Crypto Weekly Update: Nervous Sentiment Builds in Cryptocurrencies

Cryptocurrencies Hovering Near Key Support, Early December Gains Tested

Cryptocurrencies have experienced a bad week of losses for speculators looking for additional value. Sentiment has taken a sign for the worse and on the Chicago Mercantile Exchange for Bitcoin futures, short positions are beginning to outnumber buyers in an overt manner. The broad market has found itself testing important support levels, but it should be said Bitcoin has staged a minor recovery as of this morning and is valued near 9100.00 U.S Dollars per coin. Speculators should expect conditions to remain rather volatile this week. Early December gains are facing a key test.

Ethereum a Good Barometer for Traders, Important Support Levels in Play

While many looks at Bitcoin as a barometer for the digital currencies, Ethereum may be the best to monitor to understand the mood of the broad crypto marketplace. Ethereum like the other cryptocurrencies has been under pressure for a week and it is within a precarious range. Important support is near 620.00 U.S Dollars per coin, while the current value of Ether is now around 712.00 as it churns within a territory just above its rocket launch values of early December. If Ethereum should test the 620.00 support juncture it could be a signal Ether may be ready to test a wild day of trading accomplished on December the 12^th, when it jumped in value with an extraordinary push higher. If Ethereum hits the 620.00 U.S Dollar ratio it could prove an important tipping point.

The Ides of March Approaching for Cryptocurrencies?

Part of the problem for cryptocurrencies the past week is the sentiment that regulatory agencies and their edicts from a wide breadth of governments are starting to take shape, and it is going to impact cryptocurrency exchanges and traders. The U.S, China, and Japan have all continued to issue reports on cryptocurrencies. And there is a growing amount of news warn those interested in digital currencies to be wary of fake sites, which if used infect the users’ computer with malicious cryptocurrency mining malware. Most cryptocurrencies have lost value since the start of March.

Yaron Mazor is a senior analyst at SuperTraderTV.

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