Bitcoin, Ethereum, Bitcoin Cash, Litecoin and Ripple: Price Analysis, 1st Week- 3rd Aug
“Every trader has strengths and weakness. Some are good holders of winners, but may hold their losers a little too long. Others may cut their winners a little short, but are quick to take their losses. As long as you stick to your own style, you get the good and bad in your own approach.” – Michael Marcus
With the Winklevoss twins Bitcoin ETF rejection by SEC and other application for BTC ETF review getting postponed to September, the cryptocurrency market again topped out and has possibly moved back inside the Bear cycle. The pull-back momentum which was achieved a couple of weeks back over the fundamentals got faded away with confirmation of the above news.
Also as we have been constantly stating in our previous weekly and daily analysis, we anticipated the respective fall over the worries of negative correlation between Bitcoin and other alternative cryptocurrencies. A vertical pull-back from desired fundamental price level of cryptocurrencies has only been a dream for Bulls in the present year. Stating all of the above, cryptocurrency trading and investments comes with high risk-returns and thus, technical understanding of price theory becomes the most crucial aspect of trading for optimised calculative returns.
Let’s take a look what we have in trade set-up for the coming few days:
At the time of writing BTC is representing a fall of about 4% in last 24-hours.
BTC over last 3 days has turned its head down after failing to close above the 61.8% Fibonacci Retracement resistance of $8,370 of the fall from $9,948 – $5,775.
Continuing the lower low’s pattern, BTC has slipped down to current levels breaking the immediate intraday support of 20-day EMA. At present BTC finds support along the consolidated low of $7,250 from where the further $1,000 positive momentum was filled and hence, defending the respective level will be crucial for Bulls. Also, the relative support collides with the 50-day EMA.
BTC will find intraday subtle support at $7,250 and major support at $6,950 serving as neckline support of previous head & shoulder pattern we discussed in our previous analytics.
Conclusion : BTC has turned short term bearish where $7,750 and $8,000 acts as immediate resistance. On the other side, $7,240 forms intraday support and if it holds, BTC might retrace a 5% momentum upside. A slip down the level opens up Bear projections upto $6,950 and $6,400 if the former doesn’t hold.
At the time of writing, ETH is representing a fall of about 3.9% in last 24-hours.
ETH has been constantly under the control of the bears, where the trials to have a closing move above $500 for a mid-term bullish objective failed.
ETH at present is bearish with multiple resistance above depicted in chart above with horizontal line. Forming lower high’s on daily charts, only a strong bullish engulfing candle with a close above previous day’s high will offer some support. Until then ETH outlook is bearish.
A fall below $400 will open up the bear avenues to test the April low of $355. On the upper side multiple resistance is seen along $445, $485, $500 and $550 whereas on the lower side $400 and $355 forms support. Going bears on high will form likeliness in current ETH trend.
At the time of writing, BCH is representing a fall of 6.5% in last 24-hours.
BCH has formed similar bearish patterns and signals as compared to ETH charts. BCH has been forming the lower high’s and low’s after breaking the immediate support of 20-day EMA. The present scenario in BCH doesn’t seem to be healthy and it is better for Traders to be on the sidelines before a trend is established. BCH forms multiple resistance on upper side and any pull-back attempt will receive selling pressure again on these levels.
There is immediate intraday support at $700 formed out of baseline low and a break below the respective level will expose BCH to test $650 and $600 soon.
At the time of writing, LTC is representing a fall of about 2.5% in last 24-hours.
LTC tried showing optimistic views a couple of weeks back but over the next cycle, it started showing the signs of weakness. This is 10th day in row that LTC has formed the lower high’s and continued to fall to its older support level.
At present state, LTC has formed bearish trend but yet, has somehow been holding above its critical level of $72. With EMA’s sloping down, LTC will receive selling on every attempt to rise unless it closes above the downtrend line. This is the third attempt by Bear and any relative reversal from this level will make $72 a strong base point with triple bottoms. However, LTC form the likeliness of breaking these levels under current circumstances.
A break-down below $72 will open up Bear avenues to test $62 and $54 in due time.
XRP is representing a fall of 0.45% in last 24-hours.
XRP has been the most sluggish cryptocurrency over the whole of the previous month and it has been trading inside a trade range of $0.06 ranging between $0.42-$0.48.
Traders/Investors have removed themselves from XRP and are waiting for a relative momentum on either side. The support of $0.42 forms a crucial one as the respective level is being visited the third time in this quarter.
Inability to hold above $0.42 will get XRP sink down to $0.35 and $0.26 whereas a close above $0.5 will get XRP to gain momentum upto $0.57 and $0.62. Traders are expected to be on the sidelines unless a momentum on either side is established.
Weekly Price Pointers:
Traders can smartly use their skills and can refer to the technical levels above to make optimised trade decisions. Happy Trading..!!
If you missed our previous report, please read here.
This report is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any investor. All investors should consider such factors in consultation with a professional advisor of their choosing when deciding if an investment is appropriate.
The Company has prepared this report based on information available to it, including information derived from public sources that have not been independently verified. No representation or warranty, express or implied, is provided in relation to the fairness, accuracy, correctness, completeness or reliability of the information, opinions or conclusions expressed herein. This report is preliminary and subject to change; the Company undertakes no obligation to update or revise the reports to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events.
Trading & Investments in cryptocurrencies viz. Bitcoin, Bitcoin Cash, Ethereum etc.are very speculative and are subject to market risks. The analysis by Author is for informational purpose only and should not be treated as an investment advice. This report is for educational purpose only.