The cryptocurrency market continued to grind higher, thanks to a few standout performances, especially from Monero and IOTA, while Bitcoin has been struggling to gain momentum, although it scored a marginal new high today. With all that in mind, the market action still looks toppy and there are only a few coins that are not strongly overbought at this point.
XMR joined the ranks of Dash, ETC, and BTC on a long-term sell signal after getting close to the range-extension price level at $240. The coin remains inside the short-term uptrend, but now we advise both traders and investors to stay away from the coin after the recent lofty gains. That said, the advance might still continue short-term, but the risk/reward ratio is now unfavorable. Support levels are found at $200, $180, and $150.

XMR/USD, 4-Hour Chart Analysis
Bitcoin is trading just below its highs, inside a bearish rising wedge pattern that could signal a looming break-down after the marginal records of the previous sessions. While short-term gains are still possible here, the long-term picture remains dangerously stretched and correction risk is still very high, with key support levels at $8200, $7700, $7000, and $6700.

BTC/USD, 4-Hour Chart Analysis
Ethereum

ETH/USD, 4-Hour Chart Analysis
Ethereum continues to lag the leaders of the rally, but it still trades close to its recent all-time highs and well above the correction lows of last week. The coin is still less overbought from an investment perspective than some of its peers, and given the previous lengthy consolidation pattern, we expect the ETH token to outperform BTC in the coming period. Support levels are at $400, $380, and $350, while the $500 level is ahead as major resistance.
Litecoin

LTC/USD, Daily Chart Analysis
Litecoin’s rally stalled near the $100 level yet again, and the coin trades in a similar bearish pattern as Bitcoin, although it’s less stretched than its big brother. LTC is likely to follow the broader market in the case of a deeper correction and investors should wait for more favorable conditions before adding to their positions here, while traders could still trade the short-term uptrend with tight stops. Key support levels are still found at $75 and $64.
Dash

DASH/USD, 4-Hour Chart Analysis
Dash is virtually unchanged for days now as it still trades in a consolidation pattern after its stellar rally. The currency is severely overbought from a long-term perspective, as it blew through all our targets to hit an all-time high near $800. The coin is still inside a short-term uptrend, but we don’t expect durable gains before the next correction, with support levels near $600, at $500, $470, and around $410.
Ripple

XRP/USD, 4-Hour Chart Analysis
Ripple is showing relative weakness again, as it has been the case for quite a while now, but the long-term technical picture is still unchanged, with the broad trading range being intact. XRP is stuck between the key $0.2250 and $0.26 levels, and while the coin is still on a buy signal on all time-frames, volatile trading is expected if the segment enters a correction.
Ethereum Classic

ETC/USD, 4-Hour Chart Analysis
Ethereum Classic is just below the $30 level, after the violent correction and the subsequent surge last week. With the long-term momentum being extremely overbought, we expect more volatility in the coming weeks, with a likely dip below the previous high at $23, although short-term gains are still possible here. Further support levels are found near $18 and $16, while resistance is ahead at the all-time high near $32.
NEO

NEO/USDT, 4-Hour Chart Analysis
NEO settled down near the key $40 level yet again, and the coin remains in an encouraging long-term setup, with a relatively low level of correlation with the other majors. That said, we expect volatility to pick up again soon, and although a move towards $50 and the all-time high near $56 is likely, a segment-wide correction could lead to another test of the $34 support.
IOTA

IOTA/USD, 4-Hour Chart Analysis
IOTA surged once again, as the Microsoft deal continued to fuel the coin’s incredible rally, and it hit yet another all-time high near the $3.50 level, for a 10-time increase since the late-October bottom. We still expect a deep correction and a test of the $1.50 level during the next bearish cycle, but the short-term uptrend remains clearly intact.
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.
Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.
Rate this post:
Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.




(0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...




4.7 stars on average, based on 469 rated postsTrader 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.
Feedback or Requests?