Over the past week, the volume of Bitcoin trade has gradually decreased. 15 July, it exceeded 25 billion dollars, but over the past few weeks today, it fell to 14 billion dollars. Since the volume BTC continues to decline, its price seems stuck in the 600 trading range of dollars. Between 9 and 900, 9 and 300 dollars. Without any obvious signs of a breakthrough.
A similar picture is observed throughout the cryptoindustry, which leads investors to believe that the market has entered a consolidation phase. Despite market uncertainty, this technical analysis will try to determine what the future holds for some of the best bitcoin hard forks, including Bitcoin Cash, Bitcoin SV, and Bitcoin Gold.
Bitcoin Cash
After reaching a yearly high of $ 518 22 in June, Bitcoin Cash recovered more than 50 percent, falling to July 255 dollars in 15. Now BCH has spent the last week trading between 38,2 and 50 percent Fibonacci recovery zone without any major outbreaks.
The price action of BCH could have been reduced over the past few days due to the uncertainty that may be perceived in the industry. However, the Fibonacci retracement indicator can help identify various price points that will act as barriers to prevent a push in any direction if volatility reaches the market again.
On the other hand, if the volume starts to grow, and Bitcoin Cash can break through the Fibonacci retracement level 38,2 percent, he can try to test the resistance given by the Fibonacci retracement levels 23,6 and 18,16 percent. On the other hand, if the selling pressure rises, BCH can drop another 22 percent to reach the Fibonacci retracement level 61,8 percent, which is about 242 dollars.
Looking at the 1-day chart, it seems that a bearish scenario is more likely than a bullish one - during this period, a bearish pennant appears, predicting a further recovery.
This is considered a continuation model, which was formed after a substantial correction, which resulted in an increase in BCH from 430 to 270 dollars, known as a flagpole, followed by a current consolidation period, known as a pennant, and could lead to a breakthrough in the same direction. as the initial movement. As a result, this bearish formation predicts an 32-percent drop to 200 dollars, which is measured by the height of the flagpole.
However, before dwelling on the direction in which the bitcoins will turn, you should look at the 4-hourly chart. At this time interval, you can see how the Bollinger Bands are being compressed, which indicates that BCH has entered a consolidation phase. Compresses are usually followed by periods of high volatility.
Thus, a breakthrough above 326 of US dollars could lead to an increase of 23,6 percent to the Fibonacci retracement level, which invalidates the bear pennant visible on the 1 daily chart. Meanwhile, a breakthrough below $ 289 can confirm a bearish formation by taking this cryptocurrency below the Fibonacci retracement level 61,8% or lower.
Bitcoin SV
In early July, Bitcoin SV fell by 48 percent after breaking through the support provided by the 50-day moving average from mid-May. As the fall fell apart, the 150-day moving average was able to keep the BSV price from further declining and allowed it to rebound to the 50-day moving average. This cryptocurrency has recently returned to the 100-day moving average, where it has been trading for the last 3 days.
If the 100-day moving average is able to hold, then BSV can go up to check the resistance given by the 50-day moving average. Conversely, a gap in the 100-day moving average may again lead this cryptocurrency to the 150-day moving average.
Based on the 12 hourly chart, it seems that Bitcoin SV can actually test the 50-day moving average as the bull flag develops. This is considered the continuation model that formed after the recovery, which raised BSV from 108,5 to 188,7 dollars, known as flagpoles, followed by the current consolidation period, known as the flag, and could lead to a breakthrough in the same direction as the initial movement. The bull flag is watching 41 percent rise to 200 dollars, and that’s where the 50-day moving average trades.
Bitcoin Gold
On the 3 daily chart, after an unsuccessful break above the $ 31,5 resistance level, Bitcoin Gold fell to the $ 18 support level. This is an important level for BTG, because in the past it has repeatedly prevented the price from falling.
Based on historical data, the level of support in 18 dollars is likely to continue and become a rebound point, taking the price of bitcoin-gold to test various resistance levels, such as 21,8 and 25,8 dollars. However, a breakthrough below this support cluster may cause further correction to 15,5 or 12,3 dollars.
The consecutive TD indicator on the 1 and 12 hours adds credibility to the idea that the level of support in 18 dollars will remain. Based on this technical index, a buy signal was issued on both timeframes in the form of a red nine, which predicts a rise from 1 to 4 days. If the bullish signal is confirmed by two green candles trading above green, then the BTG can rise to the trend line of the setup, which is around $ 27.
It should be noted that buy signals transmitted by TD Sequential Indicator will be invalid if the red candle with two candles is trading below the red one. In this case, BTG will have the potential to break through the support level below 18 dollars and test the support levels that were discussed earlier.
General mood
After a serious correction, which affected a large part of the cryptocurrency market, some bitcoin forks show signs of upcoming growth. Even though Bitcoin Cash forms a bearish pennant, the goal of which is to reduce 34 by a percentage, a move above 326 dollars can change the bearish forecast and bring it back to the bullish side.
Meanwhile, various technical models in Bitcoin SV and Bitcoin Gold seem to signal that they could potentially resume their uptrend soon. It remains to be determined whether these cryptographers are able to overcome their respective resistance levels with enough volume to transfer them to the bullish goals presented in this technical analysis.