bears will make another attempt to sink the price below $51. A break below the 50-day SMA ($48) will be a huge negative.

ADA/USD

Cardano (ADA) is currently consolidating between the $0.13–$0.15 zone. The attempt by the bears to break below this zone on Aug. 12 was purchased aggressively by the bulls, which shows strong demand at lower levels.

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

During this leg of the up move, twice the consolidations lasted for about 27 days or more. The current consolidation has completed 18 days and if history were to repeat itself, the price might remain stuck in the range for a few more days before a breakout or a breakdown happens.

The 20-day EMA ($0.137) has flattened out and the RSI is just above the midpoint, which also suggests a balance between the bulls and bears. The next trending move is likely to start after the ADA/USD pair closes (UTC time) above $0.15 or below $0.13.

BNB/USD

Binance Coin (BNB) dipped below the 20-day EMA ($21.37) on Aug. 11, 12 and 13 but on all three days, the bears could not sustain the lower levels, which shows aggressive buying by the bulls.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

Today, the bulls have pushed the price above the downtrend line and are attempting to scale the overhead resistance of $22.93. If they succeed, a rally to $24.588 and then to $27.1905 is possible. 

Both moving averages are rising and the RSI is in the positive territory, which suggests that bulls have the upper hand.

Contrary to this assumption, if the BNB/USD pair turns down from $22.93, the bears will make another attempt to break the 20-day EMA support.

CRO/USD

Crypto.com Coin (CRO) is consolidating in an uptrend, which is a positive sign. Currently, the price is stuck between $0.154322 and $0.176596. 

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The 20-day EMA ($0.16) is sloping up marginally and the RSI is close to the 60 level, which suggests that the momentum has weakened but the advantage is still with the bulls.

If the bulls can push the price above $0.176596, the uptrend is likely to resume with the next target at $0.20. Conversely, if the CRO/USD pair plummets below the support of the range, a drop to $0.13 is possible.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price Analysis 8/12: BTC, ETH, XRP, LINK, BCH, BSV, LTC, ADA, XTZ, BNB

As Bitcoin price slowly regains momentum, many altcoins have been rewarding traders by rallying to new all-time highs.

On August 11 MicroStrategy, the world’s largest publicly traded business intelligence company, announced that it had ditched fiat currency and built its primary treasury reserve with Bitcoin (BTC). 

The company’s CEO Michael J. Saylor believes that the coronavirus pandemic and the stimulus measures enacted to counter it will cause “a significant depreciating effect on the long-term real value of fiat currencies and many other conventional asset types.” 

Saylor further explained that Bitcoin “is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash.”

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

On similar lines, BitGo CEO Mike Belshe also warned that the aggressive money printing will devalue fiat currencies and make them worthless to holders. Belshe urged investors to invest at least 3% of their portfolio in Bitcoin because it is “the lowest risk, highest asymmetric upside investment” many will see in their lifetime.

BTC/USD

The bulls again failed to propel Bitcoin above the overhead resistance of $12,113.50 on Aug. 10, and this resulted in profit booking by short-term traders. The correction pulled the price down to the 20-day exponential moving average ($11,127) but the bears could not break this support.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

This shows that the bulls are aggressively buying the dips to the 20-day EMA support. In an uptrend, when the price bounces off the 20-day EMA, it usually increases the possibility that the uptrend will resume.

If the BTC/USD pair closes (UTC time) above $12,113.50, the momentum is likely to pick up and a quick move to $13,000 is possible. The bears are likely to defend this level, which can result in a minor consolidation or correction, but if the bulls do not give up much ground, the uptrend is likely to extend to $14,000.

This bullish view will be invalidated if the bears sink the pair below the critical support zone of $10,400–$10,000.

ETH/USD

Ether (ETH) remains positive as the price has held above the critical support at $366 for the past few days. This shows that the bulls are accumulating on dips to this level.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

The moving averages are rising and the relative strength index is in the positive zone, which shows that the bulls are in command. 

A break above the downtrend line will signal strength and the momentum is likely to pick up above $415.634. Above this level, the uptrend can reach $480.

This bullish view will be invalidated if the ETH/USD pair reverses direction from the downtrend line and plummets below the 20-day EMA ($357). Below this support, the correction can extend to the  61.8% Fibonacci retracement level of $304.367.

XRP/USD

The bulls had pushed the price above the falling wedge on Aug. 11 but they could not sustain the higher levels. The bears used this to their advantage and sold aggressively, dragging XRP below the wedge.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

However, the bulls purchased the dip to the 20-day EMA ($0.27) and are currently attempting to push the price back above $0.284584. If they succeed, it will be a positive sign.

Both moving averages are sloping up and the RSI is in the positive territory, which suggests that the path of least resistance is to the upside. A break above the wedge and the $0.307301 resistance will signal strength and increase the possibility of a rally to $0.326113. 

This bullish view will be invalidated if the XRP/USD pair turns down from the resistance and breaks below the 20-day EMA. 

LINK/USD

Chainlink (LINK) remains in a strong uptrend as the correction from the $14.4586 level only lasted for two days on Aug. 10 and 11. During this, the bears could not even break below the immediate support of $12, which shows that the bulls are aggressively buying the dips.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

The sharp bounce off the $12 levels has already pushed the LINK/USD pair above the $14.4586–$14.8537 resistance zone. The next target is the 261.8% Fibonacci extension level of $17.4319 and if this level is also scaled, then the next level to watch out for is $20.

However, as the pair hits new highs, the RSI has again risen into deeply overbought levels. Although the RSI can remain overbought for an extended period of time, vertical rallies rarely sustain. Therefore, traders can consider trailing the stops on their positions instead of becoming greedy.

BCH/USD

Bitcoin Cash (BCH) broke below the 20-day EMA ($284) and the $280 support on Aug. 11, but a minor positive is that the bulls managed to close (UTC time) the day at $281.87. 

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

Today, the bears again attempted to resume the down move by plunging the BCH/USD pair below $270. However, the bulls bought the dip and have pushed the price back above $280, which is a minor positive.

The 20-day EMA has flattened out and the RSI is just above the midpoint, which suggests a balance between supply and demand. A break above the downtrend line will be the first sign that the advantage might be shifting in favor of the bulls.

This view will be invalidated if the pair breaks and closes (UTC time) below $280. Such a move could drag the price to $260.

BSV/USD

The failure to push the price higher attracted profit-booking by the traders on Aug. 11, which resulted in a break below the 20-day EMA ($214). The bulls are currently attempting to keep Bitcoin SV (BSV) above the $200 support. 

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

Any bounce from the $200 level will face resistance at the downtrend line and again at $227. If the BSV/USD pair turns down from this resistance, a few days of consolidation between $200–$227 is possible. 

The 20-day EMA is flat and the RSI is just below the 50 level, which points towards a possible range-bound action in the near term.

However, if the pair turns down from either resistance and breaks below $200, it will be a huge negative and could result in a drop to $160.

LTC/USD

Litecoin (LTC) broke below the $56–$60 range and the 20-day EMA ($54.70) on Aug. 11, which resulted in a retest of the breakout level of $51. The altcoin has bounced off this support, which is a positive sign as it shows that the bulls are attempting to defend this level.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

The 20-day EMA has flattened out and the RSI is close to the midpoint, which suggests a range-bound action for a few days.

On the upside, a break and close (UTC time) above the descending channel will be the first sign of strength. This will increase the possibility of a rally to $60 and then to $65.1573. The uptrend is likely to resume if the LTC/USD pair sustains above $65.1573.

The trend will turn in favor of the bears if the pair turns down from the current levels and breaks below $51.

ADA/USD

Cardano (ADA) broke below the 20-day EMA ($0.137) on Aug. 11 and the bears capitalized on this opportunity by pushing the price below the $0.13 support today. 

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

However, the bulls aggressively purchased the dip to the 50-day simple moving average ($0.121) and pushed the ADA/USD pair back above the $0.13 level. This is a positive sign as it suggests a rejection of the breakdown below $0.13.

The flattening 20-day EMA and the RSI close to the 50 level point to a possible consolidation in the next few days.

The trend will turn positive on a breakout and close (UTC time) above the overhead resistance of $0.1543051. Conversely, a break below the 50-day SMA will signal a possible change in trend.

XTZ/USD

Tezos (XTZ) broke above the stiff overhead resistance at $3.96 on Aug. 10 and made a new high, which is always a sign of strength as it shows that the bulls are keen to buy at higher levels. 

 

XTZ/USD daily chart

XTZ/USD daily chart. Source: TradingView

The bears attempted to fake this breakout on Aug. 11 when they tried to sink the price back below the breakout level of $3.96. However, the bulls again purchased the dips aggressively, which helped the price recover from the intraday low of $3.75 and close (UTC time) at $4.01.

Today, the bears again attempted to sink the XTZ/USD pair but the bulls used the opportunity to buy at lower levels. The aggressive buying has already propelled the pair to new highs.

If the bulls can close (UTC time) the price above $4.50, the next level to watch for is the 200% Fibonacci extension level of $4.8766 and then 261.8% extension level of $5.57. This bullish view will be invalidated if the pair reverses direction and plunges below $3.60.

BNB/USD

The $21.7628–$22.93 range resolved to the downside on Aug. 11 as Binance Coin (BNB) plunged to $20.66, but the positive thing is that the bears have not been able to sustain the price below the 20-day EMA ($21.16).

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

This shows that the sentiment is to buy the dips and the bulls are aggressively defending the 20-day EMA. 

If the bulls can push the price back above $21.7628 and sustain the higher levels, it will be a positive sign. That will suggest a rejection of the recent breakdown and could signal a resumption of the uptrend.

The 20-day EMA is flattening out and the RSI has dropped below the 60 level, which suggests that the momentum has weakened marginally but the advantage remains with the bulls. 

The bullish view will be invalidated if the BNB/USD pair turns down from the current levels and plummets below the trendline. Below this support, a drop to $18.20 is possible.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price Analysis 8/10: BTC, ETH, XRP, BCH, LINK, BSV, LTC, ADA, BNB, CRO

Bitcoin price continues to decline at $12,000, but altcoins have taken advantage of the range bound action by rallying higher.

Traders prefer to trade a trending market as it generally moves in one direction and the retracements offer low-risk entry opportunities. This is because a trade that follows the major trend carries a greater possibility of earning profits than one in a volatile market. 

As several cryptocurrencies started a trending move in July, web traffic to the crypto exchanges also increased by 13%, according to data from ICO Analytics.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

The derivatives market also comes alive when the underlying market is trending as professional traders use leverage to make quick profits using the futures and options route. This could be one of the reasons for the sustained increase in Ethereum (ETH) options open interest over the past three months.

Several reasons can be attributed to the start of a trending move in an asset class. Max Keiser believes that capital fleeing Asia is one of the main reasons for the sharp rally in Bitcoin (BTC). 

Let’s analyze the charts of the major cryptocurrencies to find out whether the uptrend is likely to resume or is it time for a correction to start.

BTC/USD

The bulls are attempting to push Bitcoin above the overhead resistance of $12,113.50, which is a positive sign. This suggests that the bulls are not booking profits yet, which is frustrating the traders who have been left out because they are forced to buy at higher levels.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

Both moving averages are sloping up and the relative strength index is in the overbought zone, which suggests that bulls are in command.

A breakout and close (UTC time) above $12,113.50 is likely to resume the uptrend. There is a minor resistance at $12,304.37 but that is likely to be crossed. Above this level, the uptrend can reach $13,000 and above it $14,000.

Contrary to this assumption, if the bears aggressively defend the $12,113.50 level, the BTC/USD pair might correct to the 20-day exponential moving average ($11,052). A strong bounce off this level will increase the possibility of a break above the overhead resistance. 

However, if the bears sink the price below the 20-day EMA, it will signal weakness. Below this level a retest of the $10,400 level is possible. A drop below this support will signal that the bears are back in the game.

ETH/USD

Ether (ETH) has been trading above the breakout level of $366 for the past few days, which is a huge positive as it shows that the bulls are not hurrying to liquidate their positions. This suggests that the bulls expect the uptrend to continue.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

Both moving averages are sloping up and the RSI is in the overbought zone, which indicates that the path of least resistance is to the upside. A breakout and close (UTC time) above $415.634 will signal a resumption of the uptrend towards the next target of $480.

However, if the bears defend the $415.634 resistance, the ETH/USD pair might spend some more time inside the range.

This bullish view will be invalidated if the bears sink the price below $366. Such a move will suggest a weakening momentum that can drag the price to the 20-day EMA ($351). A break below this support could signal a deeper correction to the 61.8% Fibonacci retracement level of $304.367.

XRP/USD

XRP is currently trading inside a falling wedge pattern, which usually acts as a bullish setup. If the bulls can push the price above the wedge, the uptrend is likely to resume with the first target at $0.346727 and then $0.432105.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

The correction from $$0.326113 has been healthy as it has pulled down the RSI from deeply overbought levels. Both moving averages are sloping up, which suggests that the bulls have the upper hand.

This bullish view will be invalidated if the bears sink the price below the wedge and the 20-day EMA ($0.267). Such a move will be a negative sign that can drag the XRP/USD pair to the 61.8% Fibonacci retracement level of $0.244472.

BCH/USD

Bitcoin Cash (BCH) dipped to the 20-day EMA ($284) on Aug. 7 and again on Aug. 10, which suggests that the bears are attempting to sink the price back below the breakout level of $280.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

If they succeed, it will be a huge negative as it will indicate a lack of demand at higher levels. Such a move could result in a fall to $260 and then to $245.

However, the 20-day EMA is gradually sloping up and the RSI has been sustaining above the 60 level, which suggests a slight advantage to the bulls.

If the bulls can push the price above the downtrend line, it will signal advantage to the bulls. Above this resistance, a rally to $353 is possible. A breakout of this level could resume the uptrend to $400.

LINK/USD

Chainlink (LINK) dipped on Aug. 7 to $9.05 but the bears could not sustain the lower levels. By close (UTC time), the price had recovered sharply from the intraday lows, which shows aggressive buying by the bulls.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

This move seems to have caught the aggressive bears on the wrong side, and they were forced to cover their short positions as the price broke out to new highs, which resulted in a strong rally on Aug. 8 and 9. 

The LINK/USD pair rose to a high of $14.4586 on Aug. 9, which is just below the 200% Fibonacci extension level of $14.8537. The bears are likely to mount a stiff resistance in the $14.4586–$14.8537 zone and the RSI has also risen into the deep overbought zone, which suggests a minor consolidation or correction.

Contrary to this assumption, if the bulls continue to buy at higher levels and push the price above the resistance zone, a rally to 261.8% Fibonacci extension level of $17.4319 is possible. 

BSV/USD

The bulls are struggling to push Bitcoin SV (BSV) above the $240 resistance, which suggests a lack of demand at higher levels. However, on the downside, the bulls are buying the dips to $214.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The 20-day EMA ($216) is flattening out and the RSI is gradually falling, which suggests that the bulls are losing their grip. If the bears sink the price below the 20-day EMA and the $214 support zone, a drop to $200 is possible. 

On the other hand, if the BSV/USD pair rebounds off the 20-day EMA, the bulls will once again attempt to push the price above $240. If successful, a move to $260.86 is likely. 

LTC/USD

Litecoin (LTC) has roughly been trading between the $56–$60 level since Aug. 2. This suggests a balance between demand and supply. However, as both moving averages are rising and the RSI is in the positive zone, the advantage is with the bulls.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

If the LTC/USD pair rises above $60, the advantage will shift in favor of the bulls. Above this level, a rally to $65.1573 is possible. This is the critical level to watch out for because, if the bulls can propel the price above this level, the momentum is likely to pick up.

Conversely, if the bears sink the pair below $56 and the 20-day EMA ($54.83), a drop to the critical support at $51 is possible. A break below this support will signal a possible change in trend but if the bulls buy the dip to this support, the pair might remain range-bound for a few more days. 

ADA/USD

Cardano (ADA) turned down from the $0.15–$0.1543051 resistance zone on Aug. 9, which shows that the bears are aggressively defending this zone. However, the upsloping moving averages suggest that the path of least resistance is to the upside.

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

If the ADA/USD pair rebounds off the 20-day EMA ($0.1379), the bulls will make one more attempt to scale the price above the zone. If they succeed, a rally to $0.173 and then to $0.20 is possible.

However, if the bears sink the price below the 20-day EMA, a drop to the $0.13 support is likely. A bounce off this support could keep the pair range-bound for a few more days. A break below $0.13 is likely to shift the advantage in favor of the bears with the next support at $0.12.

BNB/USD

Binance Coin (BNB) has been trading inside the tight range of $21.7628-$22.93 for the past three days, which shows uncertainty among the bulls and the bears about the next directional move. 

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

While the bulls are buying the dips to $21.7628, the bears are defending the overhead resistance at $22.93.

However, the moving averages are sloping up and the RSI remains in the positive zone, suggesting advantage to the bulls. If the bulls can push the price above $22.93, a move to $24.4588 and then to $27.1905 is possible.

Contrary to this assumption, if the bears sink the price below $21.7628, a drop to the 20-day EMA ($21) is likely. A break below this support will signal a possible change in trend.

CRO/USD

Crypto.com Coin (CRO) remains in an uptrend but it is facing resistance near the highs at $0.176596. Hence, it is likely to consolidate between $0.176596 and $0.154322 for a few days.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The RSI is showing signs of forming a bearish divergence, which indicates that the momentum is weakening. If the bears sink the price below the 20-day EMA ($0.159), it will indicate profit booking and a break below $0.154322 will shift the advantage in favor of the bears.

This assumption of a correction will be invalidated if the CRO/USD pair continues higher and breaks above $0.176596. Above this level, the next level to watch out for is $0.20.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Top 5 Cryptocurrencies to Watch This Week: BTC, ETH, XRP, XMR, XTZ

Bitcoin and most altcoins are likely to remain range-bound for a few more days before resuming the next leg of the up move.

The U.S. markets have rallied sharply from their March lows, led by the tech sector and Fed injections designed to hold up the ailing economy. 

Markets across the globe have also joined the party as a steady economic recovery from the coronavirus pandemic picks up steam. 

The fast-paced rally in global stock markets has pushed the Buffett Indicator into the bubble territory, which suggests that the markets might be overheated in the short-term.

Similarly, gold has seen a sharp rally in 2020 and last week the asset reached a new lifetime high. Silver also followed suit and is trading near multi-year highs. 

This suggests that traders have been diversifying their portfolio into various assets to protect against the debasing of fiat currencies.

Crypto market data daily view

Crypto market data daily view. Source: Coin360

These circumstances are also favorable for Bitcoin (BTC), which has rallied sharply from its March lows. 

However, the biggest cryptocurrency is trading well below its all-time highs, which signals that if the bullish trend continues then there is plenty of potential upside. 

Therefore, even if stocks and gold correct, Bitcoin could behave as an uncorrelated asset during that period. 

BTC/USD

The average directional index (ADX), a component of the directional movement indicator, is above 41, which suggests that Bitcoin is in a strong trend. The positive directional indicator (+DI) is above the negative directional indicator (-DI), indicating advantage to the bulls.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The bulls purchased the dip on Aug. 2 but they are facing resistance close to the overhead zone of $12,113.50–$12,304.37. The BTC/USD pair has formed a pennant, which usually acts as a continuation pattern.

A breakout and close (UTC time) above the pennant will be the first sign that bulls have gained the upper hand. The target objective of such a breakout is $14,756. However, as the overhead resistance of $12,304.37 is close by, traders can wait for the price to sustain above this level before turning positive.

The bears are likely to pose a challenge at $13,000 but that level is likely to be crossed. However, at $14,000 a minor consolidation or a correction is possible.

Contrary to this assumption, if the price dips below the pennant, a drop to the 20-day exponential moving average ($10,957) and then to $10,400 is possible. 

A break below this level will be the first sign that bears are making a comeback. If the $10,000 level cracks, the correction is likely to deepen.

BTC/USD 4-hour chart

BTC/USD 4-hour chart. Source: TradingView

The ADX on the 4-hour chart has dropped to 17.6 level and the +DI and -DI are close to each other, suggesting a range-bound action in the short-term.

A breakout and close (UTC time) above the pennant will signal strength. However, the bears are unlikely to give up without a fight. They will again attempt to stall the up move in the $12,113.50–$12,304.37 zone.

If the price turns down from this zone, a few days of range-bound action between $10,400 and $12,304.37 is possible. However, if the bulls drive the price above $12,304.37, the momentum is likely to pick up.

ETH/USD

Ether (ETH) is currently consolidating in a strong uptrend, with the ADX above 59 levels. The bulls have not allowed the price to dip below the $366 support, which shows that traders are not booking profits in a hurry.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

After the strong rally, if the ETH/USD pair does not give up ground, it is a sign that traders expect the uptrend to resume. In this case, a breakout and close above $415.634 will indicate the possible start of the next leg of the up move.

The first target to watch out on the upside is $480 and above it the rally can extend to $542. However, instead of the breakout, if the bears sink and sustain the price below $366, a drop to the 20-day EMA ($347) is possible. If the pair rebounds off this support, the bulls will attempt to resume the uptrend.

If the bears sink the price below the 20-day EMA, a drop to the next support at $320 is possible. 

The deeper the pullback, the longer time it will take for the next leg of the uptrend to begin. A break below $320 will indicate that the advantage is with the bears.

ETH/USD 4-hour chart

ETH/USD 4-hour chart. Source: TradingView

The 4-hour chart shows a symmetrical triangle formation, which generally acts as a continuation pattern. The ADX has dipped below 18 and the +DI and -DI are close to each other, suggesting a consolidation in the short-term.

If the bulls can push the price above the triangle, it will indicate strength but the momentum is likely to pick up only after the price sustains above $415.634. 

On the other hand, if the bears sink the price below the triangle, it will suggest profit booking by the bulls and will increase the possibility of a deeper correction.

XRP/USD

XRP started a strong up move from $0.194008 on July 21 that carried it to a high of $0.326113 on Aug. 2, which is a 68% rally within a short time. This has pushed the ADX close to 52 level, suggesting a strong trend. 

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

Currently, the XRP/USD pair is correcting the uptrend as short-term traders book profits. This could drag the price to $0.275649, which is the 38.2% Fibonacci retracement level of the most recent leg of the up move. Below this level, the next support is likely to be the 20-day EMA ($0.264).  

If the pair rebounds off either support, it will suggest that the bulls are buying the dips. If they can push the price above the flag, it will be the first sign that buyers have overpowered the sellers.

Above the flag, the first resistance could be $0.326113 and then $0.346727. If the bulls can propel the price above this zone, the momentum is likely to pick up. The next target to watch out for is $0.422. 

This bullish view will be invalidated if the bears sink the price below the flag. Such a move could signal a deeper correction.

XRP/USD 4-hour chart

XRP/USD 4-hour chart. Source: TradingView

The ADX on the 4-hour chart has dropped to about 21 level and the price is consolidating inside a symmetrical triangle, which suggests a balance between the bulls and the bears.

If the bulls can push the price above the triangle, a move to $0.326113 is possible. A break above this level might signal the resumption of the up move.

Conversely, if the bears sink the price below the triangle, a deeper correction to the 68.2% Fibonacci level of $0.244472 is possible.

A break below this support could result in a complete 100% retracement of the most recent leg of the up move, dragging the price down to $0.194008.

XMR/USD

Monero (XMR) hit an intraday high of $96.5594 on Aug.6, which met the target objective of $95 as suggested in an earlier analysis. The rally of the past few days has pushed the ADX to above 54 levels, which suggests a strong trend.

XMR/USD daily chart

XMR/USD daily chart. Source: TradingView

During two previous occasions (marked via ellipses on the chart) the XMR/USD pair had reversed direction from close to the $97.4615 level. Hence, the bears might again mount a strong defense at this resistance.

However, the pair has formed two successive inside day candlestick patterns in the past two days, which suggests uncertainty among the bulls and the bears about the next directional move.

A breakout and close (UTC time) above $97.4615 is likely to resume the uptrend. The next target objective is $121, with a minor resistance at $107, which is likely to be crossed. Traders can turn positive after the price sustains above $97.4615.

Conversely, if the bears sink the price below $90, a deeper correction to the 20-day EMA ($84) is possible.

VET/USD 4-hour chart

VET/USD 4-hour chart. Source: TradingView

The ADX on the 4-hour chart has dropped to below 15 levels, and the +DI and the -DI are close to each other, suggesting a balance between the bulls and the bears. The 20-EMA is also flattening out, which is another indication of a consolidation.

A breakout of $97.4615 will signal the likelihood of the start of the next leg of the uptrend while a break below $90 will indicate that the bears are making a comeback.

XTZ/USD

Tezos (XTZ) broke out of the $2.63–$3.25 range on Aug.8, which suggests that the bulls have overpowered the bears. The 20-day EMA ($3.08) is sloping up, which also suggests that the bulls have the upper hand.

XTZ/USD daily chart

XTZ/USD daily chart. Source: TradingView

If the bulls can sustain the price above $3.25, the next target objective is $3.87, which is just below the Feb. 19 highs of $3.97. The bears are likely to mount a stiff resistance at this level but if the bulls can scale the price above it, the momentum is likely to pick up.

Currently, the ADX is close to 18 levels, which suggests that the trend has still not picked up strength. The bears will make an attempt to drag the XTZ/USD pair back below $3.25. If they succeed, the pair could remain range-bound for a few more days.

XTZ/USD 4-hour chart

XTZ/USD 4-hour chart. Source: TradingView

The 4-hour chart shows that after two failed attempts, the bulls have finally managed to sustain the price above the range. The 20-EMA has turned up, which suggests that the bulls have the upper hand.

If the bulls purchase the retest of the $3.25 support, it will be a positive sign and will indicate that the sentiment is to buy the dips. A strong bounce off this support could offer a low-risk entry opportunity to the traders who are bullish.

Conversely, if the bears sink the price back below $3.25, then it will indicate that the current breakout was a bull trap.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Price Analysis 8/7: BTC, ETH, XRP, BCH, BSV, LTC, ADA, LINK, BNB, CRO

Bitcoin and altcoins might consolidate or correct marginally for a few days before a possible breakout to the upside.

The United States Federal Reserve has been contemplating a change in the way it responds to a possible increase in inflation. Previously, the Fed would kickstart tightening if its models forecast a 2% inflation increase. However, this time, the Fed wants to allow inflation to stay above its 2% target before raising rates. 

Morgan Creek’s Anthony Pompliano believes that due to Fed’s poor track record with inflation targets, it might end up stoking “inflation at the exact moment that they should be reigning it in.” Pompliano anticipates “real estate, gold, Bitcoin and stocks” to rally much higher than the current levels, with Bitcoin (BTC) rising the most.

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

This week, Real Vision founder and CEO Raoul Pal pointed out that Bitcoin was the only asset that has “offset the growth of the G4 balance sheet.” Therefore, Pal believes that Bitcoin might be the only asset worth owning in the long term.

Meanwhile, Pantera Capital founder Dan Morehead said that Bitcoin has grown at the rate of 209% annually for the past nine years. If it maintains this growth rate, it could reach $100,000 in about two years.

BTC/USD

After the up move on Aug. 5, Bitcoin formed a doji candlestick pattern on Aug. 6, which showed hesitation among the bulls. The failure of the bulls to push the price above $12,113.50 has resulted in profit booking by the short-term traders.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The bears will use the weakness to their advantage and attempt to sink the BTC/USD pair to the 20-day exponential moving average ($10,798). A strong bounce off this support will signal buying on dips and will increase the possibility of a break above $12,113.50.

However, a break below the 20-day exponential moving average (EMA) will indicate weakness and could drag the pair to the critical $10,400–$10,000 support zone. 

The bulls will attempt to defend this zone aggressively. A strong bounce off it could keep the pair range-bound between $10,400 and $12,113.50. The moving averages are sloping up, and the relative strength index (RSI) is close to the overbought zone, which suggests that bulls are in command.

ETH/USD

The rebound off the $366 support hit a resistance at $407.295. Ether (ETH) had formed an inside day candlestick pattern on Aug. 6, which suggested indecision among the bulls and the bears about the next directional move.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

This uncertainty has been resolved to the downside today, suggesting that the bears have overpowered the bulls. The first support on the downside is $366, and if it cracks, the correction can deepen to the 20-day EMA ($337).

If the ETH/USD pair rebounds off the 20-day EMA, it will be a positive sign, and the bulls will again attempt to resume the uptrend by pushing the price above the $415.634 resistance. Above this level, the next target to watch out for is $480.

However, if the 20-day EMA cracks, it will indicate that the bulls are not buying the dips. This could intensify selling and result in a drop to $300.

XRP/USD

XRP’s intraday range has been shrinking since Aug. 2, which suggests a lack of clarity among the bulls and the bears about the next likely move. This has formed a pennant, which is known to act as a continuation pattern.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

If the XRP/USD pair breaks out and sustains above the pennant, the bulls will try to push the price to $0.326113 and then to $0.346727. A break above this resistance will be a huge positive and could result in a move to $0.50.

However, the RSI is still above 78 levels, which suggests that the pair has run up sharply in the short term; hence, it might catch its breath for a few days. The bulls might face stiff resistance in the $0.326113–$0.346727 zone.

The pair will signal a deeper correction if the bears sink and sustain the price below the immediate support at $0.284584.

BCH/USD

After forming an inside day candlestick pattern for three successive days, Bitcoin Cash (BCH) broke above the immediate resistance at $304.79 on Aug. 6, which indicates that the bulls have overpowered the bears.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

The buyers will now try to push the price above the overhead resistance at $353. If they succeed, a rally to $400 is possible. The upsloping 20-day EMA ($279) and the RSI in the positive territory suggests that the bulls have the upper hand.

Contrary to this assumption, if the BCH/USD pair turns down from the $337.90–$353 resistance, a few more days of consolidation between $280 and $353 is likely. A break below $280 will tilt the advantage in favor of the bears.

BSV/USD

The bulls are attempting to push Bitcoin SV (BSV) to the overhead resistance at $260.86, but the move lacks momentum, which shows a lack of urgency among traders to buy at current levels.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

This sentiment could keep the BSV/USD pair stuck inside the $200–$260.86 range for a few days. The 20-day EMA ($213) is rising, and the RSI is in the positive zone, which suggests an advantage to the bulls.

If the bulls can propel the pair above $260.86, the uptrend is likely to start. The first target is $320, and then $382.47. This bullish view will be invalidated if the bears sink and sustain the pair below $227. Such a move will signal a lack of demand at higher levels.

LTC/USD

Litecoin (LTC) is likely to remain range-bound between $51 and $65.1573 for a few days. The bulls have been gradually pushing the price higher for the past few days, but without a pick up in momentum, a breakout above $65.1573 is unlikely. 

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

If the LTC/USD pair consolidates near the top of the range, it will indicate strength. The rising moving averages and the RSI in the positive territory suggest that bulls have the upper hand.

A break above $65.1573 is likely to start the next leg of the uptrend, with the target objective at $80. Contrary to the assumption, if the pair turns down and breaks below $55, a drop to $51 is possible. A break below this support will be a huge negative.

ADA/USD

Cardano (ADA) has repeatedly consolidated (marked as ellipses on the chart) after every sharp rally in this leg of the up move that started in mid-March. Following the surge on July 26 and 27, the altcoin has again entered a range.

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

The previous consolidation lasted for 15 days, while the current range is 11 days old. If history repeats itself, the bulls might attempt a breakout early next week.

If the bulls can sustain the price above the $0.15–$0.1543051 resistance, the uptrend is likely to resume with the next target objective at $0.173, and then $0.20.

This bullish view will be invalidated if the ADA/USD pair turns down from the current level and plummets below $0.13. 

LINK/USD

Chainlink's LINK corrected on Aug. 5, but the decline was shallow, and there was no follow up selling on Aug. 6. This attracted buyers because when the uptrend is strong, traders view every dip as a buying opportunity.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

However, the up move is again facing selling pressure today, which suggests profit-booking by traders. The RSI remains in a bearish divergence, which points to a weakening momentum and warns of a possible correction.

A break below $8.908 could intensify selling, and if the bears can sink the LINK/USD pair below the 20-day EMA ($8.35), the decline could extend to the 50-day simple moving average ($6.6).

On the other hand, if the bulls again buy the dips, the pair is likely to rally to its target objective of $11.

BNB/USD

Binance Coin (BNB) is facing resistance in the $22.93–$24.4588 zone, which indicates profit-booking by some short-term traders. However, the bulls have not given up much ground, which is a positive sign.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

If the bulls can push the BNB/USD pair above $23.54, a move to $24.4588 is likely. Above this level, the next target to watch out for is $27.1905. The upsloping moving averages and the RSI in the overbought territory suggest an advantage to the bulls.

Contrary to the assumption, if the bears sink the pair below $21.7628, a deeper correction to the 20-day EMA ($20.57) is possible. This is an important support to watch out for because if it cracks, a decline to $18.20 might be on the cards.

CRO/USD

The bulls purchased the dip to the 20-day EMA ($0.157) on Aug. 5, which is a positive sign. However, Crypto.com Coin (CRO) has not been able to pick up momentum following the rebound, which suggests some hesitation to buy at higher levels.

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

If the buyers fail to propel the CRO/USD pair above $0.176596, a few days of range-bound action is possible. The trend will turn in favor of the bears if the pair sustains below the 20-day EMA.

On the upside, a break above $0.176596 will signal resumption of the uptrend with a target objective of $0.20. The upsloping moving averages and the RSI in the positive territory suggest that bulls have the upper hand.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.

Price Analysis 8/5: BTC, ETH, XRP, BCH, BSV, LTC, ADA, BNB, LINK, CRO

If Bitcoin can reclaim the $12,200 level, several altcoins are likely to resume their uptrend.

Square’s Cash App product has generated $875 million in revenue from Bitcoin (BTC) trading in the second quarter of this year. This is a 600% increase over the comparable quarter in the previous year. This shows increased trader interest, which could have been spurred by the cash heavy “government stimulus programs.”

The recent breakout of Bitcoin above the $10,000–$10,500 zone could spark further interest among traders. Twitter personality Dave Portnoy has shown interest in knowing about Bitcoin trading from the Winklevoss twins. 

If Portnoy can influence his followers, then several new traders are likely to enter the crypto space. However, how many of them will stick around for the long-term is difficult to assess. 

Daily cryptocurrency market performance

Daily cryptocurrency market performance. Source: Coin360

The derivatives markets give a good insight into the expectations of the larger traders. Although the sharp drop in Bitcoin’s price on Aug. 2 led to liquidations in futures contracts worth over $1 billion, the open interest quickly recovered within 48 hours, suggesting strong accumulation at lower levels. 

While these are positive signs, Glassnode believes that a sharp reversal in the US stock markets could halt Bitcoin’s “bull run in its tracks.” 

BTC/USD

After forming an inside day candlestick pattern on Aug. 3 and 4, Bitcoin is attempting to resume its up move today, which suggests that the bulls have overpowered the bears.

BTC/USD daily chart

BTC/USD daily chart. Source: TradingView

The upsloping moving averages and the relative strength index in the overbought zone suggest that the bulls are in command. 

If the buyers can propel the BTC/USD pair above $12,113.50, the uptrend is likely to resume. The next target objective to watch on the upside is $13,000 and then $14,000. The bears are likely to defend the $14,000 levels aggressively, hence, a meaningful correction is possible at those levels.

Contrary to the assumption, if the pair turns down from the $12,113.50 resistance, it could enter a consolidation between $10,400–$12,113.50 for a few days. A break below $10,400 will be a huge negative as it is likely to catch several bulls off guard, resulting in liquidations of long positions. 

ETH/USD

Ether (ETH) has been sustaining above the $366 support and is attempting to gradually inch higher. If the bulls can propel the biggest altcoin above the $400–$415.634 resistance zone, a rally to $480 is possible.

ETH/USD daily chart

ETH/USD daily chart. Source: TradingView

Although the upsloping moving averages suggest an advantage for the bulls, the deeply overbought reading on the RSI warrants caution. 

The failure to break above the $415.634 level could attract profit booking by the short-term traders that could pull down the ETH/USD pair to $366 level. A break below this support will be the first sign that bears are making a comeback.

Below $366, the correction can extend to $346.857 and $325.612, which are 38.2% and 50% Fibonacci retracement levels of the most recent leg of the rally. A bounce from either support will be a positive sign as that will indicate buying interest at lower levels. However, if the bears sink the price below $304.367, a trend change is likely.

XRP/USD

XRP has formed successive inside day candlestick patterns on Aug. 3 and 4, suggesting indecision among the bulls and the bears. However, the bulls have kept the altcoin above the $0.284584 support since Aug. 2, indicating buying on dips.

XRP/USD daily chart

XRP/USD daily chart. Source: TradingView

Both moving averages are sloping up and the RSI is in the overbought territory, which suggests that the bulls are in command. If the bulls can push the price above $0.32, it will increase the possibility of a retest of the overhead resistance at $0.346727. 

Contrary to this assumption, if the XRP/USD pair sinks below $0.284584, it will indicate that the momentum has weakened. The next support to watch on the downside is the 20-day exponential moving average ($0.249). 

If the pair rebounds off this support, the bulls will again attempt to resume the uptrend. However, if the bears sink the price below the 20-day EMA, a deeper correction is likely.

BCH/USD

Bitcoin Cash (BCH) has been sustaining above the $280 support for the past two days, but the failure to rebound sharply from this level signals a lack of demand at higher levels.

BCH/USD daily chart

BCH/USD daily chart. Source: TradingView

The 20-day EMA ($272) is sloping up and the RSI is in the positive territory, which suggests that bulls have the upper hand. A break above the $305 level is likely to indicate that the up move has resumed. The next level to watch out for is $320 and then $353.

Conversely, if the bears sink the BCH/USD pair below $280 and the 20-day EMA, it will signal advantage to the bears.

BSV/USD

Bitcoin SV (BSV) has been oscillating around the $227 level for the past two days, which suggests that both the bulls and the bears are trying to establish their supremacy.

BSV/USD daily chart

BSV/USD daily chart. Source: TradingView

The 20-day EMA ($208.55) is sloping up and the RSI is in the positive territory, suggesting an advantage to the bulls. They will now try to carry the price to the overhead resistance at $260.86.

If the momentum picks up and the buyers are able to scale the BSV/USD pair above this resistance, a rally to $300 and then to $320 is likely. 

However, if the pair turns down from $260.86, the range-bound action is likely to extend for a few more days. A break below the 20-day EMA will signal weakness.

LTC/USD

Litecoin (LTC) has been trading in small ranges since the large outside day candlestick pattern on Aug. 2, which suggests a lack of clarity among the bulls and the bears about the next likely direction.

LTC/USD daily chart

LTC/USD daily chart. Source: TradingView

If the bulls push the price above $60, a retest of the $64–$65.1573 resistance zone is possible. A breakout of this zone will signal resumption of the uptrend. The next target objective on the upside is $75 and then $80.

The rising 20-day EMA ($53) and the RSI in the positive territory indicate that the bulls have the upper hand. 

Contrary to this assumption, if the LTC/USD pair breaks below $55, a drop to the critical support at $51 is possible. A break below this level will tilt the advantage in favor of the bears.

ADA/USD

Cardano (ADA) is currently consolidating between $0.13–$0.15 levels. Both moving averages are sloping up, which suggests that the trend is up.

ADA/USD daily chart

ADA/USD daily chart. Source: TradingView

If the bulls can propel the ADA/USD pair above the $0.15–$0.1543051 resistance zone, it will indicate that the bulls have absorbed the selling and have reasserted their dominance. The next target is $0.173 and then $0.20.

However, if the pair turns down from the overhead resistance zone, the range-bound action might extend for a few more days. A breakdown and close (UTC time) below $0.13 will signal weakness and can result in a deeper correction to $0.11.

BNB/USD

Binance Coin (BNB) is in an uptrend and the momentum has picked up in the past few days. The bulls have pushed the price above the $22.93 resistance, which indicates demand at higher levels.

BNB/USD daily chart

BNB/USD daily chart. Source: TradingView

The next level to watch out for is $24.4588 and if this resistance is also scaled, the rally can extend to $27.1905. Both moving averages are sloping up and the RSI is in the overbought zone, which shows that bulls are in command.

Contrary to this assumption, if the BNB/USD pair turns down from the $22.93–$24.4588 zone, it will suggest selling at higher levels. A break below the 20-day EMA ($20) could result in a deeper correction.

LINK/USD

Chainlink (LINK) surged on Aug. 3 and broke above the $8.908 resistance, which is a positive sign as it shows strong demand at higher levels.

LINK/USD daily chart

LINK/USD daily chart. Source: TradingView

Although the next target objective is at $11, the bears are currently attempting to stall the up move at $10. The moving averages are sloping up, indicating an advantage to the bulls. If the bulls buy the dip to $$8.908, that will increase the possibility of a resumption of the uptrend. 

However, the RSI is forming a bearish divergence, which warrants caution. If the bears sink the price below $8.908, a deeper correction to the 20-day EMA ($7.96) is possible.

CRO/USD

Crypto.com Coin (CRO) formed an outside day candlestick pattern on Aug. 2, which sometimes signals a reversal. That was followed by an inside day candlestick pattern on Aug. 3, which indicated that the bulls and the bears were indecisive about the next move. 

CRO/USD daily chart

CRO/USD daily chart. Source: TradingView

The bears sold aggressively on Aug. 4 and dragged the CRO/USD pair to the 20-day EMA ($0.155). The pair has not sustained below this support for more than a day since March 29, hence, the bulls are likely to defend it aggressively.

If the pair rebounds off the 20-day EMA aggressively, it will indicate that the bulls continue to buy the dips to this support. A break above $0.176596 will resume the uptrend.

Conversely, if the bears sink the price below the 20-day EMA, a deeper correction to the 50-day simple moving average ($0.139) is possible. 

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

Market data is provided by HitBTC exchange.