The segment hit a historic mark today as the altcoin rally and Bitcoin’s another record day pushed the total market cap of the coins above $200 billion for the first time ever. BTC and Bitcoin Cash was still in the center of attention, but with the strong rebound especially in Ripple and Ethereum Classic, altcoins got in the spotlight as well. Bitcoin’s dominance actually declined during the session, but it still stands at 61%, with the most valuable coin’s market cap hitting a new high above the $120 billion level.
The coin’s price touched $7500 after yesterday’s excessive volatility, before retreating below the Thursday’s high in the second half of the session. Short-term support now stands at $6700, while below that the $6000, $5800, and $5400 levels provide substantial support. With the short- and long-term picture being dangerously overbought, traders and investors should wait for the next correction before entering new positions, as the risk of a major drawdown is high.
All the most traded coins registered gains today, and the crucial support levels that have been tested yesterday held up well despite the negative sentiment. We expect a gradual return of capital to altcoins, with encouraging technical setups in several of the largest currencies. Litecoin, Monero, and Dash are still among the most promising majors, while IOTA and ETC continue to lag the market from a long-term perspective. Let’s see how the short-term charts look after this busy week.
ETH/USD, 4-Hour Chart Analysis
Ethereum bounced back from the key convergence zone near the $285 price level, and the coin is trading back at the $300 mark, the mid-point of the long-standing trading range that dominated the market for several weeks. We still expect a bullish move out of the range, with targets at $330, $350, and $380.
LTC/USD, Daily Chart Analysis
Litecoin recovered all of its recent losses, as the coin rallied back towards the $56 level, staying inside the bullish consolidation pattern that we have been monitoring. The coin remains among the least volatile majors, and trading volumes also have been muted, but an increase in activity is expected after LTC moves out of the consolidation pattern. Support is found at $53, $51, and $44 while resistance is ahead at $64 and $75.
DASH/USD, 4-Hour Chart Analysis
Dash also got back above the key $265 level and remained inside the rising long-term trend, despite the increase in volatility, and the declining short-term pattern. The coin faces strong resistance near $300 with another level just above the current price at $280, but we expect the long-term trend to resume following the consolidation, with initial targets at $330 and $360.
XRP/USD, 4-Hour Chart Analysis
Ripple had an extremely volatile session, as it spiked as high as the key resistance zone around the $0.2250 level before retreating below the $0.21 level. The coin is still stuck in a bearish short-term pattern but a durable move above $0.21 would trigger a buy signal. Primary support is now found just below $0.20, with further levels at $0.18 and $0.16 while resistance is at $0.24 and $0.26.
ETC/USD, 4-Hour Chart Analysis
Ethereum Classic is trading right at the $11 level, the where the declining short-term trend and the primary resistance level are converging, and despite today’s strong showing, the coin remains on a neutral signal. Traders should wait for a break-out before entering new positions, with targets at $12, around the $13.50 level and near $16.
XMR/USD, 4-Hour Chart Analysis
The market of Monero remained very quiet, relative to the other major coins as XMR is still stuck in a trading range between $80 and $100. Primary resistance is expected in the coming weeks, as the long-term picture remains encouraging. Targets for a break-out are found at $125 and near $125, while further support is at $68.
NEO/USDT, 4-Hour Chart Analysis
NEO returned to volatile trading after an extended range trading period, as Thursday’s decline hit the coin hard, but the rebound was also strong, taking the currency back to the crucial $27 level. The correction pattern that developed after the post-crash rally is still intact but we expect move n the coming weeks. With target levels at $34 and $40.
IOTA/USD, 4-Hour Chart Analysis
IOTA recovered above the key $0.35 level, as the massive support zone held the coin yet again, but the declining trend remains intact for now. Investors could still add to their holdings here but traders are advised to wait for a trend change before opening new positions. Key resistance levels are still ahead at $0.42 and between $0.45 and $0.48.
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Long-Term Cryptocurrency Analysis: All Majors Stretched as Ripple Finally Breaks-Out
Although the previous leaders of the rally started to correct or at least consolidate in the wake of the overbought long-term setups, another batch of coins turned exponential, with Litecoin, Ripple, and Ethereum all registering lofty gains this week. Bitcoin, Monero, and Dash have been holding up well, and even drifted to new marginal highs during the period, while Ethereum Classic had a more volatile week, before moving to new highs today.
XRP left the broad trading range that has dominated its market since May, and surged to new all-time highs while almost quadrupling in the process. As the coin was the only major on a long-term buy signal according to our trend model, and the move triggered a sell signal on Thursday, now all of our tracked coins are on sell signals.
Ripple could be in for further short-term gains but long-term investors should reduce their positions after this week’s spike. Support levels are found Major at the prior high near $0.4250 and in the $0.30-$0.32 range.
XRP/USDT, Daily Chart Analysis
IOTA, which has been leading the market higher before is down by more than 30% off its all-time high, but given the exponential move before, an even deeper correction is likely in the coming weeks, and investors should wait until a more favorable setup to add to their positions. Strong support is only found at $3 and $1.5, but potential Fibonacci support is at $2.35.
IOT/USD, Daily Chart Analysis
Let’s see how the long-term charts of the other majors look this weekend.
Technical Analysis: Bitcoin Up Again as Altcoins Mixed in Volatile Trading
Bitcoin is at a new all-time high today, although the momentum of today’s move is far below from what we saw recently, and the coin only managed to reach a marginal record high yet again. BTC is now worth $300 billion, and it is still trading right at the short-term trendline, inside a rising wedge pattern that shows a clear momentum divergence.
With the short-term trend still being intact further gains are still possible, but as all the majors are overbought from a long-term perspective, we still advise investors to wait for a better buying opportunity before adding to their holdings. Primary support is still found near $13,000, with further levels at $11,300, $10,000, $9000, and stronger levels at $8200 and $7700.
BTC/USD, 4-Hour Chart Analysis
XRP entered a volatile short-term correction after its two-day surge after giving a short-term sell signal yesterday, and the coin spiked back towards $0.60 before settling down just below yesterday’s highs. The long-term setup also turned overbought thanks to the almost 300% rally, and now investors should reduce their holdings, even as further gains are still possible. Major support is still found at the prior high near $0.4250 and in the $0.30-$0.32 range.
XRP/USDT, 4-Hour Chart Analysis
Cryptocurrency Analysis: Ripple Continues Rampage as Litecoin and Ethereum Enter Correction
Ripple remained in the center of attention in the segment after breaking out to a new all-time high yesterday, and the coin almost doubled in value, climbing above the $0.80 level. The currency concluded a 6-month long consolidation pattern with the move after being the only major on a long-term buy signal in our trend model.
XRP gave a short-term sell signal today, while turning neutral regarding the long-term setup. Investors now shouldn’t add to their positions, although further gains are still possible, and reducing holdings somewhat is a good idea here. Major support is still found at the prior high near $0.4250 and in the $0.30-$0.32 range.
XRP/USDT, 4-Hour Chart Analysis
While Bitcoin stagnated, and Bitcoin Cash jumped, Ethereum, Litecoin, Dash, and IOTA has been drifting slightly lower, although the recent gains are still mostly intact, and the basic setup in the segment is unchanged.
Litecoin fell below the $300 level after yesterday’s consolidation, and the coin faced strong selling pressure in the latter half of the session. The currency remains extremely stretched regarding the long-term momentum indicators, and although the short-term uptrend is still intact, a deeper correction is likely in the coming weeks, with key support levels found at $125 and $100, and weaker levels at $260 and $170.
LTC/USD, 4-Hour Chart Analysis
- Trade Recommendation: IOTA December 17, 2017
- ICO Review: Rentberry December 17, 2017
- Trade Recommendation: Ethereum December 16, 2017
- Long-Term Cryptocurrency Analysis: All Majors Stretched as Ripple Finally Breaks-Out December 16, 2017
- Trade Recommendation: OMNI/BTC Range Trade December 16, 2017
- Trade Recommendation: NEM December 16, 2017
- Risks abound with Ethereum and its Application Developers December 16, 2017
- Technical Analysis: Bitcoin Up Again as Altcoins Mixed in Volatile Trading December 15, 2017
- Trade Recommendation: MaidSafeCoin/Bitcoin Bounce Play December 15, 2017
- Trading recommendation: Lisk/Bitcoin December 15, 2017
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