Find regularly technical analysis of the price of Bitcoin (BTC) and other iconic cryptocurrencies like Ethereum (ETH). But also videos to introduce you to certain technical indicators, tips or more fundamental approaches. All this with the aim of keep it clear and accessible to allow you to learn the basics of trading. And to benefit from in-depth analyzes carried out by experienced traders.
Full video of this Coin Trading analysis at the end of the article.
Is the cryptocurrency market close to the end of its bear market? A crucial question to which this technical analysis will try to provide some answers. With, as always, an update on the situation of the Bitcoin and of theEthereum. But also an overview of the altcoin market with major projects like Avalanche (AVAX), Chainlink (LINK), or Solana (SOL).
Bitcoin – An Interesting Setup
In weekly time unit, Bitcoin is still within its range implemented since June. With support positioned at the $18,500 level and resistance at $25,000. And as discussed in last week’s analysis, the Bollinger bands are approaching these two bounds. This in order to form a very interesting figure.
A scenario which, ideally, would require a few more weeks of consolidation to come into place. This in order to be able get a real strong buy signal following a break above the resistance of $25,000. With a support that has still not been crossed from below. Despite the fact that he has already been tested 7 times since the BTC is placed in this range. And an attempt at a rebound still to be confirmed in the current state of affairs.
Anyway, the setup is interesting. And it can even allow take a position as part of an active trading strategy. With a BTC that could seek its resistance at $25,000, with a first objective in the middle of the range. And one stop-loss to be positioned very close, at the $18,000 level. Even if it remains an operation against the trendas Bitcoin is still on the downside until it breaks its resistance.
Ethereum – Less interesting than Bitcoin
The situation is almost identical for Ethereum. With upper and lower limits of the Bollinger bands already positioned on the support and resistance of its range. And an ETH cryptocurrency whose price is currently located near the pivot zone of around $1400.
No buy signal on Ether. Because it is currently in a slightly less interesting situation than Bitcoin. This is because he can still return to test the support of his range located at the $1000 level. That is downside potential close to 30%.
BNB – More interesting than BTC or ETH
In the case of BNB cryptocurrency, the current configuration is much more interesting. Because it is in a phase of consolidation initiated, as for the entire market, since last June. But with an upper limit of the Bollinger bands which merges perfectly with the resistance of $325. And the lower limit on the $210 support.
This is even more obvious in daily time units, with a recently recorded rebound on the short-term support of $260. The latter has already been tested many times in the past. And a price going up while at the same time breaking the upper limit of the Bollinger bands. With as a possible next target, the $330 level.
All this confirmed by a new high point that has just been made on the graph of BNB against BTC (BNB/BTC). Which indicates that it is currently outperforming Bitcoin, but also Ether. A dynamic triggered since the end of August and the break of its range from above. This validates the upward trend initiated for the BNB cryptocurrency, at least in the short term, even if the alarm clock is still quite timid.
AVAX – A medium to watch
In weekly time unit, the AVAX cryptocurrency is landing on the $16 level. No buy signal to report in the current state of things. With rebound attempts that are not very convincing. And as the main risk right now, the crossing of this support from below to trigger a new decline. But this dynamic depends as often on the goodwill of Bitcoin, true master of the place on the cryptocurrency market.
But if the BTC decides to rebound, it could also give a bullish movement to the whole cryptocurrency market. Knowing that at the same time, the traditional stock market (S&P 500) has just recorded a new low point. With a drop of around 25% since its last ATH, which is very significant for this kind of index. And the possible, but hard to ignore, risk of Bitcoin getting swept away in this turmoil.
Altcoins – Consolidation has lasted long enough
A situation, always in weekly time unit, identical for the NEAR cryptocurrency, or even EGLD of the Elrond project. Even if in the case of the latter the Bollinger bands are very close and thata rebound attempt seems to be taking place. But this always in a very timid way and to be confirmed. And in these two cases, no real buy signals. Because ideally the true buy signal for a trend reversal always requires the confirmed breakout of the current resistance level.
A similar case for SOL and LINK cryptocurrencies, respectively facing resistance levels located at $50 and $9. And finally the FTT of the FTX platform, which for its part must aim for the level of around $32.
Because finally, in weekly time unit, it is possible to say that the consolidation period has now lasted long enough in the cryptocurrency market. Mainly because Bollinger Bands are almost completely flattened in most scenarios. With interest at rock bottom, except for true specialists in the sector. Which is to say that the base is healthy again to trigger a new period of bull market. But beware, no buy signal yet confirms this trend! And in the event of a greater drop, everything will have to be redone…
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Trading cryptocurrencies carries a high level of risk, and may not be suitable for everyone. It is recommended that you fully inform yourself of the associated risks, and only invest amounts that you can afford to lose.
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