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.
This analysis video will be an opportunity to take stock of Bitcoin, but also Ethereum. It will also discuss the entire cryptocurrency market, with the TOTAL2 index which allows to have a global vision of the altcoins sector excluding BTC.
Bitcoin – A new buy signal?
In weekly time unit, the week starts with a slight rebound of Bitcoin on the support of $ 18,800 about. A level that corresponds to the bottom of the range, in which it has now been for several consecutive months. And a move for now still to be confirmedbecause this increase remains very fragile, especially in the current context.
With, at the same time, Bollinger bands still tightening. Indeed, the latter are approaching a very interesting configuration which would see its two terminals come to position themselves on the support and the resistance of the range in which the BTC is stationed. A situation already almost materialized at the present time.
Knowing that if Bitcoin closes this week at around $20,000, it will give a new buy signal. Because in this case it will draw a bullish downtrend, certainly far from perfect. But that would still encompass the decline of the previous week, while bouncing off its support. With a very close invalidation level, around $18,000. This is to play the pullback to the top of this range and the resistance at $25,000.
Bitcoin – Watch the $18,800 support
In daily time units, Bitcoin is in a very similar situation. Waiting for a Japanese candlestick pattern to see possible buy signals appear. Because this configuration would validate a rebound on the support of the range in which the BTC is currently located. And this actually happened a few days agopending confirmation which must still be increased.
The objective in weekly time unit would be to seek the top of the range. And in daily, of position yourself on the upper limit of the Bollinger bands, around $22,000. A scenario to watch, but which seems to be complicated following the recent return of BTC to the fateful level of $18,800. With the risk of see its current support being broken from below. And in this case, the descent could very well take the direction of $15,000.
Must therefore pay close attention to the next daily close, in order to confirm – or not – the maintenance of the current support of $18,800. Because it is he who will determine the sequence of events, upwards and downwards.
Ethereum – End of the consolidation period?
In weekly time unit, Ether is in the ideal situation described above. That is to say with the upper and lower limits of its Bollinger bands which correspond perfectly with the support ($1000) and the resistance ($2000) of its current range. This lets you know that there is strong chances that we will come to the end of the consolidation period.
And even if it may still last some time, the levels to be monitored are clearly defined. With a pivot zone, in the center of this range, which has still not been crossed. Because the cryptocurrency ETH has clearly struggling to get back on the upward pathunlike Bitcoin which is for once a little more dynamic.
Ethereum – Significant hurdles to overcome
In daily time unit, Ethereum seems to have validated a new support zone around $1250. A level that has already been tested before several times in the form of resistance. With, at the same time, the realization of a bullish swallow just a little less than a week ago, following a rebound on this threshold. And, therefore, the highlighting ofa buy signal on this price level.
But, in front of her, ETH cryptocurrency hits bigger hurdles than Bitcoin. In particular with the pivot zone of its range, located around $1450. A level already tested several times in the form of an old support. And who could hinder – in the short term – its rise by imposing itself as a new resistance.
TOTAL2 – A very risky configuration
In the case of the altcoins market against BTC (TOTAL2/BTC), not much to say for the past few weeks. With a curve still installed at the top of the range put in place since mid-2021. And this objective – for the moment in abeyance – to break through this resistance for good. But for the time being, the period clearly remains one of consolidation.
A current situation that remains very risky to gain exposure to cryptocurrencies. Unless you want to attempt speculative trading in the short term. This by playing for example on a possible return on the pivot zones or the top of the ranges. But, as things stand, nothing specific about the longer term until much stronger signals appear, with weekly close validation at a minimum.
The current trend in the cryptocurrency market is one of uncertainty. But that should not discourage you from taking a stand, in order to enter at a potentially very interesting time. This is why it can be very wise to use the 100% automated algorithmic trading tool developed by CryptoTrader™. Because it will allow you to always be positioned on the best projects, whatever the market trend.
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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