BTC/USD
The BTC/USD pair experienced a steep dip on May 19th that sent it tumbling below $40,000 (USD). The pair slid as low as $30,066 but was quickly pushed back by the bulls faithfully buying on the dip at every chance. However, the correction doesn't seem to be over yet as the bears have continued pushing further down while the bulls try desperately to flip a resistance but not just enough buyers to convince the market yet, although data from Chainalysis shows that bitcoin whales are still on the bullish train and have stacked up to 34,000 BTC altogether through May 18th and 19th alone.
As for the other (non-whale and probably) investors, there seems to be an uncertainty on where next the market will tilt to. Most crypto noobs who were already losing faith at the initial slight dips may as well be selling off now thereby fueling the bearish market, and also giving more room for long holders to buy.
From the long tails at the end of the red candles, the bulls seem to have continued buying on the dip even after it hit $30,000 but always make lesser impact as many traders begin selling the highs not long after they set in. This pattern seems to be reoccurring for a few days and may turn to resistance and eventually a breakout.
The 20-day moving average ($45,055.20) is still keeping a steep downward slope that shows the bears are running the show. The RSI levels also confirm this.
Currently trading at $35,208.15 as at the time of writing, the pair looks most likely to break downwards and drop all the way to $28,850 before further resistance. However, if the pair should bounce off from this support level, the bulls could strengthen and go all the way up to $42,500 before facing strong resistance. If the bulls keep pushing the momentum, they could solidify above $50,000 and try to secure the moving averages whereas any further dip below the $28,000 mark may drag the pair below $20,000.
Indicators
Since May 17th, the RSI trend has stayed in the overbought section for 5 out of 8 days. Dropping all the way to this level may incite a rebound when traders start buying in mass to gain on the dip.
MACD is in the negative section and has already created a downward converging trend with the moving averages.
ETH/USD
The ETH/USD pair has touched below $2,000 twice in the past 5 days. The first time was on May 19th, when the pair bounced off from $1,850.06 and again on May 23rd when it touched $1,730.00 after the bulls failed to sustain the rebound above the 50-day moving average($2,799.98).
The 20-day moving average($2,971.44) has formed a downward slope showing that the bulls have the advantage and taking the stiff resistance to a lower level.
As at the time of writing, the pair is at $2,150.50 and seems to be responding positively to the long wicks (buying on the dip) from yesterday's red candle. If the price breaks above this level, the bulls may push onwards to reset the 20-day moving average and probably surpass it. Consolidation at this point means that we may be done with the correction for a while.
However, it is possible that the resistant bears could pull the price below $2,000 once more and possibly see $1,500 to $1,200 if the bulls fail to give a matching challenge.
Indicators
RSI has been crashing down from deep inside the overbought section since May 12th and rapidly too. The bulls have only been able to change the direction for a day followed by further correction. This indicates that there is still demand on the dip but supply is always more.
MACD is negative and both moving averages look to be converging in the same direction.
XRP/USD
The bulls on this pair were unable to successfully defend the 20-day moving average at $1.22 after falling from $1.65 on May 19th and it has dropped further down towards $0.65 with the bulls still buying the dip as seen from the long tail wicks. There is certainly some level of demand, but apparently supply still outweighs.
If the pair keeps reaching for lower levels, the next resistance from the bulls should come around $0.56. Looking at the position of the RSI and how the moving averages are shaping up, the bears still seem to be creating the waves, for now.
If the bulls put on a good show, the pair could possibly rebound from $0.56 and try getting up to $0.88 once more, and then from there they could aim at $1.26 and try to solidify their grip around this area while facing stiff resistance. If they can get through to $1.70 then the bulls are in the clear to be in control for a while longer.
Indicators
Currently at 34.31, the RSI level has been falling gradually with a series of uptrends only lasting a few days.
MACD histogram has been fluctuating in the negative since May 7th and the moving averages are converging downwards.
BCH/USD
The bulls on the BCH/USD pair have been unable to reclaim their lost territory or even get up to the 38% Fib retracement level ($918.58). So far the pair is still trying to stay above $468.02, with the bulls buying considerably on the dip and failing to hold on at higher levels when the supply starts rising.
The candlesticks keep reaching deeper, and the 20-day moving average ($941.17) has also turned a downward slope like many other altcoins. This means that the bears are in charge.
Currently trading at $632.64 at the time of writing, the pair is most likely to reach a lower dip level of $473.84 if traders continue panic-selling due to the FOMO. If the downtrend continues from the support between $473.84 and $442.96 then the bears are likely to take their correction rally all the way to $370 and lower.
However, if the pair continues upward from the green candlestick already forming today then it means the bulls have continued buying faithfully but they won't be certain of a stronger push unless the price levels break and consolidate above resistance at $940. If the bulls can get their rally above the 20-day moving average that should be a positive sign.
Indicators
The RSI for this pair is struggling to stay above the overbought region after a steep fall but it also made an upward turn today. MACD has been negative for the past 11 days and only looked to slow down today which shows that the bears are in the driver's seat but the bulls are buying the dip.
LTC/USD
Currently trading at $168.35, the LTC/USD pair has been trying to create a relief rally with little to no success trying to go past resistance. From the look of it, the bears are surely fighting hard, if not harder, to create a resistance and resume the downtrend soon enough.
The bears already tanked the price lower than $166.56 and this means bad for the pair. It could possibly drop down to $143 if the bulls don't hold up well. But if they do, the price could possibly go up to $224.85 and stay range bound for a few days.
If the bulls continue from $224.85 and are able to keep the price there for a while they may breakout towards the 20-day moving average ($247.19) and may naturally remain there for a while. If the pair faces resistance and turns back, there is still a good chance that it may bounce off the support line of the wedge and if this happens, the bears may have run out of gas.
Indicators
RSI is close to being oversold although it started facing upward today just bouncing off from 30.24 yesterday This is another strong indication of the bears gaining power. MACD is negative. The histogram seems to be getting stronger in that zone, and its moving averages are converging south bound.
Correlation
ETH/BTC: 0.90, XRP/BTC: 0.86, BCH/BTC: 0.88, LTC/BTC: 0.85
The downtrend on the market is still very much in motion after getting stronger mid-week, last week, but the bulls seem to still have a good chance at regaining their stand on top. If the buying that we've seen so far continues getting stronger then why not? But the real question is; will the bulls keep buying long enough to force another rally?
The correlations with Bitcoin’s price movement have been really close and the market reflects that too. Coins like BTC and LTC are looking most likely for a higher pump in the short run as both RSI’s have touched or got past the oversold boundaries. We can only watch and see what will happen to the crypto market through the week.
Key Notes
- BTC may have a pump from $35,208.15 likely in the short term.
- ETH bulls are looking to keep the price at $2,150.50
- LTC may proceed after BTC pumps.
- XRP and BCH bulls have a lot of work to keep price levels at $0.87 and $632.64 respectively.
