Technical Analysis of Crypto Majors – January 6th, 2020

Technical Analysis of Crypto Majors – January 6th, 2020

BTC/USD

Currently, the total market cap of crypto is 203 billion USD with a 24h Volume of 72.59 billion and BTC Dominance of 67.6% according to coinmarketcap.com.

Bitcoin has a market cap of 137.58 billion USD and trades around 7,582 USD on Coinbase as it continues to consolidate below previous local highs around 7.45-7.7k USD and looks to retest it once again.

Additionally, a higher low has been made last week as the price reversed around 6854 USD, indicating bullish momentum forming, however, confirmation is still needed in the form of a further move to the upside and a new higher high.

Afterward, a long position could be taken once the price retraces and sets another higher low in the expectation that the next resistance area around 8.45-8.7 USD will likely be reached in the upcoming months which would mean a potential upside of around 11.4-15% from the current price and more if retracement is used for entry. Alternatively, short could be taken if clear signs of rejection are seen with a target around the previous low of 6954 USD.

Until then, it would be best to stay neutral and wait for further price action development.

BTC/USD Daily:

BTCUSD Daily Technical Analysis 6 Jan 2020

ETH/USD

Ethereum currently has a market cap of 15.54 billion and trades at 142.37 USD on Coinbase as the price continues retracing back to the upside after a new lower low was set in the 18th of December around 116.21 USD.

Since the overall trend continues being bearish, we could look for a potential short opportunity below 156 USD previous support/resistance level, which, if broken, would likely lead towards further bullishness in the upcoming months. Additional resistance could be seen around 144 USD previous support, now acting a resistance and price needs to be monitored around these levels.

For now, however, it is best to stay neutral and wait for further price action development.

ETH/USD Daily:

ETHUSD Daily Technical Analysis 6 Jan 2020

XRP/USD

Ripple currently has a market cap of 9.2 billion and is trading around 0.212 USD on Binance as it moves higher after setting a lower low around 0.1748 USD in the 18th of December.

Today a significant increase can be seen as the price has rallied more than 9% and currently trades around previous minor support around 0.21 USD, which could potentially reverse the price action and used as a short position entry area, however, clear signs of rejection are needed in order to confirm this.

Alternatively, the price will continue moving higher towards 0.233 USD resistance, as well as 100 day, moving average around 0.2564 USD, which would offer a strong potential resistance area and used in order to enter a short position once signs of rejection are seen.

For now, however, it is best to stay neutral and wait for further price action development.

XRP/USD Daily:

XRPUSD Daily Technical Analysis 6 Jan 2020

LTC/USD

Litecoin has a market cap of 2.89 billion USD and currently trades around 45.26 USD on Coinbase as it continues to retrace to the upside after setting a new lower low around 35.77 USD.

Previous support of 43.2 USD has already been clearly broken and, therefore, we can expect further upside to be seen in the upcoming days towards the next major previous support area that now acts as resistance around 49.52 USD. Additionally, 100 day moving average blue line is currently trading around 50.85 USD and serves as an addition confluence for potential resistance.

Therefore, a short position could be taken once the price reaches this area and signs of rejection for further upside are seen in the expectation that the overall bearish trend will continue and next support around 30 USD will be reached in the upcoming months, meaning a further downside of around 40% from the resistance area.

Until then, however, it is best to stay neutral and wait for further price action development.

LTC/USD Daily:

LTCUSD Daily Technical Analysis 6 Jan 2020

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