Market trends bulletin — Insights 2.0 Vol 5

Team Koinex
Sep 3, 2018 · 5 min read

Overall Market Analysis:

Cryptocurrency market showed an uptrend during the week with the total market capitalization increasing to USD 235 Billion from USD 217 Billion. Many believe that this could be the chance for bitcoin and altcoins to resume its strong rebound until the end of the year, possibly hitting record levels or surpassing them. One of the biggest news this week was Yahoo Finance integrating trading of bitcoin, litecoin, and ethereum.

Bitcoin (BTC):

Bitcoin is currently trading at USD 7300 (as of 2 September 2018, 11.16 AM (IST)) with a rise of 1.43% in the last 24 hours. If we look at the weekly timeframe, BTC continued its uptrend as predicted in our previous market trends bulletin — Insights 2.0 (Vol 4) and tested lower bound of Resistance level 1 (USD 7300–7500), and now trying to retest and close above it. The current week candle formed on the BTC graph represents a Bullish long candle pattern which means, Bulls dominated this week session so far. So, we have two scenarios, BTC will succeed to break and close above this Resistance level 1 (USD 7300–7500), then it can starts heading towards next target (USD 7800–7900). Now, the downtrend line resistance reflecting in the chart raises a possibility that BTC might face selloff at Resistance level 2 (USD 7800–7900). The second scenario we see is, BTC fails to break Resistance level 1(USD 7300–7500) and may retest lower uptrend line at support level 1 (USD 6400- 6500).

BTC Daily timeframe:

Studying the BTC daily timeframe, we see BTC has formed a Rising wedge pattern. If the daily candle closes in some bearish candle pattern, (say like a shooting star) then we may see test of support level 1 (USD 6800–6900). But if Bulls refills their bags at support level 1 then BTC may continue its uptrend within the channel. If BTC breaks the channel higher trendline then Bulls will fill their bags at retest level and we may see BTC heading towards Resistance level 1 (USD 7800–7900). But if BTC breaks support level 1(USD 6800–6900) then it may fall towards next support level 2 (USD 6500) and wedge breakdown target (USD 6200–6300).

Ethereum (ETH):

As per the daily timeframe analysis, ETH broke out from downtrend line, as predicted in our previous market trends bulletin — Insights 2.0 (Vol 4), but it failed to hit breakout target (USD 311). Ethereum is currently trading at USD 291 (as of 2 September 2018, 11.16 AM (IST)) with a fall of 1.49% in the last 24 hours. If we study the graph, ETH formed a Symmetrical triangle pattern and broke out from downtrend line resistance. The ETH daily candle shows retest of downtrend line and Bears seem to have dominated the whole day session so far. So the two scenarios we see are, one, if daily candle closes with some bullish candle pattern above downtrend line resistance, then Bulls can come back into game at retest and uptrend may begin. This breakout can take ETH to the USD 340 target. Else, two, if Bulls fails to break this downtrend line resistance then there may be retest at lower uptrend line of symmetric triangle at support level 1 (USD 270). If ETH fails to hold support level 1(USD 270) then it may fall towards breakdown target (USD 238).

Litecoin (LTC):

As per the daily timeframe analysis, LTC is currently trading at USD 65 (as of 2 September 2018, 11.16 AM (IST)) with a fall of 0.73% in the last 24 hours. It has formed bullish Cup and Handle pattern and successfully broke out from horizontal line resistance. The graph shows, daily candle is Bearish spinning top which represent indecision and Bears have dominated the day session so far. LTC is expected to test support level 1(USD 63) and bounce back with some bullish candle confirmation. Also, as per Relative strength index (RSI) there is more room for growth.

Aeternity (AE):

The daily timeframe analysis of AE shows that it is currently trading at 1637 Satoshis (as of 2 September 2018, 11.16 AM (IST)) with a fall of 1.98% in the last 24 hours. It has formed a symmetric triangle pattern and trying to break downtrend line resistance. The daily candle is bearish spinning top which represent indecision and Bears dominated whole day session so far. The Relative strength index (RSI) shows more room for growth. Now if AE succeeds to break downtrend line resistance, then more Bulls will fill their bags at retest zone and will push it higher till the breakout target of 2006 Satoshis.


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

Disclaimer: This article is for information purposes only and should not be treated as an investment advice. Investments in cryptocurrencies are speculative and are subject to market risks. No one should make any decision regarding investment in cryptocurrencies without conducting his/her own research and due diligence. Koinex does not warrant the accuracy of the information provided herein, either expressly or impliedly, for any particular purpose and expressly disclaims any warranties of merchantability or fitness for a particular purpose. You agree and acknowledge that neither Koinex and its affiliates, nor their directors, representatives, or employees accept any liability for any direct or consequential loss or damage arising out of the use of all or any part of the information provided hereunder.

Koinex Crunch

Koinex Crunch is the official publication of Koinex, dedicated to the Blockchain technology space in India. We have an ever-growing readership of a dedicated community of crypto enthusiasts, traders and techies.

Team Koinex

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Our team is a diverse coalition of engineers, designers, and entrepreneurs who have come together under a united passion: love for Blockchain Technology.

Koinex Crunch

Koinex Crunch is the official publication of Koinex, dedicated to the Blockchain technology space in India. We have an ever-growing readership of a dedicated community of crypto enthusiasts, traders and techies.

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