BITCOIN / US DOLLAR
Price Analysis
The weekend for Bitcoin was relatively stable as the price has its ups and downs around $ 9,000, ranging from $ 9,200 and $ 8,800. The channel has a steady upward trend since mid-March, creating a positive trendline since the price collapse. The most important fact that we can highlight in the below chart is the creation of 3 major support levels.
The first support level was created around $ 4,900 and was the major support when the price collapse 1,5 months before. The second support level was formed around $ 5,700, setting the base for continuing the trend while the third support level was created around $ 6,600. The uprising movement was continued for another 3 weeks, finding the price today around $ 8,700.
The trend was trying to form another fourth support level, which can be transformed in a resistance level, as the upward trend can be stabilized for several days, before slowing down.
In the short-term diagram, the upward trend is continuing while the Bollinger bands show that the short-term average for 20 days is rather low regarding the price. The indicator shows that there is a possibility of a slight decline in the short-term period. If the decline isn't supported by volume, then the decline might slow down for some days.
Indicators
The MACD indicator is moving on the buy-side as the MACD is moving further from the baseline and creates opportunities for more buying options. In contrast with this, the RSI Index is moving towards the overbought area, meaning that a bearish signal can be detected in the short - term future. The contradiction between the two indexes might be a sign of the stable route over the next days.
Ethereum / US Dollar
Price Analysis
Ethereum's price trend was similar to Bitcoin's. The price collapses around mid-March around $ 110, creating the support level which starts the current upward trend, which lasts until today.
The second support level appeared at $ 150, setting firepower for a more upward trend while today, there was a third support level around $ 190. The third support level may be the stabilizing point for Ethereum, especially regarding its correlation with Bitcoin price. We expect the price to move according to Bitcoin's price, at stable levels, especially in the forthcoming days.
The correlation between Bitcoin and Ethereum prices was in effect since the start of 2020 and we expect to continue unless there was a change in fundamentals like Bitcoin's halvening or a new fork for Ethereum released in summer.
Indicators
The main indicators (MACD and RSI) show contradicting signals as MACD shows a positive approach towards Ethereum price while the RSI is close to the overbought area, having touched the overbought signal in the previous days. The contradiction between the indicators shows that the price could remain stable, without many fluctuations during day trading. Holding a trading position at this moment for day traders is the smartest move we suggest.
