Regardless of shill narratives being peddled in the web, Bitcoin is the main coin. Over the weekend BTC prices were trending below $6,000 for the first time this year and investors were struck. They had everything to worry because should Bitcoin prices tumble, then it would be a contagion with ETH, BCH, Monero and basically all crypto coins sliding with it.
Let’s have a look at the charts:
Ethereum (ETH) Technical Analysis
Undoubtedly, the crypto space is exciting. Maybe it’s because of the double digit gains and the way it out-performs time tested stock market indices. It may also be because of the wild volatility in this nascent space. Either way, while it can make some rich, there are those who are getting scammed. This is why law enforcement are getting in and in Dnipro, a city in Ukraine, police arrested four young men for allegedly setting up six crypto exchanges and fleecing unsuspecting crypto enthusiast.
In their records, the police said the four were skilled in programming, setting up CMS to manage content of these fake crypto exchanges. Of course, efforts like this rubber stamps cryptos and the even though Ukraine is yet to create clear legislation around crypto, police did a good thing with the arrest. They are now appealing to those who were affected to step forward and record statements.
After June 22 strong bear candlestick, ETH prices did recover lightly after dipping below $500 and $450. Nonetheless, considering the way prices are snapping back and printing lower lows, it’s likely that those were short coverings. Either way, like BTC, selling on every high going forward seems like a good trade plan. Even though it would be ideal to wait for pull backs retesting $500 before liquidating, aggressive traders can begin shorting at current prices with stops at $550 or June 20 highs. Bear targets stands at $350 and later $300.
EOS Technical Analysis
Day in day out, EOS proponents have to contend with calls of bugs, network halting protection mechanisms and lately centralization critiques. However, it pays to remain clear and note that by design, EOS sacrifices hyper decentralization for high throughput and scalability. That’s why by using EOSIO blockchain, coin holders need to know that there is an applicable constitution and block producers or super nodes who can freeze accounts anytime there is a complain. This is the first in blockchain and there are many who hate saying EOS is another corporation while others unanimously support EOS governance structure.
Price wise and EOS is up roughly 10 percent in the last 24 hours but still trending within June 24 high lows. Notice that because of that depreciation below $9 after June 22 bearish engulfing candlestick, sellers are in charge. There are two ways to trade this: Either short at current prices with stops at $9 or wait for pull backs retesting $9-previous support now resistance with stops at $10. In both cases, targets stand at $4.
Ripple (XRP) Technical Analysis
For Ripple as a company to flourish, they must onboard banks, payment providers and other financial institutions to use their services. And why not? Ripple Transaction Protocol (RTXP) was specifically designed for banks and reliable statistics shows using RTXP is up-to 85 percent cheaper and almost instantaneous. Ripple is obviously insatiable as they plan to onboard more companies. As such, with more integration, Brad, the CEO of Ripple think CoinBase should really list it as it is a utility. In an interview with Fortune, he said CoinBase being an established firm should be “interested” because Ripple is continuously providing solutions to global banks and big corporations.
Encouragingly, XRP is up five percent in the last 24 hours and the cool thing about it is that prices are actually bouncing back from key support at 45 cents. That’s where our sell triggers were. Admittedly sellers are in charge and what we want to see is a reversal of these unexpected XRP gains and close below June 24 lows at around 40 cents before we give a clear for sells.
Before then, we remain neutral but should there be reversals above 55 cents, our shorts would be cancelled. Otherwise, June 22 candlestick high low is significant for our analysis and any form of retest of 55 cents with lower lows printing in the 4HR chart for example would trigger shorts with stops above 55 cents and bear targets at 15 cents.
Bitcoin Cash (BCH) Technical Analysis
After Bitcoin Cash upgrade and hard fork, many BTC core supporters thought Lightning Network would “kill” Bitcoin Cash. In theory, BTC supporters banked on this off chain solution to increase transaction settlement speeds, reduce network fees and above all, scale the network.
However, at the moment. Things are grim for LN and performance is not at par with expectations. All thing constant, critics are saying LN won’t after all help the network scale in case LN becomes an everyday utility. Fees would still be high assuming there is massive adoption of BTC. In a nutshell, there are doubts about LN developments and this definitely boosts Bitcoin Cash price. Remember, BCH is always position itself as a medium of exchange as “Satoshi” would have want and not as a store of value as Bitcoin Core is turning BTC to be.
At current prices, Bitcoin Cash sellers have wiped more than 90 percent of BCH valuation from April highs. Technically, that qualifies to be a very dip retracement but we should remain cautious and watch out what happens at $600, our first bear target. As mentioned before, June 22 bear candlestick influences our analysis pointing to the trend direction despite pockets of buy pressure in the last two days.
Going forward, I recommend selling on corrections whose upper limit is at $850, our first sell trigger line, with stops at $1000 and targets at $600 and $300. Alternatively, you can sell now with stops at $850 and targets at $300.
Monero (XMR) Technical Analysis
There is no doubt that Monero is a privacy centric coin and with superior features that makes it hard for third parties to track blockchain transactions, the US Secret Service now consider Monero a national security risk.
They specifically called on congress to introduce legislations that specifically tackles anonymity cryptos as Monero and Zcash. Of course, it would be a blow to XMR if there would be such specific laws aimed at them now that it is becoming a safe haven for individuals-especially in the dark web-who prioritize their identity over everything else.
Unlike most coins, Monero is gaining ground and is up 13 percent in the last 24 hours. Now, while sellers seem to dominate, we actually have some sort of reversal because prices are trending above June 22 highs. As such, we can conclusively say XMR prices are back to that consolidation from June 13 to 20 but since we were net short after June 22 break down, let’s what and see if prices will edge above $150. If there are hints of resistance, then sell and aim for $70 with stops at $150.
Note: This is not intended to be used as financial advice. As always, do your own research before investing into any company or token.