Crypto Frontline

Weekly Crypto Analysis May 28-June 3, 2018

Weekly Crypto Analysis May 28-June 3, 2018

Weekly Crypto Analysis May 28-June 3, 2018
June 03
08:05 2018

Bitcoin

Bitcoin analysis

Source: dailyfx.com

Since our last weekly crypto analysis, the price of Bitcoin managed to stabilize and the ascending trend line held successfully. However, thus far the recovery is very fragile, leaving the risks to the downside intact. We talked last week about the decreasing angles of the bullish legs and the current one seems to be even weaker. Still, the ascending trend line was not broken, so the price could continue to recover in the near term.

First short-term resistance lies around the 7,900, while a strong break above it could open further ground towards 8,800 level. There we also have a descending trend line that goes back to January 2018. The line is confirmed by three points thus far, so we expect sellers around it.

Overall, we expect volatility to be at low levels and the price action to continue to fluctuate inside this mid-term triangle formation. The breakout should determine the next direction.

 

Ethereum

Ethereum analysis

Source: dailyfx.com

In line with the Bitcoin performance, Ethereum had been trading on the upside for the past week. The recovery covers much ground compared to Bitcoin, but still, it follows after a strong wave of selling, leaving the risks for “sell on rallies” intact.  It’s interesting to note that the leg up had started around the 510 support, a level to which the market had responded a few times in the past, as well.

If the move on the way up will continue to extend, we expect to see resistance around 640 area. On the downside, 510 and 410 are two of the most important support levels to watch. With competition rising especially from the EOS, Ethereum could be under pressure in the future ahead if the company will not manage to adapt and come with innovative solutions in order to further expand the business.

EOS

EOS analysis

Source: dailyfx.com

Among the top 10 cryptocurrencies, EOS had been leading this week, with more than 20% increase in value. The move had been generated by the release of version 1.0 of the open-source blockchain protocol EOSIO. EOS is one of the best performing cryptocurrencies in 2018 since there is a growing number of investors putting their trust in the company.

From the technical point of view, the price managed to stabilize around 10.50 support area and then skyrocketed towards 15. If sellers start to push the price down, we expect 12.50 level to act as support. On the upside, 16.15 is the first spot to consider since we believe sellers could be active there.

Overall, the EOS price had become unstable, with strong pushbacks generated by the pressure we saw on the cryptocurrency market.

Briefings about ICOs

According to icoalert.com, an interesting ICO that is currently running is WEMARK. It represents a blockchain-based marketplace for digital content, starting with stock photography. The ICO will run for 18 more days.

In terms of the ICOs that will start in the near term, Modern Finance Chain is a smart contract platform with Merchant Payment Integration.