- BTC/USD continues within its comfortable range, isolated from market noise.
- ETH/BTC relaxes after a few positive days while retaining upside potential.
- XRP/USD barely suffers falls and presents its candidacy to lead the next movement.
It dawns in Europe with red as the dominant color on the Crypto board.
Today's excuse is the activity detected in a sleeping wallet that was activated in August and that, with an estimated value of $850 Million, would be making transfers to Binance and other exchanges of more than $100 million. If this is the reason for the decline, the day that the whales, the great ones, release what they carry, this market is going to fall in one go. Let's hope none of them need cash.
As we discussed in yesterday’s technical analysis, an expected day of falls do not change anything more than the mood of traders. It is possible that doubts have appeared in many minds and triggered impulsive operations. That's what it's all about. The market, all the markets, where masses with different thoughts converge, generate this kind of doubting movements that serve to clear the board of doubting hands.
If no trader had doubts and ended up reacting to them, the market would only react at key levels, sleeping the rest of the time. But that is not the case. The average trader is greatly influenced by intermediate movements and makes decisions without any technical basis that prevent him or her from executing a statistically correct trading plan. The professional trader knows how to profit from it and plays against it.
The technical highlights of the day are given in the ETH/BTC. On Sunday, the pair reached the bearish trend line that has governed the movement since July 17. And it turned down yesterday opening a possible continuation of the Ethereum's depreciation against Bitcoin.
The monthly chart remains strongly bearish for the Ether. On the daily chart, the momentum is bullish, with a technical target at the price level of 0.045 ETH/BTC. It is now at the 0.031 level, so the Ether's appreciation potential against Bitcoin is around 40%.
The BTC/USD is currently trading at the $6,266 price level after leaving yesterday's low of just $6,206 in price congestion support.
Above the current price, the first resistance is at the price level of $6.438 (EMA50). The next resistance level is at the top of the range at $6,567. Overcoming this resistance would give a strong bullish signal, which would be confirmed if a third resistance level of $6.602 (SMA100) and $6.627 (SMA200) were breached.
Below the current price, the first support at the $6,206 price level (yesterday's low and price congestion support). If this level is forcefully lost, we will note a change to the scenario to one of bearish continuity. The alarm level is $6,114 (month lows) and the confirmation level is $5,890 (August lows).
The MACD at 240-Min continues to be cut down into negative territory. The pattern of perforations of the line of 0 in the MACD in the Crypto market begins to be recurrent. The pattern is open but with a statistical advantage for the side of the bulls.
The DMI at 240-Min shows the bears in advantage but it is losing strength. On the other hand, the bulls slightly increase their activity but not significantly. The distance between the D- and the ADX line gives room for the continuity of a bearish environment.
The ETH/USD is currently trading at the $200 price level after leaving the recent low of $192.
Above the current price, the first resistance is at $210 (EMA50) which if exceeded would leave the recent range at a maximum of $210 (congestion resistance and SMA100) as the next target. In case the ETH/USD manages to overcome this second resistance, there is clean space up to $255, where the SMA200 awaits.
Below the current price, the first support for ETH/USD is at $194.6 (price congestion support). If this price level is lost, the next key level is at $166 (annual lows) and as the third support level at $156 (price congestion support) and a key level for a change of the scenario to a bearish continuity one.
The MACD at 240-Min continues to be cut down and below the signal line at level 0. The drawing is somewhat more aggressive than in the case of the BTC/USD and the probabilities of new rises increase.
The DMI at 240-Min also shows the bears in control, but very close to the ADX line, so a low cut is very possible and would indicate a downward decrease. The bears react slightly but don't seem to be in a hurry to take control again.
The XRP/USD is currently trading at the $0.272 price level after leaving recent highs marginally above $0.28. Ripple is holding up very well on this downtrend and maintains a fairly positive technical side. An inverted, somewhat deformed S-H-S appears to be forming.
Above the current price, the first resistance is at the price level of $0.278 (EMA50). The next resistance level at $0.29 (EMA200). Above this price, resistance is at $0.296 (price congestion resistance). The SMA100 moves above the SMA200. It also passes in the BTC/USD but only just.
Below the current price, the first support is at the $0.27 price level (price congestion support). Second support at $0.257 (price congestion support). The key support level is at $0.25 (relative minimum).
The MACD 240-Min is slightly crossed downwards with little inclination. It moves above the 0 line. The outlook is much more positive than Bitcoin or Ethereum.
The DMI at 240-Min shows the bears in control, although decreasing their strength progressively. Of course, the bulls recover and are about to surpass the ADX, which would give a signal of the end of the price weakness. The ADX remains below 20 and therefore does not give any category of the trend to the bearish movement.
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