The second half of the year has started. Let’s see if the same excitement will continue until Christmas.
Looking at the bigger picture (weekly BTC$ chart), we see a shooting star. It is a reversal pattern, but usually not a major one. The more important question is how deep will the correction go of the 5-wave sequence up, which we have seen over the past few months.
A textbook ABC correction could go as low as 7,600, which also fits with the major support level. However, I am still of the opinion that the market is showing strong buy interest, and corrections are being bought up quickly.
Looking at a shorter timeframe (4-hour BTC$ chart), you can see the ABC correction that we already pointed out last week. I would prefer C not printing lower than 8,900.
Two of the three open CME gaps have now been filled. If the last gap is filled, the C of the correction would be around 8,500.
On the daily ETH$ chart we are still in a nice and healthy uptrend. It is not too steep and has shown a clean record of consecutive higher highs and higher lows.
To keep that structure alive, we would need to hold the 220 level on a daily closing basis. The last resort for the bulls will be the support zone in combination with the upward sloping trendline (black).
The picture in the LTC$ chart is very similar to that of ETH$. There is a healthy uptrend, but prices are closer to the support area and the upward sloping trendline (black). In case we break to the downside through the support around 99 and the uptrend line plus the Ichimoku cloud, I expect large sell orders to go through and prices may be pushed down to the 65 area.
Ripple is fighting hard to get through the resistance zone, but has failed over the past few weeks. I am not sure how many more failed attempts the coin can take. I will lose interest in long positions if we fall below 0.35. Click here for the chart.
It looks like we are consolidating after breaking through the resistance zone, which has now turned into the support zone. As long we can hold that support zone, I am looking for further gains to the upside with a target of the next resistance level at around 615. Click here for the chart.
EOS does not look healthy at the moment. We are just about ready to break through the upward sloping trendline (black line). This line converges with the lower band of the Ichimoku cloud, and means that alarm bells will start ringing for the bulls when we trade below 5.45. Click here for the chart.
Cardano is failing again! It looks like it is banging its head against the ceiling at around 0.10. Now the pain of failure seems to be taking a toll. The last resort for the bulls will be the upward sloping trendline (black line). Otherwise, we will be back down to 0.05 in no time. Click here for the chart.
One of the altcoins that bounced nicely off of the support line (black line). As per our rotation report analysis, it is possible that we might see more of these pictures. Click here for the chart.