BTCUSD Coinbase
Source: tradingview.com
We were right in our last weekly crypto analysis and Bitcoin managed to reach our downside targets. The price broke below $7,300, the October low, as a nice mid-term parabolic structure can be noticed on the chart. We can easily see how the price action treated the 4h chart 20 EMA resistance and that’s where sellers could reemerge again.
With all the October gains erased, the next support area stands around $6,700, while a break below will open more room towards a previous floor and key area located near $6,000. Based on the current conditions, we believe that’s where Bitcoin will start to bottom.
However, the price action could spike higher before it touches $6,000. A break back above $7,300 + 20 EMA might open more room towards $7,800 or even higher towards the 4h chart 200 moving average.
ETHUSD Kraken
Source: tradingview.com
Since the beginning of August Ether seems to be trading inside a bearish channel formation, a period when it lost around 40% of its value. The selling which we’ve seen during the past week, however, brought the price near the lower bound of the channel and that could be an indication that further selling might be capped.
In case the price will continue lower, below $150, look for reaction around $140 or $130, two important support zones where buyers could step in again. Only a deep acceleration lower will negate this outlook, but right now, conditions approach oversold territory.
If the channel structure will continue to hold, we expect Ether to end 2019 in an upbeat mode as the coin could try to get back towards the 4h chart 200 moving average, currently located around $180. Same as with Bitcoin, the price broke below the October lows and that’s not an encouraging sign for buyers.
STRUSDT Poloniex
Source: tradingview.com
Even though Stellar had also been hurt by the selloff seen during the past few weeks, we’ve decided to include it in our analysis because it’s one of the coins that did not broke below the October lows. At the present time, the price looks locked in a range, with the lower bound located around 5.4 cents – 5.15 cents.
Buyers should look for opportunities to get long around that spot, in case the price will reach it in the near term. We believe the downside is limited below it because the entire market is approaching oversold levels. If the range will hold, then a surge towards 9 cents could unfold.
On the other hand, a strong break below the range could diminish the bullish interest, but at the present time, our bullish scenario seems to be the most favored.
Briefings about ICOs
Global Crypto Alliance is an IEO that will raise funds until November 28th on the P2PB2B platform. It’s an international decentralized institution that wants to address several issues in the blockchain industry.
Blockchain of Things is another IEO from Singapore starting on December 1st, 2019. It’s an extended function that allows businesses and individuals to create blockchain-based applications.
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