Crypto Update: ETH Spikes To $260 As XRP Breaks $0.30
The cryptocurrency segment continues to be controlled by bulls, with especially the top altcoins showing technical strength. ETH continued to lead the way higher, registering double-digit gains after moving past the key long-term $130 level. XRP also joined the party finally, despite its persistent weakness, while LTC and BTC were slightly weaker. The short-term uptrends are clearly intact and while some coins entered overbought territory again, today’s bullish momentum has been impressive.
Our trend model switched neutral for some of the overbought coins today, but the overall picture remains upbeat on both time-frames, and a sharp reversal looks less and less likely. The majors are now all safely above their previously dominant long-term trendlines, and while we can’t rule out a failure, the technical outlook further improved in recent days, especially with regards to the long-term time-frame.
BTC/USD, 4-Hour Chart Analysis
BTC continues to show short-term weakness compared to its closest peers, and even though it hit a marginal new rally high today, it remains prone to a deeper correction in the wake of its recent lofty gains. That said, the short-term momentum indicators are still not severely overbought, so the coin could still reach the next target zone near $11,300 before a correction.
BTC is still on buy signals on both time-frames in our trend model, with support zones now found near $10,000, $9,200, $8,600, and $8,400, and with resistance ahead near $11,300, and $13,000.
ETH/USD, 4-Hour Chart Analysis
After forming a new swing lo and breaking out above $230, ETH surged through the ‘no-man’s-land’ between $230 and $260 in less than 24 hours. With that, the coin further solidified the recent long-term trend shift, but from a short-term perspective, its rally seems stretched yet again. Traders could hold on to their open positions, with closer stop-loss levels, but opening new short-term trades is not recommended here.
Our trend model is now on a neutral short-term signal while still being on a long0term buy signal, with major support zones found near $230, $200, and between $180 and $185, and with resistance zones ahead near $260 and $275.
XRP Breaks Out As LTC Eyes $85 Level
XRP/USD, 4-Hour Chart Analysis
XRP followed the broader market higher today, and despite its long-term weakness, it finally managed to hit a new swing high. The coin is testing the $0.30 level, with its short-term uptrend being intact, and while it remains relatively close to its previously dominant declining long-term trendline, the segment-wide trends could further lift it in the coming weeks.
Our trend model is now on buy signals on both time-frames, with support zones found near $0.26 and $0.2475 and with resistance zones ahead near $0.28, and $0.30.
LTC/USD, 4-Hour Chart Analysis
LTC also hit a new rally high today, getting very close to the $80 price level and forming yet another short-term swing low. The coin failed to show relative strength compared to the other top altcoins, and while the short-term trend remains intact and the momentum indicators are not overbought, LTC is still expected to enter a deeper correction soon, probably following a test of the $85 resistance level.
LTC is on buy signals on both time-frames in our trend model with support zones now found near $75, $72.50, $64, $56, and $51, and with resistance zones ahead near $85 and $90.
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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.