Cryptocurrency Analysis

[IFX_Selena]

BTC analysis for October 25,.2021 - Potential for the downside continuation

Technical Analysis:



BTC has been trading upside in last 24 hours but I see potential exhaustion and downside rotation towards $62,000.


Trading recommendation:
Due to test of the Pitchfork middle lane nad exhaustion in momentum, I see potential for the downside movement towards $62,000.

Watch for swelling opportunities with the downside target at $62,000.

Stochastic oscillator is showing bear divergence and potential for the drop....

Key resistance is set at the price of $63,400




Petar Jacimovic
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for October 25, 2021


Crypto Industry News:
Ripple's CEO Brad Garlinghouse has given his thoughts on the state of the cryptocurrency market and regulations, and it seems his resentment about the financial regulator's approach to Ethereum has surfaced.

Speaking at the DC Fintech Week virtual conference, Ripple's CEO stated that Ethereum had received a regulatory green light that allowed him to overtake his company's XRP token.

The US Securities and Exchange Commission (SEC) has sued Ripple that XRP is an unregistered security. In January, Ripple filed a petition with the SEC for the Freedom of Information Act, demanding an explanation as to why it did not recognize ETH as a security. Six months later, in July, the district judge allowed the company to fire a former SEC official who declared in 2018 that the ETH was not a security.

Garlinghouse clearly feels that his company has been thrown at its feet, and Ethereum's subsequent success is due, at least in part, to a more favorable treatment by the SEC.

XRP was the second largest crypto asset in terms of market capitalization at the end of December 2017. It has now relegated to seventh place, while Ethereum has been ranked second since then.


Technical Market Outlook
The ETH/USD pair had bounced from the technical support seen at the level of $3,971 and is about to test the local technical resistance seen at $4,204. The next target for bulls is seen at the last ATH located at $4,369 and above. The positive momentum supports the short-term bullish outlook for ETH and the larger time frame trend is still up.

Weekly Pivot Points:
WR3 - $5,099
WR2 - $4,706
WR1 - $4,412

Weekly Pivot - $4,017
WS1 - $3,701
WS2 - $3,313
WS3 - $2,969


Trading Outlook:
The next long-term target for ETH is seen at the level of $5,000. Nevertheless, in order to continue the long-term up trend, the price can not close below the technical support at the level of $2,906. The level of $1,728 (61% Fibonacci retracement of the last big impulsive wave up) is still the key long-term technical support for bulls. The level of $3,677 is the key mid-term technical support for bulls.






Sebastian Seliga
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Technical Analysis of BTC/USD for October 25, 2021


Crypto Industry News:
Walmart has partnered with Coinstar to install 200 Bitomats in stores across the United States. Although the pilot program only covers 200 points, the plan is to eventually install 8,000 units nationwide as part of a wider roll-out. There are no further details on the dates for now.

There are currently over 25,000 Bitomats in select grocery stores and gas stations in the United States. Coinstar operates 4,400 kiosks serving Bitcoin purchases in 33 states. Thus, Walmart is expanding access to Bitcoin to more people and will increase credibility with skeptics if they release it beyond the initial pilot.

Customers can use the machine by inserting a banknote and receiving a paper coupon with a redemption code. To redeem the code, customers must then create an account and perform background checks. Users are currently unable to withdraw Bitcoin from their account, and there are currently no plans to offer this functionality in the near future.

This is not the first sign of Walmart's interest in the cryptocurrency space. In August, the retail giant announced that it was looking for a crypto product manager to drive the company's digital currency strategy.


Technical Market Outlook
TheBTC/USD pair had bounced from the technical support seen at the level of $59,561 and is currently testing the local technical resistance seen at $62,898. The next target for bulls is seen at the last ATH located at $66,974 and above. The positive momentum supports the short-term bullish outlook for BTC. The larger time frame trend is up.

Weekly Pivot Points:
WR3 - $72,680
WR2 - $69,750
WR1 - $64,343

Weekly Pivot - $61,785
WS1 - $57,070
WS2 - $54,248
WS3 - $49,247


Trading Outlook:
According to the long-term charts the bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. The next mid-term target is seen at the level of $66,974 (the previous ATH level). This scenario is valid as long as the level of $30,000 is clearly broken on the daily time frame chart (daily candle close below $30k).







Sebastian Seliga
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

XRPUSD remains below key resistance.


XRPUSD continues to trade above the $1 short-term support level and below the key resistance area of $1.15-$1.24. Price has made no real progress the last few days and traders need to remain patient.



Orange lines - resistance trend lines

Blue line- support trend line

Red rectangles- lower highs

XRPUSD is forming lower highs (red rectangles) as price touches the resistance trend lines. This is not a good sign. On the other hand price continues to respect the blue support trend line. This is crucial for bulls. Things are simple with XRPUSD. Break above $1.15-$1.24 and price will continue higher at least towards $1.40-$1.50. Break below $1 and price will be vulnerable to a move towards $0.85.




Alexandros Yfantis
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Bitcoin analysis for October 24, 2021.


Bitcoin as expected from our previous analysis has broken the bullish short-term channel and is now challenging the $60,000 support level. Despite making a new all time high above $65,000, the RSI provided a bearish divergence and we noted that bulls needed to be cautious as a pull back was justified.



Blue lines - bullish channel (broken)

Black lines- Fibonacci retracement levels

Bitcoin is vulnerable to a move lower towards the 38% Fibonacci retracement. Having broken the bullish channel it was in has provided us with a bearish signal. This does not mean that the recent high is a major top. However in the near term price is vulnerable to the downside. A pull back towards $55,000 or even $50,000 is justified in order for bulls to gather momentum by creating a higher low before the next attempt to break above $65,000.



Red lines - weekly RSI bearish divergence

On a weekly basis price is forming a reversal candlestick pattern and the RSI is providing a bearish divergence. Although both are not sell signals, they provide a major warning of what could come. Bulls need to be cautious and patient. The closer the weekly close will be to $49,500, the more bearish the candlestick will be. Bulls do not want to see a long upper shadow in the daily candlestick.





Alexandros Yfantis
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Bitcoin failed to hold above $67,000; BTCUSD risks falling to $52,000


After updating its all-time high, Bitcoin failed to hold above $67,000 per coin. The approval of the Bitcoin ETF, the flight of investors from inflation, and the outflow of funds from gold funds were strong drivers for growth. However, a very alarming picture is emerging on the daily chart.


BEARISH ENGULFING AND HEAD AND SHOULDERS REVERSAL PATTERN

The most alarming moment was Thursday's daily candle. It not only closed bearish but a buyback also took place - a bearish engulfing pattern formed on the chart. And this is a signal for a reversal. Although sometimes it shows only a local change in direction.

What does this mean and how can events develop further? To understand this, it is worth paying attention to two factors:

The breakdown of the level of 62,637.96. Yes, the daily candle is not closed yet, although it changes its direction from timid bullish to bearish before our eyes. If BTCUSD closes below this level, it could fall to the $60,000 per coin area; and

A potential rebound from $60,000. If this happens, it is possible that a second shoulder of the head and shoulders reversal pattern may form. So far, it is only being outlined and it cannot be argued that it will form and work itself out. But if this happens, then the neckline near $60,000 for one bitcoin may be broken.

These are only assumptions so far, but if events develop according to this scenario, the main cryptocurrency may fall to $55,000 (the potential for working out the head and shoulders pattern) or even to the $52,000 area.

Locally, you need to monitor the behavior of BTCUSD around the level of 62,637.96, and in case of its breakdown - the mark of $60,000 per coin. I will not push ahead of time, maybe these supports will also keep the price down. But the scenario described above is worth keeping in mind just in case.


WHY SELL BITCOIN?
There are most likely two reasons here, which, if you think about it, are related.

The first is selling on facts. It has been discussed more than once and it is possible that it may now take place. After all, Bitcoin grew on expectations of ETF approval. And now, when the first one is launched, the second one started trading Friday, and the third one is expected next week, there could have been regular sales.

The second is profit taking on purchases among speculators. The consequence of the sale on the facts. The only question now is how long this profit will be fixed. However, the targets were described above.


VALKYRIE: THE SECOND TO LAUNCH BITCOIN ETF

Bitcoin and crypto financial services firm Valkyrie Funds is the second firm to launch a major cryptocurrency futures ETF in the United States.

Valkyrie's Bitcoin ETF started trading on the Nasdaq fund Friday with the ticker BTF. The ETF will track the value of the Chicago Mercantile Exchange (CME) bitcoin futures.

During a Friday morning interview with CoinDesk, Leah Wald, CEO of Valkyrie Investments commented on what sets their foundation apart from ProShares, which launched on October 9th. She equated her bitcoin and crypto fund with "subject matter expertise" and ProShares with "a monolith that cares more about launching their next fund."

Well, another ETF from VanEck is next in line, which is likely to start trading in the US on Monday. By this time, we will probably get more clarity about whether Bitcoin will go for a deeper correction.






Ekaterina Kiseleva
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Current situation and prospects of Ethereum



This week, the influence zone of the maximum extremum (4370.56) has been tested. During testing, a rebound was indicated. The week will be closed today, and the weekly result is interesting. The formation of a rebound can inspire the bears for new successes. The nearest supports are currently located at the daily levels of 3965.53 (Tenkan) and 3759.75 (Fibo Kijun). Further, the bears will search for a wide support zone that unites the levels of different timeframes. However, if the bulls manage to keep their reached positions, then the breakdown of 4370.56 will allow us to test 4500.00. Here, the psychological level of 5000.00 will be the next important level of the bulls.



The downward correction led to the fact that the central pivot level (4150.75) in the smaller timeframes went to the bearish side. The next most important line for the bears is now 3926.58 (weekly long-term trend). A consolidation below and reversal of moving averages will change the current balance of power in these timeframes. The weekly long-term trend is located below, where the support for the classic pivot levels 3782.35 (S2) - 3564.66 (S3) are.

But if the central pivot level (4151.75) returns to the bullish side, the interests of the bulls will be directed to updating the maximum extreme (4370.56) and reliably fixing above.


Ichimoku Kinko Hyo (9.26.52) and Kijun-sen levels in the higher time frames, as well as classic Pivot Points and Moving Average (120) on the H1 chart, are used in the technical analysis of this cryptocurrency.





Evangelos Poulakis
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Ethereum already broke through the level of $ 4,000. Will it head to $ 10,000?



Ethereum has managed to break through the level of $ 4,000, and according to the forecasts of many analysts, the main altcoin of the entire crypto market will be able to surpass the $ 10,000 mark next year.

This currency is very attractive to investors, as it has its own incomparable network, a healthy ecosystem with smart contracts, and low fees.

At the end of this year, a global proof-of-stake update may be released, which will completely change Ethereum's vector of development.

The price of Ethereum has risen by more than 470% since the beginning of this year, while Bitcoin has also broken through its all-time highs. ETH keeps up with it and continues to grow as well.

Mark Cuban says that Bitcoin is a good accumulative asset, but if one wants to make money on investments, then one should pay attention to Ethereum because it is a real innovative financial instrument.

By the end of this year, Ethereum may receive very important internal changes. The developers are fully working on improving the ecosystem.

The optimistic Ethereum should be released by the end of the year, which will help it even more.

It will publish various transaction data of its chain. This innovation can happen as early as October 28.

This is very positive news for Ethereum and its network, so many analysts predict growth, with an accelerated rally up to $ 10,000.

This can be heard from an analyst who once predicted a bullish bitcoin rally and it came true. Sean Farrell is confident that the level of $10,000 will be broken.

Goldman Sachs analysts are confident that Ethereum will catch up with Bitcoin in price and overtake it in capitalization within 5 years. However, this will be possible after the launch of the Ethereum 2.0 update. If all Vitalik Buterin's promises regarding updates and scaling come true, then the price will grow.





Vitaly Kolesnikov
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Trading plan for Bitcoin for October 22, 2021



TECHNICAL OUTLOOK:

Bitcoin hit an all-time high around $67,000 levels before pulling back on Thursday. The minimum projected target is achieved and traders might be preparing to book full profits here. The crypto has rallied since printing $28,600 lows in a fresh rising channel as displayed here on the daily chart. Now, the probability remains high for a pullback towards $56,000 and up to $49,000 levels before resuming an uptrend again.

Bitcoin has produced an engulfing bearish candlestick pattern on the daily chart indicating a potential reversal ahead. The Fibonacci 0.618 retracement of the recent rally between $40,000 and $67,000 is passing through the $48500-49000 mark. It could find the next bullish reversal there and resume an uptrend towards $75,000 levels.

On the flip side, if prices break below $40,000 initial support, bitcoin may drag further towards the $42,000 mark. Bulls could come back in control until prices stay above $28,600 levels. Traders might remain aside for a while and allow prices to correct lower towards $56,000 at least before initiating fresh long positions.


TRADING PLAN:
Target achieved. Remain flat for now.

Good luck!





Oscar Ton
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for October 22, 2021


Crypto Industry News:
Valkyrie Bitcoin Strategy ETF has finally entered into force and is expected to start trading on Nasdaq under the BTF ticker on Friday, industry media reports.

The launch follows the US Securities and Exchange Commission release on Thursday about the effectiveness of the Valkyrie Bitcoin Strategy ETF.

According to Leah Wald, CEO of Valkyrie Funds, the upcoming fund launch is an important milestone in the relationship between the cryptocurrency industry and US regulators.

"This inauguration is important because it is another confirmation that US regulators want to work with the industry to regulate crypto assets, not ban them. The more products come on the market, the more awareness. There are, of course, other phenomena regarding similar products and it would make sense for them to appear on the market, she said.

As previously reported, the Bitcoin Strategy ETF ProShares became the first Bitcoin futures ETF to be launched in the United States, starting trading on the New York Stock Exchange on Tuesday. Earlier in October, the SEC also approved a Bitcoin related ETF product by Volt Equity, which provides investors with an instrument to invest in companies with significant Bitcoin exposure.


Technical Market Outlook:
The ETH/USD pair has made a new higher high at the level of $4,373, but the rally had ended with a Pin Bar candlestick pattern at the top of it, so a some kind of correction might be expected soon. The nearest technical support is seen at the level of $4,031 and $3,971. The momentum is strong and positive, so the bulls might risk to push the prices towards the level of $4,000 before any meaningful correction will occur, but any breakout below $3,677 will be a negative in the short-term.

Weekly Pivot Points:
WR3 - $4,596
WR2 - $4,262
WR1 - $3,971

Weekly Pivot - $3,631
WS1 - $3,394
WS2 - $3,073
WS3 - $2,777


Trading Outlook:
Ethereum have started the next wave up and violated the long-term target at the level of $3,550. The next long-term target for ETH is seen at the level of $4,394. Nevertheless, in order to continue the long-term up trend, the price can not close below the technical support at the level of $2,906. The level of $1,728 (61% Fibonacci retracement of the last big impulsive wave up) is still the key long-term technical support for bulls.







Sebastian Seliga
Analytical expert of InstaForex
© 2007-2021