Market Update

Insights for the Asian Crypto trading session Monday 21/01/19

  • BTC/USD: Bitcoin price rejected at $3700 resistance, falls to support at $3500

  • XRP/USD: Ripple technical indicators suggest lower prices ahead

  • ETH/USD: Breaks 50% fibo retracement of recent rally from $80 to $160

  • BCH/USD: Clings to $120 support ahead of $100 retest

  • EOS/USD: HIts projected $2.60 resistance zone before crashing below $2.40

Bitcoin Technical Analysis: Breaks out of Bearish Pennant

  • Breaks out of bearish pennant and trades to resistance at $3,700 before failing

  • Breaks lower support line, price pattern now targets $3,400 ahead of $3,000 support

BTC/USD  Hourly chart:

BTC Bearish Pennant.JPG

Our forecast:

BTC/USD: After a period of low volatility and sideways trading within a bearish pennant formation over the past week, Friday initially saw Bitcoin explode higher towards $3,700 resistance, however the false break was swiftly rejected by bears sending the price below pennant support line to trade towards confluence support at $3,500. From a daily perspective price has been stuck in a well defined range between $3,200 -$4,200 for a month now with both bulls and bears looking for a break to confirm direction. With both Daily and hourly technical indicators trending negative with moving averages and oscillators both suggesting weakness ahead,  BTC/USD looks confined towards the lower bounds of this recent range and as such we await for new price developments. 

Hourly Technical Analysis Summary: Sell

Moving Averages: Strong Sell

Oscillators: Sell

Support 1:               $3,504

Support 2:              $3,401

Resistance 1:           $3,785

Resistance 2:          $3,888

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