Author: Rizqie Atsir Fadhlullah, Business Development of Tokenomy
The crypto market has not shown any impulsive moves during last week’s trade. Traders should be more careful of several fake outs that often appear when trading.
- Bitcoin forms a second structure
After the pennant pattern which formed last week broke out perfectly, Bitcoin is now forming a second structure which has also broken out. If there is no false confirmation, Bitcoin will move back towards the $ 32,000 price support. If this price support level is successfully overcome, the next support areas are $ 30,000 and $ 29,000. However, if Bitcoin turns bullish and manages to break out of the upper trendline, it will target the $ 36,600 resistance. One thing to watch out for, Bitcoin movement is still very limited, hence traders should pay attention to the small support resistance areas.
- Ripple is moving in a falling broadening wedge pattern
Ripple moves in a unique chart pattern which is quite rarely seen, the Falling Broadening Wedge pattern. This pattern is in a fairly wide price range which can be used to make short-term trades. In the resistance area, the $ 0.67 area which coincides with the upper trendline becomes the upper limit of the price movement. In the support area, the $0.57 area which coincides with the lower trendline becomes the lower limit of the price movement. Currently the price is still moving in the floating zone near the resistance area. We also see a structure which we have drawn a trendline on. If XRP manages to break out of that structure, it could easily move towards the $ 0.59 and $ 0.57 price support. If the breakout does not occur, XRP’s price will most likely move up, testing the $ 0.67 resistance.
- Tron set to slide back to $ 0.056
Similar to XRP, Tron is currently moving in a channel down pattern. The channel down pattern is a bearish price movement with a 45° downward structure, and has parallel swing highs and lows. If we take a closer look, TRX also has a bullish structure near the resistance area which seems to have broken out. If the breakout is valid, the next move will be towards the price support at $ 0.059 and $ 0.0570 which is located on the lower trendline. On the other hand, TRX needs to overcome the upper trendline which is the resistance for the price to move up towards the $ 0.068 area.
- AAVE is moving in the secondary trend
As we can see from the larger time frames such as H4 and Daily, AAVE is currently moving in accordance to a secondary trend, whereas the main trend of AAVE is still bearish. When we switch to the H1 time frame, it can be seen clearly that AAVE is currently hovering around its resistance area. In addition, we also see a bullish structure which is also a dynamic support area for AAVE. If the structure breaks out, AAVE will target the support price area of $ 254 to $ 177. However, if the horizontal resistance area is broken, the next price move will be towards the $ 385 resistance area.
- Litecoin tests its double top neckline
After forming a double top pattern during last week’s trading, LTC seems to be testing the neckline area now. If we look at the pattern in detail, at the time of retesting, LTC also formed a second structure. If this second structure is successfully broken, LTC will continue its price movement towards the support at $ 126 to $ 118. However, if LTC moves up and breaks through the neckline area, it will test the double top area once again.