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Ethereum (ETH) Gaining Momentum, the $ 200 level seems inevitable

The major crypto currencies retreat

The cryptocurrency market on Wednesday is characterized by both red and green signals. Leading the retracement are the three major crypto currencies Bitcoin, Ethereum and Ripple.

Bitcoin stepped back, shifting the focus back to $ 9,000 after failing to break the $ 9,500 resistance yesterday.

Ethereum, on the other hand, first fell against the background of shrinking volatility. The price was struggling to keep above the $ 190 support, but the bears found a way to lower the price to $ 187 (current market value).

 

China encourages blockchain embracement

Earlier this week, the overall capitalization of the crypto market peaked at $ 257.76 billion on Monday. However, on Tuesday, the market capitalization of crypto currencies dropped again to below $ 250 billion before finding support. At the time of writing, total market capitalization is $ 251.85 billion.

While Bitcoin dominance has maintained steady levels of 67% since Monday’s pullback, trading volumes fell back to sub-$ 100 billion levels.

On the news front, reports from China that EOS and Tron coming out as top-ranked blockchain projects delivered strong support. The Ministry of Industry has published a chart that has garnered more attention than usual. Interest emerged following the recent support for blockchain technology by Chinese President Xi Jinping.

Other notable representatives in China’s top 10 blockchain include Ethereum ranked 3rd and Stellar’s Lumen ranked 10th. Bitcoin came in at number 11.

 

Ethereum continues trending in an upward channel against the dollar

Ethereum formed a double bottom in the support area of ​​$ 150-163, within the formation of a falling wedge. This double bottom model led to a strong jump in volumes, after which the price bounce and continued to fluctuate around $ 185.

Currently, the ETH/USD daily chart is moving in an upside price channel. This Wednesday, the price is trading near the high of $ 191 and will have to break the resistance at $ 193 to continue the positive momentum. This is a crucial area, as we see in the history of the chart. During the first part of 2019, the $ 185-190 area remained strong resistance before the breakthrough in May.

In the case of a broad-based crypto market rebound, Ethereum can test the second major resistance level at $ 203. The MACD indicator shows an increase in the upward momentum.

In the coming weeks and months, it will be crucial to see some continuation to the upside for more confirmation. However, it’s unlikely to expect a drop below the $ 155 area after the last rebound upwards.

Because Ether (ETH) is the largest altcoin, its chart shows a model identical to the movements in the overall market capitalization of the Altcoins. Therefore, note that Ethereum can also be described as a leading indicator of future movements of the Altcoins.

 

 

Author: Silviya Velcheva


* The views expressed in this material do not constitute a recommendation or advice for the purchase or sale of cryptocurrencies in the digital assets market or other financial instruments. The predicted forecasts meet the expectations of the author of the material and may not materialize. Trading in currencies, contracts for differences on margin or cryptocurrencies poses a high risk and may not be suitable for all investors. Past results are not a guarantee of future success.

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Tuesday showed a bloody bath for crypto currencies

The crypto currency market crashes massively a day after Bakkt Bitcoin Futures trading debut

Bitcoin dropped more than 13% on Wednesday in the Asian session and fell below $ 9,000 for the first time since mid-June. The crypto currency dropped more than 20% to $ 8,110.1 in the previous session. This is the largest intraday decline since January 2018.

The rest of the market, including the major Altcoins, followed Bitcoin with its own measure of the downfall. Bitcoin Cash ABC (-25%), Bitcoin Cash SV (-22.84%) and EOS (-25.09%) saw the biggest losses of the day. Ripple’s XRP (-12.85%) saw the most modest loss of the day.

The lackluster start of long-awaited Bitcoin futures and the general mood to avoid risk were cited as possible catalyst for the meltdown. Weakening investor sentiment and declining equity markets are also putting pressure on Bitcoin. Wall Street closed lower at night. And Asian stock markets traded mostly in the red today amid political concerns in the US and intensifying US-China trade disputes.

The disaster came just a day after Bitcoin Futures, which are physically settled, launched on the ICE-backed Bakkt exchange. But the new futures contract had a drab start. However, the daily volume is expected to increase over time as institutional investors are still accustomed to the new trading service.

 

The LTC/USD bulls are trying to re-enter the area at $ 60

Litecoin crashed 16.5% on Tuesday. Following Monday’s 8% drop, Litecoin closed the day at $ 55.22. Following the broader crypto currencies market, Litecoin jumped from its low $ 55.22 earlier this morning and peaked at $ 57.66.

For the day ahead, Litecoin will have to break above the lower limit of Bolinger Bands at $ 59. This is needed in order to keep the positive momentum to the first major resistance at $ 60.

The Relative Strength Index of the daily chart is trying to get out of the oversold zone. This means that the digital asset has been extremely sold out and the reversal is imminent. But it may take some time for it to materialize. Litecoin will need support from the wider market to break the $ 60 level.

In addition, the MACD indicator is deep in the negative area. The negative divergence on the H4 chart emphasizes the presence of sales pressure. At the same time, the correction of the 50-day SMA to the 100-day SMA at $ 71.99 suggests that downside consolidation will dominate before we can see a significant reversal.

Failure to move through to $ 59 level, could see Litecoin take another tumble. A clear break below the morning low $ 55.22 would bring a further decline for test $ 53 before a possible recovery.

 

Author: Silviya Velcheva


* The views expressed in this material do not constitute a recommendation or advice for the purchase or sale of cryptocurrencies in the digital assets market or other financial instruments. The predicted forecasts meet the expectations of the author of the material and may not materialize. Trading in currencies, contracts for differences on margin or cryptocurrencies poses a high risk and may not be suitable for all investors. Past results are not a guarantee of future success.

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Tuesday showed a bloody bath for crypto currencies

The crypto currency market crashes massively a day after Bakkt Bitcoin Futures trading debut

Bitcoin dropped more than 13% on Wednesday in the Asian session and fell below $ 9,000 for the first time since mid-June. The crypto currency dropped more than 20% to $ 8,110.1 in the previous session, the largest intraday decline since January 2018.

The rest of the market, including the major Altcoins, followed Bitcoin with its own measure of the downfall. Bitcoin Cash ABC (-25%), Bitcoin Cash SV (-22.84%) and EOS (-25.09%) saw the biggest losses of the day. Ripple’s XRP (-12.85%) saw the most modest loss of the day.

The lackluster start of long-awaited Bitcoin futures and the general mood to avoid risk were cited as possible catalyst for the meltdown. Weakening investor sentiment and declining equity markets are also putting pressure on Bitcoin. Wall Street closed lower at night and Asian stock markets traded mostly in the red today amid political concerns in the US and intensifying US-China trade disputes.

The disaster came just a day after Bitcoin Futures, which are physically settled, launched on the ICE-backed Bakkt exchange. But the new futures contract had a drab start. However, the daily volume is expected to increase over time as institutional investors are still accustomed to the new trading service.

 

The LTC/USD bulls are trying to re-enter the area at $ 60

Litecoin crashed 16.5% on Tuesday. Following Monday’s 8% drop, Litecoin closed the day at $ 55.22. Following the broader crypto currencies market, Litecoin jumped from its low $ 55.22 earlier this morning and peaked at $ 57.66.

For the day ahead, Litecoin will have to break above the lower limit of Bolinger Bands at $ 59 to keep the positive momentum to the first major resistance level at $ 60.

The Relative Strength Index (RSI) of the daily chart is trying to get out of the oversold zone. This means that the digital asset has been extremely sold out and the reversal is imminent, but it may take some time for it to materialize. Litecoin will need support from the wider market to break the $ 60 level.

In addition, the MACD indicator is deep in the negative area. The negative divergence on the H4 chart emphasizes the presence of sales pressure. At the same time, the correction of the 50-day SMA to the 100-day SMA at $ 71.99 suggests that downside consolidation will dominate before we can see a significant reversal.

Failure to move through to $ 59 level, could see Litecoin take another tumble. A clear break below the morning low $ 55.22 would bring a further decline for testing $ 53 support before a possible recovery.

 

Author: Silviya Velcheva


* The views expressed in this material do not constitute a recommendation or advice for the purchase or sale of cryptocurrencies in the digital assets market or other financial instruments. The predicted forecasts meet the expectations of the author of the material and may not materialize. Trading in currencies, contracts for differences on margin or cryptocurrencies poses a high risk and may not be suitable for all investors. Past results are not a guarantee of future success.

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Will the autumn be hot for the crypto currencies?

Will the Autumn Be Hot for the Crypto currencies: Looking for Bears, May be?

The traditionally holiday August month was not at all quiet in the crypto currency market. But the crypto market performed relatively well over the past month. The positive price action came after Bitcoin was able to prevent a potential drop below $ 9,000, finding support above $ 9,300. The entire market capitalization of crypto currencies responded positively, posting an impressive correction from values ​​below $ 250 billion to highs above $ 278 billion.

And with the beginning of September, we also saw another crazy week during which Bitcoin jumped 6.63%. Once again, we had comments from central bankers and exchanges. Bitcoin is currently taking the lion’s share of the market capitalization. Its market dominance is steadily increasing, reaching levels above 70%. The main digital coin is now struggling with very strong resistance and, at the same time, a psychological level at $ 10,000. Since the end of the bear market in August, Bitcoin has made a pretty big recovery in a relatively short period of time. So, it is not surprising that we are now seeing a process of consolidation.

At the same time, the altcoins attract a more ambiguous reaction. In this sector there are many more so-called “sad bears.” This weekend showed a very unexpected jump in Altcoins prices: at one point they were apparently rising as Bitcoin was falling. That is why today I would like to draw your attention to them and what we should keep in mind as autumn approaches.

 

What problems do Altcoins face?

Altcoins have always been more volatile. In a short period of time, newly created assets generate huge profits, with increases of 1,000 or even 10,000 times occurring within weeks or even days.

But in 2019, the altcoins seemed to have lost their luster – and in most cases they could even be considered as no-go assets. The first reason is that volumes continue to decline and with a few exceptions, the Altcoins market is in decline. Altcoin price has returned to levels from before the big rally in 2017, while Bitcoin market cap dominance is now over 70%. This once again establishes a more traditional relationship between BTC and Altcoins.

For most Altcoins, the combination of delisting and reduced interest resulted in almost insignificant trading volumes. Only a handful of coins receive inflows from Tether markets and these coins manage to retain some of the 2019 profits.

There is no way also to ignore the strict regulations. For years, the crypto currency market has been free to all. This allowed the creation of coins and tokens with extremely creative economic models. But regulators started to take notice and monitor assets that can be considered unregistered securities. Stock exchanges quickly noticed the worsening climate and began to pruning their choice of altcoins. The loss of interest from Korean investors also hurt some of the coins, which had previously enjoyed fairly active trading at a premium.

And let’s not forget that all eyes are on the price of BTC, which is still at a crossroads and yet to go through a dramatic rally. If that happens, some Altcoins may also spark optimism and be appreciate on the back of BTC. But since the leading coin is still struggling with the $ 10,000 level, there is enough uncertainty that makes buyers more reluctant to touch the Altcoins.

Another factor I would like to highlight is the change in the profile of crypto traders. In the past, there were periods of hyper activity that attracted new enthusiasts to the crypto space. But as search engine statistics show, the wider public is no longer so interested. Now the crypto space is made mostly of insiders and they are more skeptical of big promises.

In conclusion, I can only say that, despite all the aforementioned factors, many new projects are emerging on the crypto currency market every day. That’s why I think the autumn for cryptos will be quite “hot” and the picture can change quickly. So, follow our next technical analysis to keep update with the latest developments in the crypto currency market.

 

Author: Silviya Velcheva


* The views expressed in this material do not constitute a recommendation or advice for the purchase or sale of cryptocurrencies in the digital assets market or other financial instruments. The predicted forecasts meet the expectations of the author of the material and may not materialize. Trading in currencies, contracts for differences on margin or cryptocurrencies poses a high risk and may not be suitable for all investors. Past results are not a guarantee of future success.

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