Crypto Frontline

Weekly Crypto Analysis December 30 – January 5, 2020

Weekly Crypto Analysis December 30 – January 5, 2020
December 29
10:17 2019

BTCUSD Coinbase

BTCUSD technical analysis

Bitcoin continues to trade mildly as the end of 2019 approaches. The price action is locked in a range between $6,500 and $7,880 and given the low liquidity expected in the next few days, we don’t think any breakout will occur until after the first few days of 2020. As a result, traders who still want to find some short-term trading opportunities should wait until the price action will reach either side of the range.

At the time of writing, Bitcoin is hovering around the 4h chart 200 moving average, around the middle of our range. This isn’t the right place to enter a trade, so wait until the price action starts to show some directional bias. All financial markets open on January 2nd and since then we should see greater volatility.


ETHUSD technical analysis

We’ve chosen to look at ETHUSD on a daily chart simply because we want to highlight how biased the order flow is towards the sell-side. As you can easily notice, there isn’t any major sign that buyers rejoined the trend, which raises some serious question marks.

If the price will continue to slide below our key support area, then Ether will most likely weaken towards the swing lows made back in February 2019 or December 2018. We should not forget the bearish channel formation. In case it will be broker as well, expect more weakness as we begin January 2020.

On the other hand, buyers managing to absorb the selling pressure and defending both the key support area and the lower line of the channel, will be a bullish sign and potentially, will bring more hope for the upside. In terms of our upside targets, $152 and the upper line of the channel should be watched for profit-taking.

NEOUSD Bitfinex

NEOUSD technical analysis

Our third pick for this week is NEO and that’s simply because we believe 2020 could be a year when NEO will start to rebound higher. The price got crushed by the 2018 bear market but for the entire 2019, it had been consolidating in a triangle-type pattern.

This suggests the volatility is contracting and a breakout outside of the pattern will signal that our assumption is correct. We must make it clear that this could be a trade that will unfold over at least a few months. At the time of writing, NEO is trading around $9 and a weakening towards $8 could be a good buying opportunity.

We also don’t exclude NEO revisiting the December 2018 lows, located around $6. Either way, the price is positioned more favorably for long-term buyers at the present time. Watch how both sides of the triangle will make the price react for further clues on the next direction.

Briefings about ICOs

Ixinium is an IEO currently running on the P2PB2B platform that will end on December 30th, 2020. It’s based on the Stellar platform and represents a crypto-financial hybrid, allowing transactions in seconds, backed by real 100% insured assets.

Karuschain is an IEO that will run on Lakoten starting with January 14th. Based on the Ethereum platform, it represents a project that wants to provide access to a solution for tracing and tracking precious metals.


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