Altcoins paused from their recent rallies and some may be forming reversal patterns. Check out these charts to spot potential breakouts!
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:
Cryptocurrencies Price Performance from MarketMilk
BTC/USD: 1-hour
Bitcoin
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?
A breakout in either direction could lead to a rally or a selloff that’s around the same height as the wedge, so better keep an eye out for candlesticks closing outside the chart pattern!
ETH/USD: 1-hour
Ethereum
Technical indicators are giving mixed signals, though, as Stochastic is pointing up to reflect the presence of bullish momentum.
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.
LTC/USD: 4-hour
Litecoin
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-hour
XRP
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!
Friday, December 14, 2018