BITCOIN CHART BELOW (17th May 2020, 22:00 GMT):
So we've broken trendlines 1 and 2 (labelled above as TL-1 and TL-2) and observed a significant move down in BTC upon each break occurrence.
A potential head and shoulders formation, as well as a 75d/50d moving average crossover (red and yellow lines respectively) further indicate a possible move down to 28/29k, a level which at some point may need to be tested in order to be proved as very long term 'gold-standard support' and therefore is a key price level for the future of BTC as an asset class. However, the 42k price level is currently holding up as a strong support and just underneath that we have the hallowed 200d-moving average (shown in orange), which bulls will be keeping a very close eye on as well as the 42k price level to provide short to medium term support and keep the BTC price relatively stable in then coming days and weeks. Moreover, as far back as March 2020, on-chain analysts have been calling $40k the new absolute minimum price floor from then on so we'll see if break that or not.
In conclusion, from below, the 200d-moving average (an extremely robust technical price support level) and the $40k- $42k price zone are fighting against a further drawdown, and we could just as well see price stabilisation and a significant bounce up as early as Wednesday this week.
Meanwhile... the TOTAL ALTCOIN MARKET-CAP Chart below:
All ALTCOINS Technical Analysis
The Total Altcoin Market Cap still seems to be very much in the midst of a bullish ascent. Although, as mentioned in this sub 11 days ago:
https://www.reddit.com/r/Diamondhedge/comments/n5xauc/total_altcoin_market_cap_reaching_potential/)
The Altcoin Market is indeed facing "tough resistance" approaching 1.45T and seems likely to trend down for another couple of days before stabilizing but be on the lookout for some quick and serious daily bull spikes that take us past 1.5T along with BTC stabilizing and becoming 'comfortable' in the $40k-$50k region. When the 1.5T ceiling is shattered, it should mark the completion of the 'decoupling' we've discussed in this sub over the last few months where altcoins take on a life of their own and break free from a tight correlation to 'daddy BTC'.
Indeed, ADA's recent surge may be a leading indicator (predictor) of this, and IOTA may well become a laggard or lagging indicator (confirmation) arriving very much late to the party but confirming that it's a party worth attending.
Taking these factors into account, overall market sentiment, and the increasing number of noobies looking to enter the market, as well as the global fiat weakening that we're seeing unfolding before our eyes, especially the dollar, and the increase in the gold price, I doubt we're about to see a freefall crash, or a 'winter is coming', event in crypto anytime soon. Even IF we experience a rather unexpected and harsh shot down towards $29k, the buying pressure on BTC may become enormous as it'll increasingly represent a very attractive inflation hedge at those lower prices in these turbulent and still uncertain COVID times, so we'll likely see a monster pullback back towards $40k in that event too.
Indeed, ladies and gentlemen, things seem to be on the verge of getting serious, a resetting towards good analysis and investment selection may become more important than ever. The meme-coin party may continue humming along but I doubt it will be center stage, although, don't be surprised if the teams who've best perfected meme-coins from the 'great meme-coin experiment' have learnt so much over the last couple of months that a few new meme coins are still able to reach stellar valuations.
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