fbpx

News

Bitcoin, ETH and XRP lead the market in retreat on Wednesday

The crypto currency market has been bullish for the past 48 hours. However, gains related mainly to the improvement of the technical picture across the board, however, were unsustainable. Most analysts believe that because of the low volume, the breakthrough on Monday and Tuesday cannot be contained. And that’s why the market is sliding back into the red this morning, led by the first three crypto currencies – Bitcoin, Ethereum and Ripple.

Bitcoin dominance continues to decline, giving the Altcoins more breathing space

Bitcoin has dropped 2.71% in the last 24 hours. Yesterday, the price suddenly retreated from the high around $ 8,500. The negative price action continued in the Asian session today, with BTC touching the intraday low of $ 8,154.6 for the moment. The main crypto currency will have to go back above the morning high at $ 8,327.4 to support the rally to the nearest resistance of $ 8,350. A clear breakout above this level will open the door to the bulls for re-testing $ 8,500.

At the beginning of the month, the total market capitalization of cryptos fell from a peak on Monday of $ 226.12 billion to the bottom of $ 219.94 billion. At the time of my writing, the total capitalization of the crypto market was $ 221.15 billion. And the moderate loss of Bitcoin yesterday led to a slight increase in its dominance. At the time of writing, the dominance of BTC is 67.8%.

In October, the next key period for Bitcoin and the crypto market will be in the middle of the month. This is the SEC’s deadline for approving or rejecting the Bitwise Asset Management’s Bitcoin ETF proposal.

Daily technical analysis of Stellar Lumen and Tron

For the remaining 10 crypto currencies, Tuesday ended mostly in red. Stellar and Ripple led the way down, sliding 5.4% and 4.76% respectively.

Stellar (XLM), which intends to remove its inflation function in the upcoming upgrade, has been struggling to keep its gains from the last 7 days. The coin rose by a modest 5.33% last week and was trading at around $ 0.060 at the time of publication.

The digital currency will have to break through this level in order to keep the upside momentum to the first resistance at $ 0.06222 (yesterday’s high). In the case of a broad-based rebound in the market, the $ 0.06505 level could be back in the game before we see any pullback. If the price fails to move well above 0.0600, we can see Stellar Lumen struggle throughout the day with testing of $ 0.05657 support.

Similarly, Tron (TRX) continued its bearish sentiment today as it dropped from $ 0.0148 to the intraday bottom of $ 0.0137. The daily chart shows us that the market found strong resistance around $ 0.0185 (double high since September) and support in the area at $ 0.0116. The MACD indicator, however, signals a reversal of momentum from the bearish to bullish. Immediate resistance is the 50-day Simple Moving Average (localized at 0.0160). There is also a downside trend line on the daily chart. A clear break above this area will be required to confirm the bullish momentum.

 

 

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.

Read More

There is a risk of an increasing the decline of Stellar Lumen

On Wednesday morning all Altcoins are down. Total market capitalization dropped to $ 184 billion, down from $ 189 billion on Tuesday. The average daily trading volume of the crypto market is about $ 54 billion.

Binance has confirmed a security breach, resulting in a loss of 7,000 BTC to the tune of $ 40.7 million. This news put the crypto market under pressure, although the reaction was less severe than could have been expected. At least for now.

Long-term prospects remain positive for Bitcoin

While the short-term momentum is dominated by panic and fear caused by the news of Binance hack, the long-term outlook remains positive. The technical and fundamental picture suggests that the largest digital coin has reached a medium-term bottom. Now we have to see if Bitcoin is ready for a long bullish recovery.

This week, growth rates have allowed it to reach $ 5,800, which was an important support at the end of 2017. And that’s a good bullish signal. From the point of the technical analysis, there is not significant resistance Bitcoin faces on the way to $ 6,050 – $ 6,250.

The reason for the recent growth may be rumors that the world’s largest investment company Fidelity with assets worth $ 7 trillion will launch crypto trading services for institutional investors with a focus on Bitcoin. The company has not yet confirmed this directly, but has recently conducted a survey among 400 institutional investors. The survey showed that half of respondents want to invest in digital assets.

And after a series of rumors, Facebook finally confirmed its work on a digital asset payment system under the name of Project Libra. Facebook plans to release its digital coin with a full ecosystem. Although the creation of a coin may be technologically insignificant, the inclusion of partners and merchants is a completely different issue. Facebook has used its influence to attract merchants and financial companies, as well as to seek partnerships with VISA and Mastercard to achieve a comprehensive payment system.

Stellar Lumen is under strong pressure against the dollar, Bitcoin and Ethereum

Bitcoin remained unchanged while most of the top-20 Altcoins suffered losses. While Binance Coin (BNB), Cosmos (ATOM), Monero (XMR) and Cardano (ADA) are among the biggest losers, the price of Stellar Lumen failed to hold above the $ 0.1040 resistance and fell against the USD.

Last week, Stellar Lumen tested support $ 0.0955 and rebounded after the BTC’s rise. The price even broke above $ 0.0980 and the 55-day SMA (4-hour chart). Finally, there was a break above $ 0.1000. But the price has not managed to close above $ 0.1040. More importantly, we have a downside trend line, located around $ 0.0993 on the 4-hour chart. The same trend line was acting as a strong barrier for bulls in many cases, and prevented upside breakthroughs.

So the intraday signals remain bearish. On the downside, the next key support and bearish goal is $ 0.0900. A clear break below it could lead the price to $ 0.0850. On the other hand, if the price goes up, it will again test the levels $ 0.0980 and $ 0.0990. But a clear break above $ 0.1000 and a 55-day SMA (0.0990 per 4 hours) is needed to see an increase in the upside momentum for retesting 1.1042.

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.

Read More
Top