February 21, 2024

Cryptocurrency price analysis: bear pressure remains

He talks about further possible scenarios for the price movement of Bitcoin and several popular altcoins.RoboForex lead analyst Dmitry Gurkovsky.

Unfortunately, the cryptocurrency market will not return in any wayto the phase of sustainable growth. At the moment, assets are testing important support areas and in the near future there is every chance to see a rebound and the beginning of an upward movement. However, the shorter time intervals indicate continued pressure from the bears and the potential for another test of local minima remains.

In such a situation, it is important for the buyer to retaincurrent support levels and try to leave the downstream channels on 4-hour charts. With this development of events, it will be possible to speak of a full-fledged attempt to resume the upward trend. If the bears sell the market even lower, the risks are high to see a continuation of the downward correction.

Bitcoin

Bitcoin buyers are active on the daily charthold an important support area near the $8,200 level. Here is the zone between the Moving Averages — As a rule, a test in the future can provoke an upward rebound and an attempt to continue the development of the bullish trend. Just below is the upper boundary of the downward channel. An additional signal in favor of the growth option will be a rebound from the support line on the RSI indicator. As you can see, the indicator values ​​have almost reached this line, but we should not exclude an even tighter test of the support level on the price chart. Cancellation of the upward option will be a breakdown of the upper boundary of the descending channel and the price consolidating below the level of $8050, in which case we should expect a continuation of the fall to the next support near the level of $6875.

Cryptocurrency price analysis: bear pressure remains

On the 4-hour chart the price continuescorrect within the descending channel. At the moment, there are all the prerequisites for testing the support area near the $8,195 level, and only after this we should expect the asset’s value to begin to rise. A good signal in favor of this option will be the breaking of the downward resistance line on the RSI indicator, as well as a breakdown of the upper boundary of the downward channel with the price consolidating above the level of $9125. Cancellation of the upward option will be a breakdown of the ascending trend line on the price chart and consolidation of quotes below the $8,195 area, when we can expect a continued decline in the value of the cryptocurrency.

Cryptocurrency price analysis: bear pressure remains

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Ethereum

Ethereum quotes could not gain a foothold overthe upper boundary of the descending channel, which indicates pressure from the bears. At the moment, we should expect a fall in prices to the lower border of the channel near the level of $ 185. Already from this area, we can consider a new growth wave with a breakdown of a local maximum at the level of $ 285. An additional signal in favor of this option will be a rebound from the support line on the RSI indicator. Here are moving averages that have just crossed in favor of a bullish trend. The specified test can also provoke a serious upward rebound. However, in the event of a breakdown by the closing prices of the area near the $ 180 mark, we can consider a continued fall to the level of $ 150.

Cryptocurrency price analysis: bear pressure remains

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On smaller time intervals, quotesassets are squeezed within the framework of the next “Triangle” model. As we can see, the price is pushing off the resistance at $240, increasing the risk of continued decline towards the target at $203, and further &#8212; to $183. An additional signal for this is a test of the resistance line on the RSI indicator. Confirmation of the decline will be a breakdown of the lower boundary of the “Triangle” model. In this case, with a high probability, the market will reach the target near the $183 level. Cancellation of the downward scenario may be a strong increase in the value of the asset with quotes consolidating above the level of $240, in which case we should expect a continuation of the rise to the first target near $287.

Cryptocurrency price analysis: bear pressure remains

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Litecoin

On the daily chart, Litecoin is trading insideClouds of the Ichimoku Kinko Hyo indicator, indicating the presence of a sideways trend. However, as long as the price has not broken through the lower boundary of the Cloud, there are still chances for a rebound upward and the resumption of the upward trend. An important support area is located near the $50 level. This is also where the lower boundary of the ascending pattern &#171;5-0&#187; passes. We should not exclude a short-term test of this area and a return of the asset price above the indicator Cloud, which will indicate a resumption of upward momentum towards the first target at $102. Cancellation of the option with a rise will be a breakdown of the $45 level, when we can expect the formation of an ascending model to be canceled and the price to continue to fall to the $35 level.

Cryptocurrency price analysis: bear pressure remains

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On the 4-hour chart, the price is belowThe indicator cloud, allowing us to talk about a short-term downward impulse. Quotes pushed off the resistance level of $64, which indicates pressure from the bears. We should expect a continuation of the fall to the $55 level, a breakdown of which could trigger a decline to $50. This negative option will also be supported by a rebound from the downward trend line on the RSI indicator. Cancellation of this scenario will be a breakdown of the upper boundary of the downward channel with the price consolidating above the $70 level, in which case it is worth considering the option of working out the bullish model &#171;5-0&#187; on the daily chart of the asset.

Cryptocurrency price analysis: bear pressure remains

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Xrp

XRP quotes on the daily chart continuea fall. The price has returned under the Moving Averages, which indicate the presence of a bearish trend. The bulls have so far failed to seize the initiative. However, a little further down is the lower border of the ascending channel, as well as an important area of ​​support, from which quotes previously pushed upwards. The growth test will also be supported by the test of the support area on the RSI indicator, where we see regular upward corrections at the time of testing the area 30 on the indicator. A good signal is the return of the price for the Moving Average. Cancellation of the option with growth can be a breakdown of the lower boundary of the channel with fixing quotes below the level of $ 0.17, in which case the target near the level of $ 0.12 will become real.

Cryptocurrency price analysis: bear pressure remains

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On the 4-hour chart, the price is correcting withinModel &#171;Triangle&#187;. The RSI indicator values ​​have broken through the downward trend line, indicating a likely upward movement. However, we should not exclude attempts to test the $0.21 level, where the broken trend line is located, and only after that &#8212; the beginning of price growth. Confirmation of the rise will be a breakdown of the upper boundary of the downward channel and consolidation of quotes above the $0.25 level.

Cryptocurrency price analysis: bear pressure remains

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Bitcoin cash

Asset quotes are clinging to an important areasupport, where the lower boundary of the ascending pattern &#171;5-0&#187; is located. There is every chance to see the price rebound and begin to grow towards the first target at $410. A strong signal in favor of such a movement is a rebound from the support line on the RSI indicator. Previously, strong price growth had already begun with a similar test. Confirmation of the rise will be a breakdown of the middle line of the Bollinger Bands indicator. Cancellation of the growth option will be a fall and a breakdown of the $295 level by quotes, which will indicate an exit from the ascending pattern &#171;5-0&#187;. Its cancellation could provoke a strong drop in the price to $165.

Cryptocurrency price analysis: bear pressure remains

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On the 4-hour chart the price continues to remainbelow the resistance level. As we can see, pressure from sellers continues. We should not rule out a fall in quotes from current levels with a breakdown of the area around $295. This option is also supported by a price rebound from the resistance line on the RSI indicator. Cancellation of the scenario with a decline will be a breakdown of the upper boundary of the downward channel and consolidation of quotes above the level of $360, in which case it is worth moving on to the option of working out the ascending model &#171;5-0&#187; on the daily cryptocurrency chart.

Cryptocurrency price analysis: bear pressure remains

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Financial market forecasts are privateopinion of their authors. Current analysis is not a guide to trade. RoboForex is not responsible for the results of work that may arise when using trading recommendations from the submitted reviews.