Saturday, January 19

Bitcoin (BTC), Ethereum (ETH), XRP (Ripple) and Bitcoin Cash (BCH) Price Analysis

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Bitcoin BTC/USD Market

From yesterday’s open at $4152 the price of Bitcoin has fallen by 6.7% measured to the current level on which the cryptocurrency is being traded which is at $3874.3.

The price has broken the ascending channel’s support line and the minor horizontal support level at $3994.4 with strong momentum. The majority of the decrease happened from $4130 spiking down to $3843 which is a 6.92% decrease in one go.

Since the price action has formed a cluster which looks like a minor bearish pennant. The RSI is at 23.4% below its lower border of 30% which indicates oversold conditions so I don’t believe that another red candle like the previous one will develop afterward.

The price is most likely going to be consolidating for a while, potentially recovering to $3994.4 level for a retest of resistance but I would expect a downfall from there as this current decline is the start of the Y wave from a Minute WXY correction (dark green).

The X wave from that correction is the Minuette WXY (orange) which was the correction that developed the ascending channel in the first place. Since that correction ended a third impulsive move was to be expected which is what started happening.

The target for the expected decline would be at around $3580 which is the W wavelength projected from the X wave ending point. The price could go further down to the horizontal level at $3369, or it could end above the target around the horizontal level at $3690.

Ethereum ETH/USD Market

On yesterday’s open the price of Ethereum was $152.86. In the next hour, it spiked up to $162.56 but then the hourly candle closed at $157.54. From there the price has declined to the horizontal level at $151.82 where it found support and increased again to $154.6 from where it started crashing down to $132 in just a few hours.

Looking at the hourly chart you can see that the price fell to the support line from the ascending wedge in which it is correcting since the 12345 impulsive moves to the upside when the price of Ethereum reached $155.

The price did go higher but only as it was correcting when the second correction which was the five wave WXYXZ sideways movement to the upside ended at $166. But since this move was corrective more downside was to be expected which is what happened and was confirmed today.

The price is currently slightly below the ascending channels support but we can’t say that a breakout is occurring since the level wasn’t much respected in the past as well and the price came back above it eventually.

Since there were two corrections this move from the last Z wave could be the start of the impulsive move to the downside. From here I would definitely be expecting an increase or at least some consolidation as the RSI was at around 12% at its lowest point and has managed to recover to around 21% where it is currently.

As the price of ETH went below the horizontal support at $151, potentially it could go up to there for a retest of resistance before continuing down.

XRP/USD Market

From today’s open which is also the highest point at $0.3965 the price of Ripple has fallen by 17.2% as it’s currently in a straight downfall at $0.32675.

On the hourly chart, you can see that the price is dropping fast, as the second correction ended today when the price came up to the horizontal level at $0.4 and got rejected quickly, which most likely signaled that after a third attempt to break the level there just isn’t enough of a buyers momentum currently, and the selling began.

The RSI is currently at 25.6% below its lower border of 30% which indicates the start of oversold conditions which is why I don’t believe that the price will continue falling for much further.

Like in the case of other cryptos most likely are we going to see now a period of consolidation which may lead up to recovery. As the price broke out from the symmetrical triangle area and the minor horizontal support at $0.3538 we could see the price go back to those levels to retest them for resistance.

The price could also continue falling down further in which case I wouldn’t expect it to go below $0.31.

After these corrective moves are done I would be expecting another major increase like we have seen previously when the price of Ripple came up from $0.29 to $0.4 in one go. But for this we are yet to see and calibrate after the current move to the downside has ended.

Bitcoin Cash BCH/USD Market

From today’s high at $163.9 the price of Bitcoin Cash has decreased by 21.27% measured the lowest level which just happened in the current hourly candle when the price came down spiking to $128.9.

Now the price has recovered slightly and is sitting around $134.5 and went a bit further to $139.8 but started retracing as to establish a higher low which will be determined on the current hourly candle close.

On the hourly chart, you can see that this downfall was to be expected after a correction ended so either another one to the downside started or we are seeing the start of another impulsive move.

As the market is strongly correlated we can see that the chart patterns and the Elliott Wave labelings are similar to the similar point from the previous analysis apply here as well -The price has entered oversold conditions and is currently searching for support on the minor levels it could find.

This situation makes it hard to say what is going to happen next but considering that the price dropped this much in just a few hours we could definitely say that the bears are in control of the market.

From here I am expecting some consolidation and minor sideways movement for the price of Bitcoin Cash before further movement.


Disclaimer: Authors views and opinions are based on his own experience and is not meant for investment advice. All trading and investing involves risk. Do your own research.

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