Price Analysis 29/07: BTC, ETH, XRP, LTC, BCH, BNB, EOS, BSV, XLM, ADA

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Market data is provided by the HitBTC exchange.  

While large economies are confused on how to handle cryptocurrencies, smaller nations — Belarus, Bahrain, Malta and Gibraltar — have taken the lead. They have created specific rules for the sector and are offering an environment that provides security to investors. If these nations succeed in attracting investments, we expect larger nations to become more receptive to cryptocurrencies.

The crypto markets are currently witnessing a period of low volatility as they wait for a trigger that will either carry the price higher or will result in a fall to the next support level. If the United States Federal Reserve cuts rate in its next meeting at the end of this month, it might boost Bitcoin. As the bottom is in place in Bitcoin and a few other major cryptocurrencies, we view the current fall as a buying opportunity. Let’s spot the cryptocurrencies that have formed bullish setups.

BTC/USD

Bitcoin (BTC) fell close to the critical support of $9,080 on July 28. Though the support held, bulls are finding it difficult to build up on the gains. This shows a lack of buying at higher levels. With the 20-day EMA sloping down and the RSI in the negative territory, we expect bears to make another attempt to break below the support.

BTC/USD

If $9,080 breaks down, the BTC/USD pair can plummet to the next support zone of $7,451.63 to $6,933.90. Conversely, if the support holds and bulls manage to push the price back above the moving averages, it might reach the downtrend line. We expect some selling at this resistance. If this is scaled, a retest of the recent highs of $13,973.50 will be in the cards. Hence, we maintain the buy proposed in the previous analysis.

ETH/USD

We like the way Ether (ETH) has held on to the uptrend line. However, unless bulls push the price above $235.7 within the next few days, the support is likely to be broken. With the 20-day EMA sloping down and the RSI below 50, bears hold the advantage in the short term.

ETH/USD

If the ETH/USD pair plunges below $192.945, it will resume the down move and can drop to $150. Such a decline will further dampen sentiment and the recovery thereafter might take a long time.

Conversely, if the pair rebounds sharply from the uptrend line and rises above $235.7, it will attract buyers. The first target is the 50-day SMA, but we expect it to be scaled and a retest of $320.840 is probable. Hence, we retain the buy recommendation given in the previous analysis.

XRP/USD

XRP is looking like it will enter a period of extended consolidation in the short term because both the bulls and the bears are playing it safe. The bears do not want to get overly aggressive at current levels because they have not been able to break below $0.27795 since mid-December of last year.

XRP/USD

On the other hand, bulls are not buying aggressively because the XRP/USD pair has been an underperformer in the recent recovery and has quickly given back its gains. 

Unless the sentiment worsens, we do not anticipate a breakdown of $0.27795. Similarly, on the upside, we expect resistance at the 20-day EMA and above it at $0.34229. As we do not find any reliable buy setups, we remain neutral on the pair.

LTC/USD

Litecoin (LTC) bounced off from close to the 50% retracement level of the rally. However, bulls are struggling to carry the price higher. If the digital currency does not scale above the downtrend line within the next couple of days, we anticipate the bears to make another attempt to break below the support. As both moving averages are sloping down and the RSI is in negative territory, the bears have the upper hand in the short term.

LTC/USD

If the LTC/USD pair slides below $76.7143, it can drop to $69.9227, which is the 61.8% Fibonacci retracement level of the rally. If this level breaks, bears will gain a firm hold.

The bearish view will be invalidated if the pair rises above the downtrend line. That will be the first indication that buyers are back in action and a rally to the 50-day SMA is possible. We will wait for the price to sustain above the downtrend line before recommending a trade in it.

BCH/USD

The bears broke below the small uptrend line on July 29, but buying at lower levels helped it recover and close above the line. However, bulls have not been able to push prices higher. This shows that demand dries up at higher levels. If Bitcoin Cash (