EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 29/05/20

EOS

EOS rose by 1.67% on Thursday. Following on from a 2.49% gain on Wednesday, EOS ended the day at $2.6146.

A bearish start to the day saw EOS fall to a late morning intraday low $2.5202 before making a move.

EOS fell through the first major support level at $2.5245 before rallying to a final hour intraday high $2.6269.

EOS broke through the first major resistance level at $2.5935 and the second major resistance level at $2.6181 before pulling back.

The pullback saw EOS fall back through the second major resistance level.

At the time of writing, EOS was up by 1.56% to $2.6555. A mixed start to the day saw EOS rise from a low $2.6146 to an early morning high $2.6747.

EOS broke through the first major resistance level at $2.6543 early on.

EOS/USD 29/05/20 Daily Chart

For the day ahead

EOS would need to hold above the first major resistance level at $2.6543 to bring the second major resistance level at $2.6939 into play.

Support from the broader market would be needed, however, for EOS to break out from the morning high $2.6747.

Barring an extended crypto rally, resistance at $2.70 would likely leave EOS short of the second major resistance level.

Failure to hold above the first major resistance level could see EOS hit reverse.

A fall through the morning low $2.6146 to sub-$2.60 levels would bring the first major support level at $2.5476 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of sub-$2.60 levels on the day.

Looking at the Technical Indicators

Major Support Level: $2.5476

Major Resistance Level: $2.6543

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum rallied by 5.77% on Thursday. Following on from a 3.75% gain on Wednesday, Ethereum ended the day at $220.44.

A bearish start to the day saw Ethereum fall to a late morning intraday low $204.50 before making a move.

Steering clear of the first major support level at $203.29, Ethereum rallied to a final hour intraday high $220.68.

Ethereum broke through the first major resistance level at $211.01 and the second major resistance level at $213.60.

At the time of writing, Ethereum was up by 0.62% to $221.80. A mixed start to the day saw Ethereum rise to an early morning high $224.84 before falling to a low $220.25.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 29/05/20 Daily Chart

For the day ahead

Ethereum would need to avoid sub-$215.20 levels to bring the first major resistance level at $225.91 into play.

Support from the broader market would be needed, however, for Ethereum to break out from the morning high $224.84.

Barring an extended crypto rally, the first major resistance level would likely limit any upside on the day.

Failure to avoid sub-$215.20 levels could see Ethereum hit reverse.

A fall through the morning low $220.25 to sub-$215.20 levels would bring the first major support level at $209.73 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of the second major support level at $199.03.

Looking at the Technical Indicators

Major Support Level: $209.73

Major Resistance Level: $225.91

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP rose by 1.37% on Thursday.  Following on from a 2.19% gain on Wednesday, Ripple’s XRP ended the day at $0.20082.

Tracking the broader market, Ripple’s XRP fell to a late morning intraday low $0.19509 before finding support.

Steering clear of the first major support level at $0.1943, Ripple’s XRP rallied to a final hour intraday high $0.20142.

Ripple’s XRP broke through the first major resistance level at $0.2015 and second major resistance level at $0.2049 before pulling back.

The pullback saw Ripple’s XRP fall back through the major resistance levels to limit the upside on the day.

At the time of writing, Ripple’s XRP was down by 0.27% to $0.20027. A choppy start to the day saw Ripple’s XRP jump to an early morning high $0.20340 before falling to a low $0.19988.

Ripple’s XRP tested the first major resistance level at $0.2031 early on.

XRP/USD 29/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to avoid sub-$0.1990 levels to support another run at the first major resistance level at $0.2031.

Support from the broader market would be needed, however, for Ripple’s XRP to break back through to $0.2030 levels

Barring a broad-based crypto rebound, the first major resistance level and morning high would likely limit any upside.

Failure to avoid sub-$0.1990 levels could see Ripple’s XRP fall deeper into the red.

A fall through the morning low to sub-$0.1990 levels would bring the first major support level at $0.1968 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1928.

Looking at the Technical Indicators

Major Support Level: $0.1968

Major Resistance Level: $0.2031

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

The Crypto Daily – Movers and Shakers -29/05/20

Bitcoin rallied by 4.11% on Thursday. Following on from a 4.12% breakout on Wednesday, Bitcoin ended the day at $9,589.3.

A mixed start to the day saw Bitcoin fall to a mid-morning intraday low $9,118.2 before making a move.

Steering clear of the first major support level at $8,946.67, Bitcoin rallied to a final hour intraday high $9,630.3.

Bitcoin broke through the first major resistance level at $9,349.47 and second major resistance level at $9,488.63 before easing back.

The near-term bearish trend, formed at late June 2019’s swing hi $13,764.0, remained firmly intact, reaffirmed by the March swing lo $4,000.

For the bulls, Bitcoin would need to break out from the 62% FIB of $10,034 to form a near-term bullish trend.

The Rest of the Pack

Across the rest of the majors, it was also a bullish day for the majors on Thursday.

Cardano’s ADA surged by 17.71% to lead the way.

Binance Coin (+3.64%), Bitcoin Cash ABC (+3.34%), Ethereum (+5.77%), Monero’s XMR (+4.28%), Stellar’s Lumen (+4.92%), Tezos (+4.37%), and Tron’s TRX (+3.12%) also found strong support.

Bitcoin Cash SV (+1.17%), EOS (+1.67%), Litecoin (+2.05%), and Ripple’s XRP (+1.37%) trailed the front runners.

In the current week, the crypto total market cap fell to an early Monday low $238.04bn before rising to an early Friday high $263.53bn. At the time of writing, the total market cap stood at $261.58bn.

Bitcoin’s dominance fell to a Monday low 66.38% before a Thursday 69.54% spike. At the time of writing, Bitcoin’s dominance stood at 66.99%.

This Morning

At the time of writing, Bitcoin was down by 0.57% to $9,535.0. A mixed start to the day saw Bitcoin rise to an early morning high $9,618.8 before falling to a low $9,483.5.

Bitcoin left the major support and resistance levels untested early on.

Elsewhere, it was a mixed start to the day.

Cardano’s ADA joined Bitcoin in the red, with a 0.46% loss at the time of writing.

It was a bullish start to the day for the rest of the pack, however.

EOS led the way early on, rallying by 1.49%.

BTC/USD 29/05/20 Daily Chart

For the Bitcoin Day Ahead

Bitcoin would need to avoid sub-$9,450 levels to bring the first major resistance level at $9,773.67 into play.

Support from the broader market would be needed, however, for Bitcoin to break out from Thursday’s high $9,630.3.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

In the event of another extended crypto rally, the second major resistance level at $9,958.03 and the 62% FIB of $10,034 would likely come into play.

Failure to avoid sub-$9,450 levels could see Bitcoin fall deeper into the red.

A fall back through the morning low to sub-$9,450 levels would bring the first major support level at $9,261.57 into play.

Barring another extended crypto sell-off, however, Bitcoin should steer well clear of the second major support level at $8,933.83.

 Gold – Patience Is A Virtue

Anybody who missed this rally might now be under stress since governments and central bankers are doing everything to destroy the purchasing power of this hard- earned currency which is sitting in the bank account paying no interest. Gold has done a good job to protect its holders. However, blindly chasing any asset that is in an uptrend is not a good strategy. The key is always to wait for pullbacks and dips so that one can buy low instead of high. Gold – Patience is A Virtue.

Review

Looking back, my last two Gold analyses on March 15th and April 19th were partly a little too pessimistic. Although there was indeed a brutal sell-off down to US$1,450 on March 20th, the unprecedented expansion of the money supply by almost all central banks worldwide then quickly caused gold prices to rally towards US$1,747 within the following four weeks. Since this high point on April 14th, gold prices over all have traded sideways between US$1,660 and US$1,765. Thus, there wasn’t any deep pullback!

However, gold prices haven’t run away either. On the contrary, it must be noted that despite the corona crash and liquidity flooding, gold basically has not made much progress since its first interim high at US$1,689 on 24th of February. Currently, with spot gold trading slightly below US$1,710 prices are up less than US$20 since end of February!

In Euro terms, the results do look somewhat better. Here prices have just recently reached a new seven-year high at EUR1,632 in the past trading week and have also been in a flat up-trend over the last few weeks.

All in all, the price of gold has thus been stagnant for nearly eight weeks.

Technical Analysis: Gold in US-Dollars

Gold in US-Dollar, weekly chart as of May 26th, 2020. Source: Tradingview
Gold in US-Dollar, weekly chart as of May 26th, 2020. Source: Tradingview

On the weekly chart, gold bulls continue to strive to finally leave the uptrend channel that began in August 2018 behind them. So far, they have not yet succeeded in doing so. Should the bulls now run out of steam or do need a breather, a quick pullback towards the mid of the trend channel would be very likely. However, despite weeks of consolidation at a high levels, there is still no sign of exhaustion. But one could speak of a “dwindling bullish momentum”.

It is noticeable that since the beginning of the year gold has been moving primarily in the zone between the 61.8% fibonacci retracements (US$1,586) and the 78.6% fibonacci retracements (US$1,733). These fibonacci retracements relate to the major correction in the gold market when prices fell from US$1,920 down to US$1,045 between 2011 and 2015. Since the final low in December 2015, the bulls have now recovered 61.8% and 78.6% of the lost distance.

Hence, the zone between US$1,586 and US$1,733 is the last place of refuge for the gold bears. If this last bastion can be sustainably conquered, the way to the all-time high at US$1,920 and prices above US$2,000 would be clear. From this perspective alone, the confusing back and forth over the last few weeks is therefore not surprising. At the same time the bears obviously do not (yet) have enough strength to wrest larger space from the bulls here.

However, the stochastic oscillator does not look good on the weekly chart. Both lines are still bullishly embedded above 80, but as soon as the momentum starts to turn, the strongly overbought position immediately will kick in and deliver a sell-signal. in that case a multi-weeks to multi-months corrective phase becomes extremely likely.

All in all, gold prices have been treading water for weeks now and seem to be slightly stuck above US$1,700. However, a trend reversal has not happened. Ideally, the slightly disjointed picture will dissolve with a healthy but overall manageable pullback in the summer months.

Gold in US-Dollar, daily chart as of May 26th, 2020. Source: Tradingview, Patience Is A Virtue
Gold in US-Dollar, daily chart as of May 26th, 2020. Source: Tradingview, Patience Is A Virtue

On the daily chart, the bulls managed to break out of the five-week consolidation triangle on May 14. With the following spike towards US$1,765 they immediately made it clear who is in charge. In the meantime, however, this actually bullish breakout has already come to an end without any sustained gains, as prices have been falling rather rapidly from US$1,765 down to US$1,698.

Now bulls will have to answer with a bounce and a compelling recovery. However, prices above US$1,730/1,735 might already cause difficulties. Nevertheless, the chances of another wave up into the range between US$1,745 and US$1,765 are pretty good. Especially as the stochastic oscillator he has cooled down considerably on the daily chart and move in the neutral zone. This setup would once again provide enough room for another bullish run.

Furthermore, the silver price, which had just begun to move two weeks ago, does not appear to have reached the end of its rally yet. Rather, silver could pull the price of gold up again for the next few weeks.

In summary, the daily chart is neutral after weeks of consolidation. Similar to last spring and last autumn, gold prices managed to work off the heavily overbought situation without major losses but only with mild declines. Thus, at least in the short term, there is once again the chance of a rise towards the highs of US$1,765 on the chart. Even a new high at US$1,800 can not be ruled out.

A commitment of Traders: Gold

Commitment of Traders for Gold as of May 19th, 2020. Source:CoT Price Charts
Commitment of Traders for Gold as of May 19th, 2020. Source:CoT Price Charts

Since the breakout above the multi-year resistance zone at US$1,350/1,375 in May 2019, the situation in the gold futures market has been extremely overstretched and completely unhealthy. With the temporary crash in mid-March, the pent-up pressure was at least partially released, with commercial hedgers covering part of their exorbitantly large short position.

At the same time, however, the supply and demand shock caused by the corona crisis caused even greater difficulties for the paper jugglers on the COMEX. Short-term pullbacks of US$50 can apparently still be arranged somehow, but much lower prices below US$1,500 are not in sight. However, the commercial hedgers would need these prices to profitably cover their cumulative short position of currently 290,174 contracts.

Commitment of Traders for Gold as of May 23rd, 2020. Source: Sentimentrader, Patience Is A Virtue
Commitment of Traders for Gold as of May 23rd, 2020. Source: Sentimentrader, Patience Is A Virtue

Overall the CoT-report continues to provide a clear sell-signal for the gold price. A promising contrarian bottleneck is far away and would be present at the earliest with the cumulative short position reaching levels below 100,000 contracts.

The development in the silver futures market is positive, however. Here the professional players have used the crash down to US$11.60 to cover their short position. From the CoT perspective silver should no longer be threatened by another major pullback.

Sentiment: Gold – Patience Is A Virtue

Sentiment Optix for Gold as of May 23rd, 2020. Source: Sentimentrader
Sentiment Optix for Gold as of May 23rd, 2020. Source: Sentimentrader

The Optix sentiment barometer for the gold price continues to provide significantly high levels of optimism among market participants. Although the pullback over the last few days has certainly caused a decrease in euphoria, the overall consensus is still clearly in favour of further rising gold prices.

Rarely, however, do markets simply move straight up. Rather, they have to use twists and turns to make sure that the masses do not fully participate in the price increases. In order to refresh the so-called “wall of worry”, a pullback towards US$1,650 or 1,600 would probably suffice.

In summary, the Gold Optix continues to urge caution. Only when mistrust and possibly even panic and fear spread at least to some extent among gold investors, will there be meaningful and contrarian entry opportunity again. Other than that, patience is a virtue.

Seasonality: Gold – Patience Is A Virtue

Seasonality for Gold as of May 23rd, 2020. Source: Seasonax
Seasonality for Gold as of May 23rd, 2020. Source: Seasonax

For the next five to ten weeks the seasonal pattern is not supporting rising gold prices. Typically, June is the month of pullbacks in the gold market, which usually bottom out in July or mid August at the latest. Should a similar pattern occur this year, a good buying opportunity would present itself. By the way, these summer lows often also marked the low for the year.

Seasonality for Gold in US-Election Years as of May 27th, 2020. Source: Seasonax

This year however, the U.S. presidential elections, which are scheduled for November 3rd, must also be taken into account. This event should determine the second half of the year for financial markets in general. The American central bank FED will certainly do everything possible to prevent the markets from collapsing before these elections.

The further expansion of the money supply necessary for this should certainly support precious metal prices on the one hand. On the other hand, however, there is also a statistical pattern which indicates potential difficulties for gold in the second half of the year. In front of the last U.S. presidential election in 2016, gold had gotten stuck around US$1,350 to 1,375 in the summer months and then corrected down to US$1,123 by mid-December.

In conclusion, the seasonal outlook currently recommends a patient and wait-and-see stance. Should there be a pullback within the next two months, it would be a good buying opportunity. If, on the other hand, prices remain stable around and above US$1,700 in June and July, the danger increases that the unfavorable U.S. election cycle will start to affect gold from late summer.

Bitcoin/Gold-Ratio

Sound Money Bitcoin/Gold-Ratio as of May 23rd, 2020. Source:Chaia

Currently, you have to pay 5.15 ounces of gold for one Bitcoin. In other words, a troy ounce of gold currently costs only 0.194 Bitcoin. Since the low point of the corona crash, Bitcoin has been able to outperform gold by a considerable margin.

On top, since the second week of May, Bitcoin has been knocking at the upper edge of the large consolidation triangle once again. Thus, the chances of a breakout to the upside continue to rise. Only if there would be another blatant attack of weakness in Bitcoin we would have to prepare for another round of consolidation lasting several months. Otherwise, and that is what it looks like at the moment, the breakout from the triangle is imminent in these weeks until the summer. Subsequently, a sharp rise in Bitcoin prices would be the logical consequence.

Generally, buying and selling Bitcoin against gold only makes sense to the extent that one balances the allocation in the two asset classes! At least 10% but better 25% of one’s total assets should be invested in precious metals (preferably physically), while in cryptos and especially in Bitcoin one should hold at least 1% up to 5%. Paul Tudor Jones holds a little less than 2% of his assets in Bitcoin. If you are very familiar with cryptocurrencies and Bitcoin, you can certainly allocate higher percentages to Bitcoin and maybe other Alt-coins on an individual basis. For the average investor, who is normally also invested in equities and real estate, 5% in the highly speculative and highly volatile bitcoin is already a lot!

“Opposites compliment. In our dualistic world of Yin and Yang, body and mind, up and down, warm and cold, we are bound by the necessary attraction of opposites. In this sense you can view gold and bitcoin as such a pair of strength. With the physical component of Gold and the digital aspect of Bitcoin you have a complimentary unit of a true safe haven in the 21st century. You want to own both!” – Florian Grummes

Conclusion and Recommendation: Gold – Patience Is A Virtue

Gold doesn’t seem to know where it’s going these days. For weeks now, prices have been clearly trading above US$1,700 and trying to break through the resistance zone between US$1,740 and 1,765 only to fall all the way back to and slightly below US$1,700. At the same time, volatility has been on retreat since March 19th. At least things have calmed down a bit in the gold market. But the bulls still have the upper hand. The bears, on the other hand, have been making increased efforts to reverse the trend since the last high point at US$1,765. Apart from a decline to just under US$1,700, however, they have not (yet) achieved much.

Generally, we should always remember that just before the biggest rises in the gold market, all weak hands are usually shaken off. In this respect, a pullback in early summer remains the preferred scenario. This way, gold prices do not have to fall so extremely low. A decline to US$1,650 or to the rising 200-day line in the US$1,600 range would presumably be completely sufficient. Afterwards, gold would be ready for the next wave up, which should then target the resistance around US$1,800 as well as the all-time high at USD$1,920.

If, on the other hand, gold prices can hold steady above US$1,700 throughout the coming two to three months, the probability increases that there will be a more pronounced correction starting in late summer just a few months before the U.S. elections.

Either way, the risk/reward-ratio for gold is not ideal at the moment. It is therefore advisable to simply remain patient and wait at least until an oversold setup on the daily chart and ideally also on the weekly chart. However, one should not lose sight of gold, because in times of unconditional stimuli from almost all central banks worldwide, every somewhat larger pullback already means a buying opportunity in the gold market.

For a look at all of today’s economic events, check out our economic calendar.

If you like to get regular updates on our gold model, precious metals and cryptocurrencies you can subscribe to our free newsletter.

Litecoin, Stellar’s Lumen, and Tron’s TRX – Daily Analysis – 28/05/20

Litecoin

Litecoin rallied by 3.79% on Wednesday. Reversing a 1.61% decline from Tuesday, Litecoin ended the day at $43.87.

It was a bullish start to the day. Litecoin rallied from an early morning intraday low $42.23 to a late afternoon intraday high $43.98.

Litecoin broke through the first major resistance level at $42.98 and the second major resistance level at $43.66 before pulling back.

A late pullback saw Litecoin fall back through the second major resistance level to sub-$43.30 levels before finding late support.

A final hour rally saw Litecoin break back through the second major resistance level to wrap up the day at $43.8 levels.

At the time of writing, Litecoin was down by 0.41% to $43.69. A bearish start to the day saw Litecoin fall from an early morning high $43.86 to a low $43.65.

Litecoin left the major support and resistance levels untested early on.

LTC/USD 28/05/20 Daily Chart

For the day ahead

Litecoin would need to avoid sub-$43.40 levels to bring the first major resistance level at $44.49 into play.

Support from the broader market would be needed, however, for Litecoin to breakout from Wednesday’s high $43.98.

Barring an extended crypto rally, Wednesday’s high would likely leave Litecoin short of the first major resistance level and.

Failure to avoid sub-$43.40 levels could see Litecoin fall deeper into the red.

A fall back through the morning low to sub-$43.40 would bring the first major support level at $42.74 into play.

Barring an extended crypto sell-off, however, Litecoin should steer clear of sub-$42 and the second major support level at $41.61.

Looking at the Technical Indicators

Major Support Level: $42.74

Major Resistance Level: $44.49

23.6% FIB Retracement Level: $62

38.2% FIB Retracement Level: $78

62% FIB Retracement Level: $104

Stellar’s Lumen

Stellar’s Lumen rose by 1.59% on Wednesday. Partially reversing a 1.76% fall from Tuesday, Stellar’s Lumen ended the day at $0.066041.

It was a bullish start to the day. Stellar’s Lumen rallied from an early morning intraday low $0.064520 to a late morning intraday high $0.067666 before hitting reverse.

Stellar’s Lumen broke through the first major resistance level at $0.06619 and the second major resistance level at $0.06749.

The reversal saw Stellar’s Lumen slide back through the major resistance levels before finding late support to wrap up the day at $0.066 levels.

At the time of writing, Stellar’s Lumen was up by just 0.01% to $0.066050. There were no major movements within the 1st hour of the day.

Stellar’s Lumen left the major support and resistance levels untested early on.

XLM/USD 28/05/20 Daily Chart

For the day ahead

Stellar’s Lumen would need to move back through to $0.06610 levels to bring the first major resistance level at $0.06763 into play.

Support from the broader market would be needed, however, for Stellar’s Lumen to break back through to $0.067 levels.

Barring a broad-based crypto rally, the first major resistance level and Wednesday’s high $0.067666 would likely limit any upside.

Failure to move back through to $0.06610 levels could see Stellar’s Lumen hit reverse.

A fall through to sub-$0.065 levels would bring the first major support level at $0.06449 into play.

Barring an extended crypto sell-off, however, Stellar’s Lumen should steer well clear of the second major support level at $0.06293.

Looking at the Technical Indicators

Major Support Level: $0.06449

Major Resistance Level: $0.06763

23.6% FIB Retracement Level: $0.1051

38% FIB Retracement Level: $0.1433

62% FIB Retracement Level: $0.2050

Tron’s TRX

Tron’s TRX rose by 0.58% on Wednesday. Partially reversing a 0.74% decline from Tuesday, Tron’s TRX ended the day at $0.014710.

It was a bullish start to the day. Tron’s TRX rallied from an early morning low $0.014529 to a late morning intraday high $0.015041 before hitting reverse.

Tron’s TRX broke through the first major resistance level at $0.01479 and the second major resistance level at $0.01498.

The reversal saw Tron’s TRX slide through the major resistance levels to a late intraday low $0.014502 into the red.

Late in the day, however, Tron’s TRX moved back through to $0.01470 levels to end the day in the green.

In spite of the late pullback, Tron’s TRX steered clear of the first major support level at $0.01432.

At the time of writing, Tron’s TRX was down by 0.11% to $0.014694. A mixed start to the day saw Tron’s TRX rise to an early morning high $0.014725 before falling to a low $0.014694.

Tron’s TRX left the major support and resistance levels untested early on.

TRX/USD 28/05/20 Daily Chart

For the Day Ahead

Tron’s TRX would need to move through to $0.01480 levels to support a run at the first major resistance level at $0.01499.

Support from the broader market would be needed, however, for Tron’s TRX to break out from the morning high $0.014725.

Barring a broad-based crypto rebound, the first major resistance level and Wednesday’s high $0.015041 would likely limit any upside.

Failure to move through to $0.01480 levels could see Tron’s TRX fall deeper into the red.

A fall through Wednesday’s low $0.014521 would bring the first major support level at $0.01447 into play.

Barring an extended crypto sell-off, however, Tron’s TRX should steer clear of sub-$0.014 levels. The second major support level at $0.01424 would likely limit any downside.

Looking at the Technical Indicators

Major Support Level: $0.01447

Major Resistance Level: $0.01499

23.6% FIB Retracement Level: $0.0322

38.2% FIB Retracement Level: $0.0452

62% FIB Retracement Level: $0.0663

Please let us know what you think in the comments below

Thanks, Bob

EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 28/05/20

EOS

EOS rose by 2.49% on Wednesday. Reversing a 0.76% decline from Tuesday, EOS ended the day at $2.5689.

A bullish start to the day saw EOS rally from an early morning intraday low $2.5047 to a late morning intraday high $2.5724.

EOS broke through the first major resistance level at $2.5403 before sliding back.

Coming within range of the second major resistance level at $2.5735, EOS fell back to sub-$2.54 levels before finding support.

Through the late part of the day, EOS found support from the broader market to wrap up the day at $2.56 levels.

At the time of writing, EOS was down by 0.16% to $2.5647. A bearish start to the day saw EOS rise to an early morning high $2.5716 before sliding to a low $2.5566.

EOS left the major support and resistance levels untested early on.

EOS/USD 28/05/20 Daily Chart

For the day ahead

EOS would need to avoid sub-$2.55 levels to bring the first major resistance level at $2.5935 into play.

Support from the broader market would be needed, however, for EOS to break out from Wednesday’s high $2.5737.

Barring a broad-based crypto rally, resistance at $2.58 would likely leave EOS short of the major first resistance level.

Failure to avoid sub-$2.55 levels could see EOS slide deeper into the red.

A fall through the morning low to sub-$2.55 levels would bring the first major support level at $2.5245 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of the second major support level at $2.4801.

Looking at the Technical Indicators

Major Support Level: $2.5245

Major Resistance Level: $2.5935

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum rallied by 3.75% on Wednesday. Reversing a 1.58% fall from Tuesday, Ethereum ended the day at $208.41.

A bullish start to the day saw Ethereum rally from an early morning intraday low $200.76 to a mid-day high $207.75.

Ethereum broke through the first major resistance level at $205.08 before pulling back to a low $205.10.

Finding support at the first major resistance level, Ethereum rallied to a final hour intraday high $208.48.

In spite of the late rally, Ethereum came up short of the second major resistance level at $209.24.

At the time of writing, Ethereum was down by 0.29% to $207.80. A bearish start to the day saw Ethereum fall from an early morning high $208.50 to a low $207.20.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 28/05/20 Daily Chart

For the day ahead

Ethereum would need to avoid sub-$206 levels to bring the first major resistance level at $211.01 into play.

Support from the broader market would be needed, however, for Ethereum to break out from the morning high $208.50.

Barring an extended crypto rally, resistance at $210 would likely leave Ethereum short of the first major resistance level.

Failure to avoid sub-$206 levels could see Ethereum fall deeper into the red.

A fall through the morning low $207.20 to sub-$206 levels would bring the first major support level at $203.29 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of the second major support level at $198.16.

Looking at the Technical Indicators

Major Support Level: $203.29

Major Resistance Level: $211.01

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP rose by 2.19% on Wednesday. Reversing a 1.20% fall from Tuesday, Ripple’s XRP ended the day at $0.19810.

Tracking the broader market, Ripple’s XRP rallied from an early morning intraday low $0.19385 to a late morning intraday high $0.20109.

Ripple’s XRP broke through the first major resistance level at $0.1965 and the second major resistance level at $0.1993.

Coming up short of the third major resistance level at $0.2047, Ripple’s XRP fell back through the major resistance levels to a low $0.19613.

Finding support late in the day, Ripple’s XRP broke back through the first major resistance level to wrap up the day at $0.1980 levels.

At the time of writing, Ripple’s XRP was down by 0.21% to $0.19769. A bearish start to the day saw Ripple’s XRP fall from an early morning high $0.19810 to a low $0.19706.

Ripple’s XRP left the major support and resistance levels untested early on.

XRP/USD 28/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to move through to $0.1980 levels to support a run at the first major resistance level at $0.2015.

Support from the broader market would be needed, however, for Ripple’s XRP to break out from Wednesday’s high $0.20109 levels.

Barring a broad-based crypto rebound, the first major resistance level and Wednesday’s high $0.20109 would likely limit any upside.

Failure to move through to $0.1980 levels could see Ripple’s XRP fall deeper into the red.

A fall through back through the morning low $0.19706 would bring the first major support level at $0.1943 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1904.

Looking at the Technical Indicators

Major Support Level: $0.1943

Major Resistance Level: $0.2015

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

US/China Conflict – Gold, Oil and Bitcoin in Focus

The soft reopening so far appears to be going well and is leading to further easing measures, including the prospect of travel again before the summer is over which is coming as a huge relief to those in the industry that have been ravaged by the crisis.

The stock market recovery appeared to stall in May but it seems to have found some momentum once again, with the news of human vaccine trials naturally aiding the move. While the data we’re seeing so far is encouraging, there may be diminishing returns so the longer we go without a vaccine or cure, the worse the data could become. Thankfully, what we’re seeing in both of these cases gives us cause for optimism.

Tensions between the US and China are hotting up and Hong Kong is proving to be an interesting battle ground. The US is now believed to be pondering sanctions, as China prepares to vote on a controversial new national security law to be imposed on Hong Kong. As yet, the strained relationship between the US and China hasn’t hampered markets too much but that could quickly change.

Oil looking strong

Oil is slightly paring gains today but continues to make impressive gains more broadly. Naturally, reports of economies successfully easing restrictions is providing a significant boost to oil prices, with the reopening of borders in the coming weeks only further supporting demand and therefore prices.

While the reopening will be gradual and people will take time to emerge from the safe shelter of their homes, particularly when it comes to foreign travel, these are hugely positive moves for oil producers as prices close in on $40. It’s now a question of when they’ll turn on the taps again and how much they choose to or even how fast they’ll be able to.

Gold facing some big tests

Goldis edging lower again today and closing in on $1,700. The yellow metal seemed to lose all momentum not long after eventually breaking through $1,750 resistance. A break back below $1,700 would be troubling for gold, from a psychological perspective, but the $1,660-1,680 region is far more key. A break of this would spell trouble for gold.

Bitcoin fighting back but $8,000 looks vulnerable

Bitcoin found some support around $8,500 this morning and has reversed course to test $9,000, around where it is already starting to struggle. It’s not looking great for the cryptocurrency, with $8,000 being the next major level below. A break of this and it will be like the halving event never happened and all the gains that came its way during that high exposure period will have been lost. Nervy times.

For a look at all of today’s economic events, check out our Economic Calendar.

Craig Erlam, Senior Currency Analyst at OANDA

Litecoin, Stellar’s Lumen, and Tron’s TRX – Daily Analysis – 27/05/20

Litecoin

Litecoin fell by 1.61% on Tuesday. Partially reversing a 2.09% gain from Monday, Litecoin ended the day at $42.29.

A mixed start to the day saw Litecoin rose to an early morning intraday high $43.07 before hitting reverse.

Falling short of the first major resistance level at $43.59, Litecoin slid to a late afternoon intraday low $41.79.

Litecoin fell through the first major support level at $42.04 before recovering to wrap up the day at $42 levels.

At the time of writing, Litecoin was up by 0.33% to $42.43. A bullish start to the day saw Litecoin rise from an early morning low $42.23 to a high $42.60.

Litecoin left the major support and resistance levels untested early on.

LTC/USD 27/05/20 Daily Chart

For the day ahead

Litecoin would need to avoid sub-$42.40 levels to bring the first major resistance level at $42.98 into play.

Support from the broader market would be needed, however, for Litecoin to breakout from the morning high $42.60.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

Failure to avoid sub-$42.40 levels could see Litecoin hit reverse.

A fall back through the morning low $42.23 would bring the first major support level at $41.70 into play.

Barring another extended crypto sell-off, however, Litecoin should steer clear of the second major support level at $41.10.

Looking at the Technical Indicators

Major Support Level: $41.70

Major Resistance Level: $42.98

23.6% FIB Retracement Level: $62

38.2% FIB Retracement Level: $78

62% FIB Retracement Level: $104

Stellar’s Lumen

Stellar’s Lumen fell by 1.76% on Tuesday. Partially reversing a 3.26% rally from Monday, Stellar’s Lumen ended the day at $0.064880.

It was bearish through most of the day. Stellar’s Lumen fell from an early morning intraday low $0.066385 to a mid-afternoon intraday low $0.063970.

Stellar’s Lumen fell through the first major support level at $0.06447 before finding support late in the day.

The partial recovery saw Stellar’s Lumen briefly revisit $0.065 levels before easing back.

At the time of writing, Stellar’s Lumen was down by 0.55% to $0.064520. A mixed start to the day saw Stellar’s Lumen rise to an early morning high $0.065225 before falling to a low $0.064520.

Stellar’s Lumen left the major support and resistance levels untested early on.

XLM/USD 27/05/20 Daily Chart

For the day ahead

Stellar’s Lumen would need to move back through to $0.065 levels to bring the first major resistance level at $0.06619 into play.

Support from the broader market would be needed, however, for Stellar’s Lumen to break out from the morning high $0.065225.

Barring a broad-based crypto rebound, the first major resistance level would likely limit any upside.

Failure to move back through to $0.065 levels could see Stellar’s Lumen fall deeper into the red.

A fall through to sub-$0.064 levels would bring the first major support level at $0.06377 into play.

Barring an extended crypto sell-off, however, Stellar’s Lumen should steer clear of the second major support level at $0.06266.

Looking at the Technical Indicators

Major Support Level: $0.06377

Major Resistance Level: $0.06619

23.6% FIB Retracement Level: $0.1051

38% FIB Retracement Level: $0.1433

62% FIB Retracement Level: $0.2050

Tron’s TRX

Tron’s TRX fell by 0.74% on Tuesday. Partially reversing a 3.83% rally from Monday, Tron’s TRX ended the day at $0.01460.

It was a bearish start to the day. Tron’s TRX fell from an early morning intraday high $0.014709 to a mid-afternoon intraday low $0.014241.

Tron’s TRX fell through the first major support level at $0.01431 before finding support late in the day.

The late recovery saw Tron’s TRX move back through the first major support level to wrap up the day at $0.01460 levels

At the time of writing, Tron’s TRX was down by 0.35% to $0.014549. A bearish start to the day saw Tron’s TRX fall from an early morning high $0.014625 to a low $0.014549.

Tron’s TRX left the major support and resistance levels untested early on.

TRX/USD 27/05/20 Daily Chart

For the Day Ahead

Tron’s TRX would need to avoid sub-$0.01450 levels to support a run at the first major resistance level at $0.01479.

Support from the broader market would be needed, however, for Tron’s TRX to break out from Tuesday’s high $0.014709.

Barring a broad-based crypto rebound, the first major resistance level would likely limit any upside.

Failure to avoid sub-$0.01450 levels could see Tron’s TRX fall deeper into the red.

A fall through to sub-$0.01450 levels would bring the first major support level at $0.01432 into play.

Barring an extended crypto sell-off, however, Tron’s TRX should steer clear of sub-$0.014 levels. The second major support level at $0.01405 should limit any downside.

Looking at the Technical Indicators

Major Support Level: $0.01432

Major Resistance Level: $0.01479

23.6% FIB Retracement Level: $0.0322

38.2% FIB Retracement Level: $0.0452

62% FIB Retracement Level: $0.0663

Please let us know what you think in the comments below

Thanks, Bob

The Crypto Daily – Movers and Shakers -27/05/20

Bitcoin fell by 0.62% on Tuesday. Partially reversing a 2.20% gain from Monday, Bitcoin ended the day at $8,845.5.

A mixed start to the day saw Bitcoin rise to a late morning intraday high $9,013.3 before hitting reverse.

Falling short of the first major resistance level at $9,037.13, Bitcoin slid to a late afternoon intraday low $8,704.9.

Steering clear of the first major support level at $8,693.43, Bitcoin recovered to $8,800 levels to limit the loss on the day.

The near-term bearish trend, formed at late June 2019’s swing hi $13,764.0, remained firmly intact, reaffirmed by the March swing lo $4,000.

For the bulls, Bitcoin would need to break out from the 62% FIB of $10,034 to form a near-term bullish trend.

The Rest of the Pack

Across the rest of the majors, it was another mixed day for the majors on Tuesday.

Monero’s XMR rose by 0.24% to buck the trend.

It was a bearish day for the rest of the pack, however.

Bitcoin Cash SV slid by 2.57% to lead the way down.

Binance Coin (-1.04%), Ethereum (-1.58%), Litecoin (-1.61%), Ripple’s XRP (-1.20%), Stellar’s Lumen (-1.76%), and Tezos (-1.54%) also struggled.

Bitcoin Cash ABC (-0.18%), Cardano’s ADA (-0.69%), EOS (-0.76%), and Tron’s TRX (-0.74%) saw relatively modest losses on the day.

Early in the week, the crypto total market cap fell to an early Monday low $238.04bn before rising to a Tuesday high $247.84bn. At the time of writing, the total market cap stood at $243.55bn.

Bitcoin’s dominance fell to a Monday low 66.38% before rising to a Tuesday high 66.86%. At the time of writing, Bitcoin’s dominance stood at 66.57%.

This Morning

At the time of writing, Bitcoin was down by 0.24% to $8,824.0. A mixed start to the day saw Bitcoin rise to an early morning high $8,896.5 before falling to a low $8,822.7.

Bitcoin left the major support and resistance levels untested early on.

Elsewhere, it was a mixed start to the day.

Cardano’s ADA and Monero’s XMR led the way down, with losses of 0.87% and 0.53% respectively.

Ethereum (+0.28%), Litecoin (+0.17%), and Ripple’s XRP (+0.49%) bucked the trend early on.

BTC/USD 27/05/20 Daily Chart

For the Bitcoin Day Ahead

Bitcoin would need to move through to $8,860 levels to bring the first major resistance level at $9,004.23 into play.

Support from the broader market would be needed, however, for Bitcoin to break out from the morning high $8,896.5.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

In the event of an extended crypto rally, the second major resistance level at $9,162.97 would likely come into play.

Failure to move back through to $8,860 levels could see Bitcoin fall deeper into the red.

A fall back through the morning $8,822.2 would bring the first major support level at $8,695.83 into play.

Barring another extended crypto sell-off, however, Bitcoin should steer clear of the second major support level at $8,546.17.

EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 27/05/20

EOS

EOS fell by 0.76% on Tuesday. Partially reversing a 1.50% gain from Monday, EOS ended the day at $2.5070.

A mixed start to the day saw EOS rise to an early morning intraday high $2.5334 before hitting reverse.

Falling short of the first major resistance level at $2.5640, EOS slid to a late afternoon intraday low $2.4600.

EOS fell through the first major resistance level at $2.4679 before finding support to wrap up the day at $2.50 levels.

At the time of writing, EOS was up by 0.52% to $2.5202. A mixed start to the day saw EOS fall to an early morning low $2.5047 before striking a high $2.5233.

EOS left the major support and resistance levels untested early on.

EOS/USD 27/05/20 Daily Chart

For the day ahead

EOS would need to move back through to $2.53 levels to bring the first major resistance level at $2.5403 into play.

Support from the broader market would be needed, however, for EOS to break out from Tuesday’s high $2.5334.

Barring a broad-based crypto rally, the major first resistance level would likely limit any upside on the day.

Failure to move back through to $2.53 levels could see EOS slide back into the red.

A fall through the morning low to sub-$2.50 levels would bring the first major support level at $2.4669 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of the second major support level at $2.4267.

Looking at the Technical Indicators

Major Support Level: $2.4669

Major Resistance Level: $2.5403

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum fell by 1.58% on Tuesday. Partially reversing a 2.22% gain from Monday, Ethereum ended the day at $200.91.

A mixed start to the day saw Ethereum rise to an early morning intraday high $205.03 before hitting reverse.

Falling short of the first major resistance level at $207.18, Ethereum fell to a late afternoon intraday low $196.65.

The reversal saw Ethereum fall through the first major support level at $199.48 before finding support.

Steering clear of the second major support level at $194.89, Ethereum recovered to $202 levels before easing back.

At the time of writing, Ethereum was up by 0.55% to $202.02. A mixed start to the day saw Ethereum fall to an early morning low $200.76 before striking a high $202.44.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 27/05/20 Daily Chart

For the day ahead

Ethereum would need to avoid sub-$201 levels to bring the first major resistance level at $205.08 into play.

Support from the broader market would be needed, however, for Ethereum to break out from the morning high $202.44.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

Failure to avoid sub-$201 levels could see Ethereum slide into the red.

A fall through the morning low $200.76 levels would bring the first major support level at $196.70 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of the second major support level at $192.48.

Looking at the Technical Indicators

Major Support Level: $196.70

Major Resistance Level: $205.08

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP fell by 1.20% on Tuesday. Partially reversing a 1.90% gain from Monday, Ripple’s XRP ended the day at $0.19359.

A bullish start to the day saw Ripple’s XRP rise to an early morning intraday high $0.19680 before hitting reverse.

Falling short of the first major resistance level at $0.1991, Ripple’s XRP slid to a late afternoon intraday low $0.19142.

Steering clear of the first major support level at $0.1912, Ripple’s XRP recovered to $0.1950 levels before easing back.

At the time of writing, Ripple’s XRP was up by 0.70% to $0.19495. A bullish start to the day saw Ripple’s XRP rise from an early morning low $0.19385 to a high $0.19510.

Ripple’s XRP left the major support and resistance levels untested early on.

XRP/USD 27/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to avoid sub-$0.1940 levels to support a run at the first major resistance level at $0.1965.

Support from the broader market would be needed, however, for Ripple’s XRP to break out from the morning high $0.19510.

Barring a broad-based crypto rally, the first major resistance level would likely continue to leave Ripple’s XRP short of $0.20 levels.

Failure to avoid sub-$0.1940 levels could see Ripple’s XRP hit reverse.

A fall through to sub-$0.1940 levels would bring the first major support level at $0.1911 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1886.

Looking at the Technical Indicators

Major Support Level: $0.1911

Major Resistance Level: $0.1965

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

Litecoin, Stellar’s Lumen, and Tron’s TRX – Daily Analysis – 26/05/20

Litecoin

Litecoin rose by 2.09% on Monday. Partially reversing 4.08% slide from Sunday, Litecoin ended the day at $42.96.

A bearish start to the day saw Litecoin fall to an early morning intraday low $41.76 before finding support.

Steering clear of the first major support level at $41.21, Litecoin rose to a late morning intraday high $43.31.

Falling short of the first major resistance level at $43.73, Litecoin fell back to $42 levels going into the afternoon.

A late afternoon return to $43 levels was brief, with Litecoin wrapping up the day at $42 levels.

At the time of writing, Litecoin was down by 0.79% to $42.62. A mixed start to the day saw Litecoin rise to an early morning high $43.07 before falling to a low $42.35.

Litecoin left the major support and resistance levels untested early on.

LTC/USD 26/05/20 Daily Chart

For the day ahead

Litecoin would need to move back through to $42.70 levels to bring the first major resistance level at $43.59 into play.

Support from the broader market would be needed, however, for Litecoin to breakout from Monday’s high $43.31.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

Failure to move back through to $42.70 levels could see Litecoin fall deeper into the red.

A fall back through the morning low $42.35 would bring the first major support level at $42.04 into play.

Barring another extended crypto sell-off, however, Litecoin should steer clear of the second major support level at $41.13.

Looking at the Technical Indicators

Major Support Level: $42.04

Major Resistance Level: $43.59

23.6% FIB Retracement Level: $62

38.2% FIB Retracement Level: $78

62% FIB Retracement Level: $104

Stellar’s Lumen

Stellar’s Lumen rallied by 3.26% on Monday. Partially reversing a 4.74% slide from Sunday, Stellar’s Lumen ended the day at $0.066044.

A bearish start to the day saw Stellar’s Lumen fall to an early morning intraday low $0.063783 before making a move.

Steering clear of the first major support level at $0.06249, Stellar’s Lumen rose to an early evening intraday high $0.066240 before.

Falling short of the first major resistance level at $0.06684 Stellar’s Lumen wrapped up the day at $0.066 levels.

At the time of writing, Stellar’s Lumen was up by 0.52% to $0.066385. A bullish start to the day saw Stellar’s Lumen rise from an early morning low $0.066042 to a high $0.066385.

Stellar’s Lumen left the major support and resistance levels untested early on.

XLM/USD 26/05/20 Daily Chart

For the day ahead

Stellar’s Lumen would need to avoid sub-$0.06540 levels to bring the first major resistance level at $0.06693 into play.

Support from the broader market would be needed, however, for Stellar’s Lumen to break out from the morning high $0.066385.

Barring a broad-based crypto rally, the first major resistance level would likely limit any upside.

Failure to avoid sub-$0.06540 levels could see Stellar’s Lumen give up Monday’s gains.

A fall through to sub-$0.06540 levels would bring the first major support level at $0.06447 into play.

Barring an extended crypto sell-off, however, Stellar’s Lumen should steer clear of the second major support level at $0.06290.

Looking at the Technical Indicators

Major Support Level: $0.06447

Major Resistance Level: $0.06693

23.6% FIB Retracement Level: $0.1051

38% FIB Retracement Level: $0.1433

62% FIB Retracement Level: $0.2050

Tron’s TRX

Tron’s TRX rallied by 3.83% on Monday. Partially reversing a 5.15% slide from Sunday, Tron’s TRX ended the day at $0.014710.

A bearish start to the day saw Tron’s TRX fall to an early morning intraday low $0.014117 before finding support.

Steering clear of the first major support level at $0.01383, Tron’s TRX rose to a final hour intraday high $0.014710.

In spite of the support throughout the day, Tron’s TRX came up short of the first major resistance level at $0.01493.

At the time of writing, Tron’s TRX was down by 1.01% to $0.014561. A bearish start to the day saw Tron’s TRX fall from an early morning high $0.014709 to a low $0.014561.

Tron’s TRX left the major support and resistance levels untested early on.

TRX/USD 26/05/20 Daily Chart

For the Day Ahead

Tron’s TRX would need to avoid sub-$0.01450 levels to support a run at the first major resistance level at $0.01491.

Support from the broader market would be needed, however, for Tron’s TRX to break out from Monday’s high $0.014710.

Barring a broad-based crypto rally, the first major resistance level would likely limit any upside.

Failure to avoid sub-$0.01450 levels could see Tron’s TRX fall deeper into the red.

A fall through to sub-$0.01450 levels would bring the first major support level at $0.01431 into play.

Barring an extended crypto sell-off, however, Tron’s TRX should steer clear of the second major support level at $0.01392.

Looking at the Technical Indicators

Major Support Level: $0.01431

Major Resistance Level: $0.01491

23.6% FIB Retracement Level: $0.0322

38.2% FIB Retracement Level: $0.0452

62% FIB Retracement Level: $0.0663

Please let us know what you think in the comments below

Thanks, Bob

EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 26/05/20

EOS

EOS rose by 1.50% on Monday. Partially reversing a 2.84% fall from Sunday, EOS ended the day at $2.5249.

A bearish start to the day saw EOS fall to an early morning intraday low $2.4500 before making a move.

Holding above the first major support level at $2.4477, EOS rose to a late morning intraday high $2.5461.

Falling well short of the first major resistance level at $2.5678, EOS fell back to sub-$2.50 levels by late morning.

Finding support through the 2nd half of the day, however, Litecoin moved back through to $5.3 levels before easing back.

At the time of writing, EOS was down by 0.47% to $2.5131. A mixed start to the day saw EOS rise to an early morning high $2.5328 before falling to a low $2.5125.

EOS left the major support and resistance levels untested early on.

EOS/USD 26/05/20 Daily Chart

For the day ahead

EOS would need to move back through to $2.53 levels to bring the first major resistance level at $2.5640 into play.

Support from the broader market would be needed, however, for EOS to break out from Monday’s high $2.5461.

Barring a broad-based crypto rally, the major first resistance level would likely limit any upside on the day.

Failure to move back through to $2.53 levels could see EOS slide deeper into the red.

A fall through the morning low to sub-$2.5070 levels would bring the first major support level at $2.4679 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of the second major support level at $2.4109.

Looking at the Technical Indicators

Major Support Level: $2.4679

Major Resistance Level: $2.5640

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum rose by 2.22% on Monday. Partially reversing a 3.38% slide from Sunday, Ethereum ended the day at $204.06.

A bearish start to the day saw Ethereum slide to an early morning intraday low $198.01 before making a move.

Steering clear of the first major support level at $195.73, Ethereum rose to an early evening intraday high $205.71.

Falling short of the first major resistance level at $207.10, Ethereum eased back to wrap up the day at $204 levels.

At the time of writing, Ethereum was down by 0.08% to $203.90. A mixed start to the day saw Ethereum rise to an early morning high $204.75 before falling to a low $203.60.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 26/05/20 Daily Chart

For the day ahead

Ethereum would need to move through to $205 levels to bring the first major resistance level at $207.18 into play.

Support from the broader market would be needed, however, for Ethereum to break out from Monday’s high $205.71.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

Failure to move through to $205 levels could see Ethereum slide deeper into the red.

A fall through the morning low to sub-$202.60 levels would bring the first major support level at $199.48 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of the second major support level at $194.89.

Looking at the Technical Indicators

Major Support Level: $199.48

Major Resistance Level: $207.18

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP rose by 1.90% on Monday. Partially reversing a 3.27% fall from Sunday, Ripple’s XRP ended the day at $0.19614.

Tracking the broader market, Ripple’s XRP fell to an early morning intraday low $0.18928 before finding support.

Coming within range of the first major support level at $0.1892, Ripple’s XRP rose to a final hour intraday high $0.19716.

Falling short of the first major resistance level at $0.1985, Ripple’s XRP eased back to $0.1961 levels at the day end.

At the time of writing, Ripple’s XRP was down by 0.22% to $0.19571. A mixed start to the day saw Ripple’s XRP rise to an early morning high $0.19680 before falling to a low $0.19570.

Ripple’s XRP left the major support and resistance levels untested early on.

XRP/USD 26/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to avoid sub-$0.1940 levels to support a run at the first major resistance level at $0.1991.

Support from the broader market would be needed, however, for Ripple’s XRP to break out Monday’s high $0.19716.

Barring a broad-based crypto rebound, the first major resistance level would likely leave Ripple’s XRP short of $0.20 levels.

Failure to avoid sub-$0.1940 levels could see Ripple’s XRP fall deeper into the red.

A fall through to sub-$0.1940 levels would bring the first major support level at $0.1912 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1863.

Looking at the Technical Indicators

Major Support Level: $0.1912

Major Resistance Level: $0.1991

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

Crypto Chartbook: Built not Bought

Built not bought

Why?  The most difficult part in trading is execution. No matter if you trade on a neighbors hunch or a computerized trading system, it is sheer impossible to execute a foreigner’s system. You might spend thousands of dollars on a sophisticated black box software and will find yourself turning it off at exactly the worst moment.

Trading is psychology! When a stranger’s advice hit a series of losses you simply can’t stand the heat anymore. Right at that point though, the winning trades might follow. Consequently you underperform the system since you skipped the execution of those vital winners. Built not bought.

BTC-USDT, Monthly Chart

BTC-USDT, monthly chart as of May 25th, 2020

One core component for ending up in the green is a roadmap. A high time frame overview of what your trading instrument is doing from a larger perspective. In the case of Bitcoin we are finding ourselves at exciting times of a possible triangle breakout to the upside. A strong supply zone right below actual price, supports the general tone to be bullish.

BTC-USDT, Daily Chart – Aggressive Early Entry:

BTC-USDT, daily chart as of May 25th, 2020
BTC-USDT, daily chart as of May 25th, 2020

With the principles of our quad exit strategy minimizing risk, we already took an aggressive weekly long entry based on the above daily 40 simple moving average support and other key factors.

Weekly Chart, Built Not Bought, BTC-USDT versus XMR-USDT, Bitcoin Leading:

BTC-USDT versus XMR-USDT, weekly chart as of May 25th, 2020
BTC-USDT versus XMR-USDT, weekly chart as of May 25th, 2020

To further reduce risk we use an inter-market relationship we recently extracted. The above weekly chart depicts the relationship between Bitcoin (white line) and Monero (dark blue line).

Points 1,2 and 3 are time starting points where you can make out that Bitcoin has found its recent absolute low within that week.

From those points on Bitcoin prices advanced and built over the next weeks double  or triple bottoms. Illustrated by rising green lines. Most likely these price advances created in most trading systems confirmed long entries.

While Bitcoin at the starting points had its recent lows, Monero actually continued each time trading lower in the weeks to follow. Indicated by falling orange lines.

One way of taking advantage of this market relationship between those two trading vehicles would be of taking a confirmed Bitcoin long entry signal and rather trade the still suppressed Monero prices. Risk is smaller due to the tighter stop and better risk-reward ratio. Consequently one could potentially get more bang for the buck.

In a way Bitcoin can be used as a leading indicator for a Monero trade.

BTC-USDT versus XMR-USDT, Weekly Chart, Built Not Bought, Good Exit Timing:

BTC-USDT versus XMR-USDT, weekly chart as of May 25th, 2020 b
BTC-USDT versus XMR-USDT, weekly chart as of May 25th, 2020 b

Let us now look at exits. We find a similar relationship to be mutually beneficial to time exits well on Monero through Bitcoin price observation.

We would like to encourage the reader to find very similar relationships extended through our whole portfolio. This way feeling more familiar with our entry and exit timing. As a result making principles and market relationships that we observed your own as well.

Built not bought

It is the series of trades that make a long term winner, not an individual trade. Since we do not have an intuitive aspect as humans for thinking in probabilities we need to gain psychological strength elsewhere for proper execution. Only in depth knowledge of a trading system paired with repetition of reinforced positive results can lead to execution confidence. We are aware that not everybody can master all aspects of becoming a successful investor in creating their own systems from scratch. There are no free lunches though and as such we encourage to take our trading principles, stack them and make them at least partially your own. You can’t just buy a Ferrari and immediatly expect to win the race. Looking under the hood and being aware of the core components, in addition of taking at least a few driving lessons, is part of becoming a winner.

If you like to get regular updates on our gold model, precious metals and cryptocurrencies you can subscribe to our free newsletter.


About the Author: Korbinian Koller

Outstanding abstract reasoning ability and ability to think creatively and originally has led over the last 25 years to extract new principles and a unique way to view the markets resulting in a multitude of various time frame systems, generating high hit rates and outstanding risk reward ratios. Over 20 years of coaching traders with heart & passion, assessing complex situations, troubleshoot and solve problems principle based has led to experience and a professional history of success. Skilled natural teacher and exceptional developer of talent.Avid learner guided by a plan with ability to suppress ego and empower students to share ideas and best practices and to apply principle-based technical/conceptual knowledge to maximize efficiency. 25+ year execution experience (50.000+ trades executed) Trading multiple personal accounts (long and short-and combinations of the two). Amazing market feel complementing mechanical systems discipline for precise and extreme low risk entries while objectively seeing the whole picture. Ability to notice and separate emotional responses from the decision-making process and to stand outside oneself and one’s concerns about images in order to function in terms of larger objectives. Developed exit strategies that compensate both for maximizing profits and psychological ease to allow for continuous flow throughout the whole trading day. In depth knowledge of money management strategies with the experience of multiple 6 sigma events in various markets (futures, stocks, commodities, currencies, bonds) embedded in extreme low risk statistical probability models with smooth equity curves and extensive risk management as well as extensive disaster risk allow for my natural capacity for risk-taking.

How to Invest in Cryptocurrencies: The Complete Guide for 2020

Seasoned investors continue to cross over from the more mature asset classes and regulators have eased off on the Crypto assault that led to the 2018 slump.

With Bitcoin and the broader market sitting at more than 50% below their all-time highs, there is still plenty of incentive to enter the crypto sphere.

For many, however, the crypto market may seem like a maze. There are a tremendous number of exchanges and brokers and that is before considering regulations imposed by regulators in recent years.

Investing in cryptocurrencies requires a level of due diligence not too dissimilar to the research involved in other more mature asset classes.

The volatility and sizeable returns on offer have certainly allowed investors to dream. After all, Bitcoin has yielded a mass number of Bitcoin millionaires, more commonly known as whales.

So, how do we invest in cryptocurrencies?

While there are multiple considerations, some are more important than others when looking to enter the crypto market.

Just jumping in on a whim that the majors will reach historical highs is a dangerous game. This is no dissimilar to jumping into the equity markets when they are sitting at record highs.

There is one material difference, however. The regulatory landscape has materially changed since late 2017. For this very reason, investors may continue to face plenty of uncertainty before the market can find a return to the hay days.

Understanding the key drivers and market characteristics are therefore particularly important.

Basic Essentials

In this guide, you will learn the key preparations that you need in order to build your cryptocurrency portfolio.

Before making an investment, deciding on the source of funds would certainly be step 1.

In spite of the current interest rate environment, it is recommended that you avoid funding the portfolio with debt.

Credit Card or Bank Account – Investors will, therefore, need to decide on cash or credit card. As an investor, you can either fund your crypto trading account with a debit/credit card or by funding with a bank transfer.

It is worth noting, however, that certain jurisdictions have banned the funding of crypto exchanges with credit cards. Some banks have even taken a step further and banned the transfer of fiat money to such exchanges.

Nonetheless, the simplest method to fund a crypto exchange account is with a credit/debit card. This does tend to come with higher fees and caps on transfer amounts, however.

Fiat to Bitcoin Exchange

First, you need to decide on which cryptocurrency or cryptocurrencies that you wish to trade.

You would then need to identify the exchanges that have the largest trading volumes for the chosen cryptocurrencies.

One consideration here is your source of funds. Not all exchanges allow fiat money deposits. A vast majority of exchanges restrict deposits to Bitcoin.

Carrying out the necessary research on the most appropriate exchange is important. If you are looking for an exchange that accommodates the purchase of Bitcoin with fiat money:

Coinbase is popular and easy to use, with a strong global presence. The exchange has the necessary security measures as well as delivering adequate liquidity for trading.

When searching for the right exchange, it is worth noting that each has its pros and cons. The important thing is to identify the exchange that, first and foremost, delivers on your personal requirements.

Other popular exchanges include:

These crypto exchanges not only cater to Bitcoin investors and traders but altcoins in general.

It’s also worth considering exchanges that offer a wider choice of cryptocurrencies and altcoins. This would allow you to diversify your investments and gain exposure to the broader crypto market.

We recommend that you use Coingecko to research the respective cryptocurrencies and volumes across the exchanges.

Bitcoin to Crypto Exchange

The next exchanges that you should look into are the ones you will be using for the Altcoins. Many of the smaller coins, my market cap, are generally not supported by larger exchanges. Generally speaking, the only way to buy those smaller coins is by buying them using Bitcoins or Ethereum.

On most exchanges, you need to deposit Bitcoins as you cannot buy coins directly from the exchange. This is why it’s crucial that you have a Fiat to Bitcoin Exchange first.

You can buy Altcoins from Binance, BitTrex, Kucoin, and Kraken.

Choose the Right Wallet

The next step in the crypto investment journey is to select the appropriate crypto wallets. It is essential to have your crypto wallet before buying any cryptocurrencies. You will need wallets to store your coins within your secure personal wallets.

While exchanges allow investors to hold purchases coins within assigned exchange wallets, it’s recommended that you withdraw your cryptos and hold them in private wallets. This protects you and your investments from hackers and theft. It is also worth noting that wallet compatibility also needs to be considered.

Crypto wallets to choose from include but are not limited to:

Before Getting Started

Prior to deciding on the most suitable crypto exchanges and wallets to support your trading activity, you need a trading strategy. As part of your strategy build, there are a number of factors to keep in mind:

  • Only invest in what you can afford to lose
  • Do not take a loan to invest
  • Do your own research, monitor the news wires, and view technical analysis on the respective cryptos that you decide to go with. FX Empire covers the largest cryptos, with exchanges also providing technical analysis to their users free of cost.
  • Set realistic expectations, don’t be greedy, and know when to accept a loss. (It is easy to be influenced by the news wires and overzealous analysts talking of the next crypto boom or doom. It is best to block out such noise.

Forming a Crypto Trading Strategy

While identifying the most appropriate wallets and exchanges are vital, formulating a trading strategy is undoubtedly the most important pre-investment step for a prospective trader.

Key Decisions:

  • Cryptocurrency selection – A blend of the largest cryptos along with medium-sized to small cryptos by market cap is recommended. This also addresses any liquidity issues for the overall portfolio.
  • Worth noting – A certain cryptocurrencies may have values that exceed the intended investment size. In such instances, identifying an exchange that offers CFDs or partial investment of a crypto coin is important.
  • Trader durations – For traders with adequate time to trade, a short, medium, and longer-term trading strategy would make sense.
    • Smaller size, more volatile, coins increase earnings potential intraday. These should ideally form no more than 20% of the total investment pool.
    • The Largest coins should form longer-term strategies. With adequate research, however, smaller coins may also form part of this strategy.
    • For the more medium-term strategies, which would be anything beyond intraday but less than a month, a blended portfolio is recommended. This can comprise of small, medium, and large-cap coins.
  • In any trading strategy -using risk management tools and indicators is recommended. While there are fees incurred for using stop loss and trade profit, using these would protect your downside.

80/20 Rule

When considering crypto market volatility and the rise and fall of the smaller coins, an 80/20 blend of large-cap to mid to small-cap would be recommended.

This would provide the opportunity to make sizeable gains any sudden surge in the small to mid-cap cryptos, whilst also holding the more stable coins. Do note that stable is a relative term in the crypto market. Even Bitcoin can see sizeable swings on a given day…

Does the Number of Coins Matter?

It ultimately boils down to the investment strategy that you build. With a blended portfolio, 1 Bitcoin may make up your large-cap portfolio, or 20 Litecoin for instance. It is important to focus on the blend rather than the actual number of coins that make up each component of the portfolio.

Recommendations

Below is a range of cryptos to consider the different components of your portfolio. This is not a comprehensive breakdown of the broader market and there may be coins that are more to your liking. As always, carry out the necessary research before hitting the buy or sell order…

Large Caps

Tezos, Ripple, Bitcoin, Ethereum, EOS, Cardano, Bitcoin Cash SV, Bitcoin Cash ABC, and Binance Coin.

Mid-Caps

Zcash, VeChain, True USD, Tron’s TRX, Qtum, OmiseGo, OKB, NEO, Ethereum Classic, Dogecoin, DASH, and Cosmos. These have been selected based on 24-hour volumes and have market caps of between $100m and $1bn.

Low Caps

This will consist of cryptos with a market cap of less than $100m and will likely have lower trading volumes. That means less liquidity, which is why this component should form a lower proportion of the portfolio.

Unibright, Theta Fuel, Status, MCO, Matic Network, IOST, HyperCash, BitTorrent, and ABBC Coin.

Next Steps

Once you have built your strategy, selected your cryptos, opened your trading accounts, and set up your wallets, it’s time to trade.

While you may be able to have a better sense of when to enter more mature markets, such as the global equity market, it’s less simple to pick the right entry point in the crypto world.

Other than entering at an all-time high, there’s no hard and fast rule other than waiting for any sell-off to flatten out.

Once you start trading, remain disciplined, and ensure you run your risk parameters each day.

These will include your charts that should have your support and resistance levels embedded.

And remember, not every trade will yield a return, so don’t panic should your first trade take a hit.

The Crypto Daily – Movers and Shakers -25/05/20

Bitcoin slid by 5.08% on Sunday. Reversing a 0.15% gain from Saturday, Bitcoin ended the week down by 9.91% to $8,710.10.

A bullish start to the day saw Bitcoin rise to a mid-morning intraday high $9,300.0 before hitting reverse.

Bitcoin came up against the first major resistance level at $9,295.47 before falling to a late afternoon low $8,859.2.

The reversal saw Bitcoin fall through the first major support level at $9,064.27 and the second major support level at $8,952.93.

Finding late support, Bitcoin briefly recovered to a high $9,075 before a final hour sell-off.

The sell-off saw Bitcoin slide back through the first major support level and second major support level to an intraday low $8,688.0.

The near-term bearish trend, formed at late June 2019’s swing hi $13,764.0, remained firmly intact, reaffirmed by the March swing lo $4,000.

For the bulls, Bitcoin would need to break out from the 62% FIB of $10,034 to form a near-term bullish trend.

The Rest of the Pack

Across the rest of the majors, it was also a bearish end to the week on Sunday.

Cardano’s ADA slid by 6.80% to lead the way down.

Bitcoin Cash ABC (-5.47%), Litecoin (-4.08%), Monero’s XMR (-4.06%), Stellar’s Lumen (-4.74%), Tezos (-4.31%), and Tron’s TRX (-5.15% weren’t far behind.

Binance Coin (-3.09%), Bitcoin Cash SV (-3.77%), EOS (-2.84%), Ethereum (-3.38%), and Ripple’s XRP (-3.27%) saw relatively modest losses on the day.

Sunday’s sell-off delivered mixed results for the week, however.

Cardano’s ADA and Tezos bucked the trend, with gains of 0.20% and 0.81% respectively, Monday through Sunday.

It was a week in the red for the rest of the majors, however.

Bitcoin Cash ABC and Stellar’s Lumen led the way down, with losses of 7.72% and 7.04% respectively.

EOS (-4.92%), Monero’s XMR (-6.72%), Ripple’s XRP (-4.45%), and Tron’s TRX (-5.43%) weren’t far behind.

Binance Coin (-1.90%), Bitcoin Cash SV (-2.71%), Ethereum (-3.58%) and Litecoin (-3.75%) saw relatively modest losses for the week.

In the week, the crypto total market cap rose to a Monday low $268.50bn before falling to a Sunday low $239.63bn. At the time of writing, the total market cap stood at $242.29bn.

Bitcoin’s dominance rose to a Monday high 68.31% before falling to a Sunday low 66.51%. At the time of writing, Bitcoin’s dominance stood at 66.64%.

This Morning

At the time of writing, Bitcoin was up by 0.83 to $8,782.2. A mixed start to the day saw Bitcoin fall to an early morning low $8,620.0 before striking a high $8,808.7.

Bitcoin left the major support and resistance levels untested early on.

Elsewhere, it was a mixed start to the day.

Tron’s TRX (+1.57%), Tezos (+1.20%), Ethereum (+1.06%), Bitcoin Cash ABC (+1.23%), and Binance Coin (+1.11%) led the way early on.

Monero’s XMR was down by 0.15%, however, to buck the trend.

BTC/USD 25/05/20 Daily Chart

For the Bitcoin Day Ahead

Bitcoin would need to move through to $8,900 levels to bring the first major resistance level at $9,110.73 into play.

Support from the broader market would be needed, however, for Bitcoin to break out from the morning high $8,808.7.

Barring an extended crypto rebound, the first major resistance level would likely limit any upside.

In the event of an extended crypto rally, Bitcoin could revisit $9,300 levels before any pullback. We would expect Bitcoin to come up short of the second major resistance level at $9,511.37, however.

Failure to move through to $8,900 levels could see Bitcoin hit reverse.

A fall back through the morning low $8,620.0 would bring the first major support level at $8,498.73 into play.

Barring another extended crypto sell-off, however, Bitcoin should steer clear of the second major support level at $8,287.37.

EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 25/05/20

EOS

EOS fell by 2.84% on Sunday. Following on from a 1.04% fall on Saturday, EOS ended the week down by 4.92% to $2.4877.

A bullish start to the day saw EOS rise to an early morning intraday high $2.6067 before hitting reverse.

Falling short of the first major resistance level at $2.6094, EOS slid to a late afternoon low $2.5031.

The reversal saw EOS fall through the first major support level at $2.5347. Finding support at the second major support level at $2.5028, EOS briefly recovered to $2.56 levels before a late sell-off.

The sell-off saw EOS slide back through the first major support level and second major support level to an intraday low $2.4877.

At the time of writing, EOS was up by 0.57% to $2.5020. A mixed start to the day saw EOS fall to an early morning low $2.4500 before striking a high $2.5151.

EOS left the major support and resistance levels untested early on.

EOS/USD 25/05/20 Daily Chart

For the day ahead

EOS would need to move through to $2.5280 levels to bring the first major resistance level at $2.5678 into play.

Support from the broader market would be needed, however, for EOS to break out from the morning high $2.5151.

Barring a broad-based crypto rally, the major first resistance level would likely limit any upside on the day.

Failure to move back through to $2.5280 levels could see EOS slide back into the red.

A fall through the morning low $2.4500 would bring the first major support level at $2.4477 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of the second major support level at $2.4076.

Looking at the Technical Indicators

Major Support Level: $2.4477

Major Resistance Level: $2.5678

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum fell by 3.38% on Sunday. Following on from a 0.31% decline on Saturday, Ethereum ended the week down by 3.58% to $199.63.

A bullish start to the day saw Ethereum rise to an early morning intraday high $210.67 before hitting reverse.

Ethereum broke through the first major resistance level at $210.45, before falling to a late afternoon low $201.69.

The reversal saw Ethereum fall through the first major support level at $203.71 before briefly recovering to $208 levels.

A final hour sell-off did the damage, however, with Ethereum sliding to an intraday low $199.30.

Ethereum fell through the first major support level and second major support level at $200.77 to wrap up the day at sub-$200 levels.

At the time of writing, Ethereum was up by 1.46% to $202.55. A mixed start to the day saw Ethereum fall to an early morning low $198.01 before rising to a high $203.17.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 25/05/20 Daily Chart

For the day ahead

Ethereum would need to move through to $203.20 levels to bring the first major resistance level at $207.10 into play.

Support from the broader market would be needed, however, for Ethereum to break out from the morning high $203.17.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

Failure to move through to $203.20 levels could see Ethereum slide into the red.

A fall through the morning low $198.01 would bring the first major support level at $195.73 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of the second major support level at $191.83.

Looking at the Technical Indicators

Major Support Level: $195.73

Major Resistance Level: $207.10

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP fell by 3.27% on Sunday. Following on from a 0.90% decline on Saturday, Ripple’s XRP ended the week down by 4.45% to $0.19228.

Tracking the broader market, Ripple’s XRP rose to an early morning intraday high $0.20161 before taking a hit.

Ripple’s XRP broke through the first major resistance level at $0.2012, before falling to a late afternoon low $0.19467.

The reversal saw Ripple’s XRP fall through the first major support level at $0.1970 and the second major support level at $0.1954.

Finding support late on, Ripple’s XRP briefly recovered to $0.1980 levels before a final hour sell-off to an intraday low $0.19228.

Ripple’s XRP fell back through the first major support level and second major support level to end the day at sub-$0.1930 levels.

At the time of writing, Ripple’s XRP was up by 0.55% to $0.19334. A mixed start to the day saw Ripple’s XRP fall to an early morning low $0.18928 before striking a high $0.19449.

Ripple’s XRP left the major support and resistance levels untested early on.

XRP/USD 25/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to move through to $0.1960 levels to support a run at the first major resistance level at $0.1985.

Support from the broader market would be needed, however, for Ripple’s XRP to break out from the morning high $0.19449.

Barring a broad-based crypto rebound, the first major resistance level would likely leave Ripple’s XRP short of $0.20 levels.

Failure to move through to $0.1960 levels could see Ripple’s XRP hit reverse.

A fall through to sub-$0.1930 levels would bring the first major support level at $0.1892 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1861.

Looking at the Technical Indicators

Major Support Level: $0.1892

Major Resistance Level: $0.1985

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

Litecoin, Stellar’s Lumen, and Tron’s TRX – Daily Analysis – 25/05/20

Litecoin

Litecoin slid by 4.08% on Sunday. Following on from a 0.77% decline on Saturday, Litecoin ended the week down by 3.75% to $42.06.

 

A bullish start to the day saw Litecoin rise to a mid-morning intraday high $44.56 before hitting reverse.

 

Coming up against the first major resistance level at $44.53, Litecoin slid to a late afternoon low $42.50.

 

Litecoin fell through the first major support level at $43.46 and second major support level at $43.04.

 

Finding support late on, Litecoin briefly recovered to $43.45 levels before a final house sell-off.

 

Litecoin slid back through the second major support level to an intraday low $42.02.

 

At the time of writing, Litecoin was up by 1.05% to $42.50. A bullish start to the day saw Litecoin rise from an early morning low $41.76 to a high $42.70

 

Litecoin left the major support and resistance levels untested early on.

 

LTC/USD 25/05/20 Daily Chart

For the day ahead

Litecoin would need to move back through to $43 levels to bring the first major resistance level at $43.73 into play.

 

Support from the broader market would be needed, however, for Litecoin to breakout from the morning high $42.70.

 

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

 

Failure to move back through to $43 levels could see Litecoin fall back into the red.

 

A fall back through the morning low $41.76 would bring the first major support level at $41.21 into play.

 

Barring another extended crypto sell-off, however, Litecoin should steer clear of the second major support level at $40.37.

Looking at the Technical Indicators

Major Support Level: $41.21

Major Resistance Level: $43.73

23.6% FIB Retracement Level: $62

38.2% FIB Retracement Level: $78

62% FIB Retracement Level: $104

Stellar’s Lumen

Stellar’s Lumen slid by 4.74% on Sunday. Following on from a 1.28% loss on Saturday, Stellar’s Lumen ended the week down by 7.04% to $0.064001.

 

A bullish start to the day saw Stellar’s Lumen rise to an early morning intraday high $0.068167 before hitting reverse.

 

Falling short of the first major resistance level at $0.06856 Stellar’s Lumen fell to a late afternoon low $0.065418.

 

The reversal saw Stellar’s Lumen fall through the first major support level at $0.06629 before briefly recovering to $0.066 levels.

 

A final hour sell-off, however, saw Stellar’s Lumen slide to an intraday low $0.063814. Stellar’s Lumen slid through the first major support level at $0.06629 and second major support level at $0.06537.

 

At the time of writing, Stellar’s Lumen was up by 1.18% to $0.064755. A bullish start to the day saw Stellar’s Lumen rise from an early morning low $0.063783 to a high $0.064896.

 

Stellar’s Lumen left the major support and resistance levels untested early on.

 

XLM/USD 25/05/20 Daily Chart

For the day ahead

Stellar’s Lumen would need to move back through to $0.06530 levels to bring the first major resistance level at $0.06684 into play.

 

Support from the broader market would be needed, however, for Stellar’s Lumen to break out from the morning high $0.064896.

 

Barring a broad-based crypto rebound, the first major resistance level and Sunday’s high $0.068167 would likely limit any upside.

 

Failure to move through to $0.06530 levels could see Stellar’s Lumen hit reverse.

 

A fall through to sub-$0.064 levels would bring the first major support level at $0.06249 into play.

 

Barring an extended crypto sell-off, however, Stellar’s Lumen should steer clear of the second major support level at $0.06097.

Looking at the Technical Indicators

 Major Support Level: $0.06249

Major Resistance Level: $0.06684

23.6% FIB Retracement Level: $0.1051

38% FIB Retracement Level: $0.1433

62% FIB Retracement Level: $0.2050

Tron’s TRX

Tron’s TRX slid by 5.15% on Sunday. Reversing a 0.95% gain from Saturday, Tron’s TRX ended the week down by 5.43% to $0.014200.

A bullish start to the day saw Tron’s TRX rise to a mid-morning intraday high $0.015300 before hitting reverse.

Falling short of the first major resistance level at $0.01546, Tron’s TRX fell to a late afternoon low $0.014464.

Tron’s TRX fell through the first major support level at $0.01469 before briefly recovering to $0.01470 levels.

A late sell-off, however, saw Tron’s TRX slide to an intraday low $0.014200. Tron’s TRX fell through the first major support level at $0.01469 and second major support level at $0.01438.

At the time of writing, Tron’s TRX was up by 1.80% to $0.014456. A bullish start to the day saw Tron’s TRX rise from an early morning low $0.014117 to a high $0.014456.

Tron’s TRX left the major support and resistance levels untested early on.

TRX/USD 25/05/20 Daily Chart

For the Day Ahead

Tron’s TRX would need to move back through to $0.01460 levels to support a run at the first major resistance level at $0.01493.

Support from the broader market would be needed, however, for Tron’s TRX to break out from the morning high $0.014456.

Barring a broad-based crypto rebound, the first major resistance level would likely limit any upside.

Failure to move through to $0.01460 levels could see Tron’s TRX hit reverse.

A fall through the morning low $0.014117 would bring the first major support level at $0.01383 into play.

Barring an extended crypto sell-off, however, Tron’s TRX should steer clear of sub-$0.014 levels.

Looking at the Technical Indicators

 Major Support Level: $0.01383

Major Resistance Level: $0.01493

23.6% FIB Retracement Level: $0.0322

38.2% FIB Retracement Level: $0.0452

62% FIB Retracement Level: $0.0663

 

Please let us know what you think in the comments below

Thanks, Bob

The Crypto Daily – Movers and Shakers -24/05/20

Bitcoin rose by 0.15% on Saturday. Following on from a 1.14% gain on Friday, Bitcoin ended the day at $9,175.6.

A bullish start to the day saw Bitcoin rise to an early morning intraday high $9,304.0 before hitting reverse.

Coming within range of the first major resistance level at $9,309.13, Bitcoin slid to a midday intraday low $9,072.8.

Steering clear of the first major support level at $8,975.53, Bitcoin briefly revisited $9,200 levels before easing back.

The near-term bearish trend, formed at late June 2019’s swing hi $13,764.0, remained firmly intact, reaffirmed by the March swing lo $4,000.

For the bulls, Bitcoin would need to break out from the 62% FIB of $10,034 to form a near-term bullish trend.

The Rest of the Pack

Across the rest of the majors, it was a mixed day on Saturday.

Monero’s XMR and Tron’s TRX rose by 0.33% and by 0.95% respectively to join Bitcoin in the green.

It was a bearish day for the rest of the majors, however.

Bitcoin Cash SV (-1.51%), Cardano’s ADA (-1.52%), EOS (-1.04%), Stellar’s Lumen (-1.28%), and Tezos (-1.41%) led the way down.

Binance Coin (-0.66%), Bitcoin Cash ABC (-0.12%), Ethereum (-0.31%), Litecoin (-0.77%), and Ripple’s XRP (-0.90%) saw modest losses on the day.

In the current week, the crypto total market cap rose to a Monday low $268.43bn before falling to a Thursday low $239.96bn. At the time of writing, the total market cap stood at $251.93bn.

Bitcoin’s dominance rose to a Monday high 68.31% before falling to a Friday low 66.90%. At the time of writing, Bitcoin’s dominance stood at 67.01%.

This Morning

At the time of writing, Bitcoin was up by 0.04 to $9,179.3. A mixed start to the day saw Bitcoin fall to an early morning low $9,131.3 before striking a high $9,206.3.

Bitcoin left the major support and resistance levels untested early on.

Elsewhere, it was a bullish start to the day.

Tezos was up by 1.34% early in the morning to lead the majors.

BTC/USD 24/05/20 Daily Chart

For the Bitcoin Day Ahead

Bitcoin would need to move through to $9,200 levels to bring the first major resistance level at $9,295.47 into play.

Support from the broader market would be needed, however, for Bitcoin to break out from the morning high $9,206.3.

Barring an extended crypto rebound, the first major resistance level and Saturday’s high $9,304.0 would likely limit any upside.

In the event of an extended crypto rally, the second major resistance level at $9,415.33 would likely come into play.

Failure to move through to $9,200 levels could see Bitcoin hit reverse.

A fall back through the morning low $9,131.3 would bring the first major support level at $9,064.27 into play.

Barring another extended crypto sell-off, however, Bitcoin should steer clear of the second major support level at $8,952.93.

EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 24/05/20

EOS

EOS fell by 1.04% on Saturday. Partially reversing a 5.24% rally from Friday, EOS ended the day at $2.5665.

A bullish start to the day saw EOS rise to an early morning intraday high $2.6204 before hitting reverse.

Falling short of the first major resistance level at $2.6676, EOS slid to a late afternoon intraday low $2.5457.

Steering clear of the first major support level at $2.4736, EOS briefly recovered to $2.58 levels before easing back.

At the time of writing, EOS was up by 0.60% to $2.5820. A mixed start to the day saw EOS fall to an early morning low $2.5587 before striking a high $2.5869.

EOS left the major support and resistance levels untested early on.

EOS/USD 24/05/20 Daily Chart

For the day ahead

EOS would need to move through to $2.60 levels to bring the first major resistance level at $2.6094 into play.

Support from the broader market would be needed, however, for EOS to break out from the morning high $2.5789.

Barring a broad-based crypto rally, the major first resistance level would likely limit any upside on the day.

Failure to move back through to $2.60 levels could see EOS slide into the red.

A fall through to sub-$2.5770 levels would bring the first major support level at $2.5347 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of the second major support level at $2.5028.

Looking at the Technical Indicators

Major Support Level: $2.5347

Major Resistance Level: $2.6094

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum fell by 0.31% on Saturday. Partially reversing a 4.39% rally from Friday, Ethereum ended the day at $206.66.

A bullish start to the day saw Ethereum rise to an early morning intraday high $211.30 before hitting reverse.

Falling short of the first major resistance level at $212.36, Ethereum fell to a midday intraday low $204.56.

Steering clear of the first major support level at $199.20, Ethereum recovered to $208 levels before a final hour pullback.

At the time of writing, Ethereum was up by 0.56% to $207.82. A mixed start to the day saw Ethereum fall to an early morning low $205.01 before striking a high $207.83.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 24/05/20 Daily Chart

For the day ahead

Ethereum would need to avoid sub-$207.50 levels to bring the first major resistance level at $210.45 into play.

Support from the broader market would be needed, however, for Ethereum to break out from the morning high $207.83.

Barring an extended crypto rally, the first major resistance level and Saturday’s high $211.30 would likely limit any upside.

Failure to avoid sub-$207.50 levels could see Ethereum slide into the red.

A fall through to sub-$207.50 levels would bring the first major support level at $203.71 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of sub-$200 levels.

The second major support level at $200.77 should limit any downside.

Looking at the Technical Indicators

Major Support Level: $203.71

Major Resistance Level: $210.45

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP fell by 0.90% on Saturday. Partially reversing a 3.30% rally on Friday, Ripple’s XRP ended the day at $0.19862.

Tracking the broader market, Ripple’s XRP rose to an early morning intraday high $0.20220 before taking a hit.

Falling short of the first major resistance level at $0.2046, Ripple’s XRP fell to a midday low $0.19805.

Steering clear of the major support levels, Ripple’s XRP recovered to $0.20 levels before a late pullback.

The pullback saw Ripple’s XRP fall to a final hour intraday low $0.019798. In spite of the reversal, Ripple’s steered clear of the first major support level at $0.1941.

At the time of writing, Ripple’s XRP was up by 0.52% to $0.19965. A mixed start to the day saw Ripple’s XRP fall to an early morning low $0.19834 before striking a high $0.19999.

Ripple’s XRP left the major support and resistance levels untested early on.

XRP/USD 24/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to move through to $0.20 levels to support a run at the first major resistance level at $0.2012.

Support from the broader market would be needed, however, for Ripple’s XRP to break out from the morning high $0.19999.

Barring a broad-based crypto rebound, the first major resistance level would likely limit any upside.

Failure to move through to $0.20 levels could see Ripple’s XRP hit reverse.

A fall through to sub-$0.1990 levels would bring the first major support level at $0.1970 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1954.

Looking at the Technical Indicators

Major Support Level: $0.1970

Major Resistance Level: $0.2012

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

EOS, Ethereum and Ripple’s XRP – Daily Tech Analysis – 23/05/20

EOS

EOS rallied by 5.24% on Friday. Reversing a 5.18% slide from Thursday, EOS ended the day at $2.5876.

A bearish start to the day saw EOS fall to an early morning intraday low $2.4395 before making a move.

Steering clear of the first major support level at $2.3710, EOS rallied to a late intraday high $2.6335.

EOS broke through the first major resistance level at $2.5770 to hit $2.63 levels before a late pullback.

In spite of the late pullback, however, EOS held above the first major resistance level.

At the time of writing, EOS was up by 0.37% to $2.5972. A bullish start to the day saw EOS rise from an early morning low $2.5934 to a high $2.6190.

EOS left the major support and resistance levels untested early on.

EOS/USD 23/05/20 Daily Chart

For the day ahead

EOS would need to move through to $2.60 levels to bring the first major resistance level at $2.6676 into play.

Support from the broader market would be needed, however, for EOS to break out from Friday’s high $2.6335.

Barring an extended crypto rally, the major first resistance level would likely limit any upside on the day.

Failure to move back through to $2.60 levels could see EOS slide into the red.

A fall through to sub-$2.5550 levels would bring the first major support level at $2.4736 into play.

Barring an extended crypto sell-off, however, EOS should steer clear of the second major support level at $2.3595.

Looking at the Technical Indicators

Major Support Level: $2.4736

Major Resistance Level: $2.6676

23.6% FIB Retracement Level: $6.62

38% FIB Retracement Level: $9.76

62% FIB Retracement Level: $14.82

Ethereum

Ethereum rallied by 4.39% on Friday. Partially reversing a 5.40% slide from Thursday, Ethereum ended the day at $207.32.

A bearish start to the day saw Ethereum fall to an early morning intraday low $196.12 before finding support.

Steering clear of the first major support level at $189.42, Ethereum rallied to a late afternoon intraday high $209.28.

Ethereum came within range of the first major resistance level at $209.67 before easing back late in the day.

At the time of writing, Ethereum was up by 1.01% to $209.42. A bullish start to the day saw Ethereum rise from an early morning low $207.30 to a high $210.00.

Ethereum left the major support and resistance levels untested early on.

ETH/USD 23/05/20 Daily Chart

For the day ahead

Ethereum would need to avoid sub-$204 levels to bring the first major resistance level at $212.36 into play.

Support from the broader market would be needed, however, for Ethereum to break out from the morning high $210.66.

Barring an extended crypto rally, resistance at $215 levels would likely limit any upside.

Failure to avoid sub-$204 levels could see Ethereum slide deep into the red.

A fall through to sub-$204 levels would bring the first major support level at $199.20 into play.

Barring an extended crypto sell-off, however, Ethereum should steer well clear of the second major support level at $191.08.

Looking at the Technical Indicators

Major Support Level: $199.20

Major Resistance Level: $212.36

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Ripple’s XRP

Ripple’s XRP rose by 3.30% on Friday. Reversing most of a 3.51% slide from Thursday, Ripple’s XRP ended the day at $0.20039.

Tracking the broader market, Ripple’s XRP fell to an early morning intraday low $0.19208 before making a move.

Steering clear of the first major support level at $0.1880, Ripple’s XRP rallied to a late afternoon intraday high $0.20257.

Ripple’s XRP broke through the first major resistance level at $0.2016 before falling back to sub-$0.20 levels.

In spite of a final hour recovery to $0.20 levels, Ripple’s XRP failed to break back through the first major resistance level.

At the time of writing, Ripple’s XRP was up by 0.56% to $0.20152. A bullish start to the day saw Ripple’s XRP rise from an early morning low $0.20035 to a high $0.20195.

Ripple’s XRP left the major support and resistance levels untested early on.

XRP/USD 23/05/20 Daily Chart

For the day ahead

Ripple’s XRP will need to avoid sub-$0.20 levels to support a run at the first major resistance level at $0.2046.

Support from the broader market would be needed, however, for Ripple’s XRP to break out from Friday’s high $0.20257.

Barring an extended crypto rally, the first major resistance level would likely limit any upside.

Failure to avoid sub-$0.20 levels could see Ripple’s XRP give up Friday’s gains.

A fall through to sub-$0.1990 levels would bring the first major support level at $0.1941 into play.

Barring another crypto meltdown, however, Ripple’s XRP should steer well clear of the second major support level at $0.1879.

Looking at the Technical Indicators

 

Major Support Level: $0.1941

Major Resistance Level: $0.2046

23.6% FIB Retracement Level: $0.3638

38.2% FIB Retracement Level: $0.4800

62% FIB Retracement Level: $0.6678

Please let us know what you think in the comments below.

Thanks, Bob

The Crypto Daily – Movers and Shakers -23/05/20

Bitcoin rose by 1.14% on Friday. Partially reversing a 4.68% slide from Thursday, Bitcoin ended the day at $9,162.4.

A bearish start to the day saw Bitcoin fall to an early morning intraday low $8,935.4 before finding support.

Steering clear of the first major support level at $8,726.9, Bitcoin bounced back to a late afternoon intraday high $9,269.0.

Falling short of the first major resistance level at $9,475.7, Bitcoin eased back to sub-$9,200 levels late on.

The near-term bearish trend, formed at late June 2019’s swing hi $13,764.0, remained firmly intact, reaffirmed by the March swing lo $4,000.

For the bulls, Bitcoin would need to break out from the 62% FIB of $10,034 to form a near-term bullish trend.

The Rest of the Pack

Across the rest of the majors, it was a bullish day on Friday.

Cardano’s ADA rallied by 8.20% to lead the way.

EOS (+5.24%), Ethereum (+4.39%), Tezos (+6.07%), and Tron’s TRX (+4.67%) also found strong support.

Binance Coin (+3.17%), Bitcoin Cash ABC (+3.26%), Litecoin (+3.66%), Monero’s XMR (+2.37%), Ripple’s XRP (+3.30%), and Stellar’s Lumen (+2.31%) trailed the front runners.

Bitcoin Cash SV saw a modest gain of 1.48% on the day.

In the current week, the crypto total market cap rose to a Monday high $268.43bn before falling to a Thursday low $239.96bn. At the time of writing, the total market cap stood at $253.79bn.

Bitcoin’s dominance rose to a Monday high 68.31% before falling to a Friday low 66.90%. At the time of writing, Bitcoin’s dominance stood at 67.03%.

This Morning

At the time of writing, Bitcoin was up by 0.89% to $9,243.5. A bullish start to the day saw Bitcoin rise from an early morning low $9,162.3 to a high $9,266.7.

Bitcoin left the major support and resistance levels untested early on.

Elsewhere, it was a mixed start to the day.

Binance Coin (+1.05%), Bitcoin Cash ABC (+0.87), and Ethereum (+0.84%) led the way early on.

Bitcoin Cash SV (-0.31%) and Tezos (-0.15%) bucked the trend at the start of the day.

BTC/USD 23/05/20 Daily Chart

For the Bitcoin Day Ahead

Bitcoin would need to avoid sub-$9,200 levels to bring the first major resistance level at $9,309.13 into play.

Support from the broader market would be needed, however, for Bitcoin to break out from Friday’s high $9,269.0.

Barring an extended crypto rebound, the first major resistance level would likely limit any upside.

In the event of an extended crypto rally, the second major resistance level at $9,455.87 would likely come into play. Resistance at $9,500 may limit any upside, however.

Failure to avoid sub-$9,200 levels could see Bitcoin hit reverse.

A fall back through to sub-$9,120 levels would bring the first major support level at $8,975.53 into play.

Barring another extended crypto sell-off, however, Bitcoin should steer clear of the second major support level at $8,788.67.