Resistance is futile so they say, but in the case of Bitcoin, resistance is key to any sustained moves higher. Support and resistance is the first thing anyone involved with technical analysis should learn thoroughly. It’s often referred to as supply and demand. When a price begins to fall there will be a level where the sellers dry up and there’s more demand from the buy side. Consequently price will begin to turn upward once again. Usually this happens as a price approaches a previous low. Many are reluctant to sell into a medium or long term low, and often there will be buy orders stacked up waiting for a cheaper entry. In the case of resistance price can stall as it approaches a previous high, or a test from underneath to a previous low. This type of action turns a previous support level (or low) into resistance. The sellers begin selling and supply outstrips demand. Which leads us nicely to Bitcoin today. Price has been slowly gaining ground over the last few days, as it was bought up from the re-test of the February low. However, as you can see on the chart below Bitcoin stalled immediately as it hit the underside of the last lows in the downtrend. This previous low has now turned into resistance. And it could end up being a really significant one. For Bitcoin to make any serious gains and head back towards $10,000 then it must break this resistance and IMPORTANTLY hold above it. If it breaks above but can’t find any demand from buyers I’d be very wary of the downside that could begin to follow. The price is still in a bear cycle and that picture won’t change until Bitcoin manages to break above one or two resistance areas and continue climbing. Don’t listen to anyone. Listen to the chart, it’s screaming at you. The post Bitcoin Makes a New Resistance and it Could be a Tough One to Break appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/bitcoin-makes-a-new-resistance-and-it-could-be-a-tough-one-to-break/
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Even though big brother Bitcoin has been incredibly weak for the last few days (more so than the last few month) there are some smaller altcoins on the crypto market which seem to be showing signs of strength in the face of adversity. While many investors are fearful of what the future holds for Bitcoin and Ethereum smart money is moving into the smaller market cap coins ahead of what could be a bullish summer market. Smart money always buys low, the dumb money always buys high. It’s the way the market works. So which crypto should we be keeping a close eye on? Firstly EOS is the biggie. EOS is a widely followed crypto which allows its users to build and deploy apps at much larger scale than other blockchains. It’s built on top of Ethereum and is favoured by many developers as the go to blockchain for speed and scale. Note the price of EOS over the last few weeks. It has not been getting pulled down with the recent falls in BTC or ETH. In fact it has been on a small rally of late. There is plenty in the pipeline for EOS and could end up being a bargain over a 3 to 5 year view from the current price range. Next up I would suggest taking a quick look at Factom. Factom is aiming to disrupt the mortgage industry with its product harmony. A chain which can validate and secure documentation pertaining to mortgages. Users access the data with entry credits in the form of Factoids (the tokens). This company has a lot going on behind the scenes. Murmurings of multiple blue chip companies who are currently under NDA’s but looking into deploying the Factom system. They are also just about ready to launch their mainnet M3. Which should make plenty blockchain enthusiasts sit up and take note of their progress. Over a 3 to 5 year investment Factom could pay back some very handsome rewards. Whilst price has been low it really hasn’t taken a complete battering in the way many other crypto’s have, which shows underlying strength from those who hold. Put this on your watch list and monitor closely. The post Crypto That Your Smart Money Should Be Looking To Buy appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/crypto-that-your-smart-money-should-be-looking-to-buy/ All is quiet here on the crypto markets. More often than not there is some fud or news spreading around about Bitcoin or other cryptocurrencies, but this week (so far) there’s not been much. Nothing to scare weary crypto investors but still Bitcoin remains in a precarious position. The price of Bitcoin keeps hovering between the middle $7000 area and low $8000. But we can only hope this level doesn’t give way. In February Bitcoin had a really heavy fall down to $6000 and it left a strong reversal pattern when it bounced. Unfortunately those areas on charts are usually retested a second time. Price tends to go searching previous highs or lows in the hope of finding volume. If it doesn’t find any buyers at a level then it will break and print a new low. In February when BTC hit those lows it found plenty of buy orders stacked up. If you check a chart you’ll see that area had the highest volume for months. This is why the level we are at now is so important. If we break and head back towards February lows then there is no guarantee that buyers will be waiting a second time. But there could be. Fingers crossed! The post Bitcoin Hanging on a Knife Edge appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/bitcoin-hanging-on-a-knife-edge/ Cryptocurrency markets took a turn for the worse once again on Monday as Bitcoin and Ethereum both decided to show weakness in the run up to end of first quarter trading. Bitcoin futures expired at the end of last week, so if the pattern of the last few months is to repeat then prices should begin to stabilize once again towards end of first week of April. The altcoin markets were also under pressure, as always when big brother Bitcoin decides to tumble. Notable drops were seen on Binance for Enigma, Centra, Salt and Modium. All seeing double digit percentage losses. We do see some strength to come for altcoins but first BTC needs to bounce strongly from a long term support. Unfortunately the next low that can offer this turning point is near $6000. The low that was touched in early February. The falls do not seem as vicious this time around but there is still time for fear to creep in to this market. Be aware and stay safe out there. The post More Falls For Bitcoin Amid Cryptocurrency Weakness appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/more-falls-for-bitcoin-amid-cryptocurrency-weakness/ This strength in crypto is showing very bullish signs so far. There are a lot of bombed out altcoins beginning to moon. Let’s hope this is the beginning of something great and not another disappointing short lived bounce. One of the best movers so far have been ICX. A move that’s added over 50% to the price. Modum has been flying. And do it should saying as the last two months have seen the price fall from 8500 sats to 2000. Modum was up 22% at one point on Binance exchange. Last but not least Storj has bounced strongly from a double bottom formation. Storj has halved in value since the turn of 2018 and looks set to rocket again, let’s hope it can reach the all time high again. The post 3 Pumping Altcoins Ready To Show Crypto Has Strength Again appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/3-pumping-altcoins-ready-to-show-crypto-has-strength-again/ There are some healthy bounces happening on altcoins just now, and while it’s safe to say crypto markets have been under incredible pressure for the two months we could finally be seeing some light at the end of the tunnel. We could well be in the midst of a buyers market. As investors we want to be buying at low prices which enable us to profit from value being unlocked over the coming years. Those low prices could well be somewhere near here. Here’s a selection of some interesting cryptocurrencies that have had tremendous falls but still retain a lot of growth potential. Cardano Yes for a while Cardano’s market cap had swollen to be one of the largest crypto’s on the market. However that’s reduced a fair bit now. Whilst it’s still in the top few, the price is probably at fair value now considering what’s coming up. The developers at Cardano are rolling out plenty of updates and roadmap goals over the middle of this year, so it could be a good time to start accumulating on dips. EOS Followed fanatically by developers this hasn’t been hit as hard as some other crypto. But it has retraced a healthy amount. There is so much planned to be built on EOS, and it’s faster and more stable than other blockchains. As said it has a fanatical following so expect prices to trend up as further news is released. Tron You either love it or hate it. It’s a speculative one for sure. But Tron could end up being far bigger than many cynics imagine. A blockchain to store, control and publish your entertainment content. It’s a huge market. If Justin Sun can actually unlock this golden door then the sky is really the limit. Maybe only invest a small portion of your portfolio and if you do decide to buy wait for some weakness to give yourself the best chance. The post Undervalued Crypto That You Should Be Researching Today appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/undervalued-crypto-that-you-should-be-researching-today/ The correction in Ethereum since the turn of the year has been nothing short of crazy. From early December 2017 ETH gained over 400% and has since retraced 70% of that whole move. In early January Ethereum hit $1400 in a swift rally that can only be described as parabolic. After hitting that high the reversal that followed was brutal. Within 4 days ETH dumped 50% on its holders, leaving many people holding bags who were buying into the previous weeks euphoric rise. What’s next for ETH? The good news is that 3 days ago Ethereum hit an important area on the chart. You can see below the congestion area from mid December was hit and immediately reacted back from. This is a classic support test. A retrace which is searching for buyers. It certainly found them at $450. The candle tells the whole story. A sharp move down to the support which found buyers and quickly retreated to close near the days open level. This strength continued on with 3 positive days in succession. The key levels now are certainly above the current ETH price. $700 is the major obstacle in our path. If you look left across the $700 area you can see a bunch of lows which sit around that area. It might take a few attempts to get through but if it does then expect some new money to pour into crypto. As we all know a lot of the ICO market is relying on Ethereum to keep its head above water. This is down to the huge amounts of tokens built into the Ethereum blockchain. I’d say there are many investors who are hesitant to drop further funds into this market without a show of strength from ETH. So come on Ethereum, let’s see that strength please. The post Ethereum Hit Support But What’s Next May Be Even Better appeared first on Crypto Trading Blog. from https://www.econaa.com/cryptoblog/ethereum-hit-support-but-whats-next-may-be-even-better/ |