The market is in the green at the time of writing. This is in the wake of the unexpected selloff on Monday. Most cryptocurrencies are consolidating the losses and battling to recover the losses. Ripple is among the biggest daily gainers jumping 21.06%. Ethereum sought refuge at $190 and is currently dancing with 214 and is up more than 9% on the day. Bitcoin Cash was lucky enough to find a support at $410 preventing a dip to $400 but a recovery towards $450 is underway. IOTA is still languishing in selling pressure with a 0.28% drop.
Bitcoin is trading in the green in the wake of the declines that took place yesterday. The largest crypto by market capitalization recently extended its bullish movement above $6,500 and even traded highs of $6,529. However, the weekend gains are almost canceled entirely after the fundamental were broken. Bitcoin became unstable above $6,500 on Monday leading to a retracement below the short-term support at $6,400.
The declines also dropped below the 50 simple moving average on the hourly timeframe chart. Further declines also broke past the trendline support at $6,490.63. This triggered more declines below $6,400 and $6,300 respectively. The next support target at $6,240 did little to stop the wild tailspin of Bitcoin dropping like dead weight in the air.
In the interim, Bitcoin has formed a double-bottom pattern slightly above $6,200. There is a bullish reaction that is expected to touch $6,400 in the near-term. BTC/USD is currently trading marginally above $6,300. A significant resistance will be encountered at the 50SMA as the price reaches towards $6,400. The stochastic is moving further towards the overbought zone. Although the MACD is still in the negative zone, it has changed direction upwards which means that the buyers are regaining control and increasing the buying entries.
NEM is trading is also making an incredible comeback above $0.08. Like the other digital assets, NEM has been walloped by the selling over the past couple of weeks. The support at $0.1 was shattered recently leading to a breakdown below $0.08. The general trend stayed bullish since the mid-last week. XEM/USD consolidated the gains around $0.09 but the widespread declines on Monday saw it test the previous support at $0.08.
In the meantime, NEM is locked within the confines of a triangle. The resistance to the upside is limiting gains above $0.09. But first, the 50SMA resistance must be overcome for recoil above $0.09 to occur. In spite of the subtle bullish trend, $0.1 is still out of reach, at least for now.
On the flipside, the triangle support should be defended to ensure that NEM does not retest the primary support. The stochastic is moving upwards but currently at 59 percent, similarly, the MACD momentum indicator is showing bullish signals as it moves further towards the mean.
Tron is has been said to be among the digital assets that have increased a hundredfold since their inception, find the details here. Within a short time, the network has transformed to become a force that is currently being reckoned with in the industry especially when it comes to the blockchain, the TVM, and the Super Representative election.
Tron is currently trading at $0.0192 after recovering from the trip it took yesterday towards $0.0185. Prior to that the bullish trend from last week had TRX/USD exchange above $0.020 and traded at the swing high. The bears sought for equilibrium as the buyers consolidated the gains at the 61.8% Fib retracement level with the last swing high of $0.0207 and a swing low of $0.01702.
Nonetheless, the bearish momentum triggered more declines after breaking below the trendline support at $0.0197. The current bullish trend has stalled at $0.0195 and the price is flirting with the above mentioned 61.8% Fibo. It is vital that the price makes it above $0.020 for a further retracement towards $0.025. In the interim, the short-term support at $0.019 must continue to hold ground. But is a reversal occurs, TRX/USD will be at risk of retesting the support at $0.0180.