- The crytpo bears raise their ugly heads as we progress towards weekly closing.
- Bitcoin outperforms over the week when compared to the top 3 widely traded coins.
The world’s no. 1 digital coin, Bitcoin, has caught a fresh bid-wave and surrendered the 6k barrier yet again, as we head towards the weekly closing. Ethereum and Ripple also yielded into the broad crypto sell-off this Sunday, with the former emerging as the main laggard amongst the top 3 most dominantly traded digital assets. The total market capitalization of the top 20 cryptocurrencies now stands at $170.05 billion, as cited by CoinMarketCap.
The top three coins could likely resume Friday’s decline, with the FXStreet’s Confluence Detector tool suggesting key technical levels to watch out, as we step into a fresh week ahead.
BTC/USD: Bulls remain hopeful amid healthy support levels
With the sellers back in action, Bitcoin is likely to face the immediate resistance at 6191, the midline of Bollinger Band on 4-hour chart. Further north, 6255, the confluence of Fib 61.8% 1D and SMA5 4h, is likely to challenge the recovery attempts.
The coin will accelerate its recovery momentum once the above resistance is cleared, as the buyers will target Fib 23.6% 1W aligned at 6383.
Having said that, to the downside, the immediate support is now seen at 5871, the confluence of SMA5 1D and Previous Low 1 Day.
A failure to resist the latter will expose the strong support at 5743, Pivot Point 1 Month S3.
ETH/USD: Bearish bias intact while below 134
Having reversed sharply, Ethereum has breached the Fib 23.6% 1D support located at 129.0, with the downside now opening up towards Friday’s low of 115.80 amid a lack of significant support levels to cap the declines.
The recovery attempts will continue to face stiff resistance near the 134 area, where the SMA5 1H, Fib 61.8% 1D, Fib 38.2% 1W and SMA5 4H intersect.
Therefore, sell the bounce could emerge as the ideal theme for trading ETH/USD in the coming days, as explained here.
XRP/USD: 0.16 still remains elusive as bears have their way out
Ripple respected the rising channel breakdown and reached the pattern target at 0.1523, with the further downside still in play, in absence of strong support levels. The 0.1500 psychological level could be tested en-route the next barrier seen at 0.1469, Fib 61.8% 1W.
The coin will target the Pivot Point 1 Month S2 at 0.1452 should the bulls succumb to the bearish pressure.
Alternatively, the bulls will have to chew the offers at 0.1582 in order to re-attempt the 0.16 handle. Any substantial recovery will regain traction only a daily closing above the latter.
See all the cryptocurrency technical levels.