Last week was a short burst of activity of buyers. However, soon the volume of trades decreased and the price of the first crypto-currencies continued “lateral” movement.
By results of the week grew up a little in price, many altcoins. However, one can hardly say that the market during this time something has changed dramatically.
On future possible scenarios of the price movement of bitcoin and a little about Ethereum will tell the CEO of the service cryptorg.net and regular contributor ForkLog Andrey Podolyan.
We start the analysis with the weekly chart. For the first time the weekly candle formed in the shape of a spinning top. In this case, the candle is bullish, which suggests a potential reversal.
There are several factors that can positively affect the further course up: a few days ago closed the regular futures contracts (just after the closure the price went up). In addition, the company Tether printed an additional 250 million USDT, which could not respond to the market.
BTC/USD weekly chart
In addition to fundamental factors, technically, the chart has painted a Double bottom on four hour timeframe. However, the price is still under pressure, as he wrote in the last issue, like the stairs, the chart moves down. For breaking this trend need to go above $7000. In the meantime, the local resistance is at $6500-6600.
Unfortunately, the recent spurt up ten percent was not supported by volumes. Price began slowly “draining” down as it was more than once.
The four-hour chart: double bottom and local resistance
On the daily chart shows how price is fixed under the lower border of the triangle and is now testing it from below.
BTC/USD daily timeframe.
A key point of resistance at the top: 6500-6600-7000. In the event of a breakdown of the $7000, the price will likely flock to the global resistance in the neighborhood of $8000.
Key levels below: 5700-5500-5000.
“Ether” continues to test and consolidation at the global level of support. The purpose of the bounce off this level will be a hike in the neighborhood of $500.
ETH/USD daily timeframe.