Bitcoin Cash, Litecoin and Ripple Daily Analysis – 19/04/18It’s a mixed start to the day for the cryptomarket, but following a stellar rally for Bitcoin Cash, Litecoin and Ripple’s XRP, the bulls continue to have control, with the market having been free of negative news for a while now.
Bitcoin Cash Surge
The bears took to the hills on Wednesday, with Bitcoin Cash surging 18.3%, reversing 2 consecutive gains of decline with interest, to end the day at $896.2.
Bitcoin Cash hadn’t touched $800 levels since the 30th March and $900 levels since the 28th March, so the move through to an intraday high $900 was a poignant one in the Bitcoin Cash near-term bull trend, reinforcing the longer-term bear trend reversal formed at 6th April’s swing lo $600.1.
A morning low $755.1 came at the start of the day, holding above the first major support level of $742.2, with Bitcoin Cash also avoiding the 23.6% FIB Retracement Level of $752.1 on its way through the day’s key resistance levels that provided little to no resistance, Bitcoin Cash ending the day above the 3rd resistance level of $839.4.
With Bitcoin (BTC) up just 3.56% on Wednesday, the moves continue to support the calls made earlier in the year that Bitcoin Cash would likely take over Bitcoin as the market front runner this year. There’s a long way to go, but if Wednesday’s rally is anything to go by…
At the time of writing, Bitcoin Cash was down 1.06% to $885, with the decline attributed to some profit taking, following Wednesday’s rally, rather than any material shift in sentiment across the cryptomarket.
A morning low $876.6 held well above the day’s first major support level of $800.87 and 23.6% FIB Retracement Level of $829.2, with continued bullish sentiment across the market providing support in the early part of the day.
For the day ahead, a move back through to $900 levels will be key for Bitcoin Cash to continue restoring confidence and test the day’s first major resistance level of $945.77, though a consolidation of Wednesday’s gains and a hold at current levels would continue to support the near-term bullish trend.
An easing back to $850 levels would bring the 23.6% FIB Retracement Level of $829.2, with buying appetite likely to be a reflection of sentiment at the time, any pullback to sub-$800 levels unlikely today, barring negative regulatory news hitting the wires, a shift in sentiment unlikely to reverse without an catalyst.
It’s been a good week for Litecoin and Wednesday didn’t disappoint, with Litecoin rallying 6.25% off the back of Tuesday’s 2.78% gain, to end the day at $140.49.
Breaking back through to $140 levels on Wednesday was considered key to support the near-term bullish trend formed at 6th April’s 112.1 swing lo and investors delivered, Litecoin not having closed at $140 levels since 27th March.
It wasn’t all plane sailing through the day however, with a mid-afternoon dip seeing Litecoin pullback to 134.12, from a morning high $137.5, before the rally resumed through the 2nd half of the day. Litecoin found support at around the 23.6% FIB Retracement Level of $133.8, with a broad based market rally driving Litecoin to an intraday high $141.64 to break through and hold above the day’s first major resistance level of $138.95 by the day’s end.
At the time of writing, Litecoin was down 0.14% to $140.3 in what’s been a range bound start to the day.
An early morning $142.5 high and start of the day $138.88 low left the day’s major support and resistance levels untested, with Litecoin also holding well above the 23.6% FIB Retracement Level of $134.7. The move back through to $140 will provide investors with some comfort early on, Litecoin managing to avoid a more material pullback, though cryptocurrencies have had a tendency to see more material declines in profit taking conditions.
For the day ahead, a move back through the morning $142.5 high would support another strong rally and a run at the day’s first major resistance level of $144.05, with Litecoin’s next target being $150.
A hold at $140 levels today would be considered a positive however, with Litecoin investors likely to be somewhat sensitive to any testing of support levels through the day, the day’s first major support level sitting at $134.52 alongside the 23.6% FIB Retracement Level of $134.7.
Support at Litecoin’s $140 psychological level has held strong early, but Litecoin will need to make a move else face a possible larger decline in the middle part of the day.
Ripple Hits $0.70 with more fuel in the tank
Ripple’s XRP rallied 9.09% on Wednesday, reversing two consecutive days of decline, to end the day at $0.7163, the highest close since 14th March’s $0.78014.
The day’s rally started early, with Ripple’s XRP hitting $0.6961 by the middle of the day, breaking through the day’s first major resistance level of$0.6771 to test the 2nd resistance level of $0.6986. A slight pullback to $0.6676 was short lived, upbeat sentiment across the market through the 2nd half of the day leading Ripple’s XRP to an intraday high $0.73017, moving up to the day’s 3rd resistance level of $0.7345.
An end of day sell-off at the 3rd resistance level saw Ripple’s XRP give up some of the day’s gains, but the moves through the day reaffirmed the 6th April’s bearish trend reversal at the swing lo $0.45716.
At the time of writing, Ripple’s XRP was up 1.34% to $0.72189, with Ripple investors looking for more gains off the back of a start of a day slide to a morning low $0.69639.
Ripple’s XRP was quick to recover to $0.70 levels, investors looking to consolidate Wednesday’s gains, with Ripple’s XRP test of support at the $0.70 psychological level drawing in new buyers to move through to an early $0.7415 high.
The morning’s high fell just shy of the first major resistance level of $0.7473, which will likely see some downward pressure on Ripple’s XRP before a resumption of the bullish trend formed back at 6th April that was affirmed by yesterday’s run.
Failure to move back through to the morning’s high could see investors hit the sell-button and wait for another dip, such a move likely to see Ripple’s XRP pull back to $0.67 levels and bring the day’s first major support level of $0.6682 and 23.6% FIB Retracement Level of $0.6657 into play.
While a sub-$0.70 finish is unlikely, a broad market sell-off later will need to be looked out for, such an influence likely to be weigh on Ripple XRP’s support levels.