The crypto gang fell back in the red last week, led by a 7.86% loss for bitcoin and a 5.07% slump for BCH.
XRP is at the top of the pile but is still looking at a 4.10% loss.
Check out this ranking of bitcoin and its buddies for the past seven days:
Bitcoin?is still in consolidation mode as price formed lower highs and slightly lower lows to trade inside a falling wedge pattern on its 1-hour chart.Price just bounced off the wedge resistance, which happened to line up with the 100 SMA dynamic inflection point, and might be setting its sights back on support.
Sellers could have the upper hand as the 100 SMA is below the 200 SMA, but the bullish divergence on Stochastic is suggesting otherwise. See how the oscillator formed lower lows but the price had higher lows?
Ethereum?might be in for a reversal from its short-term climb as price forms a head and shoulders pattern on the 1-hour time frame.Price has yet to test the neckline around $190 and break below it to confirm that a selloff is in order. If a breakdown occurs, ETH could slide by at least the same size as the reversal formation.
On the other hand, the 100 SMA is below the 200 SMA to hint that support is more likely to break than to hold. ETH is also moving below both indicators, so these could keep holding as nearby dynamic resistance levels.
Litecoin?could also be in for a downtrend as it created a head and shoulders pattern, this time on the 4-hour chart.The 100 SMA just crossed below the 200 SMA to confirm that bearish pressure is picking up, possibly enough to spur a break below the neckline at $40. If so, litecoin could slide by the same height as the chart formation, which spans around $10.
Downside momentum is also confirmed by Stochastic, which is currently heading south. Just be careful since the oscillator is closing in on the oversold region to signal exhaustion among sellers soon!
XRP/USD: 1-hourFibonacci extension tool.
The 38.2% level is just close by at 0.1853 then the 50% Fib lines up with the swing low to serve as a strong support level. Sustained selling pressure could drag XRP further south to the 61.8% level at 0.1712 or the full extension at 0.1485.
Stochastic was in the middle of pulling higher but seems to be changing its mind halfway through. Meanwhile, the 100 SMA just crossed below the 200 SMA to confirm that bearish vibes are getting stronger.
Just be warned, there is a considerable amount of risk in trading cryptocurrencies due to their inherent volatility and sensitivity to headlines. Be careful out there!