This week’s analysis we have seen some interesting development with Bitcoin. We discuss last week’s movements and the potential trades that didn’t develop enough to become trades. Today there is a potential short continuation on the table for BTC/USD with price stalling at resistance. The risk-to-reward for this potential trade is sitting nicely at around 2. Be careful of the $6,050 price point – this is a strong support area that has pushed price up quickly when it has approached in the past! The fact this is a continuation from the overall trend is good news.
One word of warning – the longer a trend is alive, the greater the chance the trend will die. The current trend has been alive for quite awhile so please be aware of this potential twist in the road!
LTC, ETH, XRP
All these cryptos are showing potential short continuations if they are able to push up to resistance. None are quite there yet, with Bitcoin the clear outlier once again on the daily charts. It is worth checking these other pairs on lower time frames and looking for some potential setups.