After bouncing on the $30,000 support level, Bitcoin's price continues to grow above this level, reaching the previous compression level around $36,500 and breaking it, landing at $38,000. This can be considered as a decisive move
We can observe that there are two major points in the current point that could shape the market at sufficient time.
The first compression point lays around $36,500 when the price starts to fall from the $41,000 all-time high level and tries to find support zones for not letting the price slip further. This point will function as a future reference point for the next bullish market that will try to establish a higher all-time price level.
The second compression point lays above the $30,000 support level where it was the turning point for the current trend. The $30,000 support level was strong enough to absorb any kind of bearish trends that were to deploy in the current market development. We have highlighted in previous times in these articles, the specific support level was particularly strong, as many institutional investors have entered the market at this point and only small Bitcoin quantities were going to turn into cash. This position could be proved as the major support point for the future market formation and the bullish trend sustainability.
If the trend is supported by more trading volumes, we believe that there would be a new resistance level around $41,000 the current all-time high level, where the new battle will begin. At every resistance level, the break will come from a sharp move. We will see what will bring the market to new high levels.
The trading volumes have moved at higher values, following the new bullish wave while the moving averages have made a turn towards a bullish potential.
In the short-term diagram, we can observe that the compression has moved at higher levels, indicating that a long-term trend will try to be established in the next period. During 2020, the bullish trend had begun since March, giving 2020 a bullish vision for the future. 2021 has been found with an all-time high level but the trend should bring more added value to sustain this trend.
Indicators
MACD index is moving positively but remains on the negative side, showing that there is still a way for a new bullish trend. The RSI index moved above value = 60, passing on the positive momentum side, with a more positive outlook than before.
Ethereum is touching its all-time high level, around $1,420, bringing new bullish waves in the market. Comparing with Bitcoin, Ethereum has not correct majorly in the current situation. The bullish trend has not so much halted in Ethereum's case, showing that the market has sustained a vibrant momentum, looking for higher levels soon.
We expect a new all-time high level during the next days or within the day as the positive momentum shows no stop at this point while the investors are looking for better returns in the market. At this moment, Ethereum has proved that it can achieve better returns than any other coin in the market, especially in the short-term horizon.
This short-term bullish option is driving Ethereum's price independently from the main trend in the crypto market and attracts short-term traders that are ready to exploit every single move from it. After the new all-time high level, we expect more resistance from the market structure but a new era will shine for the second-largest crypto coin.
The trading volumes have been sustained at high levels, confirming the bullish attitude while the moving averages are at bullish positions.
Indicators
MACD index is just below the zero lines, indicating that a new high level will make the positive momentum return in the charts. The RSI index moved around value = 60, indicating that the market has moved in the positive field.
Even if Ripple has moved at a stable mode for the last month due to fundamental issues with its founders, the price is making baby steps in the diagram. The price rose from $0.25 to $0.28 - $0.29, creating a small profit margin for holders that were willing to buy around $0.20.
The $0.20 point was crucial for Ripple's market structure as the support level brought relative stability in the market and let the market growth until now, capitalizing on the uptrend momentum that surrounds the market. The trading volumes have made a small spike, indicating that there are more possibilities for a positive outcome in the future. The moving averages are at a bearish position and only a decisive move will bring a turn in the market formation.
Indicators
MACD index never passed on the negative side and starts to grow during the last days while the RSI moved around value = 50, showing that the price won't move in the next days.
Litecoin has followed the major trend in the market, shaping a loyal depiction of the Bitcoin market. The price bounced at $125, near the $130 support level, and surges at $145. The bullish prospects are not heavy as there is no sustainable growth in the market.
The bullish trend has been halted for long ago, indicating that the market will try to make another move towards the upper trend. The stable model has been formed at a negative trend and the price will try to recover in the next few days. We expect the same positioning in the next period with Bitcoin.
The trading volumes have been sustained at the same levels during the last period while the moving averages are close to making a positive move again, for crossing at a positive rate this time.
Indicators
MACD index is trying to move on the positive side, increasing its value and trying to make market momentum work on its side. The RSI index moved between values 50 and 55, showing that the price will remain stable with a positive outlook in the market.
The bearish trend has been halted in the Bitcoin Cash market, touching the $380 point, which wasn't a previous support level. This means that the overall market trend surpassed the technical features and delivers these standards in the price formation.
The same scenario is evident in the Litecoin market, indicating that the two altcoins will follow Bitcoin in any trend that will be shaped shortly. The price has bounced back from $380 to $430, creating the first step for a new trend, that might be more long-lived than the recent bouncebacks.
The trading volumes have risen during the last days, showing that investors have returned in the market while the moving averages have been established at a bearish position and the two lines are far from each other.
Indicators
MACD index has moved positively but it remains on the negative side while the RSI index moved around value = 50, indicating that the price will be sustained on the same levels for the next days.
Correlations
Bitcoin / Ethereum = 0 (+ 0.09), Bitcoin / Ripple = 0.83 (- 0.06), Bitcoin / Litecoin = 0.80 (-0.09), Bitcoin / Bitcoin Cash = 0.80 (+ 0.05)
The correlations have reached a new status in the current situation with Litecoin and Bitcoin Cash to follow loyally any move from the market leader, creating a strong correlation zone between them, while Ripple appears to be strongly correlated with Bitcoin, but this seems to be unrelated with the real situation. The real situation in the Ripple market remains fragile and any new development in the legal spectrum will change Ripple's outlook for the future. On the other hand, Ethereum has remained on zero regarding the correlation, showing that the coin is trying to move in an independent state which will enable to bring new all-time high levels in the market.
Bitcoin is making a positive turn in the market, bouncing on the $30,000 support level and reaching $38,000 in just a few days
Ethereum reached its all-time high level at $1,400 and hopes for a new one in the next few days
Ripple is making small steps at $0.28 to $0.29
Litecoin is making a comeback at $145
Bitcoin Cash is making a comeback at $430
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.
