The Daily Cryptomenon
17th July 2020
Your daily Cryptocurrency Market Analysis News brought to you by the CryptoAltum Cryptomenon Team.
This analysis was written at 9:00 am GMT +3, on 17.07.2020
The consolidation phase that has dominated the crypto market for some time now has finally cracked, downwards. Our Cryptocurrency Trio have failed to rally, as widely expected. In fact, it seems that the bears had the last word and we saw BTC, ETH, and XRP all down for the count. However, all not hope is lost, as the digital currencies are still trading within their familiar ranges. With that said, let’s find out what today holds for the digital currencies on July 17th, 2020.
The bears have taken over the reign, when it comes to these digital currencies, as we saw all of them move lower in last night’s trade. However, familiar ranges still prevail for the meantime, for how long this will last we’re not entirely sure, but there seems to be support going on that the bulls can use to stage a comeback.
Bitcoin (check out the chart below you’ll find that Bitcoin is the purple line) has extended its losing performance to reach -4.65% since the beginning of June. Ethereum (red line), has extended its fall back into the negative realm as it prints a performance of -2.68% since the beginning of June. Ripple (orange line) has extended its losses to reach -6.38% since the beginning of June.
What’s the strategy you’re going to use when it comes to these cryptos? Do you think that the Bears have taken control again? Or are the Bulls ready to stage a comeback? Whatever you choose to believe, you can react to it all on CryptoAltum.
In the past few sessions, Bitcoin followed a bearish path below the $9,300 resistance, as it trades below the $9,200 support level and the 100 hourly simple moving average. It even broke the $9,120 support level and traded towards the $9,000 level. A low is formed near the $9,022 level and the price is currently correcting higher.
On the upside, the $9,150 level seems to be acting as a strong resistance. There’s also a crucial bearish trend line forming with resistance near $9,150 on the hourly chart of the BTC/USD pair.
If Bitcoin’s price fails to recover above the $9,150 and $9,200 resistance levels, it could resume its decline. The first support on the downside is near the $9,000 level. The main uptrend support is near the $8,800 level and the 100-day SMA. A successful break below the $8,800 support may perhaps start a sustained downward move.
Ethereum plunge on Thursday followed the return of some volatility in the market that was mainly attributed to top Twitter accounts being hacked. For a period of more than a week, Ether had remained pivotal at $240. Before that, ETH/USD has blasted north, testing the resistance at $245.
Unfortunately, the drab action across the cryptocurrency market and particularly Bitcoin, made it difficult to sustain gains towards $250, instead, the price adjusted to $240.
For now, the price is still holding above the 50-day EMA. However, recovery towards the support turned resistance at $235 is an uphill task. Technically, Ethereum bulls have just enough power to hold above the key support levels at $230, the 50-day EMA and $228.
Ripple bears stayed in control for the third day straight. XRP/USD is priced at $0.1920 and looks to drop below the SMA 50. The price has fallen below the triangle formation and is hugging along the downward trending line. XRP/USD has lost more than 6% of its valuation over the last nine days.
The Support Zone that we’ve talked about in earlier reports has been broken, thoroughly we might add, as XRP reached the $0.1890 support zone as the bulls managed to prevent an extended run downwards. However, it’s quite possible that the bulls don’t have the necessary strength to prevent a further move downwards in case the Bears decide to attempt another move.
The RSI is printing close to the 40-level, after hitting the oversold territory around the 30-level. The Bearish momentum continues to be the main move especially since the RSI is printing below the 50-level and the price action has broken below the support zone, as we’ve mentioned earlier. In order for the bears to continue the move lower, the market needs to stay below the trendline and to break the current support at $0.1890. Should that happen, a move towards the $0.1700 is very much possible.
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