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Market data is provided by the HitBTC exchange.
The US Securities and Exchange Commission (SEC) postponed its decision on the Proposed ETF (Bitcoin Exchange Traded Fund) by VanEck Associates Corp. and SolidX Partners Inc. The agency should make a decision by September 30th.
The delay should not worry investors because the proposal of the ETF has not been rejected yet, it has just been postponed. However, speculators and short-term traders who had hoped for a green light, have unloaded their positions. As a result, the total market capitalization of cryptocurrencies is now around $ 228 billion, 24% less than the July 27 billion of $ 300 billion.
Although the price of Bitcoin dropped along with the altcoins, its dominance approached 49 percent. This shows that the main virtual currency is still favored by investors, compared to the alternatives. When institutional money begins to flow, we expect the major digital currencies to be the main beneficiaries. Therefore, it is better to keep them eye.
Will the bear market reaffirm or is it a good buying opportunity? Let's find out.
BTC / USD
Bitcoin has dismantled the 50-day SMA and is reaching the critical support level of $ 6,000. This support took place on three previous occasions. Therefore, we expect the bulls to try to defend this line once again.
As long as the BTC / USD pair remains above $ 6,000, it remains within a wide range. If support breaks down, the digital currency will weaken and can quickly fall to the next support at $ 5.450 and below $ 5,000.
The RSI is close to the oversold levels, which usually results in a pullback. Therefore, we expect a withdrawal from the area of $ 5,910.65 – $ 6.075.04.
So, traders should buy in anticipation of a pullback?
Not really. It is better to wait for the pullback to materialize before the cherry picking at the lows.
We watch for a couple of days and then make the call, depending on how the pair behaves around the $ 6,000 level.
ETH / USD
We anticipated a break and this is what happened. at $ 404.99 on August 7th and approached the next support at $ 358.
If bears force a break below the $ 350 support zone – $ 358, the pair ETH / USD may decline to the next support at $ 280.
If the support is valid, the bulls face a stiff resistance at $ 404.99 and the 20-day EMA. We will wait for a new configuration for purchases before suggesting a trade on it
XRP / USD
Bears forced a break of the $ 0.4242 level on August 6, which resulted in a lengthy liquidation, like a series of stops would have been hit. Ripple went under our first goal of $ 0.37942 and is fast approaching the next target of $ 0.32862.
Below $ 0.32 , the next major support on the XRP / USD pair is much lower than $ 0.24001, a level seen last December 12, 2017. A decline at this level will complete a 100% retracement of the entire market bullish started in mid-December 2017.
Previous support of $ 0.4242 will now act as a resistance on any withdrawal, we will have to wait for the virtual currency to stop falling before attempting
BCH / USD
Over the line of $ 619,751, Bitcoin Cash aims to test the next support at $ 537.8221. If this support breaks down, the fall can extend to $ 400.  The RSI is approaching a to oversold levels, which could result in a pullback. Therefore, we expect strong support between $ 537.8221 and $ 619.7510.
The BCH / USD pair has a history of vertical rallies, so we could suggest a long position as soon as we discover that its trend changes from low to high.
EOS / USD
EOS interrupted the interval and is now achieving lower target levels of $ 5.1 and $ 4.3396.
We expect strong purchases in the area of $ 3.8723 – $ 4.3396, but traders should wait for the charts to confirm our expectations. should be taken on the basis of assumptions, but rather on the models that are formed on the charts.
The EOS / USD pair has been outperforming since it is still quoting above the lows of March and April. .
LTC / USD
Litecoin closed below the support of $ 74,074 at August 6 and continued with a sharp decline the following day.
The next level to keep an eye on is the $ 57 goal. below this level, the next support is in the $ 48- $ 52 zone.
Even though the RSI is goes into oversold territory, history suggests that the LTC / USD pair only rebounds from deeply unsold levels. We will wait for the decline to end and for a fund to be formed before proposing long positions on it
ADA / USD
The bulls are trying to provide support close to the June 29th low of $ 0.111843, but if Cardano can not quickly climb above $ 0.13, a steeper fall is likely. The next downside support is $ 0.078215. If even this support breaks down, the pair will become very negative.
The RSI it is close to the oversold levels, so a rebound can not be ruled out, however any attempt to retreat will have to face a stiff resistance at the $ 0.13 mark and above it at 20 -day EMA.
Traders should buy the ADA / USD pair only after confirming a minimum and changing its trend from the bottom to the top.
XLM / USD
The 50-day SMA failed to provide support and Stellar resumed the correction next support at $ 0.184.
Any attempt to recover will face a stiff resistance to the SMA of 50 days and the 20-day EMA, but the XLM / USD pair is outperforming as
Traders should wait for evidence of sustained purchases before starting any long position.
IOTA / USD
After the bulls failed to sustain above the $ 0.9150 level on August 5, IOTA declined on August 6th. It currently plummets towards its model target of $ 0.5721. If even this level fails to provide support, the decline may extend to the next support zone of $ 0.5 – $ 0.52.
The RSI it is close to the oversold levels, which previously caused a pullback, however, as the IOTA / USD has a firm grip, we will not attempt to grab a falling knife.
We will wait for a fund to form before jumping in. Until then, it is better to stay on the sidelines.
TRX / USD
Tron is broken under the support of $ 0.0281344 and is now going towards the next critical support of $ 0.022806. The RSI is close at oversold levels, which shows that the sale was excessive in the short term
The TRX / USD pair did not break below $ 0.0228 06 since 22 December of last year, so we expect strong purchases at these levels.
If this long-term support is not maintained, the virtual currency will become extremely negative. We will look for a few days before suggesting long positions.
Market data is provided by the HitBTC exchange. Analysis charts are provided by TradingView.