Bitcoin / US Dollar
Bitcoin's price made more bullish progress during the weekend, passing from $18,300 to $18,600, setting investors' minds at ease over the weekend. As the price continues to progress during the last days, we see that the immediate goal of $20,000 is becoming more and more a foreseeable reality. The price will be reached sometime in the future, probably before 2021, as the market continues to grow and create more and more profits for investors.
As we will see in the next paragraphs, the altcoins gained huge profits during the weekend, a move that might lead to a new wave of bullish trends and actions. The new bullish actions might be fueled by the "alt-season" profits, which are usually re-invested in the Bitcoin market. We saw that Bitcoin made a bullish market, similar to 2017, which lead to a delayed bullish market for the majority of the altcoin market.
The delay in the altcoin market is a usual phenomenon as most investors want to change investments to achieve better results on the returns' side. In the crypto case, Bitcoin investments have better returns in the long-term run, which creates surpluses in several cases. Those surpluses need to be invested in the meantime to optimize their returns. The most often scenario is that the surpluses are invested in altcoins, creating more demand for them and shaping the "alt-season" effect.
As we can see in the diagram below, the trading volumes are at a high level during the last days, while the moving averages continue to rise at parallel positions.
In the short-term diagram, we can observe that the bullish market has not stopped since the previous month, showing that there are no brakes in the Bitcoin market at this moment. We believe that Bitcoin will finally reach $20,000 and then we will talk about its future and potential growth or decline.
Indicators
MACD index continued to surge during Saturday while the index made small progress on Sunday and Monday, showing that market momentum has made some impact on the price formation. On the other hand, the RSI index moved at value = 80, which means that the asset is considered "overvalued" for a long time now, making investors think twice about Bitcoin's bullish longevity.
Ethereum / US Dollar
Ethereum made another bullish move during the weekend, reaching $600. This means that the last week was a normal week for Ethereum, which achieved to bring itself in the bullish rails, breaking the $500 point. In just three days, the price reached $600, a $100 surge which depicts a 20 % rise in this short-term period.
The standing point for Ethereum was around $500 and a little below that, creating a 2020 resistance high level. This means that the price entered a new phase, where the next goal remains the $1,000 point, which is near the all-time high level for it. We expect this to happen if there is a coordination between fundamental events (the Ethereum 2.0 launch) and technical signals (the continuation of the bullish market period). At this point, we expect the price to continue growing as long as the bullish trend continues but the price will probably collapse in case of a reverse trend as the price has no support levels at these price levels.
The trading volumes surged during the weekend, showing that the investors' interest grows back while the moving averages surged in parallel positions.
Indicators
MACD index made an impressive surge during the last four days, showing that the market momentum has made its work while the RSI index reaches value = 80, showing that there is an "overvalued" asset in the market.
Ripple / US Dollar
The most impressive surge in the last weekend was definitely made from Ripple. The price went from $0.30 to $0.50, a 65 % surge during just three days. The resistance level at $0.30 was really strong during the previous period, making the entire Ripple market to force more stability towards this point. The $0.30 point was the 2020 high level and the price was found at a crossroad, where it could go up creating a new 2020 high level or it would go down, letting the price go in the same loop.
At this moment, Ripple is floating in new levels where there is nothing certain to be projected in the current situation. We feel that the surge will continue as the market continues to grow and the correction will bring the price to the previous 2020 high level. The trading volumes made the largest action for 2020, showing that the market had a lot to give after the price compression while the moving averages are in parallel position for now.
Indicators
MACD index moved in an uptrend for the fifth day in a row, shaping the market momentum at this moment while the RSI index moved nearly to value = 90, indicating that the price is moving at "overvalued" fields, expecting a major correction in the next period.
Litecoin / US Dollar
Litecoin made some progress also, landing just below at $90. The price had experienced more volatility during the weekend when the price tried to reach $90 and traced back to $80 and then again surged towards $90. This volatility is more than welcome in the Litecoin market as the lack of fundamentals is making the market more fragile in the next steps.
At this moment, Litecoin has grown during the last period, creating resistance and support levels. The two support levels around $75 and $85 will be useful in the future when the bearish move starts to deploy its dynamics in the market. The price will probably follow the rest of the market in the bullish trend and will trace back when it is over.
The trading volumes continued to surge during the last days, creating more and more boost during this period while the moving averages are still at parallel positioning.
Indicators
MACD index decreased during the last two days but there is a lot of surge during the last week, which sustained a positive outlook for this period. The RSI index passed also in the "sell" area, where most cryptocurrencies are in the same position.
Bitcoin Cash / US Dollar
Bitcoin Cash surpassed the $300 point last Saturday, making the asset to join the bullish trend, which has abandoned a couple of weeks ago. Then, some analysts believe that Bitcoin Cash will never recover from its situation but the general bullish mood in the market finally got it.
The market instantly corrected after passing the $300 but today the price returned again at $300. We believe that bullish adoption will be much slower in Bitcoin Cash's case as proven in the past with similar situations. Also, Bitcoin Cash has not reached the 2020 high level (the only cryptocurrency from the major coins), which means that it is still on the road to achieving that. The trading volumes spiked through the weekend but they return to normal levels today. The moving averages are still close but they seem to diverge from each other in the upcoming days.
Indicators
MACD index continues to grow for the third consecutive day, creating a more positive mood in the market while the RSI index moved to value = 65, showing that there is more room for the price to grow.
Correlations
Bitcoin / Ethereum = 0.86 (- 0.05), Bitcoin / Ripple = 0.81 (- 0.14), Bitcoin / Litecoin = 0.96 (+ 0.03), Bitcoin / Bitcoin Cash = 0.57 (+ 0.72)
The correlations went in mixed directions as the majority of altcoins grow up in different paces and rates during the last days. As the Bitcoin price starts to grow at a slower pace, Ethereum and Ripple achieved far faster and better growth, leading to a decrease in their correlation between them. On the other hand, Litecoin made another positive jump in the correlation chart, as the price made more progress during the weekend. Last but not least, Bitcoin Cash made a tremendous reversal during the last days, passing from negative correlation to "medium" positive correlation, as the price made the move along the rest of the market.
Key Notes For Today
Bitcoin made small progress from $18,300 to $18,600
New 2020 high levels for Ethereum at $600, Ripple at $0.50, and Litecoin at $89
Bitcoin Cash broke the $300 level
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.
