The advance that catapulted the major coins off the recent lows by 30-50% stalled out today in the second half of the session, as the major coins settled down somewhat following the highly volatile period. As stock markets had a choppy and ultimately flat day after the crash and the subsequent bounce, and that helped the crypto segment in reducing volatility.
That said, the downtrend that started in Bitcoin at the end of the last year is still intact, although a major cycle low is likely already in. Correlations remained elevated as a sign of the still bearish sentiment, but on a positive note, the previously strong coins mostly held on to their gains, while staying well clear of the previous lows.
BTC hit an intraday high at $8650 before entering the consolidation phase, and the largest digital currency is now back to neutral from a short-term momentum perspective. The $7650 is still in the center of attention, and with the long-term picture being deeply oversold, a durable rally is likely. Primary resistance is ahead between $9000 and $9200, with further levels at $10,000 and $11,300, while support is found at $7650, between $6750 and $7000, and at $6150 and $5750.
BTC/USD, 4-Hour Chart Analysis
Ethereum also recovered quickly off its lows, and it’s holding up strongly above the prior low near $740. With the long-term now being oversold, albeit not as much as in the case of the majority of the coins, investors could add to their holdings on the short-term sell-offs, while traders should wait for a confirmed trend change before entering new positions. Support levels below $740 are found at $625 and $575, while resistance is head near $850 and $1000.
ETH/USD, 4-Hour Chart Analysis
LTC/USD, Daily Chart Analysis
Litecoin is hovering near the $150 level after the lofty gains of the last couple of days, and the coin got very close to the key $170-$180 zone before today’s consolidation, being among the strongest majors. While the bottoming process could be lengthy and further volatile periods are possible, investors could still add to their holdings during the short-term sell-offs, while aggressive traders could also be looking for entry points, despite the still intact downtrend.
DASH/USD, 4-Hour Chart Analysis
Dash is still one of the strongest major altcoins from a short-term perspective, although it trades in a clear downtrend despite the healthy bounce. That said we expect the current correction low to hold up in the coming period, with a durable rally in the coin being likely. Resistance levels are ahead between $600 and $650 and around the $825 level, while support is found at $500, $410, and $360.
XRP/USD, 4-Hour Chart Analysis
The rally in Ripple halted near the $0.85 resistance, as the broader market entered the consolidation phase. XRP has been among the leaders of the rally so far and we expect the coin to hold up above the prior low, as the cycle likely ended. Resistance above 0.85 is ahead at $1, $1.25, and $1.5, while below support is at $0.68 and $0.56.
ETC/USD, 4-Hour Chart Analysis
Ethereum Classic is trading just below the $20 level, slightly lagging the broader market from a technical standpoint, although the coin is well above the key $18 level. Despite the weakness, the coin likely set a durable cycle bottom, and we expect a rally above $23 in the coming weeks. Investors could still add to their holdings on the short-term sell-off, with support below $18 found at $16 and $14.50.
XMR/USD, 4-Hour Chart Analysis
Monero is consolidating together with the other majors, slightly below the $240 level, in line with the technical setup in BTC and ETH. The coin is unlikely to re-test the lows near $150, but a pull-back below $200 is possible, even as a major low is now likely in. Resistance levels are ahead at $240, $280, and $300, while support below $200 is at $175 and $150.
NEO/USDT, 4-Hour Chart Analysis
NEO is still only neutral regarding long-term momentum despite the deep correction that we expected, and the coin might be in for a longer consolidation period than the rest of the segment before a durable rally. That said, the final low is likely in, and investors could add to their holdings near the main support levels, although traders should wait before entering positions in the currency. Resistance levels are ahead at $125 and just above $150, while support is at $100, $80, and $64.
IOTA/USD, 4-Hour Chart Analysis
IOTA remains one of the strongest majors regarding short-term technicals, but the rally in the coin halted near the $1.9 level, similarly to the dynamics in Ripple. We expect the coin to enter a new bullish cycle soon, but only aggressive traders should enter new positions, while investors could still add to their holdings on the short-term sell-offs, with primary support found at $1.5.