reetings, esteemed ACG community members!
In this outlook, we will explore the current status of the cryptocurrency market, beginning with an assessment of trader sentiment as reflected in USDT.D.
We'll also examine Bitcoin's outlook before exploring five prominent altcoins (LINK, DOGE, DYDX, FET and BNB.) and discussing their key levels and potential trading opportunities.
Get ready for an exciting journey through the world of cryptocurrency markets!
Table of contents
- USDT.D and BTC Analysis
- 5 Altcoins Analysis
- Quotes / Advice
- Closing Remarks
1. USDT.D and BTC analysis
As usual, I always start my analysis with USDT.D as it serves as an indicator of traders' sentiment. USDT.D reflects whether traders are optimistic (investing in cryptocurrencies) or pessimistic (shifting towards stablecoins).
USDT.D is still holding strong within our 8% support zone. This week, the bulls have demonstrated their strength by successfully breaking above the 8.1% mark. As a result, we maintain our anticipation of a bullish continuation toward the previous major high at 8.45%.
However, for the bears to regain control, it would necessitate breaking below the support level at 7.94%. Such a development could potentially have a significant impact on the cryptocurrency market.
Analyzing the H4 timeframe, it's evident that the bulls are in control, as mentioned in the Daily analysis. The bullish momentum is expected to persist in the short-term unless there is a downward break below the 8.02% previous low.
BTC is currently trading within a notable range, with support at 24,200 and resistance at 28,000. At present, BTC finds itself in a neutral position, situated midway between these two critical rejection zones.
From a medium-term perspective, BTC maintains an overall bearish trend, characterized by lower lows and lower highs while trading inside the descending blue channel.
To see a shift in favor of the bulls, it would be essential to witness a break above the last high at 26,440 and the upper blue trendline.
In the absence of such a breakout, BTC is expected to remain bearish, with a potential continuation toward the support zone ranging from 25,000 to 25,500.
2. 5 Altcoins Analysis
Let's start with LINK. It has been trading within a range for nearly a year, oscillating between the round numbers of 5.0 and 10.0. Recently, LINK experienced a rejection from the support zone and is currently approaching the upper boundary of the orange channel.
Examining the medium-term perspective on the H4 timeframe, as mentioned two weeks ago, the bulls would assume control if the last high in red at 6.43 is breached to the upside.
Currently, we anticipate a bullish continuation towards the blue resistance at 8.15 unless there's a downward break of the last minor low and the orange trendline. In such a scenario, we would expect a shift in momentum from bullish to bearish.
Turning our attention to DOGE, similar to LINK, DOGE has been locked within a significant trading range and is currently revisiting the lower boundary.
As a result, we will be monitoring for buying opportunities on lower timeframes, considering that DOGE is positioned around a robust demand zone and the round number of 0.05.
On the Daily timeframe, for the bulls to assume control from a long-term perspective, a breakout above the previous resistance marked in blue at 0.065 is required.
However, until such a bullish takeover occurs, DOGE is expected to maintain a bearish bias and may potentially retreat to the support range between 0.055 and 0.058. During this time, we will be vigilant for new buy setups.
Shifting our focus to DYDX, it has generally exhibited a bearish trend while trading within the descending red channel. Recently, it has been confined within a range spanning from 1.8 to 2.3.
Given that DYDX is presently positioned around a support level, we will be actively seeking buy opportunities on lower timeframes. However, it's important to keep an eye on the support level, and if it is breached to the downside, specifically below 1.74, we should anticipate further bearish movement.
For the bulls to maintain control, a breakthrough above the 1.94 level is required. In such a scenario, we can anticipate a continuation of the uptrend toward the upper boundary of the descending red channel around 2.1.
Conversely, as long as the bulls do not take control, DYDX is expected to maintain an overall bearish stance, with the possibility of descending into the support zone between 1.74 and 1.85.
After rejecting the 0.3 resistance zone, FET has exhibited an overall bearish trend and it is currently approaching a strong support around 0.19.
As it nears the lower boundary of the range, we should keep a keen eye on lower timeframes for potential buy setups.
From a short-term perspective, the bulls would need to achieve a breakout above the recent high at 0.226 and the upper red trendline to gain control.
On the other hand, if the bears maintain control, we anticipate a downward movement towards the 0.19 support level.
BNB has been trading within a range centered around a robust support zone and the round number 200.0.
As long as the level 187.0 remains intact, there is an expectation that the bulls could initiate a bullish move at any time.
On the Daily timeframe, to establish medium-term bullish control, it will be essential for the bulls to achieve a breakout above the most recent significant high marked in red at 221.0.
If this breakout occurs, we would anticipate a movement towards the orange resistance zone around 250.0.
3. Quotes / Advice
Trading is simple but not easy.
Human tendencies often lead us to overcomplicate things, believing that complexity equates to better results.
Many traders face challenges in achieving success because they struggle to adhere to clear and consistent rules over an extended period.
The market pays you to be disciplined. Be disciplined every day, in every trade, and the market will reward you.
4. Closing Remarks
In summary, traders are closely watching USDT.D, which reflects trader sentiment between optimism and pessimism.
USDT.D has recently broken above the 8.1% mark, indicating a bullish sentiment with expectations of reaching the previous major high at 8.45%.
For Bitcoin (BTC), it currently sits in a neutral position between the support at 24,200 and resistance at 28,000. A bullish trend would necessitate breaking above 26,440 and the upper trendline.
Among altcoins, Chainlink (LINK) is approaching the upper boundary of a trading range, with potential for a bullish move towards 8.15 if the last high is breached.
Dogecoin (DOGE) remains in a trading range, with a bullish takeover requiring a breakout above 0.065.
DYDX is trading within a descending channel, and a bullish scenario depends on breaking above 1.94, while FET is approaching a strong support around 0.19, with potential for a bullish move if it breaks above 0.226.
Binance Coin (BNB) has been range-bound around 200.0, with a medium-term bullish scenario contingent on breaking above 221.0.
Keep an eye on these key levels and patterns for potential trading opportunities in the cryptocurrency market.