Bitcoin price started a fresh increase after forming support near $10,000. BTC/USD climbed above $11,500, but it struggled to clear $12,000. The price is currently correcting lower, but it remains well supported above $10,500 and $10,000.
Conversely, upsides were capped in major altcoins such as binance coin (BNB), Ethereum (ETH), ripple (XRP), bitcoin cash (BCH), litecoin (LTC), stellar (XLM), ADA, EOS, and TRX. They are currently trading above key supports and they could either extend losses or start a decent upward move.
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- Bitcoin price climbed towards the $12,000 resistance area before correcting lower.
- Ethereum price is following a major bearish trend line with resistance near $296.00.
- Ripple price is struggling to hold a crucial support near the $0.3800 level.
- EOS price seems to be preparing for the next move either above $6.00 or below $5.55.
- PLAY, DXR, IZI and OVC rallied more than 200% in the past 7 days.
Bitcoin Price Analysis
This week, bitcoin price formed a decent support base near the $10,000 level and started a fresh increase above the $10,500 and $11,000 resistance levels. BTC/USD even cleared the $11,500 resistance spiked above the $12,000 level before starting a downside correction.
Bitcoin Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price gained momentum after it broke the $11,000 resistance and the 21 simple moving average (4-hours). Finally, the price spiked above the $12,000 level and traded to a new swing high at $12,063.
Later, it started a downside correction below the $11,800 and $11,500 support levels. There was a break below the $11,450 level plus the 23.6% Fib retracement level of the upward move from the $9,728 low to $12,063 high.
The price is currently trading just above the $11,000 support and the 21 simple moving average (4-hours). If there are more losses, the price could test the $10,900 support area.
The 50% Fib retracement level of the upward move from the $9,728 low to $12,063 high is near the $10,900 level to act as a support. Any further losses might accelerate the correction towards the $10,500 support area.
If the bulls fail to defend the $10,900 or $10,500 support, bitcoin could trim recent gains and decline back towards the $10,000 handle.
Conversely, if there is a fresh increase, the $11,800 and $12,000 levels are likely to act as key resistances. There is also a major bearish trend line forming with resistance near $12,000 on the same chart.
Therefore, a daily close above $12,000 is needed for more upsides towards $12,500 and $12,800. On the downside, the main supports are near $10,900 and $10,500.
Ethereum Price Analysis
Ethereum price also started a short term upside correction from the $272.99 swing low. ETH traded above the $280.00 and $290.00 resistance levels. However, it seems like the $300.00 handle acted as a strong resistance and prevented more gains.
Ethereum Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price traded above the $285.00 resistance and the 21 simple moving average (4-hours) in the past few days.
There was also a break above the 23.6% Fib retracement level of the last decline from the $325.04 high to $272.99 low. However, the price struggled to clear the key $300.00 resistance level.
Moreover, the price failed to stay above the 50% Fib retracement level of the last decline from the $325.04 high to $272.99 low. Besides, the price is following a major bearish trend line with resistance near $296.00 on the same chart.
To start a decent upward move, Ethereum price must break the trend line and settle above $300.00. On the downside, an initial support is near the $280.00 level. If the price breaks $280.00, it could even break the $272.99 swing low.
Below $270.00, the price could test the main $260.00 support area, which acted as a solid buy zone on many occasions earlier.
Ripple Price Analysis
Ripple price remained in a bearish zone below $0.4200 this week against the US Dollar. Bitcoin and Ethereum showed a few signs of recovery, but the XRP/USD pair remained under a lot of pressure and upsides were capped near $0.4100.
Ripple Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price settled below the key $0.4200 support level plus the 21 simple moving average (4-hours). There was a steady decline below the $0.4120 and $0.4050 support levels.
The price even broke the $0.4000 support level and is currently struggling to hold the main $0.3800 support level. The recent low was near $0.3780 and the price is currently consolidating.
An immediate resistance is near the $0.4000 level or the 23.6% Fib retracement level of the last drop from the $0.4297 high to $0.3783 low. There is also a declining channel forming with resistance near $0.4000 on the same chart.
As long as the price is below $0.4000, it remains at a risk of more losses below $0.3800. On the upside, above $0.4000, the 50% Fib retracement level of the last drop from the $0.4297 high to $0.3783 low is near the $0.4050 level.
However, the main resistances are near the $0.4080 and $0.4100 levels. Only a close above $0.4100 might decrease selling pressure on ripple in the near term.
On the downside, if there is a break below the $0.3800 support, the price could accelerate losses. The next key supports are near the $0.3720 and $0.3500 levels.
EOS Price Analysis
EOS price retested the $5.550 and $5.600 support levels against the US Dollar. It found a strong buying interest and recovered above the $5.750 and $5.800 resistance levels, but upsides remain capped.
EOS Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price formed a swing low at $5.565 and recovered above the $5.750 resistance area. There was a break above the 50% Fib retracement level of the last decline from the $6.396 high to $5.565 low.
There was even a break above the $6.000 resistance and a close above the 21 simple moving average (4-hours). However, the price struggled to hold gains and topped near the $6.100 resistance.
It seems like EOS price was rejected near the 61.8% Fib retracement level of the last decline from the $6.396 high to $5.565 low. As a result, the price declined again below $5.800 and the 21 simple moving average (4-hours).
It is currently trading well above the $5.550 and $5.600 support levels, and it seems like there is a breakout pattern forming with resistance near the $5.950 on the same chart.
If there is an upside break above the $5.950 and $6.000 resistance levels, the price could start a decent rise towards the $6.100 or $6.400 levels. Conversely, a break below the $5.550 and $5.600 support levels could push the price towards the $5.200 level.
During the past 7 days, a few small cap altcoins climbed higher and gained more than 100%, including PLAY, DXR, IZI, OVC, MFB, LIT, LQD and SCC (trading volume more than $50K). Out of these, PLAY rallied around 230% and DXR gained nearly 220%.
Overall, bitcoin price is facing a strong resistance near the $12,000 level. If BTC/USD continues to struggle, it could extend the current correction towards $10,500 or even $10,000. In the mentioned scenario, there could be additional losses in major altcoins such as Ethereum, ripple, bitcoin cash, litecoin, XLM, ADA, TRX, EOS, ICX, BNB, XMR, NEO, and WTC.
The market data is provided by TradingView, Bitfinex.
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