The BTC/USD pair has been fluctuating between $58,966 and both moving averages for a few days, having a series of inconsistent spikes and corrections. This moment of instability is brought about as the bulls and the bears tussle for who will have a favourable shift in the balance. Should this power tussle fall in favour of the bears, the pair could witness a possible drop in price to about $52,323 or less. What should follow will be a strong resistance from the bulls and if they come out on top this time around then the pair will stay range bound for a few days, somewhere above $52,300 and below $58,966.
If this balance should tilt in favour of the bulls then they may likely keep the price level above $58,900, and possibly resume an upward trend towards the inviting All-Time High(ATH) of $64,849 attained by the pair on April 14th.
The 20-day moving average ($56,312) has been quite unstable, but seems to be gradually rising from April 28th.
This, and the RSI at midpoint suggests a balance in the market’s demand and supply. A breakout from the current resistance level will give the pair an upward boost to attain the bullish projection above but the bears on the other hand would rather go for a deeper correction if the pair should break below $52,323. This could incite fear in traders and provoke panic-selling.
Indicators
RSI is still climbing back up at 46.53 which is not far from the midpoint, this shows a bit of balance between demand and supply, but sentiment may be in favour of the bears. MACD remains positive but a bit weak, with divergent moving averages.
ETH/USD
The ETH/USD pair has kept pushing on and leading a front for other altcoins over the past few days. After continuing from the Doji pattern formed on May 9th, the bulls dominated once again and went on to attain a new ATH ($4,356.99) that also saw the RSI move into the overbought section (81.94).
Ether’s market dominance has also gone over 19% as it casually surpassed the $4,000 mark on Monday May 10th. Although the bulls are currently facing some resistance above this mark, they will be looking to continue their run with sentiment in their favour.
ETH/USDT daily chart. Source: TradingView
The bulls have been taking the pair’s trend on a mostly unbothered rally since April 25th when it broke above resistance at $2,235. Following the usual trend, this rally is most likely to continue above $4,500, and probably reach $5,000 where it may continue, being fueled by traders’ Fear Of Missing Out until after the last bull has bought.
However, a correction from the current range lasting more than a few days will mean that the bullish momentum is going away, and we could expect to see a break below the 20-day moving average ($3,336.91).Followed by a deeper correction.
Indicators
RSI is almost at 82 and seems to be climbing higher in the overbought section. This will likely lead to a sharp correction anytime soon, but the bulls look strong enough to hold on at resistance. MACD lines are convergent and moving in the same direction.
XRP/USD
The XRP/USD pair has been having a quite unstable run above its 20-day moving average level. The pair was able to breakout from below this point on April 26th and has since retested these levels 5 times over, while rebounding strongly each time only to face more resistance. This is probably pointing to the possibility of traders selling off their long positions on the rally.
XRP/USDT daily chart. Source: TradingView
In order to get the price back to its 52-week high of $1.96, the bulls will have to do a lot of buying at the current levels to combat the bearish resistance just above the 20-day Moving average ($1.44). For this projection to come about, the bulls will have to push and sustain price above $1.66.
With the 20-day EMA gradually going higher, the bulls look likely on the right of sentiment. They have somehow managed to keep the moving average higher than it was on April 14th. The RSI reading also rising at the midpoint suggests that the bulls may be regaining the advantage.
This advantage can only play out well if the pair doesn’t tumble below the 20-day moving average. If this happens then we may as well see the bulls pushing further down to capture the 50-day moving average ($1.23).
Indicators
RSI is at 50, which complements the chart readings of a possible power tussle between the bulls and bears to an extent. MACD lines are convergent towards the same direction in the negative area. The histogram isn’t very different.
LTC/USD
Just like on the ETH/USD pair, the bulls on this pair have been giving it a quite smooth upward journey over the past few days since it bounced off from its 20-day moving averages on April 30th. Some other altcoins like ADA also caught the wave and rose to a new All-Time High ($413.60). This goes to show that what the bulls on ETH/USD are doing is propagating a rally on many altcoins.
The LTC/USD pair was able to rise above resistance on May 9th only to fall short to a correction on May 10th soon as it got to its new ATH. The long candle wicks suggest that bulls are closing positions at higher levels. The bulls have been trying to pull back, but at the time of writing, the bulls have still not been able to go past $394.33.
LTC/USDT daily chart. Source: TradingView
From all indications, the bulls are buying on every minor dip and trying pretty hard to keep the price above the breakout level ($334). If the bulls can keep this momentum going long enough, they may surpass the ATH once again and face their next resistance around $460 from where they should be marching on to $500 if they can flip to support.
However, if the pair goes below resistance once more they may experience a more rigid pull below the 20-day moving average ($317.42). At the 20-day EMA area, if the sentiment still favours the bulls then we should witness a sharp rebound but if the bears are strong enough we may see the pair drop below the support line of the resultant wedge.
Indicators
The RSI is at 68 coming down from the overbought section and tilted downwards showing that the bulls are putting on quite a show, enough to stall the bulls. MACD is in the positive area with both moving averages keeping their upward slope.
BCH/USD
The BCH/USD pair was facing some resistance trying to climb over its 52-week high ($1,600.89) of April 6th, but it eventually did so in the early hours of today. The pair was quickly shot down, but the bulls are putting on enough resistance to regain the reign. If the pair’s value falls below $1,400 then we could possibly see it going below $1,263 where it may remain for a few days.
BCH/USDT daily chart. Source: TradingView
If the pair should break below current resistance level then it may likely continue below the 20-day moving average in favour of the bears. However, this projection is looking unlikely because the RSI is hanging just close to the edge of the “Safe zone” and threatening to break into the overbought section.
This should suggest that sentiment is on the side of the bulls and moving to the upside should have less resistance. This is a bit evident looking at the number, and length of green candlesticks on the chart.
If the pair should continue above $1,642 the bulls may just have enough momentum to push above $2,147 with the next phase in the uptrend. The pair is currently still over $2,000 shy of its ATH but this could as well be the beginning of another eventful journey, so long as BTC and ETH are able to maintain their positions owing to their market influence.
Indicators
RSI is at 63.98 which indicates to an extent that the bulls are in charge. However, having climbed down from the overbought section at 77.86, the bulls look like they are experiencing a natural bearish resistance.
Correlations
ETH/BTC : 0.74, XRP/BTC : 0.72, LTC/BTC : 0.61, BCH/BTC : 0.79
The bulls on the ETH/USD pair are pulling a lot of altcoins along on their rally. Tokens like ADA and LTC are also riding the wave just as good, while attaining new All-Time Highs of their own. Bitcoin Cash investors are having a great week, after receiving returns on investment up to 55.5% in the past 7days and over 100% in the past 30days.
Ether has the second highest weekly gains on the list with a 7day roi of 31.6% and 98.7% for the month. BTC is still having a hard time climbing over $59,000 and consequently its 30day roi is at -5.0%, having turned in profit of about 5.5% for late investors over the past 14days. LTC and XRP bulls are also having a good week while giving late 7day investors a profit of 22.6% and 9.6% respectively. The assets have all managed to remain above both moving averages and the sentiment currently seems to be in favour of the bulls across market charts experiencing resistance.
Key Notes
- Bitcoin has not been able to drive it's trend back into the $60,000 range but the odds are still pretty much in the balance.
- Ethereum seems to be enjoying a smooth rally and the bulls aren't showing any signs of slowing down.
- Litecoin, Ripple and Bitcoin Cash, with other altcoins seem to be getting pulled along on Ether's run. Litecoin and Cardano have been able to achieve new All-Time Highs in the process.
