Hi, Steemers!
As we promised here is a forecast for the main crypto-currencies pairs with a detailed comment for each pair. We will public them twice a week – on Monday and Thursday.
For those who are not in theme technical analysis is the forecasting of future financial price movements based on an examination of past price movements. Technical analysis shows the possible movement of the asset, it doesnt predicts future.
That’s enough theory for today.
Let`s move to the most interesting part of the article – the analysis.
In our analysis we will concentrate on the following crypto currency pairs:
- BTC/USD;
- STEEM/BTC;
- ETH/USD;
- DASH/BTC.
BTC/USD
Lets start with a most popular pair - BTC/USD. After breaking through the strongest resistance level of 470 BTC/USD as of 28.05.2016 pair reached its local high – 778.70 BTC/USD. This level was the highest from February 2014. Then correction began: after five session’s corrections was 30%. Lately bears triangle figure has formed (pls see picture below). There was a triangle breakout downwards and Bitcoin began to rapidly fall in price: crypto currency dropped in price to 634 BTC/USD.
The decrease in price of the pair may reflect concerns about the transition of the largest Chinese mining pools on different protocol. Inventors are afraid that developers would not release a new Bitcoin client with increasing block size to 2 MB.
To prove that it won`t happen a closed meeting between the Chinese and pools miners and developers was held in California. The event involved such industry leaders as Bitmain / AntPool, Blockstream, HaoBTC and F2Pool.
On this drop Bitcoin has re-tested the level of the 470 BTC/USD which became a level of support for it. At this movement BTC/USD moves in the upstream bullish channel and its price is 582 BTC/USD. We forecast that in the end of the week it will reach the level of resistance of 602 BTC/USD. Since the volumes and historical volatility are on the low levels so we do not wait for a strong movement this week.
Resume: Buy
Aim: 602 BTC/USD
STEEM/BTC
Looking at the 4H chart we can conclude a bear pressure. Bears have been testing the level of 0.0026 STEEM/BTC for the last half of the month. Growing volume on down bars shows the intention for a downward movement. In the next few days we will see the break of the level 0.0026 STEEM/BTC with a further movement to 0.0016 (minus 28%). Growing historical volatility during last sessions will help in creation of a strong movement.
Resume: Sell
Aim: 0.0016 STEEM/BTC
ETH/USD
From March 2016 ETH/USD trades in flat. Historical high was as of 17.07.2016 – 21.48995 ETH/USD. After that ETH/USD has returned to a flat movement. For the last two sessions an incline level was broken and the price will probably move to the level 15.22 ETH/USD (plus 35%).
Resume: Buy
Local Aim: 12.50 ETH/USD
Global Aim: 15.22 ETH/USD
**DASH/BTC **
The most interesting pair is DASH/BTC. For the last 10 sessions this pair is on historical highs. Dash after break of the channel has jumped up on more than 25% to the 0.02668645 DASH/BTC. Capitalization of the company reached 96 mln USD and the daily trading volume rose to $ 4.16 mln USD. Growth of volumes and historical volatility will lead to movement to the next resistance level - 0.0265 DASH/BTC. After, it is likely that there will be a correction downwards to the level 0.0195 DASH/BTC. We believe that in next few months we will see a new historical high - 0.027.
Resume: Hold
And Finally
Top 5 of the most profitable crypto-currencies of the Monday
Best regards,
Denis and Dima
