13.4 C
Manchester
May 23, 2019
Image default
altcoin

Crypto Update: Coins Struggle to Gain Momentum as Sellers Remain in Control

Despite the recovery during the weekend, the major cryptocurrencies failed to gain substantial ground, with even the relatively stronger coins getting stuck below their recent short-term swing highs. Most of the top coins are now back below their initial panic lows, and despite the recent stability and the strength in some of the coins, the long-term setup is still overwhelmingly bearish in the segment.

That said, given the still horrible sentiment and the steep losses of the past few weeks, at least a more sustained consolidation period is likely, even as odds favor the continuation of the bear market from a broader perspective. The recent consolidation range is intact in the case of most of the coins, so our trend unchanged despite the recent swings in both directions.






BTC/USD, 4-Hour Chart Analysis

Bitcoin fell back below the key $4000-$4050 zone despite recovering above it during the weekend, and although the coins are still well above the recent bear market low.BTC failed to show bullish follow-through, and a new short-term uptrend still hasn’t been established.

With that in mind, even as the coin is on a short-term buy signal in our trend model, traders should only consider ultra-short-term positions with strict risk management, as further strong resistance is ahead near $4450 and between $5000 and $5100, with support found near $3600 and $3000.

ETH/USD, 4-Hour Chart Analysis

Ethereum remains among the weakest majors, being stuck well below the key $120 level, even as it continues to hold up above the $95-$100 support and the recent bear market low. For now, the neutral short-term trend signal is in place, but given the coin’s weakness, traders and investors should still stay away from ETH here, with further resistance above $120 ahead near $130, $150, and $160.

Altcoins Still Weak Across the Board





XRP/USDT, 4-Hour Chart Analysis

Ripple still failed to regain its relative strength, and it formed a volatility compression pattern before moving lower today below the $0.3750 and $0.3550 support/resistance levels, triggering a renewed sell signal in our trend model.

Traders and investors still shouldn’t enter positions here, with resistance ahead near $0.40 and in the key long-term $0.42-$0.46 zone, and with support found near $0.32 and $0.30.

Litecoin/USD, 4-Hour Chart Analysis




Litecoin fell back to the $30.50 support level after failing to rally sustainably above the key $34.50 resistance level, but despite the current weakness, the coin remains relatively strong compared to the other major altcoins and our trend model remains on a short-term buy signal.

LTC could still rally up to the next $38 resistance level, but traders should still only consider ultra-short-term positions in the coin, given the bearish backdrop in the segment. The prior bear market low provides support near the $26 level, and the long-term picture remains clearly bearish.

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.

Related posts

Trade Recommendation: Golem

admin

The Ultimate Guide to Augur Sports Betting on the Blockchain

admin

Why Investors Should Pay Attention to NMR

admin

1 comment

ergfirnolikz January 10, 2019 at 6:56 pm

It?¦s actually a cool and helpful piece of info. I am satisfied that you simply shared this useful information with us. Please keep us up to date like this. Thank you for sharing.

Reply

Leave a Comment

* By using this form you agree with the storage and handling of your data by this website.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More