reetings, esteemed ACG community members!
In today's analysis, we will explore the present condition of the cryptocurrency market. BTC has achieved unprecedented highs, whereas USDT.D has experienced a notable decline within a robust support zone.
Furthermore, we will assess five altcoins (KLAY, DYDX, CFX, ADA, and DOT), scrutinising their key levels and potential trading setups.
Are you Ready?
Table of contents
- USDT.D and BTC Analysis
- 5 Altcoins Analysis
- Quotes / Advices
- 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).
After breaking below the 6.4% support zone, USDT.D is now more bearish than ever, and we still expect further downward movement until the next support around 5.83%.
This, indeed, would be healthy for the crypto market.
In the H4 timeframe, bearish dominance is anticipated unless there is an upward break beyond the recent orange-marked peak at 6.67%.
Should such an event transpire, it may indicate the initiation of a bearish correction within the cryptocurrency market.
Currently, BTC is indicating a predominantly bullish trajectory, trading within the upward channel highlighted in orange. However, it is approaching the upper bound and the resistance zone spanning from 38,000 to 40,000.
Consequently, we anticipate a shift towards bearish dominance in the near future.
In the H4 timeframe, BTC is poised to maintain its bullish trajectory as long as it continues trading within the ascending channel outlined in red. Our expectation is for it to extend its trade higher, encompassing the 38,000 to 40,000 weekly resistance zone.
However, a shift in favor of the bears would necessitate a break below the last significant low marked in red at 35,100. In such a scenario, we can anticipate BTC testing the 32,000 support level once again.
2. 5 Altcoins Analysis
Let's start with KLAY. After surpassing the 0.15 level, the bulls took charge and drove the price up to the next resistance at 0.19, as indicated in blue.
For the bulls to maintain control and dominate from a long-term perspective, a daily candle closing above 0.19 is necessary.
Conversely, if the 0.19 resistance proves resilient, we anticipate a bearish correction toward the 0.15 support level. At that point, we'll be on the lookout for potential new buy setups.
Shifting our attention to DYDX, in line with our analysis from a couple of weeks ago, we anticipated a bullish takeover following a breach above the 2.3 resistance.
At present, our expectation is for bullish momentum to persist until reaching the 5.0 round number, unless a bearish reversal setup is triggered on lower timeframes.
In the H4 timeframe, bullish control is expected to persist as long as trading remains above the red trendline.
To witness a shift in momentum favoring the bears, a break below the last significant low in red at 3.745 is essential.
Examining CFX, it has been experiencing fluctuations within a noteworthy range of 0.1 to 0.2, and it is currently approaching the upper limit/resistance area.
For a sustained bullish outlook over the long term, it is crucial to observe a daily candle closing above 0.2.
Nevertheless, it's essential to acknowledge that there remains a possibility for bearish intervention, potentially driving the price lower..
In the H4 timeframe, bullish momentum is anticipated to endure unless there is a downward breach of the recent low, marked in red at 0.143.
If this level is surpassed, a retracement towards the support level at 0.1 can be expected.
Based on our previous ADA analysis from a couple of weeks ago, we were awaiting a daily candle closure above the 0.35 resistance level for the bulls to maintain control.
Last week, the anticipated breakout occurred, and ADA traded higher. Currently, we anticipate further bullish movement until reaching the next resistance in green around 0.45.
In the H4 timeframe, medium-term bullish control is expected to persist unless there is a downward break of the lower orange trendline and the 0.35 support.
Following the breach of the 4.6 resistance a couple of weeks ago, DOT has maintained a bullish trajectory and is currently approaching a resistance zone at 6.0.
For the bulls to sustain control and establish dominance from a long-term perspective, a daily candle close above 6.0 is essential.
The bullish momentum in DOT is expected to endure as long as it trades above the orange trendline.
However, if the lower orange trendline is broken downward, it would signal a shift in momentum from bullish to bearish. In such a scenario, a movement toward the 4.6 support level can be anticipated.
3. Quotes / Advice
Here are my golden tips for successful trading (Part 3)
Combine technical analysis (chart patterns, indicators) with fundamental analysis (economic data, company news) to make well-informed trading decisions.
Continuous Evaluation: Regularly review and evaluate your trading performance.
Adapt to Changing Markets: Be flexible and willing to adapt your trading strategy based on market conditions.
Patience is Key: Wait for the right opportunities and don't rush into trades. Patience can help you avoid unnecessary losses.
4. Closing Remarks
In summary, this outlook begins with an overview of USDT.D, indicating a bearish trend after breaking below a key support zone, suggesting a potential shift towards stablecoins.
BTC shows a predominantly bullish trajectory but is approaching a resistance zone, raising the possibility of a shift towards bearish dominance.
Among altcoins, KLAY exhibits bullish momentum, requiring a daily candle closing above 0.19 for sustained control.
DYDX anticipates continued bullish control unless a break below the red trendline occurs.
CFX experiences fluctuations and approaches a crucial resistance area, necessitating a daily close above 0.2 for a bullish outlook.
ADA and DOT both maintain bullish trajectories, with ADA poised for further movement towards 0.45 and DOT approaching a resistance zone at 6.0. Both altcoins require specific price levels to sustain their bullish momentum.
