The market isolates itself from the news and keeps consolidating

Fibo Quantum

  • ETH/BTC keeps the risk level very high.
  • BTC/USD can move below $4,950 to find support.
  • Consolidation can last for several days.

 

The week of analysis begins with the recent visit of Bitcoin to the $5,000 area as the primary technical news. The BTC/USD pair on the daily chart is enclosed in a narrow range based above the $5,000 zone and with a ceiling around $5,600.

The loss of this support zone would have a significant impact in the medium term, and perhaps this is the argument that in recent hours various opinion leaders have asked caution from cryptocurrency traders. The adverse scenario is not confirmed and will not be until we see a closing below $4,920.

 

 ETH/BTC 4 Hours Chart

 

The ETH/BTC cross continues its visit to lower support levels, after losing support last week of the structure of parallel bullish trend lines. It dropped to the 0.029 level and turned bullish to find a break on price congestion resistance at 0.030. The market as a whole depends on the direction of the final breakout.

Above the current price, the next resistance level is at 0.0316 (price congestion resistance). Next, ETH/BTC faces resistance at the baseline of the bullish structure already commented at 0.032. Exceeding this resistance level would return the market to the bullish mode, and this time the gains could be strong.

Below the current price, the first support level is at 0.029 (price congestion support), then the second support level for ETH/BTC is at 0.0275 (price congestion support). The third support level is at 0.0268 (price congestion support).

 

 

The MACD on the four-hour chart shows a cross-profile bullish scenario but it is still moving in the negative zone of the indicator.

The DMI on the four-hour chart shows bears narrowly dominating the market. Both sides of the market show a low level of activity. The ADX line maintains the bearish trend so that the intraday range could decline.

 

BTC/USD 4 Hour Chart

 

The BTC/USD pair is currently trading at the $5,177 price level after finding support at the $5,100 price level. Bitcoin lost the EMA50 and the SMA100 support lines, while the SMA200 is still below $5,000. If the market situation worsens, it will be easy to see Bitcoin seeking support at the longer-term moving average level.

This move could interestingly push ETH/BTC higher and put the market back in the bullish zone again.

Above the current price, the first resistance level is at the confluence of the EMA50 and the SMA100 at $5,250. The second resistance level for the BTC/USD pair is at $5,500 (price congestion resistance), while the third resistance level is at $5,650 (relative highs and bearish break level last November). This breakout is the critical level to see an active bull market.

Below the current price, the first support level is at $4,971 (SMA200), a level with a high probability of being visited. The second support level for the BTC/USD pair is at $4,550 (price congestion support), while the third support level for the BCT/USD pair is at $4,200 (price congestion support).

 

 

The MACD on the four-hour chart shows an upward cross profile, with little incline and also minimum line spacing. It is a weak structure and can quickly become bearish.

The DMI on the four-hour chart shows bears dominating the market albeit with a slight downtrend. The bulls, on the other hand, continue at low levels but maintaining a small uptrend.

 

ETH/USD 4 Hour Chart

 

The ETH/USD pair is currently trading at the $160 price level after setting a relative low at the $150 level (support for price congestion). Ethereum lost all moving averages as a support structure and now represent a significant obstacle to any bullish attempt.

Above the current price, the first resistance level is at $163, the confluence level of the EMA50, SMA100, SMA200 and a congestion resistance of the price. Above this important barrier, the ETH/USD pair could fly fast to the next resistance level at $180 (price congestion resistance). The third resistance level is at $190 (price congestion resistance).

Below the current price, the first support level is at $150 (price congestion support), then the second support level is at $143 (price congestion support). The third level of support for the ETH/USD pair is at $130 (price congestion support).

 

 

The MACD on the four-hour chart shows an upward cross profile with an acceptable slope. It is still moving in the negative zone of the indicator, so it is very likely that sales will appear again when it reaches zero.

The DMI on the four-hour chart shows bears still leading the market, although their trajectory is downwards. The bulls, on the other hand, are recovering from minimum levels but hold above level 20 that indicates the presence of an ongoing trend.

 

XRP/USD 4 Hour Chart

The XRP/USD pair trades at the $0.30 price level, with no cinema closure of this price congestion resistance level.

Above the current price, the first resistance level is $0.308 (price congestion resistance and EMA50), then the second resistance level for the XRP/USD pair is $0.317 (price congestion resistance and SMA100). The third resistance level is at $0.328 (price congestion resistance and SMA200).

Below the current price, the first support level is $0.293 (price congestion support), so the second support level for the XRP/USD pair is $0.288 (price congestion support). The third support level is $0.285 (price congestion support).

 

 

The MACD on the four-hour chart presents an upwardly inclined cross profile. The opening between lines is minimal, and the situation below the zero lines implies difficulties when the lines reach that level.

The DMI on the four-hour chart shows a virtual tie between bears and bulls. Both are below the ADX line although they move very close to this trend strength indicator. It is an indefinite scenario.

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