Crypto Frontline

Weekly Crypto Analysis January 6-12, 2020

Weekly Crypto Analysis January 6-12, 2020
January 06
14:15 2020

BTCUSD Coinbase

BTCUSD technical analysis

Bitcoin continues to be locked in a textbook range since the end of November, as the year-end conditions saw volatility contracting. Looking at the 4h-chart, however, we can notice that activity started to pick up for the past few days and now the price trades above the 200 moving average.

We expect Bitcoin to continue higher towards the $7,900 area, where the top of the range is located. In case a bullish breakout will occur, we suspect Bitcoin will continue on its way up towards the $9,000 area. If the range will hold, expect a retracement towards the MA or even towards the lower line of the range, located around $6,500.

Only a strong breakout below the December lows will open more room towards $5,700, but right now the context seems to be favoring the upside. Volatility should gradually start to pick up in the upcoming days.


ETHUSD technical analysis

Same as Bitcoin, Ether is beginning to show positive signs of improvement. The price action looks like a parabolic bottoming formation is about to form and only a breakout above the 4h chart 200 MA stands in front of a larger move higher.

The channel formation we’ve talked about for a few weeks in a row continues to hold and since market participants had respected it, we assume the next significant leg will be on the upside. The intermediate resistance stands around $153, but if Ether manages to reach, our mid-term target is located around $180, where the top line of the channel is located.

On the downside, the $120 area is of significant importance, while only a breakout below the December lows will negate our current bullish views. January is generally a positive month for cryptocurrencies and judging by the current mood, the seasonality will materialize this year as well.

BNBUSD Binance

BNBUSD technical analysis

Now that crypto traders have returned from the holiday, trading activity is about to pick up and one of the tokens favored should be the Binance Coin. Binance continues to be a leading exchange and its coin should benefit from positive flows. From a technical point of view, BNB is in a pennant-type formation, communicating that a surge on the upside might be near.

Despite some false breakout on the downside, buyers managed to balance the order flow. We expect the price to break above the 4h chart 200 MA and then gradually move higher towards the $20 resistance area.

Our current bullish view will be negated by a breakout and follow through below the December lows. We remain bullish on BNB as long as that scenario won’t materialize. The US dollar had also shown signs of weakness and that could be a boost in the short term.

Briefings about ICOs

TecraCoin is an ICO that will run until January 16th, aiming to reach a $5 million funding target. This is a project that will support the financing of patented high technologies and the funds collected in the ICO will be used for investments in graphene-related technologies.

The Cinemadrom ICO will start on February 3rd, with a $1 million funding target. The project wants to develop a new independent system for the world film industry, in which every film should pay off.


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