The leading RoboForex analyst RoboForex Dmitry Gurkovsky explains the potential next moves for Bitcoin’s price and several popular altcoins.
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The long-awaited rise in volatility has arrived, and crypto assets have finally left their current sideways ranges. At present, cryptocurrencies are showing a confident upturn and solid momentum.
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In shorter timeframes, many assets are forming patterns that point to further development of the bullish trend. Bulls will want to see a breakout above the upper boundaries of these patterns, after which a continuation of the rally to new highs can be discussed.
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Market activity is likely to remain elevated, and the current correction will be only a minor pause before an aggressive rise in digital instruments.
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Bitcoin
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On the daily chart, Bitcoin managed to break through an important resistance, signalling strong buying pressure and the market’s reluctance to correct and move downward. The key support area now sits around $10,240; a pullback to it could once again trigger a rebound and a continuation of the ascent.
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The growth target in this scenario is the $13,865 level. An additional signal in favour of this move would be a bounce from the RSI support line. The option against this scenario would be a break below the lower boundary of the uptrend channel with prices staying below $10,150, where a continuation of the decline to the $8,695 level should be considered.
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Daily chart BTC/USD from TradingView.
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On the 4-hour chart, quotes are squeezed within the Diamond pattern. This structure can serve as either a reversal or a continuation of the trend. Here we also observe the RSI support line approaching, a bounce from which could trigger a new wave of growth. Therefore, do not rule out an upside breakout of the Diamond pattern and active growth.
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Confirmation of the idea would be a breakout above the pattern’s upper boundary with the price holding above $11,565. In that case, one can safely anticipate reaching $13,045 in the near term. An adverse outcome would be a break below the lower boundary of the pattern with the price staying below $10,775.
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4-hour chart BTC/USD from TradingView
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Ethereum
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ETH/USD prices on the daily chart have also breached all nearby resistance levels that could provide strong support in case of a return to them. RSI values have also managed to break above the downtrend line.
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A correction to the $355 level would push RSI values back to that line, which could push the asset price to new highs. If the $430 level is breached, consider continuing aggressive growth toward $515.
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An upside scenario would be negated by a break below the support area with the price staying below $355, which would confirm a break of the lower boundary of the rising channel and a move lower toward $290.
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Daily chart ETH/USD from TradingView
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On the smaller timeframes, prices are rising within an uptrend channel. A Triangle pattern is forming here as well, which typically breaks in the direction of the trend. A bounce off the RSI trendline also supports further price gains.
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A break above the Triangle’s upper boundary with prices staying above $405 would confirm the bullish impulse continuation. The near-term target is $420, with a break higher to $460 indicating acceleration.
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A break below the Triangle’s lower boundary with prices below $360 would signal a move out of the uptrend channel and a slide toward $300.
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4-hour chart ETH/USD from TradingView
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Litecoin
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Litecoin prices on the daily chart have left the long-running sideways range. It is quite possible that after the breakout upward, a solid uptrend will unfold, as the breakout was upward.
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RSI values are returning to the broken trend line, where a test and subsequent rebound could confirm the continuation of the ascent.
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A strong signal in favor of the bullish scenario would be a breakout above the upper boundary of the rising channel with prices staying above $65, which would allow projecting the channel’s width upward from current levels and expect prices to rise to $85.
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A reversal would be a break below the lower boundary of the rising channel with prices staying below $51, where a move back toward $39 could be expected.
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Daily chart LTC/USD from TradingView
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On the 4-hour chart, a Diamond pattern is forming. To confirm the idea of continued growth, it is important to wait for a breakout above the pattern’s upper boundary with prices above $62.55.
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In this scenario, one can speak confidently of a rise to $75.75. An additional signal is a bounce off the RSI support line.
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A break below the lower boundary of the Diamond pattern with prices below $53.80 would open the door to a decline toward $46.25.
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4-hour chart LTC/USD from TradingView
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XRP
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XRP prices have convincingly broken through the upper boundary of the ascending channel, signaling continued price growth. The nearest resistance sits at $0.3470; a breakout would trigger a rapid rise to $0.4845.
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An additional signal in favor of a sustained bullish impulse is a bounce from the RSI trendline, where buyers have managed to decisively breach the resistance.
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A reversal of this scenario could be a return to the bounds of the ascending channel, implying a drop toward the $0.2395 support level.
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Daily chart XRP/USD from TradingView
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On shorter timeframes, prices rise within an uptrend channel. Prices repeatedly bounce off moving averages, indicating the strength of the current trend. A Triangle pattern is forming here as well, and an upward breakout with a close above $0.3280 would confirm a reliable continuation toward the target at $0.3825.
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An additional RSI bounce would support this scenario.
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A break below the triangle’s lower boundary with prices under $0.2695 would signal further declines toward $0.2130.
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4-hour chart XRP/USD from TradingView
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Bitcoin Cash
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On the daily chart, Bitcoin Cash has likewise left the prolonged sideways range. The price bounced off the support level, and there is every chance to see an attempt to develop a new wave of growth targeting $413 and higher — $497.
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A strong signal in favor of this scenario would be a breakout above the upper boundary of the rising channel with prices holding above $380, which would allow for a rise at least equal to the channel’s width. The RSI test of the breached trend line would also support the rise in price.
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A break below the lower boundary of the rising channel with prices staying below $260 would signal further declines toward $204.
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Daily chart BCH/USD from TradingView
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