Technical Analysis: Ripple and Ethereum Hit New Highs as Bitcoin Stagnates

The cryptocurrency market continued a rapid restructuring towards altcoins, as Bitcoin remained well below its all-time high, while Ethereum and Ripple both scored new record highs. The trio of NEO, Cardano, and Stellar also continued their recent rally, taking over Dash, Monero, Litecoin, and IOTA in the list of the most valuable altcoin. While the sustainability of those trends remains a question, the momentum is clearly positive for now.

Ethereum added to yesterday’s gains today, clearing the $900 levels after the recent buy short-term signal. The coin still has room for short-term gains despite the overbought long-term momentum readings, and a spike to $1000 is in the cards here. That said, while traders could still play the trend, investors should wait for better opportunities to add to their positions. Support levels are now found at $850, $740, $625, $575, and between $480 and $500.

ETH/USD, 4-Hour Chart Analysis

Ripple turned bullish again from a short-term perspective after the recent correction, and it breached the prior high today, topping the $100 billion mark regarding its market cap. The bullish short-term trend remains intact and although we still expect a deep correction in the coming weeks, traders could play the current leg higher. Primary support is now at $1.50 with further levels at $1.25, $0.85, $0.68, and $0.42.

XRP/USDT, 4-Hour Chart Analysis

 

Bitcoin

BTC/USD, Daily Chart Analysis

Bitcoin is still trading inside the daily range of the mini-crash two weeks ago, and it continues to lose ground compared to the largest altcoins, with its dominance hovering around the one-third of the market. BTC faces strong resistance near the $16,000 level, while the primary support zone around $13,000 is now reinforced with the long-term trendline. That said, we still expect a deeper correction and a dip below $10,000 before the end of the current cycle, with further support levels at $11,300, $9000, and stronger levels at $8200 and $7700.

Litecoin

LTC/USD, Daily Chart Analysis

Litecoin remains among the weakest majors still being stuck below the $250-$260 resistance zone, despite the bullish sentiment of the recent days. The coin has been drifting lower today, and with the short-term momentum showing neutral readings, another leg lower in the ongoing correction is possible soon, with a likely re-test of the mini-crash low near $180, and further strong support at $125 and $100.

Dash

DASH/USD, 4-Hour Chart Analysis

Dash has also been trending slightly lower today, after the rally of the first few couple of days of the year, and the coin is still consolidating since the crash two weeks ago, with the long-term picture remaining slightly stretched. We expect a move below the previous correction low in the coming period, with support levels still found at $1000, slightly above $800, at $650, and near $600.

Ethereum Classic

ETC/USD, 4-Hour Chart Analysis

The rally in Ethereum Classic stalled near the key resistance level at $34, and coin traded in a choppy narrow range as trading volume declined. The long-term setup remains unchanged, as further correction is still likely after the late-year surge. We still expect a move below $23 with major support below that at $18, while further resistance ahead at $40.

Monero

XMR/USD, 4-Hour Chart Analysis

Monero is now in a neutral short-term position as the coin drifted out of the correction pattern, although the long-term pressures remain bearish, thanks to the still severely overbought momentum readings. Strong resistance is ahead near $400, while primary support is still found at $300 and further important levels are at $240, $200, $180, and $150.

NEO

NEO/USDT, 4-Hour Chart Analysis

NEO hit our long-term target at $100 after continuing its recent break-out, although the momentum of the move is not strong. That said, further gains are possible, and traders should hold on to their positions here, while investors could start to reduce their exposure, as the long-term picture is getting overbought. Volatility could pick up again in the segment soon, as the Bitcoin correction is still not concluded, and support levels are now found at $80, $64, and $56.

IOTA

IOTA/USD, 4-Hour Chart Analysis

IOTA has been virtually unchanged today, as trading activity collapsed and the coin remained in a narrow range around the $4 level throughout the session. With the long-term picture still pointing to further correction, despite the coin’s advanced position in the cycle, investors should still wait with opening new positions. Strong support levels are found at $3 and $1.5, with a Fibonacci support between those at $2.35.

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