Altcoin Analysis: BTC, ETH, XRP, EOS, LTC — Cryptocurrency Review
A correction is developing on the cryptocurrency market. From the highs reached on Wednesday, the prices of the most liquid instruments fell within 5–10%. Capitalization currently in the region of $170 billion, which corresponds to a decrease of this indicator by 6.5% compared with the values of the environment.
Volumes are average, volatility indicators are gradually decreasing.
BTC was able to overcome the $5300 mark on Wednesday, but immediately after that, a correction followed. The false breakdown of the triangle provoked the closing of positions by short-term holders, as a result of which the cryptocurrency tested the price of $4,900. Now the trades are held on average volumes and it is likely that the participants will need some more time to get used to the new price levels after a sharp rise at the beginning of the month. In the case of approaching quotations to the level of $4,800 for 1 coin, you need to carefully look at the dynamics, since it is possible that there will be a moment to open a small long.
ETH price could not repeat the maximum of this year (April 3) and also corrected, breaking the blue uptrend line, where our protective stop order was triggered. Now, amid a renewal of local minima, it is highly likely that prices will drop to the support area ($153), where, depending on the behavior of the coin, it will be possible to build one or another trading strategy.
XRP, as is often the case lately, showed a markedly greater sensitivity to the corrective movement of the market, with the result that prices quietly overcame the $0.34 level and are even below $0.32 at the moment, which had long acted as an important resistance level. In the event that the chart returns above $0.325 and can consolidate there in the coming hours, you can try to open a small long with a short stop. If this does not happen, then it is quite possible that after some time we will see a price movement in the region of $0.30. Much now in the dynamics of this particular coin depends on the general market sentiment.
At EOS, traders also faced a false breakdown, forcing short-term participants to eliminate all positions. The main thing in such cases is a short stop, which allows you to protect the capital, step aside and calmly without emotion, from the side to look at everything that happens. We believe that the current correction may lead to the fact that prices will fall to the area of the green line, after which, perhaps, there will be good moments for purchases. We remain out of position in this instrument, although it is worth noting the fact that EOS was still able to update the maximum, which indicates the relative strength of the coin and good prospects.
The LTC position was also eliminated by a stop in the region of $84.5. On the market saw, a trader is always saved by a short stop and the small size of the position being opened. While in this coin we do not have any clearly expressed expectations. Support is low, so now we can talk about moving towards it, and significant local levels are no longer observed. Therefore, we are waiting for a reversal and in the case of the emergence of a new local trend, we will make decisions.
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Author: Marko Vidrih
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