The major cryptocurrencies are still trading with low volumes and low volatility across the board, with now even the recently active Ripple settling down within its triangle consolidation pattern. The total value of the market is virtually unchanged compared to the previous weekend, hovering around the $220 billion level. Yesterday’s bounce quickly lost momentum, and although today’s dip is very shallow, the broader bearish trends remain dominant in the segment.
EOS/USDT, 4-Hour Chart Analysis
EOS has seen above-average activity e past couple of days, but despite yesterday’s rally, the technical setup is unchanged, and the coin remained on short- and long-term sell signals in our trend model as well. While some of the smaller coins, like Tron and Binance Coin made more technical progress, that didn’t change the overall short-term outlook for the majors.
BTC/USD, 4-Hour Chart Analysis
While some of the small-cap coins experienced buying in recent days, the top coins haven’t shown meaningful bullish momentum, and although Bitcoin managed to stay above the $6500 level, it remains in dangerous technical position from a long-term perspective.
The coin is hovering just above the lower boundary of a triangle consolidation pattern, and that weak trendline will likely be tested in the coming days. A move below it would likely open up the way towards the key long-term support zone near $5850, with only the $6275 and $6000 levels providing support above it. Resistance is ahead at $6750 and $7000 and traders and investors still shouldn’t enter new positions here.
Major Altcoins Suspiciously Weak
XRP/USDT, 4-Hour Chart Analysis
Ripple has been drifting lower in a very narrow trading range for days now, staying within a broader triangle consolidation pattern as well. Right now, the $0.51 level is in the center of attention, since the coin rejected the $0.54 level.
The coin remained on short- and long-term buy signals, despite the recent weakness, but a short-term downgrade is close, especially given the bearish segment-wide trends. Further support is found in the $0.42-$0.46 zone, while resistance levels are ahead near $0.57 and $0.64.
ETH/USD, 4-Hour Chart Analysis
Ethereum has been faring a bit better than Ripple in the past couple of days, but it is still stuck clearly below the $235 resistance, and below a declining short-term trendline too. The second largest coin is still clearly in a declining long-term trend as well, and although the neutral short-term trend signal is in place, odds favor a move below $200 and a test of the bear market lows near $170 in the coming weeks.
Further support is found near $180 and $160, while resistance is ahead near $260 and in the $275-$280 zone, and traders and investors still shouldn’t enter new positions in ETH.
LTC/USD, 4-Hour Chart Analysis
Litecoin continues to trade above the crucial $56 level, as it settled down together with the broader market, despite the recent trendline break, but the coin is both on short- and long-term sell signals in our trend model.
The declining long-term trend is clearly intact, and a move below primary support would likely trigger a test of the $51 level. Further support is found near $44, while resistance is ahead near $59 and $64.
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Disclaimer: The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.