Last week has raised hope in many cryptocurrency markets. The largest digital assets were able to interrupt downtrends, win back some positions and even protect the main support levels.
In addition, the week was rich in announcements about the launch of the main networks of a number of blockchains (primarily EOS), as well as on government statements about the liberalization of cryptocurrencies. So the government of Malta announced plans to sign a bill called the “Virtual Financial Assets Act”. It seems that this island nation will become a “stronghold of the blockchain”, the Maltese want to establish themselves as adherents of innovation, thanks to liberal regulation and low taxes on activities related to cryptocurrencies.
Let's look at the situation in the largest asset markets.
Bitcoin:
Bitcoin ended the week at $ 7712, showing growth over the past 7 days at 5,34%. As we recall, a week before this, bitcoin tested the support level of $ 7000 and some were preparing to meet it at the levels of $ 6750-6950. However, he showed a rebound, the results of which we see after a week.
At current levels, if you look at the 4-hourly chart, we can see the “back head and shoulders”, for which the cutout was at $ 7650.
Because Bitcoin managed to gain a foothold at a level just above $7650, then it has every chance to test the resistance at $8000, and if it can break through it, then the next level is $8400.
The closest support level for this short-term bullish trend is at $ 7250, while the medium-term has not changed and is at the same $ 6950 and breaking through it in this situation seems unlikely.
Because Bitcoin also sets the tone for the market (38,7% dominance indicator), altcoins will most likely follow the example of Bitcoin.
Ether:
The air closed the week at $ 613, the growth was 13,5%.
The air is likely to maintain its positive momentum up to the levels of $ 635-650, where it will face strong resistance from sellers. Any breakthrough of this resistance level will open the gates for a massive offensive of the bulls, which can be enough effort to make the Ether up to $ 745-870.
Ripple:
Ripple showed an increase of 9%, ending the week at $ 0,66.
The XRP movement was rather uncertain at the beginning of the week, but towards the end a bullish trend formed, which was confirmed by breaking through the resistance level at $ 0,64. The next important resistance level will be $ 0,80.
Bitcoin Cash:
Bitcoin Cash performed well last week, showing an increase of 16%. The currency behaved as we had previously predicted. At the beginning of the week, the support level of $ 870 was tested, a rebound from which in a week managed to bring BCC to the resistance level of $ 1150. If the currency manages to break through it, then we will continue to monitor the work of the bulls, in case of failure, a rollback to all the same $ 870 support is expected.