This post is specifically for cryptotraders. It contains an in-depth analysis of the top 4 cryptocurrencies in-terms of Market Capitalization. And according to the ranking shown CoinMarketCap as at 24th April, 2019 these top 4 coins are: Bitcoin, Ethereum, Ripple and Bitcoin Cash.
Now to the analysis:
Bitcoin (BTC) is currently facing some resistance close to $5,600. However, both the moving averages are trending up and the RSI is still close to overbought levels. This shows that the bulls are in charge. On the upside, a breakout of $5,600 can propel the price to the next critical zone of $5,674.84–$5,900. We anticipate the bears to defend this zone. Hence, traders can book partial profits on their remaining long positions above $5,600 and keep the stop loss on the rest at $4,800.
Conversely, if the bears sink the BTC/USD pair below the 20-day EMA, it can slide to the next support at $4,914.11. This is a critical support, which might hold. A breakdown of this level will hurt sentiment as it will weaken momentum and indicate that the bears are still shorting at higher levels. If the bulls fail to defend $4,914.11, the digital currency can dip to the 50-day SMA. The next few days are critical as it will determine whether the recovery is over or if this is only a shakeout.
Ethereum (ETH) again reversed direction from the overhead resistance at $180 on April 23. The price has broken down of the 20-day EMA and has re-entered the triangle, which is a bearish sign. This shows that the breakout from the triangle did not find any buyers at higher levels.
If the bulls fail to push the price back above $167.32 within the next couple of days, the ETH/USD pair can drop to the 50-day SMA. A break of this support can sink the pair to $144.78. Hence, traders can retain the stop loss on the remaining long positions at $150. We would have suggested closing the entire position but the moving averages are still sloping up and the RSI is at the midpoint, which shows that the bulls are still in the game.
If the bulls quickly push the price back above $167.32, it will again try to break out of the overhead resistance zone of $180–$187.98. It will pick up momentum above $187.98.
After holding the 50-day SMA for four days, Ripple (XRP) plunged below it today. This is a negative sign. It can now drop to $0.27795, which is a critical support. If this support also gives way, a retest of the yearly low at $0.24508 will be in the cards.
However, if the support at $0.27795 holds, the XRP/USD pair might remain range bound for a few more days. The 20-day EMA is gradually sloping down and the RSI has dived into the negative territory, which suggests the bears are back in command. The pair has been one of the weakest digital currencies as it has not participated in the recent recovery. This shows a lack of demand for it. We therefore withdraw the existing buy recommendation. We will wait for the price to signal a trend reversal before suggesting a long position in it.
Bitcoin Cash (BCH) has broken down of the 20-day EMA and is on its way to the next support at $255. The 20-day EMA is flat and the RSI is at the center, which points to a consolidation in the near term.
If the bulls fail to defend $255, it will be a negative sign. The next stop is the 61.8% Fibonacci retracement of the recent rally at $241.97. If this level also fails to hold, the drop can stretch to the 50-day SMA. The trend is gradually turning in favor of the bears, but if the BCH/USD pair finds buyers at $255, it will remain range bound between $255 and $335.63 for a few days.
Hope you found this post useful. Kindly drop any question or opinion in the comment box below. I look forward to hearing from you.
Article Source: CoinTelegraph.com