Crypto Update: Coins Settle Down Again As Supports Hold

The major cryptocurrencies managed to avoid a short-term technical breakdown today, despite yesterday’s broad sell-off in the segment. The top coins all settled down near key price levels, with BTC hovering around $9,200, ETH trading between $180 and $185 and with XRP being stuck just below the $0.30 level. Today’s flat session means that the short-term consolidation patterns remain intact in the segment, but no technical progress has been made.

The broader picture remains clearly bearish for the top coins, and even though BTC is holding on to most of its gains form the weekend, altcoins are relatively weak and we still expect the bear market to resume. The current should still be considered as a counter-trend move, and traders should only enter small positions in the relatively stronger coins, while applying strict risk management rules.

BTC/USD, 4-Hour Chart Analysis

The $9,200 level is clearly at the center of attention in BTC’s market, and thanks to today’s stability, bulls still have the hope that the rally attempt will continue. A dip below the short-term support near $8,650 would be a very bearish sign, but a rally above the long-term declining trend could open up the way for a long-term upgrade.

The coin is still on a long-term sell signal and a short-term buy signal in our trend model, with further support zones found near $8,400, and $8,200, and with resistance ahead near $10,000.

ETH/USD, 4-Hour Chart Analysis

ETH has been trading within the key $180-$185 support/resistance zone throughout today’s session, with the exception of an early spike below it, avoiding a potentially damaging technical breakdown. The coin remains relatively weak compared to BTC, and while a recovery rally and a short-term buy signal is still in the cards, downside risks remain prominent here.

Our trend model is still on sell signals on both time-frames, with further support zones now found near $160, $145, and $130, and with resistance zones ahead near $200 and…

Source Link