Crypto Price Analysis 6/18: Bitcoin may teleport straight to $8,000 plus ETH, XRP, LINK, IOTA
Several large traders have accumulated Bitcoin and according to on-chain data, this has increased the number of whales – traders holding 1,000 or more leading cryptocurrencies – to 1,882. Typically, large traders build large positions when they expect a sustained uptrend.
However, more than 100,000 Bitcoin options contracts totaling $ 930 million were set to expire on June 26 and that figure accounted for nearly 70% of its entire OI. On June 15, the Bitcoin price returned to the $ 8,900 level, leading investors to question whether professional traders have turned bearish as the June 26 expiry date approaches.
Bitcoin’s consolidation phase has shown no signs of stopping early, as it has been hovering around $ 9,400 since it could bounce back from the recent lows of $ 8,900.
It is important to note that cryptocurrencies have formed lower peaks over the past few weeks. First, it was rejected at a high of $ 10,400. It then rebounded to $ 10,050, before being rejected at $ 9,600 thereafter.
This trend shows that buyers are not dominated by fundamental strength and may indicate that a break below the low of $ 9,000 is imminent in the coming days and weeks.
Crypto analyst Michael noted that BTC will move down to $ 8,000 in the near term, unable to find any significant support above this level.
“Primary scenario on BTC still remaining the same and is shared in the chart. Losing $ 9,150-9,250 and I think we’ll skip $ 8,800 towards low $ 8ks.”
Primary scenario on $BTC still remaining the same and is shared in the chart.
Losing $9,150-9,250 and I think we’ll skip $8,800 towards low $8ks.
— Crypto Michaël (@CryptoMichNL) June 17, 2020
Previously, another analyst explained that a potential end-to-end formation on Bitcoin’s Ichimoku Cloud pattern could mean that a movement towards $ 7,000 is imminent.
Source: Josh Olszewicz/ Twitter
XRP price started a steady recovery wave from the support zone of $ 0.1820. It has broken above the $ 0.19 and $ 0.192 resistance levels. The price even broke the $ 0.195 and 100-hour SMA resistance levels.
In the end, it climbed to the resistance of $ 0.2, but could not continue higher. A high was formed near $ 0.1686 before prices started a new round of discounts.
There is a break below $ 0.192, but the $ 0.19 zone provides support. A low formed near $ 0.1885 and the price is gradually rising. It has surpassed the Fib 23.6% retracement of the recent decline from a high of $ 0.1686 to a low of $ 0.1885.
There seems to be a major uptrend line forming with support near $ 0.19 on the hourly chart of the XRP / USD pair. On the other hand, the $ 0.1935 level is currently acting as a resistance. It is close to the Fib 50% retracement of the recent decline from a high of $ 0.1686 to a low of $ 0.1885.
The first major resistance is near the $ 0.198 level. The main resistance on the upside is near the $ 0.2 level. A successful daily close above the $ 0.2 level could open the door for a steady rise to $ 0.21 and $ 0.212 levels.
After failing to clear the $ 238 resistance, Ethereum extended the decline. ETH price broke $ 232 and $ 230 support levels and slipped below the 100-hour SMA.
There is a break below the Fib 23.6% retracement of the rally from the low of $ 218 to the high of $ 237. However, the decline has been protected by the support zone of $ 228.
A low has been formed near $ 228 and it looks like the Fib 50% retracement of the rally from the low of $ 218 to the high of $ 237 acts as a strong support. Ether price is currently rising and trading above $ 230.
It is currently attempting to break the gains above $ 234 and the 100-hour SMA. There is also an important bullish flag pattern formed with resistance near $ 234 on the hourly chart of ETH / USD. A bullish break above the channel resistance at $ 234 and a close above the 100-hour SMA might open the test for $ 238 or $ 240.
To continue higher, the price must settle above the $ 240 resistance level. In this scenario, the price could continue higher towards the $ 250 and $ 255 levels.
IntoTheBlock’s “In / Out of the Money Around Price” (IOMAP) model shows that LINK is currently facing a major supply barrier that can absorb any downside pressure.
Based on this on-chain data, about 10,500 addresses bought over 20 million LINK in the range of $ 3.9 – 4. This important support wall could potentially hold in case of a sudden correction preventing LINK from falling.
On the other hand, IOMAP shows that altcoin’s most important resistance barrier lies in the range of $ 4.3 – 4.4. Here, about 7,500 addresses have more than 4.6 million LINK.
The skyrocketing demand behind LINK that allowed it to overcome this resistance zone will push prices to retest the high of $ 4.6 in early June, provided that there is no significant barrier between the prices. this.
The development of an inverse head-and-shoulders (iH&S) pattern on LINK’s 10-minute chart adds credibility to the bullish outlook. This technical formation is considered to be one of the most reliable trend reversal patterns.
The increase in buying pressure behind Chainlink pushing it above the neckline at $ 4.12 could signal a breakout from the iH&S pattern. The upward impetus can create momentum that pushes prices up 11.65% to around $ 4.6.
This goal is determined by measuring the distance between the head and the neckline and adding it to the breakout.
It is worth mentioning that a downward momentum sending the LINK below $ 3.96 could jeopardize the bullish outlook.
IOTA prices have been consolidating near 2000 satoshi since August 2019. The price have been showing signs of a strong reversal, indicating that the uptrend may soon begin.
The weekly chart for IOTA shows the price have been falling since September 2018. Although the initial decline was initially rapid, then it has slowed down. The price reached a low of nearly 2000 satoshi in August 2019.
During this period, the weekly RSI formed a significant bullish divergence, an indication that the price is likely to rise, starting a new long-term trend. Volume has increased during recent weekly candles – another bullish sign.
If the price really starts moving up, the nearest resistance levels are found at 5,830 and 10,100 satoshi.
In the daily chart, IOTA is following a rising support line and has just bounced on it. The price is in the process of creating an bullish engulfing candlestick.
Moreover, the price has moved above 100-day MA. This MA has been a near-perfect indicator of the trend since September 2019. In other words, the price action is still rising when the price is above this MA and vice versa.
- Bitcoin price has shown some signs of being correlated to the stock market over the past few months
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