Technical Analysis: NEO Jumps as Broad Markets Turns Lower
As the new waves of regulatory changes keep on hitting the segment, the major cryptocurrencies are mostly lower today. After the major update of Ethereum, and the recent surge in the price of Bitcoin, choppy conditions developed, with no clear short-term trend in most of the coins.
NEO is the best performing major today, as it surged back to the $30 level after a frustrating period that was dominated by a downward drift. The coin is now just below the key resistance level, and it could be ready to test the $34 level, with a further target found at $40. The long-term picture still looks positive, with strong support levels at $27 and $25.
NEO/USDT, Daily Chart Analysis
Ethereum is in a consolidation after the encouraging rally towards the end of last week, while Bitcoin is also correction after its stellar rise. The two largest coins pulled the rest of the majors lower, while Ripple remained very volatile after touching the $0.30 level yesterday, trading below the $0.26 again.
Litecoin, Dash, Monero, and IOTA are all a bit lower today, while Ethereum Classic found some relative strength, although it remains stuck in a declining short-term trend. All in all, the segment is still in a clear uptrend, so let’s see which coins are the most promising regarding the short-term picture.
BTC/USD, Daily Chart Analysis
BTC trades in a bullish short-term consolidation pattern roughly between the $5400 and $5800 levels and the coin looks set to test the $6000 target despite the already stretched long-term picture. As the MACD is almost back to neutral territory, a move above the prior all-time high is likely in the coming days, but given the increasing correction risk, short-term traders should strictly control position sizes. Key support levels are found at $5400, $5000, $4650 and $4400.
ETH/USD, 4-Hour Chart Analysis
Ethereum moved below the key $330 level after the initial rally following the Byzantium update, as the short-term correction dominated the market. The long-term picture remains encouraging despite the pull-back and a rally towards $380 is still likely in the coming period. Further support is found at $315, $300, $285 with the all-time high ahead at $400.
LTC/USD, Daily Chart Analysis
Litecoin followed the broader market lower, dipping briefly below $60 after last week’s outstanding performance. The short-term MACD is getting close to neutral territory, and the continuation of the advance is likely in the coming days, with targets ahead at $75, and near the $100 level. Support levels are found below $60 at $56 and $51.
DASH/USD, 4-Hour Chart Analysis
Dash is still hovering around the $300 level within a lengthy consolidation pattern, with no change in the bullish long-term picture. The coin is likely to test the declining trendline soon, with resistance levels ahead near $330 and $360. Both the short- and long-term MACDs are in neutral territory now, with support below the current levels at $265.
XRP/USD, 4-Hour Chart Analysis
XRP failed at the $0.30 level once again following the spike higher yesterday, and it quickly moved lower, below $0.26 after the test. The technical setup remains unchanged despite the volatile moves, and a rally above the key resistance zone ahead is still likely, but more sideways action is possible before a decisive breakout. Support is still found at $0.24 and around the $0.22 level.
ETC/USD, 4-Hour Chart Analysis
Ethereum Classic attempted a rally above the short-term resistance at $12.50 again today in early trading, but the coin remained below the key level amid the broad decline in the segment. Above that line, further crucial resistance is ahead in the zone around $13.50, and short-term traders should still wait with opening new positions. Support is still found at $11 and $9, with more resistance at $16 and at $18.
XMR/USD, 4-Hour Chart Analysis
Monero held up well today amid the widespread move lower, and the coin still looks set to tackle the $100 resistance in the coming days. With the long-term picture still being encouraging, and the MACD showing neutral readings, a move towards $125 is likely in the coming period, as support is found near $80, and below that at $68.
IOTA/USD, 4-Hour Chart Analysis
IOTA is still stuck below the crucial $0.45-$0.48 support/resistance zone, and the declining short-term remained intact. That said, the long-term setup points to a rally towards $0.56 and $0.64 in the coming weeks, while support is found below the current price level at $0.35.
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