The Buyers finally Came, is this just a bull trap?
|Bitcoin (+7.9%) and the rest of the cryptocurrencies had a reversal day. After falling to March levels, altcoins emerged from their minimums and recovered or exceeded the values 24 hours earlier. Today the strength continues with Atom (+22%), VET (+18%), Bitcoin SV (+12.15%), Ethereum (+9.75%), and EOS (+8.52%) leading the way. In the Ethereum token section, MKR(+22.59%) and LINK(+8.04%) are the highest gainers among the top market cap tokens. Mostly, the Ethereum token sector is filled in green with plenty of them moving above 15% in the last 24 hours, Fusion (SN) being the top mover, with 70.3%.
The current market capitalization is still below the $200 billion level, at $196.272 billion, while the traded volume grew 22%, to $37,455 billion. Finally, the dominance of the Bitcoin grew slightly to 66.15%, which means Bitcoin led the reversal day.
Hot news
Thailand is to introduce tax refunds via blockchain for oil exporters. According to a cointelegraph.com article, director-general Patchara Anuntasilpa told the Bangkok Post that the Thailand Excise Department is going to change its current tax refund method by a blockchain- based payment system, which will start operating in mid-2020.
Ventuary Labs launches Neutrino - a blockchain stable coin based on the Waves protocol. According to a news article by cryptoninjas.net, Neutrino allows any user to create synthetic assets, such as algorithmic stablecoins, pegged to real-world assets such as national currencies, stocks, and indices.
Denis Beau, First deputy Governor of Banque de France, says ECB should use distributed ledger technology (DLT) as a way to settling their euro transactions and explaining that the growing demand for faster transactions should move the ECB to experiment with Blockchain and DLT technologies.
Technical Analysis
Bitcoin
Bitcoin has stalled at about $7.300 after two large candlesticks made on Monday. The price seems to find sellers above that level, and we have yet to see if this is a consolidation and profit-taking activity or the beginning of a new bull trap selling. Technically, BTC's price moves in the upper side of the Bollinger band, and the MACD has made a bullish transition, although it still moves in the negative side. The major resistance area is between $9,300 and $9,400. A break below $7,090 would call for more selling pressure.
Ripple
Ripple has participated more timidly in the crypto recovery. The price has found resistance at 0.2267, near the Bollinger mean line, and no is drifting between this value and $0.215. The price continues moving in the lower side of the Bollinger bands, although the MACD made a crossover to a bullish phase. Under these circumstances, XRP must be left to confirm which direction will it take. The current bias is still bearish, but a healthy break above $0.2267 would make us consider the bullish case.
Ethereum
Etherum had a sharp bounce from its $132 low, bouncing from the -3SD Bollinger line up to the mean line, and slightly above it. The price was stopped at the $150 level and now moves in a range between this level and $145. The MACD also shifted to a bullish phase, although still in the negative area. The movement made in the last 24 hours is promising, but buyers should wait for more strength to push the price above $150. A close below $145 means sellers still have control of the price action.
Litecoin
Litecoin had a recovery after a complex morning star pattern. The price moved from close to the - 3SD Bollinger line to its mean line. The price has been stopped at $47.6, the beginning of the large bearish candlestick. So, now, it is trying to move on the upper side of the Bollinger bands. The MACD made a transition to bullish, but it is still below the zero-line. To confirm the recovery, the price must move above the $47.6 level with conviction ( a close with a candlestick with no wicks in the upper side). A close below $ 45.343 would confirm the bearish trend is still in place.
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