Bulls are appearing to be fizzling out as the bears sit square in the market. The prices in the market are swimming in the sea of red except for Ripple (XRP) which is up more than 2% on Wednesday in the wake of a drop to the support at $0.50. Bitcoin (BTC) is trading in a rising channel but also stuck in a range below $6,500. Ethereum (ETH) is feeling the hands of the bears as it wipes off 6% of its value. Bitcoin Cash has taken a pit stop at its $510 lifeline support. The only other crypto in the green among the top 20 is Binance Coin (BNB) which is up 2.86%. The rest of the coins in this bracket are showing declines of up to 7%.
Like most of the above-mentioned cryptocurrencies, Stellar (XLM) is making lower corrections on the day. The surge that began in the mid-September saw Stellar attack $0.30 but failed to break above the resistance leading to declines that have almost canceled the gains. The downside, has, however, been protected at the 23.6% Fib retracement level between a high of $0.3019 and a low of $0.2095 marginally above $0.23.
Stellar attempted a retracement from this support but the upside has been capped at the 61.8 percent Fibonacci retracement level. October kicked off with further breakdown towards the previous support, although the bullish trendline came in as a strong anchor. At the time of writing XLM/USD is flirting with the 38.2% Fib level with the path of least resistance being sideways.
There is a contracting triangle in place on the hourly chart as seen below. This means that traders can expect a breakout in the short-term. However, it is vital that the buyers defend the support at $0.24 to stay away from declines that are likely to test the next key support at $0.23. On the flipside, XLM/USD will face increasing selling activity at $0.25. A break out of the triangle resistance will open the door for more gains towards the psychological $0.30 level.
NEO, on the other hand, is also in the middle of a gains-trimming exercise. The crypto had made an incredible recovery last week; overcoming the stubborn resistance at $20.00. Moreover, NEO/USD continued with the uptrend towards $21.00 but traded highs around $20.5 before the trend turned bearish. The declines over the last weekend slowed down as NEO took a short stop above $18.00. However, the bears have been in control over the past couple of days across the board in the market.
NEO price broke below the bullish trendline support on the 4-hour chart. This triggered more declines past the 38.2% Fib level with the last high leg of $20.30 to a lower leg of $17.104. The trading during the Asian trading hours on Wednesday 3 was strongly bearish as NEO deflated towards $17.50. At present, NEO is exchanging at $17.99 but the prevailing trend is still bearish. The support turned resistance at 38.2% Fib level is hindering movement north. NEO is likely to continue correcting lower, the good thing is the support at $17.00 is strong enough to hold to the close of the session.
Genesis Vision (GVT)
Genesis Vision is defying the bear trend in the market making over 6% rise on the day. GVT/USD recently dipped below $10.00 and traded lows of $9.65. However, the price did not stay down for long as the buyers pulled up past the moving averages; 50SMA and 100SMA (15-minutes). The price made an incredible bullish swing earlier today past the resistance at $10.00.
Genesis Vision has traded intraday highs of $10.7 before settling above $10.4. The bulls still have the say while the ongoing bullish retracement could retest $10.70. Although the stochastic has retreated from the overbought, it is ranging at 71 percent. GVT/USD is also trading above the moving averages on the same chart. Below the immediate support at $10.40 the 23.6%, Fib level will come in handy if a trend reversal occurs.