- Last-minute falls open up new scenarios.
- Some indicators are at extremes and this may indicate a possible turn.
- Ethereum benefits from an exhausted Bitcoin.
A new day starts in old Europe and does so with significant technical novelties and a bit of price action. After weeks locked into a narrow range, XRP pierces support and widens the intraday range seeking the next level of support in the lower part of the range seen in February.
Regarding Bittion and Ethereum, both move down although Bitcoin does it with higher intensity and as a consequence, the market's leading pair, the ETH/BTC, improves its position. I remind everybody that it is a necessary condition to see a bullish market. Ethereum has to do it relatively better than Bitcoin. Without that condition, there is no bull market.
ETH/BTC 240 Minute Chart
The ETH/BTC crypto cross is currently trading at the 0.034 price level, up from yesterday's low of 0.0336. The technical scenario for ETH/BTC worsened at the end of last week with the loss of the parallel bullish line that had governed its price since the beginning of the year. Now, this trend line is approaching in its bullish trajectory to the price congestion resistance at 0.035.
To further complicate matters, moving averages are just above the price and together form a very robust resistance zone.
-636891946826625585.png)
The MACD on the 4-hour chart shows an interesting profile. The bullish influence of this configuration is small but can project over time with a fractal structure. It transmits the impact to higher time ranges.
The DMI on the 4-hour chart shows bears dominating the market. The bulls moved yesterday below the ADX line, which leads me to wonder if the current situation of weakness can lengthen for a couple of weeks.
Do you want to know more about my technical setup?
BTC/USD 240 Minute Chart
BTC/USD is currently trading at the $3,907 price level after yesterday's session low of $3,858. Bitcoin is flirting with danger at the border marked by the SMA200 at $3,888. A solid close below would bring the price below $3,700 in a few hours.
Above the current price, BTC/USD encounters a strong confluence that reaches $3,960. To achieve that price level, Bitcoin should first pass the SMA100 by $3,993 and then the EMA50 and a congestion resistance of the price around $3,955. The second resistance level is at the price level of $4,000 (price congestion resistance), then the third resistance level is at $4,050 (price congestion resistance).
Below the current price, the first support level for BTC/USD is the most important one. It consists of a small confluence of the SMA200 and a congestion support price of $3,900. The second support level is at $3,700 (price congestion support), then the third support level is at $3,600 (price congestion support).
The MACD on the 4-hour chart, show downward slopes and the lines that make it up separate and indicate that the movement may have a time path. Only an upward crossing in the next few hours would prevent the bearish movement from evolving.
The DMI on the 4-hour chart shows bears leading the market, although at somewhat extreme levels that limit durability over time.
ETH/USD 240 Minute Chart
ETH/USD is currently trading at the $134 price level. The Ethereum is holding up very well against the bearish movement that began yesterday. It didn't even reach the first support level in the drop.
Above the current price, the first resistance level is formed by the three moving averages, with the EMA50 and the SMA100 at the price level of $136.6 and the SMA200 at $137.8. The second resistance level is at the price level of $142 (price congestion resistance), so the third resistance level for the ETH/USD pair is at $151 (price congestion resistance).
Below the current price, the first support level is at the $130.5 price level (price congestion support). The second support level for ETH/USD is at $120 (price congestion support), and the third support level is at $115 (price congestion support).
-636891948399730853.png)
The MACD on the 4-hour chart shows a slight downtrend that is flattening out during the European morning. The opening between the lines is small, and it is possible that a bullish cross will occur as the price improves.
The DMI on the 4-hour chart shows bears in control of the situation, although losing strength in the last few hours. The bulls are at minimum levels after drilling down the ADX line yesterday. This crossing opens the door to a medium-term bearish scenario.
XRP/USD 240 Minute Chart
XRP/USD is currently trading at the $0.300 price level after hitting a low of $0.298 on Monday. This level is at the lower part of the lateral range that encloses the price of the XRP since the beginning of February.
Above the current price, the first resistance level is formed by a confluence starting at the price level of $0.308 (price congestion resistance), continuing at $0.3102 (EMA50), followed by the SMA100 at $0.313 and the SMA200 at $0.315. To complete the confluence, a price congestion resistance of $0.3175. The second resistance level for the XRP/USD pair is at $0.328 (price congestion resistance), while the third resistance level is $0.0335 (price congestion resistance).
Below the current price, the first support level is at $0.294 (price congestion support). So, the second support level for XRP/USD is $0.288 (price congestion support), and the third support level is at $0.285 (price congestion support).
-636891949065661383.png)
The MACD on the 4-hour chart shows a bearish profile, but the small opening between the lines limits the potential of the trend.
The DMI on the 4-hour chart shows an exciting pattern. The bears maintain control of the market but are below the ADX line, which weakens the structure. If we add to this configuration the bearish extreme reached by the bulls, we can open a bullish rebound scenario that can be violent.
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