Bitcoin, Cryptos having their Christmas Rally

Although the weekend started with cryptocurrencies retracing, it ended with a rally. Bitcoin (+4.5%), Bitcoin Cash (+4.14%), Ethereum (3.7%), and Litecoin(+4.73%) were the best movers among the top ten cryptos. In the Ethereum token sector, the top capitalized CRO(+6.77%) SNX (+6.2%), and CENNZ (+6.82%), moved nicely up. Also, there were bigger movers, such as CEL (+19%), JWL (+24%), ECOREAL (+48.5%), and ROX (+41.4%).

Fig 1 - 24H Crypto Sector Heat Map

The crypto market cap moved up by 4% to $197.67 billion, on 30.1 billion of traded volume during the last 24 hours, which is a 64.25% increase. The bitcoin dominance grew slightly and is now 68.65%.

Fig 2 - 48H Crypto Sector Market Cap and Traded Volume

 

Hot News

Bitwise sent a new letter to the Securities and Exchange Commission in which the company expresses its commitment to the product. The letter shows a study by Charles Schwab  in which it indicates that the Grayscale Bitcoin Trust is the top five investment vehicle in millennials retirement accounts, and arguing that an ETF is needed because "GBTC is currently the only tool that retail investors can use to access bitcoin through a traditional brokerage account."

 

Technical Analysis - Bitcoin

Chart 1 - Bitcoin 4H Chart

Bitcoin has broken the sideways movement it was immersed in after the sizeable bullish impulse made last Dec 18. This move was made with strong volume. The price moved up from $7,150 to surpass the $7,650 value, although now it is retracing a bit since it is a bit overbought. The MACD also supports this bullish movement.

This $400 movement is the confirmation of the trend reversal we were expecting. Also, we think the move will proceed until it touches the upper descending trendline, which defines the descending wedge, as the price is moving in ($7,800).

SUPPORT	PIVOT POINT	RESISTANCES
7,300	7,410	7,680
7,200		7,800
7,030		8,000

 

Ripple

Chart 2 - Ripple 4H Chart

Ripple's movement to the upside is, in contrast with other cryptos, very bearish. The asset is forming an upward wedge that seems to be resolved to the downside. As we see in the chart, the $0.2 is acting as a strong resistance for ETH. The price has bounced off from there for its third consecutive time. The positive notes are that the price still moves near its +1SD line and that the MACD is crossing to the upside.

Under these circumstances, a breakout of the  $0.2 level would be very positive for buyers. Also, sellers should keep an eye at the $0.19 support, as a breakout there would trigger more sells.

SUPPORT	PIVOT POINT	RESISTANCES
0.193	0.195	0.2
0.19		0.205
0.187		0.21

 

Ethereum

Chart 3 - Ethereum 4h Chart

Ethereum moved up to break the consolidation range in which it was moving but got rejected from the $125 level that was the top of its initial impulse of Dec 18.  The price action is happening above the +1SD line, and the MACD is also bullish. Therefore, we can expect this $135 level to be broken and the Ether coins to test the $140 resistance level.

SUPPORT	PIVOT POINT	RESISTANCES
130	131	135
127		137
123		140

 

Litecoin

Chart 4 - Litecoin 4H Chart

Litecoin has also moved away from the consolidation area, and it has made a high at $42.7. The price is moving above the +1SD line, and the MACD is bullish. That is a confirmation of the new upward trend it began on Dec 18. After a break of the $32.7 level, its next target is $44 and $45.

SUPPORT	PIVOT POINT	RESISTANCES
41	41.4	42.7
40		44
39.5		45.5

 

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