Bitcoin over the past week, has continued to consolidate and distribute, printing six successive red candles on the daily charts. The price has been bouncing around between two important levels: $27k, which has been a strong support level, and $29.7k, which has been a tough resistance level to break through. The price volatility has actually gone down a bit in the last month with the derivative traders dominating the cryptocurrency market, which overall has had a neutral sentiment. To give you an idea of how investors are feeling, the Crypto Fear & Greed Index is at 50 as of May 15, 2023. So, while there have been some ups and downs, things seem to be settling down a bit for Bitcoin lately.
Ethereum (ETH) has found strong support around the $1,800 mark while also demonstrating a distributive manner over the past few weeks. In terms of technical indicators, Ethereum has dropped quite a bit below the 200 MA the 4-hour chart in the past week. It’s been a bit of a tussle with the 21 EMA on the same time frame. On a brighter note, when we look at the weekly chart, Ethereum has managed to hold onto the 21 EMA as support, which is a positive sign. Investors will be observant on whether Ethereum can successfully reclaim the 21 EMA on the daily time frame.
A couple of weeks ago, Ripple (XRP) experienced a downward movement and slipped below the 21 EMA on the daily chart. Interestingly, that level has now turned from a support level into a resistance level. During this downtrend trend XRP also broke below the $0.44 price support and is currently holding it as resistance. Furthermore, it has fallen below the 21 weekly EMA, confirming its bearish bias in the mid-term. Yet, the payments network token is still forming solid market structure on the macro time frame, as it continues to operate within the $0.30-0.58 price range.
Litecoin (LTC) printed a Dragonfly Doji candle on the weekly chart, which could be a signal for a potential bullish reversal in the near term. However, LTC is still having a bit of a tussle with the 21-week EMA as well as encountering resistance at the same level on the daily time frame. Litecoin’s price behavior seems to be mirroring that of Bitcoin, and it’s also in line with the overall consolidatory behavior of the altcoin market. Despite the challenges, LTC has been forming a healthy market structure, showing stability, and staying within the price range of $70 to $102.
Stay tuned for weekly updates on the cryptonews and performance of major tokens and coins.
