Bitcoin / US Dollar
Price Analysis
The support level at $ 8,600 holds for the last days, making every Bitcoin investor relieved for the moment. We can observe that Bitcoin's price is moving in parallel with the x-axis, a signal of absorbing power for the future. The ascending period was followed from a stability period, showing no evidence of continuing the bullish moves.
The waiting period can't last long as the power absorption will be released in both directions, depending on the fundamentals which will follow the trend. Regarding the technical signals, there is the "Triple Bottom" signal, which formed around $ 8,600 and $ 8,800. The "Triple Bottom" signal is considered to be a bullish signal as the support level is tested three times and gives power to the price for another bullish run.
A bullish move is always accompanied by a surging volume to break past resistances, formed in previous periods.
In the short-term diagram, the parallel moves continue between the boundaries of $ 8,600 and $ 10,000. We can observe again the "Triple Bottom" signal, testing the $ 8,600 support level, after we could not achieve to break the $ 10,000 resistance. We expect an uptrend move in the next days between the boundaries unless there is a fundamental news story that will shock the market.
Indicators
MACD index is moving on the negative side at -125, showing that Bitcoin's momentum is negative and the market is not going along with it. The negative values since early-May have created a negative momentum for Bitcoin, showing that the stability might discourage investors from buying larger amounts of Bitcoin for their portfolios. In parallel, the RSI index is in the middle between the boundaries at 52, showing a stabilized market during the last week.
Ethereum / US Dollar
Price Analysis
Similar stability can be observed in the Ethereum market as the price is moving between the parallel channels from $ 200 to $ 220. The absorption is a standing signal for many trading assets and that works sometimes for cryptocurrencies also. Although, in this case, we should be very careful due to the limited independence of Ethereum regarding its price. In previous articles, we have highlighted the importance of the correlation between Ethereum's and Bitcoin's price.
The correlation between Bitcoin and other cryptos is severe and shapes the entire market. This feature means that many cryptos, including Ethereum, may remain stable for several days or weeks and don't move unless there is a trend forming in Bitcoin. In this case, we should wait for a similar event to happen in Bitcoin to see Ethereum's price to climb or soar, according to the event.
We should highlight the lack of proper volume for a decisive move in any direction.
Indicators
MACD index moved to the negative area, roaming to lower points, showing relative stability in the last days. RSI index is near 50 again, showing no signal for clear moves in the future.
