Bitcoin and Altcoins Eye Last Line of Defense
Yesterday, bitcoin failed to recover further above USD 7,200 and declined. BTC/USD dropped sharply and traded to a new monthly low near USD 6,800. Later, the price found a strong buying interest, resulting in a push above the USD 7,000 level. More importantly, there were bearish moves in major altcoins like bitcoin cash and ripple. However, they are still holding important support levels and are eyeing an upward move.
Bitcoin price came under renewed selling pressure and declined below USD 6,900. However, losses were limited and BTC/USD bounced back after testing the USD 6,800 – USD 6,820 support area. At the moment (UTC 08:30 AM), the price is trading above the USD 7,000 level with an immediate resistance at USD 7,100.
Above USD 7,100, the price needs to overcome a crucial resistance near USD 7,250, which was a support earlier. On the downside, supports are at USD 7,000, USD 6,900 and USD 6,800.
Ethereum price was stable above the USD 400 support and it mostly traded in a range. ETH/USD is slowly moving higher, but the pair must clear the USD 415 and USD 420 resistance levels to gain traction.
Above USD 420, the price may rise towards the USD 440 level. On the downside, the USD 400 support is likely to act as a strong barrier for sellers in the near term.
Bitcoin cash and ripple
Bitcoin cash price recovered nicely after trading below the USD 690 level. BCH/USD is currently up more than 1.5% and is trading above USD 700. On the upside, the most important resistance is at USD 720, above which, the price could accelerate towards USD 740.
Ripple price spiked below the USD 0.42 and USD 0.40 supports and traded with bearish moves. XRP/USD is currently trading above USD 0.40, but it remains at a risk of more declines if it fails to move above USD 0.425.
Other Altcoins Market Today
Many small cap altcoins traded in a tight range with gains between 2%-5%. However, BAT and ethereum classic performed really well and gained 11% and 8% respectively. ETC is trading with bullish moves and it could continue to move above the USD 20.00 level.
To sum up, bitcoin price is showing signs of a recovery and it has to stay above the USD 6,800 support. If not, BTC/USD may possibly extend losses by more than USD 250 – USD 300. More importantly, ethereum needs to stay above USD 400 for a decent recovery above USD 420.