Market trends bulletin — Insights 2.0 Vol 19

Market Analysis:

Bitcoin (BTC) and other cryptocurrencies are making new daily and weekly lows without showing any strong signs of reversals. Sentiment index derived from online sources shows investors and traders are highly uncertain about the market right now. Sentiment index is derived from the combination of multiple factors like trends, volatility, volume, social media, surveys, etc.

Technically, BTC has weak support zones at 2000 USD, 2500 USD, 3000 USD and strong support zones near 1000–1300 USD. Trend continuation levels are considered as weak zones, and trend reversal levels are considered as strong zones. Now let’s take a look at the technical analysis of Bitcoin and Ethereum.

Bitcoin (BTC):

Bitcoin (BTC) is currently trading at 3461 USD (as of 10 December 2018, 12.37 IST) with the fall of 1.94 % in last 24 hours. As per daily timeframe, BTC has tested weak support level 1 (3227 USD) and closed two daily candles above it as bearish spinning top and bullish high wave which represents indecision between buyers and sellers. BTC tried to move higher but failed to close above resistance zone (3548 -3727 USD) formed by swing low. If BTC succeeds to break and close above resistance zone (3548 -3727 USD) then we can expect uptrend else it may retest support level 1 (3227 USD) or can fall towards next support level 2 (2954 USD) and support level 3 (2564 USD).

Ethereum (ETH):

Ethereum (ETH) is currently trading at 92.94 USD (as of 10 December 2018, 12.18 IST) with the fall of 3.22 % in last 24 hours. ETH is consolidating between support level 1 (89 USD) and resistance zone (102–110
USD). It has tested weak support level 1 (89 USD) and closed two daily candles above it as bullish and bearish spinning tops which represent indecision between buyers and sellers. The third candle is closed as inverted bullish hammer with low volume. As the volume is low, it is less
reliable. If ETH succeeds to break and close above resistance zone (102 -110 USD) then we can expect uptrend else it may retest support level 1 (89 USD) or can fall towards next support level 2(58 USD). It is important to note that the trend of the ETH and all other altcoins partially depends on the trend of BTC.

Stay tuned for interesting and valuable market insight nuggets next week!

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