Stavros Georgiadis

Bitcoin Price Prediction for December: Is a Bottom Near?

November was a very negative month as the market capitalization of all major cryptocurrencies took a $70 billion hit.
Bitcoin Price Prediction for December: Is a Bottom Near?
Contents

Bitcoin had a very volatile trading year in 2018. In this article, we will conduct an analysis regarding Bitcoin’s price prediction. We will look at what are the key drivers for Bitcoin’s price as the year wraps up, and we will make a price prediction for the month of December 2018 based on technical analysis and the main news that moved the coin during the past month.

Bitcoin price prediction December

In November 2018, Bitcoin fell 37 percent, wiping $70 billion off of the cryptocurrencies' market value. It was a very intense selloff as the world’s largest cryptocurrency struggled to break above $4,000 on the last day of November, having started the month well above $6,000.

In general, it was a very negative month as the market capitalization of all major cryptocurrencies took $70 billion hit, according to CoinMarketCap. During the month of November 2018, Bitcoin had a high price at $6615, a low price at $3657, an open price at $6368, and finally a close price at $4039.50. The big red candlestick shown in Bitcoin’s monthly chart shows the strong selling pressure during the whole month.

imageWhile it is too hard to make general Bitcoin predictions, our technical analysis section at the end of this article will attempt to provide a Bitcoin price prediction for today. Throughout the past month, the main news that drove the price of Bitcoin down was a rather "messy" fork on the Bitcoin Cash network.

That digital currency split into two versions: "Bitcoin ABC" and "Bitcoin SV". While the split occurred on a different blockchain, there were still spill-over effects onto other cryptos, including Bitcoin. But is this a real bottom for Bitcoin in December 2018? What are some realistic Bitcoin projections for 2019?

“It’s unclear if this is a ‘bottom’ or a brief period of consolidation before next move down, but buyers are still maintaining some cash on the sidelines in case it does go lower,” said Michael Moro said, CEO of Genesis Global Trading.

Bitcoin price prediction end year

The following list of Bitcoin companies, wallet providers, Bitcoin exchanges, payment service providers and various services — such as mining pools and cloud mining — shows that Bitcoin has large business potential, yet regulation issues and valuation worries make it a very volatile financial asset.

  •  Binance, Bitcoin exchange
  •  Bitfinex, Bitcoin exchange
  •  Kraken, Bitcoin exchange
  •  Tidbit, mining
  •  Coindesk, news
  •  Circle, wallet provider
  •  SearchTrade, search engine

One of the most important factors regarding Bitcoin's price prediction for 2018 will be business prospects. Not all things are negative, though, so a bounce from the recent level of about $4170 is possible, targeting the levels of $4700 and $5000 by the end of this month.

Let’s not forget that Bitcoin projections for 2018 by experts range widely, from $25,000 by Tom Lee, to lower prices than $7,000 if the support levels of $7350-$7,000 do not hold by Robert Sluymer, both from the same market analysis firm, Fundstrat. One of the most important business and fundamental factors to consider when trying to make a Bitcoin prediction for 2019 is the cost of mining. A BTC price prediction based on mining costs is the following, according to Tom Lee:

“The fully loaded cost of (to mine) Bitcoin next year, is going to be like $14,000, reflecting the difficulty”.

He has continually noted that Bitcoin has held at the cost to mine, which means that the crypto will rise to meet the cost of mining when necessary.

Bitcoin price prediction 2019

image

Although there are many statistical tools for a Bitcoin price forecast, all of them have a large degree of uncertainty. The infographic above shows the journey over time to a $10,000 Bitcoin price, which happened throughout 2018.

Can it happen again in 2019? Some of the detailed trend components of price predictions are about determining a trend line using a series of statistical data. As there is only one left month for trading in 2018, a Bitcoin forecast today is much more difficult than in early 2018, when someone could have arguments and form an opinion about Bitcoin’s outlook, either a bullish or a bearish one. Time limits are now very narrow and a catalyst for Bitcoin price predictions will be the unknown factors of regulation. Tougher regulatory rules will most probably have a negative effect on the value of Bitcoin.

Bitcoin price forecast

Famous venture capitalist Tim Draper, who predicted in 2014 that Bitcoin would hit $10,000 in three years, believes that Bitcoin predictions can justify a price of over $100,000. In our technical analysis section that follows, we will make a forecast for the end of December 2018. It is based on the current trend and its strength.

By no means it is an investment recommendation, as a Bitcoin projection is a very uncertain financial analysis, based on news, reports, the supply and demand of the cryptocurrency, and the perception of traders and investors about its business prospects. Llew Claasen, who is the executive director of Bitcoin Foundation, recently stated that he expects Bitcoin to hit $40,000 by the end of this very year. He further added that 90% of the cryptocurrencies will actually fall. This is a very optimistic BTC forecast.

Bitcoin price prediction chart

image

In this daily chart, we will analyze our Bitcoin trend prediction for December 2018. Technical analysis is used as means to predict what price action will happen in the future, considering what happened in the past. Based on our technical analysis, there are chances for a bounce, but we do not believe that there will be a significant trend change, as the recent trend is a downtrend.

We estimate a Bitcoin forecast for the rest of the year to be as follows:

  • Price should be between $3184 and $6302, as these are the lower and upper daily Bollinger bands which contain about 95% of the price range based on the statistical feature of two standard deviations related to a moving average set at 20 periods. These Bollinger bands on the daily chart widened a lot during mid-November 2018 up to now, reflecting increased volatility and price action. A selloff followed, making BTC predictions for 30 days a very tough task.  
  • If there is bounce and a retracement from the current level of about $4170, a conservative target would be around $4750, which coincides with the 20-period exponential moving average.
  • The current trend is a downtrend, as it was for the whole year of 2018. One of the key concepts in technical analysis is that a trend remains intact waiting for key drivers to change it. The key support levels of $6200, $6000, and $5800 were broken and now for as resistance levels.
  • The key level of $3740 should hold as a temporary bottom. It is the level that traders will focus on to move the price lower, making a new low price for 2018 in the event the downtrend resumes.
  • Now the price at $4170 is in a consolidation phase. This phase may last until the end of 2018, and the scenario of a tight range between $3740 and $4500 is highly likely.
  • The price is now trading below its 20-period and 50-period exponential moving averages at $4694 and $5459 respectively. Both moving averages are pointing down reflecting a strong downtrend.
  • MACD indicator with values (12,26,9) is negative but is very close at making a bullish cross and its histogram is diminishing, which may be an early sign that the downtrend will at least pause.
  • The ADX/DMI indicator, which measures the strength of the trend, shows a very strong trend, a dominant downtrend with values for the ADX, +DI and -DI as 49.96, 11.17 and 30.12 respectively.
  • If the support level of $3720 does not hold, then the price can move to significant lower levels.
  • Using Fibonacci retracements and taking a high price $6500 and low price $3690, the 0.236, 0.382, 0.50 and 0.618 retracement levels are $4355, $4766, $5098 and $5903 respectively. The 0.382 retracement level from the low price at $3690 is almost our predicted price bounce at $4750.

Bitcoin prediction conclusions

2018 has been a very volatile and negative year for Bitcoin so far. There are many arguments in favor of the cryptocurrency, its business prospects, and potential uses in the financial world, but there are also many arguments in favor of what really drove down its price to collapse from the high price of $17252 in January 2018 to the recent low price of $3657 in November 2018, a decline of about 78.80%.  

As mentioned, predicting Bitcoin price movements for the rest of the year is very difficult and has a large degree of uncertainty. It is most wise and prudent to trade with the trend, which is a downtrend. However, a retracement to higher levels is a probable scenario. In this scenario, we do not think that the retracement will be one of a large degree.

The cryptocurrency needs catalysts to move further and form a bottom at these levels. If the support above $4,000 will hold for several days, our basic scenario is for a Bitcoin price of about $4700 for the remaining days of December 2018. This is based on the trading concept of reversion to the mean, as volatility has expanded significantly as of mid-November 2018. If high volatility is to be followed by low volatility, then a price correction to higher levels has enough probability to occur.

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Andrew Strogoff

Small Gains, Small Losses for Bitcoin, Ethereum, Ripple, EOS, NEM: Price Analysis, June 20

Bitcoin and other cryptos neutral on Wednesday, no significant price changes
Small Gains, Small Losses for Bitcoin, Ethereum, Ripple, EOS, NEM: Price Analysis, June 20
Contents

There were no significant changes in the past 24 hours. Bitcoin and other cryptos remain neutral on Wednesday making small gains and small losses. The industry seems to be at crossroads looking for news and events to make further decisions.

As for the interesting news, there was a report from Hedge Fund Research (a reputable hedge fund analytics agency) showing that average profits of hedge funds investing in digital assets are 35 percent lower in 2018. Those investment institutions have reported an average profit of 45 percent in spring, but it is still not enough to overcome the numbers of 2017.

Another interesting news comes from the United States. Famous crypto industry expert John McAfee will no longer give his “prophecies” on coins as he was contacted by the US SEC regulator and asked to stop his “predictions.”

Bitcoin (BTC/USD) Price analysis, June 20

BTC/USD Hourly

Bitcoin had almost no changes in the past 24 hours as the cryptocurrency added less than two percent. When we look at the hourly chart we can see that there is no clear tendency currently meaning bulls and bears are in balance and hesitate to make any further steps.

BTC/USD Hourly Closer

The closer look at the hourly chart helps to understand short-term tendencies. BTC price has tested the resistance area at $6,718 but failed to jump over it. There was a Shooting Star candlestick pattern on Tuesday and the currency pair declined lately following to this signal. BTC/USD stays in the middle of a horizontal range currently with no clear bias. The possible ways for Bitcoin are the following:

  1. Red scenario (bearish). The currency pair will test the support at $6,510 and if successful, bears will have an opportunity to push BTC/USD lower towards 3.618 retracement level.
  2. Orange scenario (neutral). Bitcoin will stay between the resistance area at $6,718 and the support at $6,510.
  3. Green scenario (bullish). BTC/USD will test the resistance area at $6,718. If successful, buyers will be able to drive the currency pair higher, targeting the resistance at $6,943.

Ethereum (ETH/USD) Price analysis, June 20

ETH/USD Hourly

The currency pair remained neutral as Ethereum has added less than one percent in the past 24 hours. The situation on the hourly chart, in general, is unclear as we have no direction. Buyers and sellers are in balance in the moment of writing and hesitate to make any further steps.

ETH/USD Hourly Closer

When we look closer at the hourly chart we can see that Ethereum has tested the resistance area at $540.69 on Tuesday but failed to break it through and retreated later. The currency pair stays within a horizontal range at the moment of writing. The possible ways for Ethereum are the following:

  1. Red scenario (bearish). The currency pair is going to test the support area at $500.36 and if successful, bears will be able to push ETH/USD lower, targeting the next support at $473.39.
  2. Orange scenario (neutral). ETH/USD will stay within the current range limited by the resistance area at $540.69 and the support area at $500.36.
  3. Green scenario (bullish). Ethereum will test the resistance area at $540.69 and if successful, buyers will be able to drive the currency pair higher, targeting the next resistance at $566.90.

Ripple (XRP/USD) Price analysis, June 20

XRP/USD Hourly

Ripple had almost no changes in the past 24 hours as the currency pair lost less than two percent. The situation is unclear in general as there is no tendency at the moment of writing. Bulls and bears have found balance and hesitate to make any further steps.

XRP/USD Hourly Closer

When we look closer at the hourly chart we can see that XRP/USD has tested the resistance area at $0.5444 and almost reached the next resistance at $0.5643 but retreated below $0.5444 later. The currency pair stays in the middle of a range in the moment of writing. The possible ways for XRP/USD are the following:

  1. Red scenario (bearish). Ripple will break through the support area at $0.5088 and move lower targeting the next support area at $0.4918.
  2. Orange scenario (neutral). The currency pair will stay within the current range limited by the resistance area at $0.5444 and the support at $0.5088.
  3. Green scenario (bullish). XRP/USD will break through the resistance area at $0.5444 and move higher targeting the next resistance at $0.5643.

EOS (EOS/USD) Price analysis, June 20

EOS/USD Hourly

The currency pair has lost more than three percent in the past 24 hours but in general EOS is looking for direction currently as its fluctuations are flat. Bulls and bears have found balance currently and they don’t want to change anything before new fundamental drivers to come.

EOS/USD Hourly Closer

Let’s have a closer look at the hourly chart. EOS/USD has tested the resistance area at $10.54 several times on Tuesday but failed to cross it and retreated finally. EOS fluctuates in the middle of the range in the moment of writing. The possible ways for the currency pair are the following:

  1. Red scenario (bearish). EOS will test the support at $9.91 and once this level is breached, will move lower targeting the next support at $9.31.
  2. Orange scenario (neutral). The currency pair Will stay within the current range limited by the resistance area at $10.54 and the support at $9.91.
  3. Green scenario (bullish). EOS/USD will break through the resistance area at $10.54 and move higher aiming at $11.41.

NEM (XEM/USD) Price analysis, June 20

XEM/USD Hourly

NEM has lost more than four percent in the past 24 hours, but the currency pair still remains neutral in general as bulls and bears have found balance currently and hesitate to make any further steps without new fundamental drivers.

XEM/USD Hourly Closer

When we look closer at the hourly chart we can see that the currency pair stays within the range currently. XEM/USD has tested the resistance area at $0.2002 on Tuesday but failed to breach it and retreated. The possible ways for the currency pair are the following:

  1. Red scenario (bearish). The currency pair will break through the support area at $0.1873 and move lower searching for new targets below.
  2. Orange scenario (neutral). XEM/USD will stay within the range between the resistance area at $0.2002 and the support area at $0.1873.
  3. Green scenario (bullish). The currency pair will break through the resistance area at $0.2002 and move higher targeting the next resistance at $0.2121.

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Market Starving for Trading Volumes; Bitcoin Price Stable Above $11,000

Bitcoin finds a foothold above $11,000, waiting for sufficient volumes to make a breakthrough
Market Starving for Trading Volumes; Bitcoin Price Stable Above $11,000
Contents

We welcome everyone to the beginning of a fresh new week, which promises to be exciting for investors and traders, and hopefully profitable for our readers. Over the past weekend, the long-awaited trade volumes never came to the market, but the air is filled with electricity and lightning can strike at any moment. Even without significant volumes, Bitcoin feels confident and step by step, it continues to cement the $11,000 level, reaching $11,500 again during the weekend.

The main asset continues to draw strength from altcoins

It seems that the main asset has switched on the “vacuum cleaner” mode and is going around the market, sucking the juices out of unstable altcoins. This is revealed by the virtually unchanged market capitalization, around $465 bln by the beginning of Monday, accompanied by an increase in Bitcoin dominance to 41.5 percent. Coins from the top 10 are not as susceptible to Bitcoin influence, so they either did not change or grew, following their forefather. Ripple and Stellar stand out the most, with gains of 10 percent each. NEO’s results are more modest- it’s taking a break after the Ontology airdrop and is the only red coin in the top 10 with a not-too-scary loss of 0.5 percent.

BTC/USD

At the time of writing, the Bitcoin chart is forming a double top pattern with a value of $11,540. Classically, this figure of technical analysis predicts a price fallback, but the decline, if it happens, promises to be insignificant, up to the nearest Fibonacci retracement, which is 0.786 and $11,250 in this case. We also allow the possibility that growth will continue directly from current values since bears have temporarily left the market. In confirmation of this theory, we can see an unrealized bearish wedge pattern, marked in red.

Pic01_05.03

The closest growth target is now $12,000, where the struggle of buyers and sellers can intensify. If this target is conquered, we will see acceleration toward the range of $13,000-$13,300. We don’t expect strong resistance on this path because historically very few transactions have taken place in the $12,000-$13,000 range, as indicated by the volume profile. In the case of a negative development, a correction is possible to the 0.618 Fibonacci retracement, which coincides with a strong support at $10,800. Bitcoin still sets the mood for the market, looks great and promises profits to both short-term and medium-term investors. Our readers are not advised to part with long positions until the $13,000 level.

XPR/USD

When analyzing Ripple’s price chart, we come to the conclusion that sellers have exhausted all resources and now the near future of the asset ceases to be vague. A powerful support was found at the level of 0.88, below which the price has not dropped since the end of the correction from the beginning of February. Despite the relatively modest volumes, a sufficient number of operations were performed at the range $0.88-$0.96 to break a converging triangle, marked in red, and push the price to $1.

Pic02_05.03

After reaching a psychologically important mark, the price can fall back to the 0.382 Fibonacci correction and the value of $0.96. To the relief of long position holders, a mirror level of support-resistance is also located there, so it is unlikely that the price will drop lower. The initial volume at the triangle’s break allows us to consider further growth, the first intermediate target being the $1.10 level. The next target is in the range of $1.30-1.40, which we wrote about in the Feb. 19 review. Our reader recommendation is the same as for Bitcoin- hold!

XLM/USD

The situation with Stellar is repeating XRP history in many ways, so we’ll be brief. Support was found at the $0.31 level, and although there is still room to fall “safely,” we don’t think this is likely. Growth was also activated by the break through the triangle’s descending boundary at initial volumes, it seems that XLM and XRP have the same investors.

Pic03_05.03

If Bitcoin doesn’t pull some unexpected stunt, the next target for Stellar is $0.42, which coincides with the 1.618 Fibonacci expansion and a mirror level of support-resistance. With negative developments, a fall back to $0.34 is possible.

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BTC is on the Big Chart Pattern, ETH is on the “Rising Wedge,” ADA is Ready to Make a  Move: Price Analysis, Oct. 1, 2018

Bitcoin and Cardano are on the triangle, Ethereum is still on the “Rising Wedge”
BTC is on the Big Chart Pattern, ETH is on the “Rising Wedge,” ADA is Ready to Make a  Move: Price Analysis, Oct. 1, 2018
Contents

*** Please note the analysis below is not investment advice. The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of U.Today. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin is on the big “Ascending Triangle”

Currently, it trades between the two blue lines. Above is the resistance at $6,767 where BTC has tried to break out several times, one attempt was successful but let's call this a fakeout. The second one is below the current price at $6,460 which works as a support. On  Sept. 26th and 27th, it worked nicely as a support and it holds that price very nicely. Over the weekend, we touched it again and got a bounce, but this time, this level is much stronger than before because in this area we had the trendline and the golden Fibonacci level 62 percent crossing area which makes this price level much stronger to break through.

Bitcoin is on the big “Ascending Triangle”

Over the weeks, the chart has drawn a bullish pattern called "Ascending Triangle" which will indicate that we might see a breakout upwards. However, we always have two breakout opportunities from the triangle, but this 'ascending' means that we have an edge to break upwards. Also, we have nice and clean higher highs and higher lows on the price structure which indicates a little bullishness.

Let's talk about a couple of scenarios:

  1. In general, during the weekends there is very low volatility and we needed a lot of power to make a breakout upwards. We didn't catch that power and the price is still in the triangle. At the moment we trade above the important EMA's and on the four-hour chart we got a bullish "Hammer" candlestick pattern and the hammer low bounced upwards exactly from the trendline and from the EMA's. If we see a continuing move upwards in the near future and if we manage to break above the triangle upper resistance line at $6,767, then the triangle pattern shows us that the ideal target point would be around $7,300 where several weekly resistances are.

  2. In the bigger picture, the overall trend is down and that's why we think it is simple to break downwards. If we see a candle close below the blue line and below the triangle trendline, let's say around $6,420, then it would be a bearish confirmation. It confirms that the bullish momentum is gone and the strong support level doesn't work anymore and the next stop would be on the major counter trendline which is around $6,300. Be careful in this scenario!

Ethereum(ETH/USD) is still on the "Rising Wedge"

As Bitcoin, Ethereum trades currently between the two blue lines, support and resistance. The resistance line at $236 has been before a support and now it becomes a resistance.

Ethereum(ETH/USD) is still on the "Rising Wedge"

Several times it has tried to break above that blue line, but those attempts were unsuccessful. To break through this level, we have to fight with 200 EMA which starts to work as a strong resistance on the four-hour chart.

Ethereum shows nice short-term higher highs and higher lows since Sept. 25. This could show us that we have market structure and power to push the price upwards from the mentioned level and the next target would be around $260 where the minor trendline is.

The current support line has been historically a good S&R level and now it becomes a major support level again. To make this level even stronger then we trade above the 50 and 100 EMA's which should also start to work as support levels. If we break below that blue line and if we break below that major counter trendline then we have a bearish confirmation and the bearish confirmation is even stronger because we are on the continuation chart pattern called "Rising Wedge.” The overall market trend is down and if Bitcoin makes a breakout downwards from the triangle then Ethereum definitely makes a breakout downwards from the "Rising Wedge" and probably the next stop would be around $200. So, stay alert when you see at least a four-hour candle close below the major counter trendline which also breakout from the continuation pattern "Rising Wedge.”

Cardano (ADA/USD) is ready to make a move

Almost everywhere there are chart patterns and Cardano is no exception, there is a symmetric triangle formation. Usually, this means if the breakout occurs in either direction then this will show the momentum where the price could be heading.

Cardano (ADA/USD) is ready to make a move

Currently, we are on the edge ready to explode because the price is on the triangle tip, smashed together and prepared to make a move.

If we manage to break upwards, then this means we have to break above the triangle and we have to break above the 200 EMA which currently works as a resistance.

We have a pretty good platform to do this because we have tried several times to break below the August low but those were failed attempts and it holds us nicely. If we manage to break above then there are three targets:

  1. The latest resistance- profit around 10 percent
  2. The round number $0.1- 17 percent
  3. The major resistance at $0.106- 25 percent

As you know, the breakout could occur in either direction. If the August low doesn't hold us anymore, then we have a breakout below the triangle and you should consider selling your ADA coins because this is an indication that we might go and test the lower levels. The first area where we could technically consider buying again is around $0.075. There is the latest support level and this level has to be on the 'watch list.’

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Bitcoin Made a Breakout, Ethereum is One of the Top Gainers and Cardano Possible Short-Term Targets: Crypto Price Analysis Update, Sept. 14, 2018

Bitcoin made a breakout, Ethereum is one of the top gainers and Cardano possible short-term targets
Bitcoin Made a Breakout, Ethereum is One of the Top Gainers and Cardano Possible Short-Term Targets: Crypto Price Analysis Update, Sept. 14, 2018
Contents

*** Please note the analysis below is not investment advice. The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of U.Today. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin is above U.Today’s mentioned resistances

Yesterday, we said that Bitcoin shows some bullish volume and it shows some strength to go upwards. Currently, the last four-hour candle close was exactly above our last marked resistance area at $6,550 which means that we have a breakout from the strong resistances and now, starts to play our next previously mentioned resistance level at $6,700-$6,800. In this level zone, the price could turn around and be bearish again.

Bitcoin

It is technically a good short opportunity because technically, our bias is bearish based from the previous week candle close which was bearish "Engulfing.”

$6,700-$6,800 area short criterias are:

  • The Fibonacci retracement 50 percent (pulled from Sept. 5 to Sept. 8)

  • The Fibonacci extension 141 percent to 161 percent (pulled from Sept. 7 to Sept. 8)

  • Strong resistance area $6,787-$6,800

  • 200 EMA starts to work as a resistance

We also might see a throwback from the bigger Fibonacci 38 percent level around $6,600 On the four-hour chart, we meet with the 100 EMA line. 38 percent is also important because if the pressure is down (currently the long-term pressure is down) then from this level we could see a bigger throwback but let’s see!

Currently, the last candle close and the price structure shows us positive signs and our main aim is still $6,700-$6,800 if we climb higher, there we want to search some bearish price action (candlestick patterns, chart patterns on the lower timeframes, minimum 15 min, volume) before we start doing anything.

Ethereum (ETH/USD) one of the top gainers in the trendline party

Ethereum has made a 33 percent increase since Sept. 12, it bounced upwards from $170 and now the current price is around $215. The bounce came from the sharper trendline area. After the bounce, we got from the daily timeframe a nice bullish candlestick pattern called "Morning Star" and this momentum gave a boost to break back above the blue trendline, above the $200, above the orange resistance level, above the 50 EMA (on the one- hour timeframe it trades above all the EMA's - 50, 100, 200).

Ethereum (ETH/USD)

Currently, the price sitting on the Fibonacci retracement level 38 percent and it approaching the trendline (dark red) which is pulled from April 1, 2018 and could start to work as a resistance. Above the current price are heavy resistances after another:

1. The longer and smoother trendline since April 1, 2018- $225

2. Previously worked resistance- $230-$234.5

3. Fibonacci retracement 50 percent- $235

4. The trendline since July 29 - $237-$241

If we can beat those levels then the Ethereum panic selling could be over.

Cardano (ADA) looks like the massive fall is over (-43 percent)

"At the moment we trade above the major down-trendline but if we go and retest this trendline then we go and test pretty low levels. Depends how fast we go and make the retest but we may go as low as $0.062."

Those were our words at Sept. 6., Cardano made a massive drop (-43 percent since Sept. 5) and it touches our mentioned level almost perfectly.

Cardano (ADA)

Cardano got a bounce from $0.061 and currently, it fights with the round number $0.07. We have attempted to break through from this level but all those attempts were unsuccessful and sellers pushed the price back below the $0.07. At the moment we are trying for the fifth time to break above this round number and let's see what we got after four-hour candle close.

Signs are bullish because yesterday we made a breakout from short-term down trendline (blue upper trendline) which will indicate that the price structure should be changing and we can make higher highs. We slowly start to catching up some EMA's and in the one-hour chart, we trade above the 50 EMA and most importantly Bitcoin shows also bullish signs.

If Cardano breaks the round number then our targets are based on Fibonacci retracement levels (pulled from  and previous support levels: Sept. 5th to Sept. 12th):

1. Around $0.08 - like you see from the current example the round number starts to work as resistances, in this area, there is also the Fibonacci retracement level of 38 percent and strong support/resistance area (red box).

2. Around $0.089- in this area, we have a previously worked resistance level and the perfect Fibonacci retracement level of 62 percent.

Hopefully, those levels and this analysis helped you out a little bit to confirm your own analysis.

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Vaido Veek

Bitcoin Price Short-Term Forecast For Sept. 5, 2018

The market makes a pullback and this pullback is very scary
Bitcoin Price Short-Term Forecast For Sept. 5, 2018

*** Please note the analysis below is not investment advice. The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of U.Today. Every investment and trading move involves risk, you should conduct your own research when making a decision.

The market makes a pullback and this pullback is very scary. Yes, we waited for a pullback but not like this one that even all altcoins are bleeding heavily.

Let's jump quickly into the action:

If we want to see a bullish market structure then we have to bounce upwards almost immediately because we are in the strong support area and break below could mean disaster.

Strong area (green triangle) and possible bounce criteria:

  1. Round number $7,000
  2. May low
  3. In the four-hour chart 100 and 200 EMA which starts to work as supports
  4. Trendline from wicks since Aug. 14
  5. Trendline from bodies since Aug. 14
  6. The market structure could still  make a higher low which will be a very good sign
  7. Bigger Fibonacci retracement level pulled from Aug. 22. to Sept.4, is 38 percent
  8. Smaller Fibonacci retracement, pulled from Aug. 4 to Aug. 30, is between the two main levels: 62 percent and 70.5 percent
  9. We still have an EMA golden cross on the four-hour timeframe (100&200).

Targets: the maximum first target could be around $7,280 but it is hard to tell how the market and how people will react to this "crash.” Definitely, people are superstition and scared again.

So, if we drop below those strong criteria's and we get a close below the strong support area at $6,767 then we have a lower market structure and we are below the EMA's which all indicates that the price may change from short-term uptrend to downtrend.

Also, we have a big continuation batter called "Rising Wedge.” Close below the rising wedge bottom trendline is an indicator that the bigger trend may continue, the bigger trend is still downwards and we can now test the lower levels.

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