Bitcoin price rallied strongly above $6,200 and $6,300 in the past few days. BTC remains in an uptrend, but it seems to be approaching a couple of important resistances near $6,400 and $6,500.
Conversely, major altcoins failed to climb higher. There were swing moves in binance coin (BNB), Ethereum (ETH), ripple (XRP), bitcoin cash (BCH), litecoin (LTC), stellar (XLM), ADA, EOS, and TRX. They are holding key supports and might attempt to rebound once bitcoin corrects lower.
- Bitcoin price surged higher above the $6,000 and $6,250 resistances.
- Ethereum price climbed above $170, but it is facing many hurdles near $178 and $180.
- Ripple price declined recently and traded close to the $0.2900 support area.
- EOS price tested the $4.60 support level and it is currently moving higher.
- JCT and IOV surged more than 300% in the past 7 days.
Bitcoin Price Analysis
This week, bitcoin price formed a strong uptrend and broke the key $5,650 and $5,750 resistances. BTC rallied above the $6,000 and $6,200 resistance levels to post a new multi-month high. More importantly, the bulls were unfazed near the $6,200 resistance level and the price extended gains recently.
Bitcoin Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price gained momentum after it settled above the $6,000 resistance and the 21 simple moving average (4-hours). There were multiple spikes above the $6,200 level and the price recently surged above the $6,300 resistance.
A new 2019 high was formed at $6,385 and the price is clearly placed in a solid uptrend. An initial support on the downside is near $6,295, and the 23.6% Fib retracement level of the recent wave from the $6,006 low to $6,386 high.
The main support is near the $6,200 level plus the 50% Fib retracement level of the recent wave from the $6,006 low to $6,386 high. There is also a crucial ascending channel in place with support near $6,150 on the same chart.
Therefore, if the price corrects lower, it is likely to find a strong buying interest near the $6,200 and $6,150 levels. If there is a downside break below the channel support, the price could test the $6,000 support or the 1.236 Fib extension level of the recent wave from the $6,006 low to $6,386 high at $5,917.
Conversely, if bitcoin price extends rally above $6,380 and $6,400, the next stop for the bulls could be near the $6,500 level. Above $6,500, the price is likely to face a strong barrier near $6,800-6,850 (as discussed in the recent bitcoin price analysis using the daily chart).
Ethereum Price Analysis
Ethereum price started a slow and steady from the $156.00 support level. ETH above the $160.00 resistance level to start a decent rebound towards $175.00 and $180.00.
Ethereum Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price rallied recently above the $185.00 level and the 21 simple moving average (4-hours). A new monthly high was formed near $191.95 and recently the price corrected lower sharply.
It broke the $178.00 support and retested the $170.00 support level. A swing low was formed at $169.15 and the price is currently moving higher. It broke the 23.6% Fib retracement level of the last drop from the $191.95 high to $169.15 low.
However, the $178.00 resistance and the 21 simple moving average (4-hours) are currently acting as resistance. The 50% Fib retracement level of the last drop from the $191.95 high to $169.15 low is also near the $180.00 level to prevent gains.
If the price breaks the $178.00 and $180.00 resistance levels, it could climb higher towards the $190.00 and $192.00 levels.
Conversely, if Ethereum price declines again, it could find support near $171.00 and a major bullish trend line on the same chart. Only a close below the $170.00 support might push the price back towards the $165.00 or $164.00 support.
Ripple Price Analysis
Ripple price struggled on many occasions to clear the $0.3250 and $0.3300 resistance levels against the US Dollar. As a result, XRP/USD started a fresh decline and broke the key $0.3090 support area to enter a bearish zone.
Ripple Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price declined below the $0.3050 support and the 21 simple moving average (4-hours). It even broke the $0.3000 support and traded as low as $0.2945 recently.
It is currently correcting higher above $0.2950, and the 23.6% Fib retracement level of the recent decline from the $0.3234 high to $0.2945 low.
However, there are many resistances on the upside near the $0.3080, $0.3090 and $0.3100 levels. The 50% Fib retracement level of the recent decline from the $0.3234 high to $0.2945 low is also near the $0.3090 level to act as a resistance.
Moreover, there is a crucial bearish trend line in place with resistance near $0.3160 on the same chart to stop the upward move.
As long as the price is below $0.3100, it remains in a bearish zone. An immediate support is at $0.2960, below which there is a risk of more losses below the $0.2945 level. The next major support area for the bulls is near the $0.2900 level.
If there more losses below $0.2900 and $0.2880, ripple could slide sharply towards the $0.2800 support in the near term.
EOS Price Analysis
EOS price topped near the $5.45 and $5.50 resistance levels against the US Dollar. As a result, the price started a downward move and broke the $5.20 and $5.10 support levels.
EOS Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price even broke the $5.000 support level and the 21 simple moving average (4-hours). It tested the key $4.600 support area and formed a swing low at $6.609.
Recently, it corrected higher sharply above $4.800 and the 50% Fib retracement level of the last decline from the $5.178 high to $4.609 low. However, the upside move was capped by the $4.960 and $5.000 levels.
Besides, the 61.8% Fib retracement level of the last decline from the $5.178 high to $4.609 low also prevented gains. More importantly, there is a key bearish trend line in place with resistance near $5.040 on the same chart.
The price must clear the $5.000 resistance and the trend line to climb further higher. The next key resistance could be $5.178. The final bull target might be $5.300 or the 1.236 Fib extension level of the last decline from the $5.178 high to $4.609 low.
Overall, EOS price remains well supported above $4.600 and $4.500. On the upside, the bulls need to gain traction above $5.000 to start a fresh increase in the near term.
During the past 7 days, a few small cap altcoins jumped higher and gained more than 100%, including JCT, IOV, XBX, FIII, ABT, VOLLAR, JOT and ERC20 (trading volume more than $50K). Out of these, JCT rallied around 350% and IOV gained nearly 320%.
Overall, bitcoin is placed in a strong bullish trend above $6,000 and it may test the $6,400 or $6,500 resistance. Once BTC starts a downside correction, there are chances of a decent recovery in most major altcoins, including Ethereum, ripple, bitcoin cash, litecoin, XLM, ADA, TRX, EOS, DASH, BNB, XMR, NEO, and IOTA.
The market data is provided by TradingView, Bitfinex.
View original post