The last couple of days saw a distinct short-term uptrend in the cryptocurrency segment, which brought the total market value to over $ 215 billion. The move was driven in particular by Ripple, Bitcoin Cash, EOS and Stellar, but on a positive note, the rally is much wider than the recent bullish waves.
Stellar / USD, 4 hour chart analysis
While segment-level technicians have not improved much yet, with most majors still stuck in downtrends and under structurally significant levels of resistance, the current move finally has the potential to form bullish leadership.
This caution is still justified, especially considering the weak inflows in the Ethereum and Bitcoin markets. Our trend model is still overwhelming with regard to long-term signals, but the rally has already triggered short-term updates.
Should the majors establish a model of higher highs and lower lows following the recent long consolidation period, a large upward base formation could form. We will take a look at this possibility in our analysis of the long-term cryptocurrency in the coming days.
BTC / USD, 4 hour chart analysis
After Bitcoin avoided a $ 6275 level test, it returned to the previous narrow trading interval, but the most valuable currency failed to participate in the rally so far, remaining well below the $ 6500 level. operators should not yet enter new positions, even if the long-term technical configuration is still neutral, the short-term sales pressure remains evident. The currency faces a further strong resistance, at $ 6750 and $ 7000, while support levels are at $ 6000 and $ 5850.
Ripple Eyes New Upswing as Ethereum fights with resistance
XRP / USD, 4 hour chart analysis
Undulation regained its relative strength after a short downward period, and the third largest coin managed to overcome the resistance level of $ 0.51, reaching its highest level since the beginning of October and giving the bulls hope that the September break-out is still alive. The XRP has avoided a long-term sales signal despite long consolidation, and now even a renewed buy signal is a possibility, if the currency were to move durably beyond the resistance of $ 0.54.
For now, XRP is on a short-term purchase signal in our trend model, and if the currency were to rise to a higher level, it would create a new uptrend. Ripple still faces strong resistance near $ 0.57, with targets above $ 0.64 and $ 0.75 while the $ 0.42- $ 0.46 zone provides long-term support.
ETH / USD, 4 hour chart analysis
Ethereum has risen well above the key $ 200 level thanks to the broad rally, and the currency is testing the short-term resistance zone close to $ 215, despite being close to a long-declining trend line term. Given the stiff resistance just before the currency, the price level of $ 235 and another downtrend line, traders should not yet enter positions here at least up to a model of higher highs and lower forms .
Above $ 235, the next level of interest is at $ 260, with support levels found at $ 180 and $ 170, and the long-term setting is still clearly bearish, despite the current recovery attempt. .
EOS / USD, analysis of the 4-hour chart
EOS has established a short-term model of higher highs and higher lows, triggering a buy signal in our trend model, but since the long-term trading range remains intact, the long-term sales signal it is still in force.
The position of EOS well describes the current duality in the segment and, especially following the prolonged period of low volatility, the current move may already seem to be a turning point, even if long-term technical models have hardly changed. EOS faces strong resistance at $ 6 and $ 6.5, while support levels are close to $ 5.35, $ 5 and $ 4.55.
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Disclaimer: the analyst possesses cryptocurrency. It holds investment positions in currencies, but does not carry out short-term or day-trading transactions, nor holds short positions on any of the currencies.