Crypto Update: Coins Edge Higher but Key Levels Remain Out of Reach

The major cryptocurrencies have been acting bullish in the past 24 hours, registering modest gains across the board, but the short-term trading ranges remain intact in most cases, and the overall technical setup remains negative in the segment. Ethereum, Litecoin, and Bitcoin Cash have been leading the way higher today, Despite a spike higher following US open, the cryptocurrency segment continues to be very quiet, and especially ETH’s strength could be important in the coming days.

Should the second largest coin top the key $145 price level again, the counter-trend move of February might still resume, even though the bearish long-term trends are still in no danger here. Bitcoin and Ripple haven’t joined today’s rally, with the two coins only drifting slightly higher in the positive environment, and their long-term weakness remains a huge risk factor for the whole segment.

Our trend model remained on sell signals on both time-frames regarding most of the coins, despite today’s broad bounce, and caution is still warranted even in the case of the strongest coins.

ETH/USD, 4-Hour Chart

Ethereum is finally showing signs of life following weeks of relative weakness, but we still don’t have evidence of a sustained move higher, with even the short-term trading range being intact in the coin’s market. The $145 resistance level remains in the center of attention, and bulls should still be defensive here, as selling pressure continues to be apparent, especially from a long-term perspective.

Above $145, the path is still rocky for ETH, with strong resistance zones also ahead near $160 and $180, while key support zones are still found in the vicinity of $120, near $112, and between $95 and $100, and our trend model remains on sell signals on both time-frames.

BTC/USD, 4-Hour Chart Analysis

While Bitcoin drifted up to $3900 today, it remains close to the $3850 support/resistance level, and well below the key long-term zone between $4000 and $4050. The short-term trading range in the coin is intact, and there is still no sign of technical strength in the coin’s market, even considering the short-term time-frame.

Our trend model remains on sell signals on both time-frames, with the long-term trend clearly being bearish despite the recent counter-trend move, and the quiet consolidation of the past weeks. Above the primary zone, further strong resistance is ahead near $4450, while support is found near $3600, $3450, $3250, and $3000.

Litecoin Could be Ready for More Multi-Month Highs

LTC/USD, 4-Hour Chart Analysis

Litecoin is still the strongest top coin from a short-term perspective, and today it led the charge yet again, getting close to its recent swing high and the $60 price level. A break-out would likely lead to a test of the next key resistance zone near $64, and LTC remains on a short-term buy signal in our trend model despite the hostile segment-wide trends. Support zones are now found near $56, $51, $48, and $44, and traders could still enter smaller, speculative short-term positions here.

XRP/USDT, 4-Hour Chart Analysis

Ripple hasn’t made any technical progress today, and the broad triangle consolidation pattern continues to be intact. The volatility compression led to a very narrow range in the coin’s market this week, and the $0.31 level is still in focus, despite Wednesday’s rally attempt.

Our outlook is unchanged and clearly bearish for XRP, and we expect the $0.28 and $0.26 levels to be tested in the coming week, with a new bear marker low also being likely. Above the initial zone near $0.32, further resistance levels are still ahead near $0.3550, and $0.3750, and the coin is still on strong sell signals on both time-frames.

Featured image from Shutterstock

Disclaimer:  The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.

Author:
Trader and financial analyst, with 10 years of experience in the field. An expert in technical analysis and risk management, but also an avid practitioner of value investment and passive strategies, with a passion towards anything that is connected to the market.