The cryptocurrency segment continues to be relatively quiet, with the counter-current rally still intact in the market for the best coins. While Ethereum attempted to move to new correction highs in the last 24 hours, the relatively strong currency failed to come out substantially and withdrew in the second half of the day.
Despite the failed move, ETH and the other, the relatively weaker majors are all stable and the key support levels are not in jeopardy. The volatility and correlations remain low, and the odds continue to favor the continuation of the countertrend movement, even if the long-term picture remains overwhelming in the segment, and a bear market minimum test is still likely in the coming months.
On a negative note, we have not seen signs of bullish rotation in the market, which means that weaker comparatively weaker currencies, such as Ripple and Bitcoin, continue to lag behind the leaders, and even leaders are not able to break long-term trends. With this in mind, operators should still consider only short-term positions with strict risk management rules.
BTC / USD, 4 hour chart analysis
The technical configuration in the Bitcoin market remained unchanged, with the currency still stuck below the $ 4000- $ 4050 resistance zone, although clearly above the $ 3600 support. While the short-term purchase signal is still in place in the Our trend model, excluding a move above the short-term interval, traders should focus on the leaders of the movement, since BTC is still weak from a short-term perspective. Additional strength is between $ 5000 and $ 5050, while support below $ 3600 is close to $ 3250 and $ 3000.
ETH / USD, 4 hour chart analysis
Ethereum has established a short-term swing close to $ 145 after another failed rally attempt, and although the currency has strong resistance near $ 160, the relative strength of the short-term currency is still encouraging for the bulls here. The short-term uptrend is clearly intact and our trend model remains on a short-term purchase signal, even if the strong long-term downtrend is still dominant.
A move above $ 160 could pave the way for a $ 180 level test, with another level above the $ 200 level, but given the scale of the counter-current rally, over $ 180, even short-term positions would become risky. Below the initial short-term level, support zones are still close to $ 130, $ 120 and between $ 95 and $ 100.
Volatility decline in all directions
XRP / USDT, 4 hour chart analysis
The ripple has fallen below the support level of $ 0.3550, triggering a neutral downgrade in our trend model from a short-term perspective, and the currency remains among the weakest majors. Even if a large rally would probably raise the currency, traders should remain cautious with the opening of new positions here, with the long-term setup being clearly bearish. The long-term key resistance is still ahead in the $ 0.42- $ 0.46 zone, with additional levels at $ 0.3750 and $ 0.40, while support is now close to $ 0.32 and $ 0.30.
LTC / USD, 4 hour chart analysis
While Litecoin continues to be weaker than before during the counter-current rally, it has remained stable over the last few days and is negotiating well above the $ 30- $ 30.50 support area, with a progressive decrease in volatility in the coin market.
We still expect the rally to continue in LTC, even if we consider the long-term downtrend, a move below the primary support could trigger a sales signal in our trend model. Additional support is close to $ 26, while key resistance zones are close to price levels of $ 34.50 and $ 38.
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Disclaimer: the analyst possesses cryptocurrency. It holds investment positions in the currencies, but does not carry out short-term or day-trading transactions, nor holds short positions on any of the currencies.