Price Analysis 30/07: BTC, ETH, XRP, LTC, BCH, BNB, EOS, BSV, XLM, ADA

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Market data is provided by the HitBTC exchange.

After facing opposition from regulators across the world, Facebook has warned that its Libra project might not see the light of the day. If Libra has to succeed, it has to obtain the necessary approvals from regulators and policymakers, which looks increasingly difficult. With Libra, the adoption and use of cryptocurrencies could have surged due to Facebook’s large user base. Without it there might be a delay, but cryptocurrencies will continue to attract new users to its fold.

Analysts are confident that the upcoming halving in Bitcoin in 2020 will be a major confidence booster and will propel the price to new highs. CNBC Squawk Box co-host Joe Kernen is the latest to project a huge upside in Bitcoin. He expects a rally to $55,000 by May 2020, which is an over 450% return from current levels. 

While we are also bullish on Bitcoin and a few other major altcoins, we believe that the best time to buy is when they resume their uptrend. Buying in a downtrend can quickly result in losses and during a downtrend, the news tends to become bearish. Many traders dump their positions out of fear of losing their capital. Hence, it is best to buy when the tide turns in favor of bulls. Let’s see if we can spot any buy setups today.

BTC/USD

The bears have not been able to capitalize on the weakness and are finding it difficult to sink Bitcoin (BTC) below the critical support of $9,080. This support has held twice in the past 14 days. The moving averages are also flattening out, which suggests that bears are losing their grip. Now, if bulls can carry the price above the moving averages, it will signal strength. Therefore, we retain our buy recommendation given in an earlier analysis.

BTC/USD

Contrary to our assumption, if the BTC/USD pair fails to rise above the moving averages, it will indicate selling at higher levels. A breakdown of $9,080 will weaken sentiment and can result in a fall to the next support zone of $7,451.63 to $6,933.90. We expect the pair to make a decisive move within the next few days.

ETH/USD

Ether (ETH) has been hovering around the uptrend line for the past three days. Hence, it becomes important that bulls defend it because if the price plummets below the line with force, it can enter a free fall. There is a minor support at $192.945, but we do not expect it to hold.

ETH/USD

On the other hand, if the ETH/USD pair rises from the current level and scales above $235.70, it will signal strength. Therefore, we maintain the buy recommendation given in an earlier analysis. This tight range trading is unlikely to continue for long. We expect a large range move in either direction within the next few days.

XRP/USD

XRP is attempting to bounce from just above $0.30. If bulls can carry the price above the 20-day EMA and $0.34229, it will be a bullish sign. It will also keep the play of the large range between $0.27795 and $0.45 alive. The traders can wait for the price to break out of $0.34229 before initiating long positions. The stop loss can be kept at $0.275. However, as the digital currency tends to spend long periods in consolidation, we suggest traders allocate only 50% of the usual position size to this trade.

XRP/USD

Contrary to our expectation, if the bounce falters either at the 20-day EMA or at $0.34229, the bears will again attempt to sink the XRP/USD pair below the critical support of $0.27795. If this support breaks down, all bets are off because the decline can then extend to $0.19. 

LTC/USD

Litecoin (LTC) is stuck between the downtrend line and $83.65. It formed a doji candlestick pattern on July 29, which shows a balance between both buyers and sellers. A break out of the downtrend line will be the first sign of a possible trend change.

LTC/USD

Conversely, if the LTC/USD pair drops below the $83.65–$76.7143 support zone, it will signal weakness. We expect the bulls to defend $69.9227, which is the 61.8% Fibonacci retracement level of the rally because if this cracks, the decline can extend to $58. The traders can wait for the price to breakout and sustain above the downtrend line before turning positive.

BCH/USD

Bitcoin Cash (BCH) is attempting to bounce from the uptrend line, which is a positive sign. If bulls push the price above the 20-day EMA and the overhead resistance of $345.80, it will complete an ascending triangle pattern that has a target objective of $440.37. Therefore, traders can buy on a close (UTC time frame) above $345.80 and keep a close stop loss of $280. 

BCH/USD

Contrary to our assumption, if the BCH/USD pair fails to break out of the overhead resistance and drops below the uptrend line, it can slip to $251.23. A breakdown of this level will signal weakness. We have noticed a large head and shoulders pattern that is forming, hence, we remain cautious on it. However, we will turn bearish only after the pattern completes. 

BNB/USD

Binance Coin (BNB) has been gradually moving lower. Its next support is at $24.1709. If the price fails to rebound sharply from this support, it will be a negative sign. A weak bounce will indicate a lack of buyers and will increase the possibility of a drop to $18.30.

BNB/USD