BTC/USD
The bulls on the BTC/USD pair have been able to put up a considerable resistance just above $30,000. Since nearing $28,000, the pair has managed to stay up, suggesting that a great deal of buying is going on at lower positions and demand meets supply levels almost equally.
As it stands the market still has its bearish sentiment and many altcoins attested to this over the weekend with most of the market taking a dip below the depths rejected on May19th. The BTC/USD pair was one of the few on the crypto market that didn’t follow this trend. However, most of the pairs seem to be shifting the sentiment to bullish with the resistance as the BTC/USD pair also climbed back to $40,000 and has been trying to stay range bound to form a resistance strong enough to force an upward breakout.
Analysts feel that the dip may be over and that the pair is only forming a W-shaped resistance at the level before another rally. To affirm this claim, data shows that FOMO has already set in for traders and most of them are panic-selling after buying in the $55,000 to $60,000 zone. A little over 1million BTC has been recorded so far sold in the $30,000 to $35,000 zone sold by this group of traders and guess who bought-up the sold bunch? That’s right, the Bitcoin whales have bought-up about the same amount so far at every step of the dip. When the market crashed further on May 19th, bitcoin whales having a minimum of 10,000 to 100,000 BTC in their possession collectively bought 122,588 BTC and crypto hedge funds weren’t left out.
The bulls have been buying the dip faithfully, and consequently we should see an effect to that on the short-term. If the demand eventually exceeds supply, we may be en-route to another relief rally.
Currently at $40,286.61 the pair made a doji candlestick pattern yesterday and started off positively today gaining as much as 5.2% in the last 24 hours. A ripple effect of the bulls fighting hard on May 24th to stay afloat by buying big on the dip.
If the bulls can keep the level above current downtrend line for long enough, this push could take the pair up to $42,000 just above the 200-day moving average ($41,853.34) that is already taking a flatter position. If this area is taken, then the next battle zone would be around the 20-day moving average ($44,119.24).
If the rally gets rejected close to the 20-day EMA then it will appear that sentiment is still very much with the bears and skepticism has kept traders selling at much higher levels. However, enough momentum would have been generated to keep prices between the $28,850 to $45,000 range for a while.
If however, the price is turned down before getting closer to the 20-day moving average then it means that traders are selling on any minor rally that is observed. This action could see the pair dip below the price depths of May 19th, and could possibly send it tumbling below $20,000.
Indicators
RSI is coming from an oversold position and may be in the best shape for a breakout rally soon enough. However, the bulls still have the advantage deep in their territory. MACD lines are negative and have been so for the past month, with the histogram reaching into the positive area for only the first 11 days of May.
ETH/USD
This pair was among the unlucky majority that dipped below the downtrend line set on May 19th ($1,850). The bulls bought long and rejected the dip just below the 200-day moving average ($1,844.22) at $1,730.00 and seems to have started a relief rally towards the 20-day moving average line ($2,947.38) which has already begun keeping a straight face from its recently downward thrust.
The pair may continue this rally as it has already gone over the 38.2% Fib retracement level that was set at $2,724.05 but not without stiff resistance from the bears at the 20-day moving average, where it’s quickly closing in on, just above the 50-day moving average almost in a bearish crossover with each other.
Currently trading at $2,854.95 the bulls are already giving a strong push from the early hours and aiming to get past both moving averages, if they can pull off this great show of strength, the relief rally may just be on point.
However, if prices get turned down from here, then corrections may continue. If there’s a breakout below $1,730.00 the next resistance to the bearish may come between $1,575.46 to $1,289
Indicators
Currently at 46.57, RSI reading has been unsteady between this point and 34. This signifies a power tussle between the bulls and the bears due to the bears always buying at lower levels. MACD histogram is negative with the moving averages trying to stay above -200. This shows advantage to the bears.
XRP/USD
The bulls on this pair have also rejected the 200-day moving average ($0.77) and look like resuming an upward trend towards the moving averages already at a crossover junction after a few consecutive days of dipping since May 19th.
The bears showed a surge of great strength and sank the pair to $0.65 on May 23rd before a relief set in. This goes to show that the bulls are also doing a lot of buying at lower levels and this is obvious by the long candle tails since May 19th. So far, the bulls have taken it above $1 and look like they may be onto a relief rally that will most likely be aiming at the moving averages ($1.19) for the next support range.
If the bulls can rally to the length of it, the bears will want to put up resistance around the moving averages and if the bears are successful, the price could drop back down to $0.82 and then $0.65.
If the reverse is the case and the bulls are able to get the price above the moving averages, the correction may be over and a close at that level should solidify it.
Indicators
RSI is at 41.59 and keeping a straight face. This means that the bulls are in control and also confirms the resistance forming on the chart. MACD is negative, the MACD and the signal lines moved below the middle about 5days ago, the histogram has been fluctuating there since April 19th.
BCH/USD
The pair witnessed a steep dip, touching below $400 twice in 5-days between May 19th to May 23rd. Falling from a 52-week high of $1,640, the bulls took as much as 71% loss between May 12th and May 23rd. Usually, such a loss will be followed by a quick relief rally. Are we going to experience a price pump anytime soon?
So far the bulls have been able to successfully take price level above the 200-day moving average ($638.24) and above $720.80. If the relief can go on to $852.53, the next aim is for the two moving averages already at a crossover junction ($911).
If they can go past here and stretch past the 38.2% Fib retracement level ($914.71) they should encounter stiff resistance from the bears and could be moving past this resistance to $1,100.
On the other hand, if the bulls are pulled down after reaching the 38.2% Fib retracement level then it could likely end up between there and $467.58 for a few days. A further decline and close below this level will solidify advantage for the bears.
Indicators
The RSI here shows a bit of indecisiveness between the bulls and the bears, although the depths show that the bears haven’t fully relinquished their upper hand advantage.
MACD is also negative here, with both moving averages moving at a quickly converging pace.
LTC/USD
The LTC/USD pair has taken one of the worst hits of the Five pairs reviewed today. Having gone some extent below its 200-day moving average, the coin quickly bounced off from $118.25 on May 23rd and seems to be setting up for a long relief rally provided the bulls can sustain the value above $187.75 and close above $230.75. This should signify a strong advantage to the bulls.
With the 20-day moving average ($238.70) still keeping a downward slope and the position of RSI line, it’s deducible that the bears are very much in control of things. If the current resistance fails to hold, the bears will try taking the price further down again to $118.25 from where it could drop between $95 and $80 if demand still doesn’t meet supply.
However, if the bulls move above the diverging moving averages, and close at a position up there, a show of strength could send the rally to the 61.8% retracement level just above $300.
Indicators
RSI indicates that the bears are having an upper-hand, with the value at 41.12. Coming from a lower position of 30.24, the bulls also seem to be giving a tougher resistance at lower levels indicating that they are indeed buying. MACD histogram is also negative as it has been since May 13th but seems to be getting weaker in this region.
Correlation
BTC/ETH : 0.88, BTC/XRP : 0.86, BTC/BCH : 0.86, BTC/LTC : 0.90
The pairs all seem to be putting up a stiff resistance for the bears across markets, while sharing a close correlation to BTC’s price movement. If the Bitcoin bulls are able to pull off a relief rally, then Ether and other altcoins on this list are very likely to follow suit since the similarities in price movement is far from dislodged.
Litecoin shares the closest figures, and likewise looking at the chart and RSI reading this asset could very well get a boost, along with Bitcoin, from getting too close to the oversold line. Judging from the long wicks at the tail of bearish candles on both markets, the bulls may be able to see to this.
Ether, Ripple and BitcoinCash will also get a good dose of the Ripple effect of whatever happens in the next few days.
Key Notes
- BTC is at $40,286.61 and looking to close above $41,853.34 to solidify the relief rally.
- ETH is currently at $2,854.95 and should face resistance at the 20-day moving average.
- XRP has climbed above $1 and may be stuck at the moving averages for a while.
- BCH is currently at $766.02 and fighting off resistance.
- LTC is at $201.26 and will likely imitate the BTC price movement.
