Bitcoin, Ripple, Ethereum, Bitcoin Cash, Stellar, EOS, Litecoin: Price Analysis, Nov. 28
Markets rally today as execs from several big name institutional players express their optimism about crypto’s future as an asset class.
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Market data is provided by the HitBTC exchange.
After the large-scale wealth disruption in the cryptocurrency space, many have started to question whether the asset class will survive or wither away. New York Stock Exchange (NYSE) chairman Jeffrey Sprecher is positive about the future of digital currencies, saying that their survival as an asset class is “unequivocal.”
Bakkt CEO Kelly Loeffler expressed confidence that the platform’s futures contract will help establish a trusted Bitcoin price for investors, unlike now, when Bitcoin trades at different prices on different exchanges.
Unperturbed by the slump in Bitcoin prices, Nasdaq plans to launch Bitcoin futures trading by Q1 2019, reports Bloomberg. Entry of both these large exchanges shows that there is sufficient demand for Bitcoin trading even after the current decline.
Many believe that the launch of Bitcoin ETFs can increase the demand for cryptocurrencies. SEC Chairman Jay Clayton said yesterday that the commission would need to see upgrades in market surveillance and custody before the regulator would be comfortable with a Bitcoin ETF. Both issues are currently being addressed by various firms, increasing the probability of a Bitcoin ETF in the near future.
A report by the World Trade Organization (WTO) has projected that Blockchain technology can add $3 trillion to the international trade by 2030. The technology will help cut costs by removing barriers, increasing transparency and facilitating process automation.
Though Bitcoin SV has made it into the top 10 cryptocurrencies, we have not included it yet due to its short trading history.
Bitcoin formed consecutive inside day candlestick patterns on Nov. 26 and 27. Today, the indecision resolved to the upside. The pullback might face minor resistance at the downtrend line.
A breakout of the resistance might attract buying by the aggressive bulls and short covering by the bears. Hence, we have retained the buy recommendation provided in our previous analysis. The key levels to watch on the upside are $4,712.89 and $5,050.40.
If the BTC/USD pair fails to find buyers at higher levels and turns down to break the support of $3,620.26, the downtrend will resume, pushing price to the major support of $3,000.
Though the trend is down, we believe that the pullback will be sharp and is tradeable, hence, we have recommended а long position.
Ripple is attempting to bounce from the support line of the descending channel. It has been an outperformer during the recent decline as it is well above its year-to-date lows and RSI did not even enter the oversold territory.
A breakout above $0.385 can result in a move to the 20-day EMA, which might act as a resistance. If both the moving averages are crossed, the XRP/USD pair can rally to the resistance line of the channel. Traders can buy a close (UTC time frame) above $0.385 and keep the stop loss at $0.30. The target objective is an up move to $0.50. This is a risky trade, so we recommend to keep the position size about 40 percent of the usual.
Contrary to our expectation, if the price turns down and slides below $0.31123, a retest of $0.24508 is possible.
Ethereum is trying to bounce after finding support at $102.20. It has a minor hurdle at $123, above which, it can rally to the 20-day EMA. As the trend is down and both the moving averages are sloping down, we anticipate a strong supply in the 20-day EMA zone and $167.32.
If the next leg down holds above $102, it will point to a probable bottom. However, if the bears sink the ETH/USD pair