Cryptocurrencies attached to the technical conditions; hard to see the upside
InvestingOnline.com
16/07/2018, 06:41Cryptocurrencies have some attraction to the 20-day moving averages as major cryptos are like a pegged to that level in their charts. Pairs rose over the weekend, but moving averages had their say.
Bitcoin rose over the weekend, but the 20-day moving average contained it
BTCUSD daily chart July 16
After falling 10% from July’s nine highs at 6,837, the BTC/USD managed to find support at the 6,080 area on July 12. Then, the pair recovered ground over the weekend, but the 20-day moving average capped the move at 6399.
Bitcoin is opening the week at 6,360, 0.20% positive on the day. Technical conditions are pointing to the downside with moving averages aligned to the south, and MACD suggesting more bearishness.
If the pair managed to break above the mentioned 20-day moving average, it would find next resistances at 6,720. Above that, 6,850 and 7,060 will be the next frontier.
To the downside, the BTC/USD should maintain the 20-day moving average intact and turn south below the 6,060 to open the door for more bullishness, The ultimate frontier, for now, is the 5,780 area.
Ethereum got a bright Sunday, but pair remains subdued by moving averages
ETHUSD daily chart July 16
ETH/USD advanced around 4% on Sunday as the pair rose from the 430.00 area to test the 20-day moving average around 453.00. However, that level seems too much for the crypto, and it is back to 445.00.
Currently, Ethereum is trading 0.10% positive on the day as it is trading at 449.75. To the upside, the pair needs a close above the 20-day moving average to go then to test the 495.00 level and the 50-day moving average at 501.70. Above that, 545.00 is the last frontier.
To the downside, ETH/USD will find next supports at 420.00 and the 402.00 areas. Technically, Ethereum is showing some revival signals, but the move is weak too.
As per context, Bitcoin Cash is trading in consolidation mode; technical doesn’t call for upside. On the same framework, Ripple is oversold as it has moving averages to the downside.
