- Cryptocurrencies made another move higher with another consolidation as Blockstream sends another satellite to space.
- The moves are the opposite of a “dead cat bounce” and represent a healthy recovery.
- Here are the levels to watch according to the Confluence Detector, our proprietary tool
The crypto comeback continues. Among the recent news items, we learned that Blockstream expanded its presence above the blue planet by sending its fifth satellite to space. Another piece of positive news came from Mike Novogratz that sees a bottom coming to Bitcoin prices.
The recent moves in cryptos are two steps up, one step down. Every move is followed by consolidation without a significant retreat in the prices of digital coins. We are witnessing the exact opposite of the infamous “dead cat bounces” that we have seen until last week.
BTC/USD already braces for levels above $4,000
Bitcoin, the granddaddy of cryptocurrencies faces a medium-sized hurdle at $3,770 where we see the convergence of the Pivot Point one-day Resistance 1, the Bollinger Band 15-minute Upper, the previous 4h-high, the BB 4h-Upper, and the PP one-week R2.
However, the more significant resistance line awaits at $4,199 where the all-important Fibonacci 23.6% one-month awaits BTC/USD.
Looking down, significant support awaits at $3,655 which is the confluence of the previous weekly high, the BB 1d-middle, the BB 1h-middle, the Fibonacci 23.6% 1d, and the Simple Moving Average 5-4h.
The most substantial support is at $3,500. Apart from being a round number, it is the PP 1w-R1, the SMA 100-4h and it is followed by the previous month’s low, and the Fibonacci 61.8% 1w.
ETH/USD can rest above $101, looking at $113.80
Vitalik Buterin’s coin finally recaptured the $100 level and now battles $103 where we see a dense cluster including the SMA 5-1h, the SMA 5-15m, the BB 15m-Middle, the previous day’s high, and the SMA 10-1h.
Ethereum faces a few resistance levels on the way up, but the most significant cap and upside target is at $113.80 where we see the meeting point of the PP 1w-R3 and the SMA 200-4h.
Support for ETH/USD awaits at $101 which is a fierce floor level including the previous monthly low, the Fibonacci 23.6% one-day, the SMA 5-4h, last week’s high, the Fibonacci 38.2% one-day and the BB 1d-Middle.
XRP/USD may need to wait before taking $0.40
Ripple has run fast and hard and now eyes a tough cap at $0.3825 which is the convergence of the Fibonacci 23.6% one-month and the previous 4h high.
If it manages to overcome that level, the next cap is at $0.4170 where we see the Fibonacci 38.2% one-month.
Support awaits XRP/USD at $0.3670 which is the confluence of the PP one-day R1 and the SMA 200-4h. The next level to watch is close: $0.3555 where the PP one-week R3 meets the SMA 5-4h and the previous daily high.
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