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On Jan 9, the photography giant Kodak announced a launch of its cryptocurrency KodakCoin scheduled by the end of the month. This news led to a spike in Kodak stock prices. Yet it’s unpredictable whether it will boost the company’s capitalization, but at least the company has been quick in adopting the technology of the future.
The jump in Kodak’s stock prices points to the crypto craze infecting even traditional investors. In the past few days, they have lapped up stocks of the companies that have connected with Blockchain or cryptocurrency.
Even JPMorgan Chase CEO Jamie Dimon, in a recent exclusive interview to Fox Business, stated that he regrets calling Bitcoin a fraud.
As traders, our interest is to buy the cryptocurrencies that will offer us maximum profits. Let’s see if we can find out any buy setups.
On Jan. 8, though the bulls purchased the fall to the 50-day SMA, they could not capitalize on the gains. Recovery attempts faced resistance at the downtrend line and the 20-day EMA. As a result, Bitcoin has again fallen to the 50-day SMA.
If this support holds, the cryptocurrency is likely to continue to trade inside the symmetrical triangle.
But if the price breaks down of this critical support zone, a fall to $8,000 is likely, with minor support at $10,705 levels.
Our bearish view will be invalidated if the BTC/USD pair turns up and breaks above the $17,200 level. But we think there are small chances of that happening.
We expect the ETH/USD pair to enter a period of correction/consolidation for the next few days.
In a drop, the resistance line of the ascending channel will be the first support. If this holds, we can expect a few days of range-bound trading.
Still, we can see a fall to the 20-day EMA if the bears succeed in pushing prices back into the channel.
However, if the bulls fail to do that and sustain above the range, range bound action is likely to continue for a few more days. Trading will be volatile inside this range.
The next trend will start once the BCH/USD pair breaks out or breaks down. On the downside, the $2,000 to $2,291 support zone is important, because if it breaks, a slide to $1,733 and thereafter to $1,200 is likely.
If the bulls are unsuccessful in holding the trendline support, a slide to $1.40 is possible, which should hold.
We expect a few days of the range bound action in the XRP/USD pair.
In the medium term, IOTA is range bound between $3.03 and $5.59. However, in the short term, the range has shrunk to $3.03-$4.34.
The IOTA/USD pair might become bearish and slide towards $1.70 if this level breaks. But it is quite unlikely.
Litecoin continues to trade inside the symmetrical triangle pattern. Trading is likely to be volatile until the price breaks out or breaks down.
On the upside, the bulls could face stiff resistance in the $280 - $308 zone. We don’t find any trading setups as long as the cryptocurrency trades inside the triangle.
Though the bulls bought the lows on Jan. 8, the pullback did not find buyers at higher levels. Today, NEM has extended its decline towards the trendline support.
We anticipate a range bound trading in NEM for the next few days.
As forecast earlier, Cardano has declined to the 20-day EMA. With the fall, it has given up more than 61.8 percent of the gains from the latest leg of the rally from 0.00002539 to 0.00009180.
Hence, a pullback from the support levels can’t be ruled out. Nevertheless, positions should be initiated only on bottom confirmation because if the ADA/BTC pair breaks down of the trendline, it can fall to 0.00002539 levels.
The market data is provided by TradingView.