Bitcoin and other major altcoins continue to remain locked within price band limits as neither bears nor bulls are able to breach critical price levels on either side. This has resulted in price action remaining locked in a zig-zag pattern of sorts as evident from price action which has come across multi-layered support and resistance price levels. In the immediate future, both Bitcoin and other major cryptocurrencies are expected to continue trading within familiar price levels as both bulls and bears seem to lack fundamental support required to induce a breakout rally. While I had mentioned in my articles last week about an impending breakout, unless the price action manages to breach multi-layered hurdles price action is likely to remain trapped within familiar levels. The investor sentiment also leans to both a patient wait and watch approach or towards a profit booking attitude on short term price swing based trades.
Bitcoin: The BTC/USD pair during the weekend saw price climb all the way up to $12000 handle. However, strong resistance found near said level and some level of profit booking activity caused the pair to decline steadily. As the trading session progressed into Asian session today, Bitcoin saw the price fall back below $11500 handle but the price has maintained stable hold above $11400 so far. The signal line of RSI indicator which is used to measure the momentum is currently near 53 to 56 range in 4 hr intra-day and daily charts with upward incline hinting that bulls retain control of momentum and price action is likely to rebound to upside in near future. The pair is currently at $11459 handle well above 9, 50 & 100 SMA’s in both in 4 hr intra-day and daily charts and this support possibility of continued upward price action as well. In the immediate future, expected support and resistance for the pair are at $11400/370 handles and $11550/605 handles respectively.
Ethereum: The ETH/USD pair saw a sharp upward boost during the weekend scaling as high as $310.72 handle and had managed to remain well above $300 handle across the weekend. While the pair has managed to breach critical resistance at $300 handle, it still has upside sealed at $324/$326 handle which needs to be breached and the pair need to scale $320 handle for bulls to gain dominance. While the pair has managed to decline from weekend highs during Asian market hours today, the price still remains well above $300 handle so far and is currently trading at $305.89 handle. Also when looking at technical perspective, the signal line of RSI indicator which is used to measure the momentum is currently at 52 to 61 handle in 4 hr and daily chart with an upward incline hinting that ongoing decline is just a minor corrective price rally and bulls are likely to regain momentum once again. All three SMA’s 9, 50 and 100 are also moving well below current price levels. This suggests that ETH is likely to see an upward surge shortly with support and resistance levels in immediate future found at $300/$325 handles and $310/$313 handles respectively.
Ripple: While Ripple seemed closest to achieving a bearish breakout last Friday, the weekend saw the third major cryptocurrency based on market volume take on a sharp upward surge post which it had retained much of its weekend gains. The price of XRP/USD pair scaled as high as $0.41 handle during the weekend all the way from $0.38 handle. Profit booking activity post the upward surge had resulted in the pair declining from weekend highs but the price action of the pair is still steady and well above 0.40 handle. Post the slight corrective action on scaling weekend highs, the price momentum had turned flat and it doesn’t seem like the range bound momentum will ease away anytime soon. When looking from a technical perspective, the signal line of RSI indicator which is used to measure the momentum is currently at 51/46 handle in 4 hr and daily chart and is moving straight without leaning in either direction. The price is currently moving below 100 SMA but above 9 and 50 SMA’s which suggests range bound momentum is likely to continue in immediate future. Expected support and resistance for the pair are at $0.39/$0.38 handle and $0.41/$0.42 handles respectively.
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