Bitcoin price started a strong uptrend and surged above $5,600. BTC is currently trading with a strong bullish bias and it could climb towards the $6,000 resistance level.
However, major altcoins struggled to follow bitcoin. Still, there were positive moves in binance coin (BNB), Ethereum (ETH), ripple (XRP), bitcoin cash (BCH), litecoin (LTC), stellar (XLM), ADA, EOS, and TRX. Going forward, altcoins are likely to climb if btc continues to grind higher.
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- Bitcoin price surged higher above the $5,600 and $5,750 resistances (Bitfinex).
- Ethereum price is facing a strong resistance near $172.50 and $173.00.
- Ripple price broke a major bearish trend line, but struggled to gain momentum.
- EOS price is facing a crucial barrier near the $5.080 and $5.100 resistance levels.
- BLCR surged close to 750% and DRA climbed around 360% in the past 7 days.
Bitcoin Price Analysis
After a sharp dip below the $5,200 level, bitcoin price found support near the $5,050 level. As a result, BTC started a fresh increase and climbed above the key $5,370 and $5,550 resistance levels to post solid weekly gains.
Bitcoin Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price gained momentum after it settled above the $5,500 resistance and the 21 simple moving average (4-hours). During the rise, the price surpassed the 76.4% Fib retracement level of the last decline from the $5,688 high to $5,057 low.
It opened the doors for more gains above the $5,700 level and the last swing high. Besides, the price broke a crucial ascending channel with resistance near the $5,780 level.
The price recently climbed above the $5,800 level and traded to a new multi-month high near $5,840 (Bitfinex exchange). At the moment, the price is testing the 1.236 Fib extension level of the last decline from the $5,688 high to $5,057 low.
If there are more gains, the price is likely to climb towards the $5,950 or $6,000 resistance level. A successful break and close above the $6,000 resistance won’t be easy considering the fact that it was a strong support earlier.
Conversely, if there is a downside correction, the price could find support near the $5,750 or $5,700 levels. The main support is near the $5,620 level and the 21 simple moving average (4-hours).
Overall, bitcoin price is clearly surging towards the $6,000 resistance level. If BTC bulls struggle to gain pace above $5,950 or $6,000, there could be a sharp downside correction towards the $5,620 or $5,550 support level.
Ethereum Price Analysis
Ethereum price declined below the $160.00 support level, but it remained above the $155.00 support level. ETH traded as low as $157.19 recently and climbed above the $160.00 and $165.00 levels.
Ethereum Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price gained pace above the $165.00 level and the 21 simple moving average (4-hours). However, the price is currently facing a strong sell zone near the $172.50 and $173.00 levels.
There is also a major bearish trend line in place with resistance near $172.50 on the same chart. Therefore, a successful close above the trend line and $173.00 is likely to open the gates for a sharp upward move.
The next key resistance is near the $177.50 and $180.00 levels. Above $180.00, the price may revisit the $188.00 level. Conversely, if there is a downside correction, the price may find bids near the $165.20 level and the 50% Fib retracement level of the last wave from the $157.19 low to $173.11 high.
If there is an extended decline, the price may revisit the $160.00 support or the 76.4% Fib retracement level of the last wave from the $157.19 low to $173.11 high.
To sum up, Ethereum price seems to be trading near a crucial resistance at $173.00. If the bulls gain pace above $173.00, ETH could start a strong rally towards the $180.00 or even $188.00 level in the near term. The main uptrend supports are near $155.00 and $153.20.
Ripple Price Analysis
There was a sharp decline in ripple price below the $0.3000 support against the US Dollar. XRP/USD even broke the $0.2900 support level and traded to a new monthly low at $0.2832 before starting a fresh upward move.
Ripple Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price rebounded recently above the $0.2900 and $0.2960 resistance levels. The bulls came into action, resulting in gains above the $0.3100 resistance and the 21 simple moving average (4-hours).
Moreover, there was a break above a significant bearish trend line near $0.3175 on the same chart. It opened the doors for more gains and the price spiked towards the $0.3280 level.
A swing high was formed at $0.3279 and the price recently corrected lower. It broke the 23.6% Fib retracement level of the recent wave from the $0.2832 low to $0.3279 high. However, the broken trend line is currently acting as a support.
An immediate support is near the $0.3100 level (the previous resistance). The next key support is near $0.3060 and the 50% Fib retracement level of the recent wave from the $0.2832 low to $0.3279 high.
As long as ripple is trading above the $0.3100 and $0.3060 supports, there are chances of a fresh increase above the $0.3200 and $0.3250 levels. The next key resistances are $0.3280 and $0.3350.
On the flip side, a close below the $0.3060 support may push XRP price back in a bearish zone in the near term.
EOS Price Analysis
EOS price declined to a new monthly low close to the $4.50 level against the US Dollar. The price traded as low as $4.536 and recently started a strong rebound above the $4.755 resistance level.
EOS Price Chart: Click to Enlarge
Looking at the 4-hours chart, the price even broke the $4.800 resistance level and settled above the 21 simple moving average (4-hours). The upward gathered pace above the 50% Fib retracement level of the last decline from the $5.454 high to $4.536 low.
Besides, there was a break above a major bearish trend line with resistance near $4.995 on the same chart. It cleared the path for more gains and the price tested the key $5.100 resistance area.
The 61.8% Fib retracement level of the last decline from the $5.454 high to $4.536 low seems to be acting as a strong resistance for further gains. Once there is a close above the $5.100 level, the price could surge towards the $5.250 or $5.400 level.
If EOS price fails to move above $5.100 resistance, it could start a fresh decline. An initial support is near the $4.900 level and the 21 simple moving average (4-hours). Below $4.900, the price could test the $4.755 support area.
During the past 7 days, a few small cap altcoins rallied sharply and gained more than 100%, including BLCR, DRA, BITS, DIG, KCASH, JCT and PKG (trading volume more than $50K). Out of these, BLCR rallied around 750% and DRA gained nearly 360%.
Overall, bitcoin is trading with a strong bullish bias above the $5,600 level. If BTC continues to grind higher, it could drag major altcoins such as Ethereum, ripple, bitcoin cash, litecoin, XLM, ADA, TRX, EOS, DASH, BNB, XMR, NEO, and IOTA higher as well.
The market data is provided by TradingView, Bitfinex.