The situation of the past week continues the trend formed earlier when traders and investors tried their best to protect their main support levels. Due to the growing uncertainty of further development, the market moved to a zone of low activity. Despite the presence of fundamental positive factors affecting the cryptocurrency market, bears still manage to move the market down, constantly selling at lower support levels. Undoubtedly, the previously dominant monopoly on the purchase of cryptocurrencies was broken with the introduction of derivatives based on the underlying asset, Bitcoin.
The cryptocurrency market continues to pursue numerous allegations of price manipulation, and this already attracts the attention of relevant regulators. All this has a negative effect on market sentiment. The previously announced interest of the main financial institutions and investment bankers in the world of the blockchain and the cryptocurrency market is still not translated into real action and give a hint of speculation that could provoke a panic.
Bitcoin:
At the time of writing, Bitcoin was trading at $ 7335, the fall over the past week exceeded 14%. The market definitely bears bears and most likely the decline will continue this week. Only a breakthrough above the $ 8100 level will be able to provide a reversal that has yet to face resistance comparable to the exponential moving average. The game of promotion is possible only near the lower levels of support.
Ethereum:
By the end of the week, Ethereum was down to $574, losing over 18%. At the same time, an important support level was broken through in the middle of the week – $600, which, moreover, was a cutout in the “head and shoulders” pattern. At the moment, even after Ethereum broke through the base support level, it is important to watch it, because. at levels close to support, it showed some activity. So, if we manage to return to the $630 level, this could provide momentum towards $745. A decline to $545 will open the way to the $480 level.
Ripple
Ripple announced a partnership with Propy Inc., a blockchain real estate project, but the market did not respond to this news properly. XRP ended the week at $ 0.60, losing about 7% over the past 14 days. An important level of support is at $ 0.56. Breakdown of this level may cause Ripple to test the lower boundary of the $ 0,45 support zone. The relative strength index on the daily charts does not exceed 35 and confidently moves to the oversold zone. So the currency has all chances to roll back to the level of resistance.
Bitcoin Cash
Bitcoin Cash lost a lot this week, showing the largest drop among the leading cryptocurrencies. Rollback was 22% (from $ 1281 to $ 996). And in the near future, this currency will not be able to offer anything interesting, since the closest relevant support levels are in $ 870 (Fibonacci retracement level 78,6%) and $ 755 (basic support level). The resistance level is between $ 1050- $ 1150, so it’s better for traders to stand aside until the currency passes the mentioned values.