It's a great day for cryptocurrencies everywhere.
Bitcoin just hit the $10k mark, and I'm excited as hell.
Here is the chart:
Looking at the price movement the whole of yesterday, we can see that the price ranges significantly in the upside.
There were a few dips here and there to enable buyers get in on the market early. The trend had begun then.
The volume behind the previous candle to the 10k candle was sufficient enough to drive BTC's price to test 10k at about 3:40am London time. The level was instantly rejected back to $9890, but the bulls came in and led the pair all the way up to $10015, and it's still going up.
This is amazing for hodlers, and Bitcoin had formed s new all year high. This seems like Bitcoin's year.
So what immediate effect has this move had on other cryptocurrencies?
Let's take a look.
Here's the chart:
BAT is showing some very strong bullish movement on the 30 minute, 1 hour and 4 hour time frames.
There is a formation of a bullish engulfment pattern on all these time frames. This means we will likely see a retest of the $0.26 level, before BAT probably goes parabolic either today or tomorrow. Keep your fingers crossed.
On the bearish bias however, BAT might plummet to it's support level and decide not to rally at all. Play it safe if you wish to enter trades with this pair. Use tight stop losses, because price can reverse on you at any time.
Overall, BAT is up 2.53% on the day.
BCH is also showing some strong signs of bullish movement. Here's the chart:
We can see the price of BCH bounce off the 20SMA line of the Bollinger bands before rallying to $460. The price kept on forming bullish candles, and it seems that if this continues, we might see a rally to $480, before a cool down, and then a big move to $500.
Play it safe though, as bears might be lurking in the corners
On the bearish bias however, if a bearish engulfment pattern forms on the top standard deviation line, we might see a move to the downside and a possible dip below the 20SMA line. Again, play it safe.
LTC is up a whopping 7% on the day, and I'm personally up 13% despite the overall market outlook. I have sold ½ of my stash at this price, set a stop loss at the nearest short term resistance and let the remainder of my portfolio ride the incoming wave.
Here's the chart:
If the formation of 3 bullish engulfment patterns wasn't a signal, I don't know what a signal is.
Following a dip to a new low for the week, LTC recovered after forming the three white soldiers pattern to rally all the way to the top.
This rally however is about to take a new form as the Bollinger bands just started squeezing. The move will be to the upside of course, and we might see a new all time high for the year. Stay safe.
I can hardly see a bearish bias here, but if there is one, it won't last very long.
The final pair I'll be looking at in this post.
ETH is looking mighty good, up at 4% but could there be buyer exhaustion?
The formation of red candles in a strong uptrend usually signals buyer exhaustion. We can clearly see that a red candle is forming right on the top Bollinger band.
This could signal a possible trend back to the 20SMA line, but should this bearish bias not come through, we could see a new all time high for the year.
That said, it's a good day to be in crypto!
Thanks for reading, and remember this isn't financial advice!