<img height="1" width="1" style="display:none" src="https://q.quora.com/_/ad/f36e97ab990e4ac69c2734d14b05a7cc/pixel?tag=ViewContent&amp;noscript=1">

Blog > Industry > Articles

Bitcoin Falls Further But Relief May be in Sight

  Bitcoin (BTC/USD) fell for another week but is slowing in its slide as it tests the September 2017 low and the June 2017 high.
What is Bitcoin

Table of Contents

 

Bitcoin (BTC/USD) fell for another week but is slowing in its slide as it tests the September 2017 low and the June 2017 high.

BTCUSD_daily_technical_analysis-1

BTC/USD is still under pressure this coming week with its downsloping weekly MACD.

But with the weekly Stochastics nearing once again the lower limit of zero, and Stochastics leading the MACD in its sensitivity to shifts in momentum, BTC/USD could soon see some positive action.

Bulls should not get overly excited yet. They will want to wait for a break above the downtrend resistance line connecting the December 2017 and November 2018 highs. This would signal a more sustainable, longer-term basing pattern.

BTCUSD_weekly_technical_analysis-1

 

What's the best move to make when the market is bearish? There are a few options. You may wish to take a step back and wait it out or you could trade on margin and short the rallies. If margin trading isn't for you, you can lend your crypto and earn interest

Ethereum at descending wedge support

ETHUSD_daily_technical_analysis

Ethereum (ETH/USD) slid slightly further this past week to what is arguably descending wedge support (on the weekly chart).

Given the bottomish daily RSI, Stochastics and MACD, along with the bottomish weekly equivalents (especially with weekly Stochastics nearing the lower limit of zero), risk:reward is becoming increasingly favorable for bulls.

Before longer-term bulls look to establish fresh longs, they'll want to see the weekly RSI, Stochastics and MACD decisively turn up. Bears meanwhile looking to initiate shorts will need to be cautious.

A successful break this week above descending wedge resistance (on the weekly and daily chart) would likely be quickly followed by a test of the USD100 whole figure level.

ETHUSD_daily_technical_analysis

XRP finds support

XRPJPY_daily_technical_analysis-1

XRP (XRP/JPY) ceded more ground this past week but appears to be finding support at a line connecting the August, September and December lows.

A bounce off this support this week will likely coincide with a test of the psychologically key 50 whole figure level, and continue a pattern of higher lows (in December versus the August and September lows). 

With the bottomish daily RSI, Stochastics and MACD, XRP/JPY may not retest the 2018 low, especially if the tentatively bottomish signals of Ethereum (ETH/USD) on its weekly and daily chart boost sentiment. 

Before longer-term bulls become excited, they'll want to note that the oversold readings on the daily RSI and Stochastics can persist for a month or so, and should be accompanied by the same bottomish patterns on XRP/JPY's weekly chart to improve the chances of a sustainable bounce.

Trade Now

Share this article

  • Share on Twitter
  • Share on Facebook
  • Share on LinkedIN
  • Share on Telegram
  • Share Link

Related Articles

February 25, 2020

A Look into Unibright, a Blockchain Solution...

Unibright is a blockchain solutions provider enabling enterprise blockchain integration, tokenization and much more....
September 28, 2021

El Salvador Adopts Bitcoin - The Good, the...

When El Salvador’s president Nayib Bukele said his country “has the right to move towards the first world,” the...
January 17, 2022

Top 10 Crypto News Sites and Blogs to Follow...

The media has inflated to a point where it gets harder to find useful information every day. All the while being...