Bitcoin / US Dollar
The price remained relatively high today, as it didn't correct immediately after reaching a new all-time high level. The price fell during today's first hours to $26,000, showing that some investors liquidated their positions after the all-time high. This is something normal to happen as a portion of the investing community has a sustainable investing strategy that indicates a partial liquidation of an asset each time that it reaches a new all-time high level.
This will be repeated in the future every time that a new all-time high level is reached but it could be beneficial for Bitcoin's price as the less "believers" are making an exit and leave the stronger "believers" to hold their positions, to aim for higher levels. The price didn't slip further and remained around $26,900, looking to establish another support level in this zone for future use.
The most likely scenario to happen now is the price to sustain some stable days before determining the next move in the market. A bullish move will create more hype in the market and create more fans among investors while a bearish move will trace the price to lower support levels, where there is more market depth to absorb the trend.
The trading volumes have been sustained at high levels, showing that there is still a game between buyers and sellers while the moving averages are moving continuously in bullish positions.
In the short-term diagram, we can observe that the price is moving above $18,000 for the entire 3 weeks, showing that the market depth is becoming more and more a serious variable to take into consideration as there will be less and fewer investors that will be willing to liquidate their positions if a bearish move starts to take place.
Indicators
MACD index has been in the positive field for the last 2 weeks, indicating the market momentum has not been halted while the RSI index has been placed in the "sell" area, trying to tell us that the asset is overvalued.
Ethereum / US Dollar
Ethereum stayed in the same levels as yesterday, landing at $730. This move shows us that its correlation with Bitcoin could become even stronger, moving, or staying in the same direction as the market leader. As we can see from the diagram below, the price corrected in the early hours, reaching $690 but it rebounded back to the previous day's levels. This means as we say in Bitcoin's case, that a part of investors was happy with the accumulated return that they achieve and want to claim their profits.
The ultimate goal for Ethereum in the current situation will be the $1,000 point, which is close to its all-time high level. Reaching this point will enable the coin to stand out and achieve its independence for Bitcoin that makes it stand at a different dynamics level than before.
The trading volumes have surged during the previous days, making Ethereum claim a portion of the inflow capital in the crypto market. The moving averages continue to stay close but there is an established difference between them.
Indicators
MACD index moved stronger today, showing that the increasing market momentum can drive the price higher. The RSI index has almost touched the "dangerous" zone, showing that the price surge intensity might not last for long.
Ripple / US Dollar
Ripple, as the true contrarian in the crypto market, fell, even more, today, landing at $0.20. This was the worst-case scenario for Ripple as it didn't even hold its stability level around $0.25. Of course, this might be an overreaction of the market in the bearish formation but we could not be sure about it until the trend settles down and there is more calmness in the market.
As we saw, the price continued to drop during the last days, giving a completely different approach in the crypto market, which has been on continuous growth. This means that Ripple has not been affected anymore by the market dynamics but rather by its fundamental elements. One of that was the SEC charges against its founders regarding the illegal stock issue and financing. This was a strong-bad omen for the coin's future as it could lead to its removal from several trusted crypto exchanges and lose its value.
We don't know for how long this trend will continue but there is a certainty in the market that it could provide more value in its holders if there is a need for more fundamental value in it. If Ripple manages to get away from this story, there would be another move in the market that will bring another result in the Ripple market.
The trading volumes are surging during the last days, indicating that there is a massive sell-off in the market while the moving averages have been positioned at bearish directions that will make the market to lower levels.
Indicators
MACD index continues to drop every day, making the market momentum to drop even more. The RSI index has reached the "buy" zone, indicating that there is a chance for stopping the bearish trend and start to accumulate a capital from "sharks" in the market.
Litecoin / US Dollar
The price remained on the same level, around $130, showing reflexes on the Bitcoin's moves. The volatility on these levels has reached high levels, indicating that many investors are entering and exiting the market, trying to buy and sell at their optimal prices.
Litecoin has the best relationship with Bitcoin, making the market to follow Bitcoin loyally and creating value for its investors. The recent uptrend made the market to absorb this dynamic and create better returns for its investors.
The trading volumes have been at high levels, indicating that there is a war between buyers and sellers that try to find better returns in the market. The moving averages have been positioned in the bullish direction, indicating that there are better conditions in the market for the next period.
Indicators
MACD index has been moving in the positive field for the last weeks, indicating that there is more momentum than could work positively in the market. The RSI index has been moving in the value = 65, showing that there is more room in the market for further uptrend.
Bitcoin Cash / US Dollar
The price returned to the resistance level of $350, leading to another round of volatility that could work positively with the investors. Bitcoin Cash has shown several ups and downs during the last months and has attracted mostly day-traders that want to get involved in the daily trading life and exploit its weaknesses.
Bitcoin Cash has grown in "waves", indicating that there is more to done to establish a sustainable growth trend in the next wave. The trading volumes have grown since the last month that fuels the volatility in the current situation while the moving averages are still at bullish positioning.
Indicators
MACD index moved even higher today, indicating that there is more momentum in the market at this moment. The RSI index moved at value = 60, indicating a positive outlook for the next period.
Correlations
Bitcoin / Ethereum = 0.86 ( 0 ), Bitcoin / Ripple = - 0.70 (- 0.04), Bitcoin / Litecoin = 0.98 (- 0.01), Bitcoin / Bitcoin Cash = 0.87 ( 0 )
All correlation coefficients remained on the same spot as yesterday, showing that the market has achieved a certain level of integration that will allow it to move faster in case of a sudden reversal. This also means that any investor could diversify his portfolio according to its needs with similar assets that offer him a stability and predictable mood. Ethereum and Bitcoin Cash have remained at strong levels while Litecoin has been completely correlated with Bitcoin's moves. On the other hand, Ripple has moved even more at negative values, as its price moved at lower levels.
Key Notes For Today
Bitcoin remained on the same spot today, landing at $26,900
Ethereum lands at $730
Ripple dropped even more at $0.20
Litecoin reaches $130 with extended volatility
Bitcoin Cash dropped in the resistance level at $350
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Remitano. Every investment and trading move involves risk, you should conduct your own research when making a decision.
