Just when investors were settling in for another round of digital asset price recovery, cryptos turn bearish again. The market is swimming in the sea of red on Thursday 30 as cryptocurrencies trim the gains that had accrued since the week began. Bitcoin (BTC) is leading the declines after dropping from the week’s high above $7,100. The majority of the altcoins have engaged reverse gears as well dropping by over 2% on the day.
Bitcoin price analysis
Recently, Bitcoin embarked on an incredible recovery journey blasting past the resistance at $7,000. The bulls were virtually unstoppable yesterday as they pulled further up above $7,100. Bitcoin formed a high at $7,130.51 before the trend turned bearish and the price about-turned below $7,100. It remained ranged bound above $7,000 but the sellers did not rest until the crypto dropped below the trendline.
At present, Bitcoin has broken the short-term support at $6,900 but appears to have found a support at the 23.6% Fib retracement level with the last swing high of $7,130.51 and a low of $6,712.65. The stochastic is in the oversold, which could also mean that the sellers are getting exhausted and buyers are likely to find an entry. Another support is seen at $6,800 but the major support is at $6,750. Below this, the hourly 100SMA will offer support at $6,730.0 and prevent declines towards the swing low. If the buyers manage to regain control, BTC/USD will face resistance at $6,850 and $6,900 while the critical level still rests at $7,000.
EOS price analysis
EOS uptrend is fueled by positive news surrounding the cryptocurrency including the upcoming EOS referendum. There was an awesome recovery from the major support area at $5.00 on Tuesday this week. EOS advanced further up breaking the hurdle at $6.00. This triggered another brief technical breakout above $6.40 but the buyers lost grip on trading the week’s high at $6.48.
The declines that followed failed to find support at the trendline. There has been another break below $6.00 (former resistance). EOS is currently embracing a short-term support at the 38.2% Fib level of the last drop from $6.48 to a low of $5.40.
Looking at the chart, EOS is primed for gains heading towards $6.00 but first, the hourly 50SMA resistance must be overcome. To stay out of the danger zone, EOS buyers must pullback above $6.00 and focus on the next resistance targets at $6.26 and $6.48 respectively. However, if the support at $5.80 is broken, EOS could test the swing low at $5.40, besides $5.00 is within reach.
IOTA (MIOTA) price analysis
IOTA has been on an upward roll lately breaking several barriers to the top. The recovery came after the extended declines that spilled over into August from the last week of July. The network announced a strategic partnership this week which triggered a nice rally towards $1.00. Instead, the crypto formed at high at $0.80 before lower corrections kicked in.
IOTA is currently trading above the short-term support at $0.65. The declines were unstoppable at $0.75 and the hourly 50SMA at $0.732 and the trendline support at $0.716. Technical indicators applied to the chart are sending bullish signals, besides IOTA is testing the resistance at $0.70. A break above $0.70 is imminent but the 50SMA currently at $0.7349 will limit gains. Significant hurdles are observed at $0.75 and $0.85 respectively.