Bitcoin / US Dollar
Price Analysis
Price Analysis: The Market Remained at High Levels, Will This Continue for Long Time?
Bitcoin's price remained over $13,000 during the weekend, creating a stability outlook at this level, which is a positive signal as many analysts believe that the price will immediately correct, before forming enough market depth at this point. The mediocre increase of the price at his levels, with limited trading volume, shows that some investors came for the second time and try to invest in the bullish curve, creating new prospects for the Bitcoin market.
The bullish market is highly unlikely to continue at this pace to grow during the next days as the "fuel" in the market seems to get less and less. The most possible scenario for Bitcoin, and probably for the rest of the crypto market, will be to trace back to a previous price level, which is possible to be around $12,500, hitting a target above the previous 2020 high level.
This traceback is completely normal for a bullish market as it shows that some investors are satisfied with the accumulated return and decide to liquidate their positions, taking the profit on fiat currencies or other cryptocurrencies. If the correction stops over $12,500, it will be a strongly positive sign that the market has still more momentum to implement in the market and we could observe even higher prices until the end of the year.
A severe correction in the market (for example the price reaches $10,000 or even price levels below $10,000) will define a new economic round in the market that will make investors liquidate positions at a higher pace, leading to faster implementation of bearish channels in the price formation. This scenario could affect the mid-term projections for Bitcoin and consequently for the entire crypto market. After that, Bitcoin investors will be in the dilemma of letting the price to slip further in order to increase their positions in it or start another bullish trend with probabilities to reach a new 2020 high level.
In the short-term diagram, we can observe that the trading volumes throughout the bullish period were not particularly high, comparing them to the trading volumes observed in the previous bullish period around August 2020. This phenomenon shows us that this bullish trend was more mature, creating less volatility and get driven by logical analysis and technical support from technical indicators.
Indicators
MACD is strongly on the positive side, with a slight decrease in the market momentum as the price gets at more stable levels. The price increase at these levels shows that a small portion of investors make the difference and decide to increase the capital flow in the market. The RSI index is continuously moving at value = 80, showing that the market is overvalued and the bearish market will probably start from time to time.
Ethereum / US Dollar
Price Analysis
After surpassing the $400 frontier and entering the bullish market, the weekend was a stability standard for the Ethereum market. The price followed the initial price formation from Bitcoin's bullish trend start to rise and tries to capitalize on this fact. The long-term support level at $400 worked out really well, creating a standard for the upcoming period.
If the market starts to move towards a bearish positioning, the $400 level will be a first support level while the next period will be the target for a future trend. During the correction period, the $400 was the ultimate goal for the Ethereum market and it was reached when there was a real price development in the crypto market.
The trading volumes start to decrease also, creating a negative outlook for the next period as everyone is expecting a correction after the bullish trend. Apart from that, the moving averages are moving in parallel positions, indicating stability for the next days.
Indicators
MACD index is moving at decreasing momentum but still on the positive side, creating a mediocre outlook for the next period. On the other hand, the RSI index remained above value = 60, indicating that a potential uptrend is also in the plans for the next period. The uptrend will be a possible scenario if Ethereum starts to get more independence and start shining by itself like the previous bullish trend.
Ripple / US Dollar
Price Analysis
The stability outlook continues to exist in the Ripple market, without any major change in the price formation. The price continues to move around $0.25, showing no interest to follow the established bullish trend in the market either to start correcting in previous support levels.
As we have highlighted several times regarding the Ripple market, the $0.24 is a steady point for price development. The $0.24 is the current major support level which was held efficiently during the last two months, creating enough market depth for the market, not to drop at lower levels.
The trading volumes have no particular interest as they are not correlated with the expected moves in the price diagram. On the other hand, the moving averages crossed each other, creating a "Golden Cross" signal. This signal could be a positive sign in a rolling market but the stability phase makes the signal weak and with no point to follow at this point.
Indicators
MACD index is slowly adapting on the positive side, creating some prospects for the next period. The delay between the bullish phases could be significant and could be a result of misinformation. The RSI index remained near value = 55, indicating potential price stability in the next days.
Litecoin / US Dollar
Price Analysis
Litecoin was another surprise for the weekend as it reached the mighty level around $57, which indicates the return on the bullish side. The $57 was an important level for the Litecoin market as it was the first level to be reached in the previous bullish trend. Reaching the level during a weak time for the crypto market shows that Litecoin investors believe in the coin and want to create more value in a shorter time.
The price development over the last days was amazing as no other coin followed Bitcoin at the pace, showing that Litecoin has more potential in the market than it is supposed to have until now. The next goal for continuing the current trend will be $67, which was the 2020 high level. If the price increase during the next days, we will observe another win for Litecoin and its supporters.
Indicators
MACD index continues to develop during the last week, making the market momentum to stay strong and enabling the price to rise even more. The RSI index return on the "safe" zone, without meaning that the bearish trend has taken over the market.
Bitcoin Cash / US Dollar
Price Analysis
The price of BCH has remained around the high level at $270, with small indicators about the next moves. The price movement has been made inside the volatility standards and we expect this to continue during the next days and weeks. We are not sure about the next move as the technical indicators have not shown a certain direction for the next period.
The trading volumes have made certain spikes during the last days, indicating the instability in the price formation. The moving averages have no interest in watching at this point.
Indicators
MACD index remained on the positive side, making the market see a potential in the price development over the next days. The RSI index moved towards value = 60, showing that there are still possibilities for another uptrend in the near future.
Correlations
Bitcoin / Ethereum = 0.93 (+ 0.01), Bitcoin / Ripple = 0.39 (+ 0.05), Bitcoin / Litecoin = 0.90 (+ 0.03), Bitcoin / Bitcoin Cash = 0.86 (+ 0.01)
The correlations have remained at the same levels, showing that the market is moving at the same pace. Ethereum, Litecoin, and Bitcoin Cash continue to move in the "strong" correlation zone while Ripple has been in the "medium" correlation zone. The correlations showed in the previous period that the majority of altcoins followed Bitcoin in the bullish trend (except Ripple), which is a useful indicator for future trends. At this moment, the correlations could predict if the correction period will be spread across the crypto market or it will remain at the local level, without affecting many currencies. We believe that Ripple will be the exception this time, making losses less volatile in its case.
Key Notes For Today
- Bitcoin continues to remain at bullish levels
- Ethereum continues over the major support level at $400
- Litecoin was the weekend's surprise, entering the bullish market again
- Bitcoin Cash and Ripple remained at stable levels
Disclaimer: 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
Comments (7)
Guest
exodusab
6 years ago
Upside borrowing/leveraged long exposure will be more prevalent the further up this goes, but right now futures are consistently extended from spot and the friction is obvious. Maybe get one more pop up 13.5-13.8 before a nice sized pullback.
dean01oreoluwa
6 years ago
This week has been a lot of ups and downs on the part of the coins. With bitcoin still at bullish level, i still see bitcoin at a rising level this week
godgrace1
6 years ago
The markets remaining at high level, wont last long because the bear market are always at work, the markets will go down before the market correction will happen, bitcoin will definitely go below $13000
before the market correction happens, although the market will hit its previous support level, other altcoins will rally downwards before bitcoin hits its previous support level.
whenayon
6 years ago
Bitcoin price analysis
Bitcoin price has been steady over the weekend and the price has remain in the $13,000 resistance range. during the weekend the volume of the Bitcoin price has reduced, I.e some of the investors had withdrawn part of their fund when the price got to range $13,000. At this point,Bitcoin is expected to traceback to the previous resistance ($12,500) which is now a support level for the market . This traceback is normal for the bullish run, the more the traceback in the market the more the market get stronger.
Ripple price analysis
Ripple has been in a steady and slow move over the weekend . Ripple market has been moving around the $0.25 - $0.24.
The trading volumes are still in the same way it has been over the last few days
BCH price analysis
After the BCH reached the sum of $280 it was expected to retrace , i.e the BCH is still in it traceback period we should Still except the BCH price should still come down a little bit
The trading volumes had increased a little bit over the last few days
freshprinx
6 years ago
Bitcoin and altcoins are showing signs of short-term exhaustion, meaning a few days of consolidation could occur.
Morgan Creek Digital co-founder Anthony Pompliano highlighted data from Santiment, which showed that the 30-day rolling correlation between Bitcoin (BTC) and the S&P 500 is 0. Pomp stressed that the lack of correlation shows that Bitcoin is a store of value.
Along with that, Bitcoin has also outperformed most traditional asset classes such as gold, the S&P 500, crude oil, and the U.S. dollar since the sector wide crash that took place in March when coronavirus fears reached a peak.
Abra Co-founder and CEO Bill Barhydt recently said that “Bitcoin is the single best investment opportunity in the world right now” and he has substantially increased his Bitcoin holdings in the past few days. After the recent purchase, about 50% of Barhydt’s total investment portfolio is now held in Bitcoin.
Is Bitcoin likely to resume its uptrend or will it take a pause and consolidate for a few days before starting the next trending move? Let’s analyze the charts of the top-10 cryptocurrencies to find out.
BTC/USD
The bulls are struggling to propel Bitcoin (BTC) above the $13,200–$13,343.66 resistance zone. This suggests that after the initial frenzy, buying has dried up at higher levels.
The failure to sustain above $13,200 could attract profit booking by the short-term traders that may result in a pullback to the $12,460–$12,050 support zone.
However, the upsloping moving averages and the relative strength index in the overbought territory, shows that the bulls are in command. Therefore, the bulls might buy the dip to the 20-day exponential moving average ($12,034).
If the BTC/USD pair rebounds sharply from the 20-day EMA, the bulls will make one more attempt to resume the uptrend. If they succeed, a rally to $14,000 is likely.
Conversely, if the bears can sink the pair below the 20-day EMA, a fall to the 50-day simple moving average ($11,109) is possible.
ETH/USD
The tight range consolidation of the past three days has resolved the downside. The bears have dragged Ether (ETH) back below $395 but the bulls are attempting to keep the price above the 20-day EMA ($383).
If the ETH/USD pair rebounds off the 20-day EMA and rises above $400, it will suggest strong accumulation at lower levels. A breakout of $420 will signal the possible resumption of the uptrend.
However, the 20-day EMA is flattening out and the RSI is just above the midpoint, which suggests a balance between supply and demand.
If the bears sink the price below the 20-day EMA, it will suggest that the momentum has weakened. A break below the uptrend line may intensify the selling.
XRP/USD
The failure of the bulls to push XRP above the $0.26 resistance in the past few days may have attracted profit booking by the short-term traders. The altcoin has broken below the 20-day EMA ($0.249) and is currently attempting to stay above the 50-day SMA ($0.244).
If the XRP/USD pair rebounds off the 50-day SMA, the bulls will make one more attempt to push the price above $0.26. If they can pull it off, the pair is likely to pick up momentum and rally to $0.30.
On the other hand, if the bears sink the price below the 50-day SMA, the pair could extend its stay inside the $0.2295–$0.26 range for a few more days.
The flattening moving averages and the RSI just below 50 also point to a possible range-bound action in the short-term.
BCH/USD
The failure of the bulls to propel Bitcoin Cash (BCH) above the $280 resistance attracted profit booking by the short-term traders. This selling has dragged the price down to the 20-day EMA ($252).
If the BCH/USD pair rebounds sharply from the 20-day EMA, it will suggest accumulation at lower levels. The bulls will then again try to push the price above the overhead resistance at $280.
If they succeed, the rally may extend to $300 and above it to $326.30. Conversely, if bears sink the price below the 20-day EMA, the BCH/USD pair could drop to $242. Such a move will suggest that the pair could remain range-bound for a few more days.
The RSI has formed a negative divergence, which suggests that the bullish momentum may be weakening.
LTC/USD
Litecoin (LTC) turned around from the $60 mark as traders booked profits following the sharp gains of the past few days. The upsloping moving averages and the RSI above 62 suggest that bulls have the upper hand.
The LTC/USD pair has corrected to the 38.2% Fibonacci retracement level of $54.9361 and if this support cracks, a drop to the 50% retracement level of $53.3915 is likely.
If the pair bounces from either level, it will suggest buying on dips. In such a case, the bulls will again try to resume the up-move by driving the price above $60. If they succeed, the pair could rally to $64 and then to $68.9008.
This bullish view will be invalidated if the bears sink the pair below the breakout zone of $51–$52.36.
visiblemoney
6 years ago
There is still price stability with Bitcoin maintaining its level above $13,000 still. Even though price correction trend is envisaged by slight bear, the analyst opined that the scenario could only affect the mid-term projections for Bitcoin and consequently for the entire crypto market.
Ethereum's move correlates with BTC as it still maintains its support level at $400 without any slip. Ripples is still stagnant at $0.25 support level without no sign of correctional trend or bear. LTC is still fantastic at $57 with a possible shift to $67 at next bull breakout. BCH may not leave its support level at $270 sooner because there are no momentum yet to indicate next move.
ugospecial
6 years ago
BITCOIN PRICE ANALYSIS: Bitcoin's price remained over $13,000 during the weekend, creating a stability outlook at this level, which is a positive signal as many analysts believe that the price will immediately correct, before forming enough market depth at this point. The bullish market is highly unlikely to continue at this pace to grow during the next days as the "fuel" in the market seems to get less and less. If the correction stops over $12,500, it will be a strongly positive sign that the market has still more momentum to implement in the market and we could observe even higher prices until the end of the year.
ETHEREUM PRICE ANALYSIS: After surpassing the $400 frontier and entering the bullish market, the weekend was a stability standard for ETH market. The long-term support level at $400 worked out really well, creating a standard for the upcoming period, if the market starts to move towards a bearish positioning, the $400 level will be a first support level while the next period will be the target for a future trend.
RIPPLE PRICE ANALYSIS: The stability keeps existing in Ripple market, without any major change in the price formation. The price continues to move around $0.25, showing no interest to follow the established bullish trend in the market either to start correcting in previous support levels. The delay between the bullish phases could be significant and could be a result of misinformation.
LITECOIN PRICE ANALYSIS: LTH reached the mighty level around $57, which indicates the return on the bullish side. The $57 was an important level for the Litecoin market as it was the first level to be reached in the previous bullish trend. The price development over the last days was amazing as no other coin followed Bitcoin at the pace, showing that Litecoin has more potential in the market than it is supposed to have until now.
BITCOIN COIN CASH: BCH price has remained around the high level at $270, with small indicators about the next moves. The price movement has been made inside the volatility standards and we expect this to continue during the next days and weeks. Trading volumes have made certain spikes during the last days, indicating the instability in the price formation. The moving averages have no interest in watching at this point.
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