Weekly Technical Reviews on Crypto Currencies

23 July 2019

Ether/USD (CMP: 211)

Exhibit 1: Daily Chart of Ether with 200- and 100-day Simple

Moving Averages

The brute force that erupted early April and took Crypto world by storm is subsidizing and some weaknesses are slowly creeping in. As the flagship pair of BTC/USD is repeatedly flirting with $10000 mark since past few weeks before deciding the next direction, we observe several other major pairs to exhibit vulnerability.

As the first case, we take up the case of Ether USD. There are two important technical observations here. First, it has breached its 100 Day Moving Average (The blue line in Exhibit 1) for the first time in February. This turns the intermediate trend: Down. The 200-Day average (Red line) is loitering at 188 regions and flattening. This makes it a possible target if intermediate downtrend continues.

Secondly, we also notice the support of 230 being broken decisively in the daily chart of Ether in Exhibit 1. This region, in earlier several occasions had actually provided support for Ether. Now that is conclusively broken, it is likely to act as resistance in near future. This reinforces the bearish sentiment in Ether. Consequently, we can argue that if there is any bit of strength in this Crypto in near future that could be a selling opportunity with stop at 230 & target 190.

XRP/USD (CMP: 0.31)

Exhibit 2: Daily Chart of XRP along with Fibonacci Retracement levels drawn from April low till June high

XRP happens to be one of the weaker scrips in Crypto universe and we have conveyed this several times in this column. Well, the entire rise of this Crypto from April low of 0.29 till the June high of 0.50 have been wiped out and the floor of 0.29 is being tested. Trends are obviously down and the immediate resistance is at 0.34. Once the final support at 0.29 ultimately gives in, we may witness some serious supply to flood the order book of this Crypto. As of now, stop loss for any short might be placed at 0.34 regions.