Cryptocurrency Analysis

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LTC/USD short-term analysis

LTC/USD is in a bearish trend as price is making lower lows and lower highs. Price is showing bottoming signals around $118.50 but more signs of strength are needed in order to confirm trend reversal.



Red lines - resistance trend lines

Green rectangle- support

LTC/USD bulls need to break the two resistance trend lines. The first one provides resistance at $135.15 area. Breaking above this level will most probably push price towards the next resistance trend line. Breaking above the second resistance trend line could lead price to a bigger bounce towards $160. Support is found at the green rectangle and recent lows at $118.50. Any short-term bullish scenario gets canceled if price breaks below $118.50.




Alexandros Yfantis
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Bearish divergence in ETH/USD

ETH/USD remains in a bullish trend making higher highs and higher lows. As long as price is above $1,049 trend will remain bullish. However there is a warning sign that bulls should not ignore. The RSI does not follow price. The RSI is making lower highs. This is a bearish divergence.



Red lines - bearish RSI divergence

ETH/USD is showing signs of a weakening up trend. The bearish divergence is a warning sign to bulls. Not a reversal sign. However it should be taken under serious consideration. Recent low at $1,208 is important short-term support. Breaking below it could lead to a bigger break down. Upside target is at $1,526 as long as the short-term support is respected.



Alexandros Yfantis
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical analysis of ETH/USD for January 28, 2021



Predictions and analysis of Ethereum (Cryptocurrency)
Ethereum is at an all-time high against the dollar around the spot of $ 1,3337 - $ 1,375 - Ethereum is inside in upward channel.

Closing above the major support ($ 1,1272) could assure that ETH/USD will move higher towards cooling new highs.

Ethereum is continuing rising by market cap at 14% in a day, 28% in a week, and 118% in a month, and is trading at $ 1,340 after it reached $ $ 1,1478 earlier.

Ethereum has been set above the strong support at the price of $ 1,1272, which coincides with the 23,6% Fibonacci retracement level.

This support has been rejected three times confirming the veracity of an uptrend.

The market is likely to show signs of a bullish trend around the spot of 1,1272. Buy orders are recommended above the area of $ 1,1478 with the first target at the price of $ 1,1419; and continue towards 0.6766 in order to test the last bullish wave.

On the other hand , if the ETH/USD fails to break through the resistance price of $ 1,375 today, the market will decline further to $ 1,1208.

As we know that:
1 BTC ---> $ 32,000 approximately
1 ETH ---> $ 1,350 approximately
So, 1 ETH ---> 0.0421 BTC.
However, one Ethereum is only worth 0.0421 Bitcoin (January 28, 2021).


Trading recommendations
The trend is still bullish as long as the price of $ 1,208 is not broken. Thereupon, it would be wise to buy above the price of at $ 1,208 with the primary target at $ 1,419. Then, the ETH/USD pair will continue towards the second target at $ 1,478 (a new target is around$ 1,478).


Alternative scenario:
The breakdown of $ 1,208 will allow the pair to go further down to the prices of $ 1,125 and $ 1,050.

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Crypto industry news (Ethereum News - (Source : cryptonews))

Ethereum Needs To Clean Its Value Proposition - Coinbase.

ETH outperformed BTC in a month and a year - 107% to BTC's 17%, and 702% to BTC's 274%, respectively - but it has also been more volatile, which can partly be explained by its shorter life and smaller market capitalization compared to bitcoin (USD 152bn vs. USD 599bn), according to Coinbase. At 11:25 UTC Tuesday morning, ETH was trading at USD 1,329, having decreased following yesterday's all-time high. It dropped 5% in a day and 4.6% in a week. Meanwhile, bitcoin dropped 3% in a day and 13% in a week to USD 32,205.

Ethereum (ETH) prices have continued to bump along without any real momentum in either direction, with the market seemingly unmoved by news of social media giant Reddit's latest deal with the Ethereum Foundation.

At the time of writing (09:21 UTC), ETH trades at USD 1,270 and is up by 1% in a day and 1.5% in a week.



Mourad El Keddani
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BTC analysis for January 28,.2021 - Potential for the another downside cycle towards $26.125 and $21.965

Analyzing the current trading chart of BTC, I found that there is potential for the another downside cycle and potential test of $26,125 and $22,000.



Watch for selling opportunities on the rallies using the short-term frames like hourly and 4h time frames with the potential downside target at $26,125 and $22,000

Stochastic oscillator got is near the extreme level, which is sign that there might be overbought condition.


Key Levels:

Resistance:$34,000

Support level: $26,125 and $21,965




Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical analysis of BTC/USD for January 28, 2021



Technical market outlook

Bitcoin price:
After finding bids reach to $ 29,223, bitcoin price recovered above $ 30,000 and $ 31,000.

Initial Bitcoin resistance lies near the $ 32,031 level (50% of Fibonacci retracement levels).

A decent breakout and follow-up move above $ 32,031 could open the gate for a push towards the $ 33,604 level. The main resistance remains near the area of $ 33,604 - $ 34,000.

Also it should be noted that Bitcoin and cryptocurrencies unite as the bears lose their momentum.

The market is indicating a bullish opportunity above the above-mentioned support levels, for that the bullish outlook remains the same as long as the 100 EMA is headed to the upside.


Trading BTC/USD

Uptrend scenario:
An uptrend will start as soon, as the market rises above resistance level $ 32,000, which will be followed by moving up to resistance level $ 33,000. Further close above the high end may cause a rally towards $ 33,604. Nonetheless, the weekly resistance level and zone should be considered.

Downtrend scenario
On the downside, the $ 30,000 level represents support. The next major support is located near the $ 30,000, which the price may drift below towards the $ 30,000 support region.


Forecast (BTC/USD)
The volatility is very high for that the BTC/USD is still moving between $ 30,000 and $ 33,604 in coming hours.

Consequently, the market is likely to show signs of a bullish trend again. So, it will be good to buy above the level of $ 31,000 with the first target at $ 32,000 and further to 1,33,604 in order to test the daily resistance. However, if the BTC/USD is able to break out the daily support at $ 29,223, the market will decline further to $ 28,200 to approach support 2 today.


Crypto industry news (Bitcoin News - (Source : cryptonews))
Lawyers Take Aim at Russia's Crypto Legislation.
As many other cryptos and tech stocks soared, bitcoin (BTC) tanked, said Arca, stressing that the reason behind this is leverage, as it exacerbates price action when something organic causes sell pressure - which is what happened last week.


Mining News
In a coded letter today, Bitmain's co-founder Jihan Wu said he has resigned as the CEO and Chairman of Bitmain today. "The disagreement between Micree and myself, the two co-founders of Bitmain, has been finally settled in an amicable and, more importantly, a constructive manner," he said. According to Jihan Wu, Micree Zhan, another co-founder of the company, purchased almost half of the Bitmain shares owned by Bitsource, "which is a code name that represents a group of founding shareholders" including Jihan Wu, for USD 600m. Also, he announced changes in their business structure, claiming that their new "model will be highly streamlined which will make it much easier to go for an [initial public offering]."



Mourad El Keddani
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Ethereum Still Bullish!

Ethereum (ETH/USD) is traded higher at 1,300.74 level versus 1,205 yesterday's low. The outlook is bullish and the price could push higher again after the most recent temporary decline.

Ethereum declined a little only because the price of Bitcoin registered a sell-off in the short term. An increase of BTC/USD could bring a bullish momentum here on ETH/USD as well.

ETH/USD WITHIN AN UP CHANNEL!


As you can see on the h4 chart, ETH/USD increased within an up channel. It has managed to escape from the minor descending pitchfork's body indicating further growth.

The critical support is seen at the red uptrend line and at the S1 (1,144) level. Only dropping below these levels could invalidate the upside scenario and could bring a selling opportunity.

Closing and consolidation above the Pivot Point (1,291) could confirm that ETH/USD will move higher towards fresh new highs.


TRADING ETH/USD!

ETH/USD could attract more buyers from above 1,130 after its failure to retest the descending pitchfork's upside line. Buying from above 1,1327 today's high with a first potential target at the R1 (1,541) is possible.

The Stop Loss for such a long position could be hidden under the S1 (1,144) level.



Ralph Shedler
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for 28 January 2021

Crypto Industry News:
According to a January 14 release, a research team supported by the Ethereum Foundation is currently organizing a framework for a backwards-compatible Beacon chain change scheduled for mid-2021.

"This hard fork is not really a hard fork in the traditional sense," commented Ben Edgington, Teku project manager. Rather, it is a warm-up before sharding and combining Eth 1.x and Beacon Chain.

The word "fork" is heavily overused in a blockchain context. In fact, after doing this update, it shouldn't even fork, in the sense that the network ends up in a lot of competing chains, "Edgington wrote in a January 15 Eth 2.0 blog post.

The update will most likely include the following changes to the code (although these have not yet been fully agreed upon):

-Light clients service infrastructure via the sync committee. Solutions of this type enable chain verification without as much burden as with a typical validation device.

-New function balance_denominator to change activity penalties for non-participating validators. The current punishment method is the Service Denial of Service (DOS) vector while the new feature increases chain performance, wrote Danny Ryan on GitHub.

-Rewards will be based on mining periods (epoch) (similar to block), not on closure as is currently the case.

An additional feature under consideration is the addition of a difficulty bomb, also known as "Ice Age". The difficulty bomb - which triggers at fixed block heights - is a mining control mechanism that was originally added to the Eth 1.x blockchain in 2015. Over time, mining becomes more and more difficult to motivate developers to build Eth 2.0.


Technical Market Outlook:
The ETH/USD pair tried again to break through the short-term trend line resistance, but failed and reversed lower towards the level of $1,274. If this level is violated, then the next target for bears is seen at the level of $1,233. The momentum is pointing down around the neutral level, so the sentiment might be flipping to negative in the short-term. The nearest technical resistance is located at the level of $1,376. The higher time frame trend remains up.

Weekly Pivot Points:
WR3 - $1,927
WR2 - $1,665
WR1 - $1,545

Weekly Pivot - $1,286
WS1 - $1,156
WS2 - $897
WS3 - $767


Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $1,500, so any correction or local pull-back should be used to open the buy orders. Please notice, the up trend starting to go vertical, so the volatility will be higher than average. The bullish scenario is valid as long as the level of $830 is broken.





Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of BTC/USD for 28 January 2021

Crypto Industry News:
Should national regulators be concerned about Bitcoin's recent success and massive surge in value? Blankfield suggests the cryptocurrency could undermine the ability to control existing financial systems.

During his television appearance, Blankfein reassured that the nature of bitcoin makes it an ideal tool for illegal financing, stating:

"It could work. Ultimately, however, currency should do several things. It is a medium of exchange and a store of value. Storing value is a bit tricky, and as a medium of exchange, you don't know if you're paying North Koreans or Al Qaeda... ".

Blankfein suggested that regulators will find it difficult to "track the flow of money" on the Bitcoin network. This can be a problem when money tracking could avoid negative scenarios such as terrorist attacks and money laundering. If regulators can track where the money is going and put an end to dangerous and illegal activity before it becomes a problem, then the undetectable nature of Bitcoin can be problematic in this regard:

"It may be feasible, but it will undermine freedom and liberty and the kind of lack of transparency that people like about it. This is a challenge Bitcoin will have to deal with. "

Blankfein believes that in order to solve this problem some basic features of Bitcoin (and some anonymous freedoms it offers) must be regulated. However, in the event that Bitcoin is deprived of the decentralized nature of a cryptocurrency, the question is whether such a regulated digital asset will still be able to attract investors' attention?


Technical Market Outlook:
The BTC/USD pair keeps trading under the short-term trend line resistance and the attempt to rally above the level of $35,000 had been capped. The market is getting close to the key short-term technical support seen at the level of $28,930 - $28,471 as the bearish pressure intensify. Please notice, that if this is clearly violated, then the market might extend the slide down towards the level of $27,000. On the other hand, the bulls must break through $35,000 in order to resume the up trend.

Weekly Pivot Points:
WR3 - $45,492
WR2 - $41,554
WR1 - $36,330

Weekly Pivot - $32,457
WS1 - $27,332
WS2 - $23,540
WS3 - $18,286


Trading Recommendations:
Despite the recent corrective cycle the bulls are still in control of the market. The up trend continues and the next long term target for Bitcoin is seen at the level of $50,000, so any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $20,000 is clearly broken.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BTC analysis for January 27,.2021 - Sellers in control and potential for test of $28.450

Further Development



Analyzing the current trading chart of BTC, I found that sellers are in control and there is breakout of the mini Pitchfork channel, which is sign that BTC can continue with the downside movement.


Key Levels:

Resistance: $35,000

Support levels: 28,450 and $23,880



Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Short-term target at $27,250 for BTCUSD

BTCUSD is pulling back. After an all time high at $41,905 price is now trading again below $30,000. We use the Fibonacci retracement tool to identify the first important Fibonacci level where we expect price to pause this decline.



BTCUSD weekly chart shows that we are in a third consecutive negative performance week. The 38% Fibonacci retracement level is our first pull back target. This level is at $27,250. The RSI is turning lower from oversold levels. Traders looking to go long BTCUSD should be patient as in the short-term we expect more downside to be seen. Next major support is around $20,000 where we find the 61.8% Fibonacci retracement and the previous all time highs. Breaking below the 38% Fibonacci level will increase chances of pushing lower towards $20,000. Traders now need to be patient.




Performed by Alexandros Yfantis
Analytical expert
InstaForex Group © 2007-2021