Bitcoin Cash Rally Fizzles Out
An early weekend rally came to an abrupt end on Saturday, with Bitcoin Cash’s intraday high of $1,298.5, hit in the early part of the morning, all there was for investors to smile about as a bearish trend formed through the middle part of the day.
Bitcoin Cash’s failure to break through to $1,300 levels and test its first major resistance level of $1,305 likely weighed, leaving investors to lock in profits from the week and sit back and wait for another dip.
There was certainly no negative news through the day to impact investor sentiment and, while Bitcoin Cash gained 9.43% gain Monday through Friday, it’s been a relatively flat couple of days, with Bitcoin Cash ending Saturday down 0.48% to $1,267.8, following on from Friday’s 0.43% fall.
Saturday’s intraday low $1,251.7 was reflective of just how range bound Bitcoin Cash was through the day, with the low sitting above its first major support level of $1,250 on the day.
Things have not improved this morning, with Bitcoin Cash down 2.27% to $1,240 at the time of writing, falling below its first major support level of $1,246.8 early in the day, which could see Bitcoin Cash dip to $1,200 if there is no recovery through to $1,250 levels through the rest of the morning.
We’ve seen the peak and troughs through the weekends and, while Bitcoin Cash did hit a weekend high $1,298.5 on Saturday morning, the weekend has lacked sparks for Bitcoin’s little brother.
It’s looking bearish and any pullback through the 2nd support level of $1,225.9 could see Bitcoin Cash test $1,200 support, which should be strong enough to avoid a more material decline through to the end of the day.
For a reversal of the bearish trend, a move back through $1,250 to today’s intraday high $1,269.5 would support a run through today’s major resistance level of $1,294, though $1,300 may be a step too far for the day.
Litecoin Goes into Reverse
Following a good start to the month, with Litecoin having risen 7.61% from Monday’s open through to an intraweek high $217.5 on Saturday morning, Litecoin has gone into reverse, with a bearish trend having formed through Saturday.
Litecoin slipped 0.8% on Saturday to end the day at $210.31, with a break through its first major resistance level of $215.5 sealing Litecoin’s fate, leading to an intraday low $209.16 before a partial recovery to the day’s end.
At the time of writing, Litecoin was down 1.14% to $208, with red seen across the majority of the crypto majors this morning, Stella’s Lumen and Ripple the only exceptions.
A continued fall through to $207.15 would test its first major support level for the day, which could see Litecoin test $200 support levels should a move back through to today’s intraday high $211.13 not materialize.
While it’s looking bearish, we will expect plenty of support at sub-$200 levels to avoid ending the day below $200, which would certainly be an outcome that would see selling pressure build through the start of next week.
Ripple Spends another Day at Sub-$1.00
Ripple had a relatively choppy day on Saturday, hitting an intraday high $0.92583 in the early hours, breaking through its first resistance level of $0.92056 before going into reverse, a trend that was seen across the majority of the majors on the day.
An intraday low $0.88326 failed to lead to a bigger pullback on the day, with Ripple’s XRP managing to avoid testing its first major support level of $0.87563 through the day, with a recovery to $0.89664 by the close, a 0.08% rise for the day.
The disappointment for Ripple investors will not only be that Ripple closed out the day at sub-$0.90 levels, but that Ripple has now spent 9-days without hitting $1.00 levels, while some of the other Crypto majors have managed to hold on to key levels.
At the time of writing, Ripple’s XRP was up 0.23% to $0.89599, bucking the trend in the early hours, with Ripple’s XRP having hit an intraday high $0.91507 at the start of the day.
It’s been fairly sideways for Ripple since the decline from the start of the month’s $0.9635 high and for the XRP bulls, a move through to today’s early high is going to be needed to test the day’s first major resistance level of $0.92056. While $1.00 levels will be a step too far, holding above $0.90 would be a step in the right direction.
On the flip side, if there is a pullback to yesterday’s $0.88326 low, today’s first major support level of $0.87799 would likely be tested, which may see investors get nervous and lead to a larger dip before buyers return.
For Ripple’s XRP to hold on to the early gains, the major cryptos will need to begin reversing early losses, else we will expect Ripple’s XRP to reverse early gains.
This article was originally posted on FX Empire