After a tough week in the cryptocurrency space with all major digital currencies registering a negative performance, market heavyweight BTC has stabilized and may be looking to re-coup some of its losses.
A look at the daily chart shows a potential bullish pennant formation, although the lower-high/higher-low pattern normally seen is not quite so distinct.
Chart: Bitcoin Daily Timeframe (February – July 14, 2017)
Chart by IG
The four-hour chart however signals a potential for BTC to move even lower as the recent downturn has seen the currency move below its 20-, 50- and 100-day exponential moving averages (ema). The break lower was confirmed on July 9 with a bearish crossover with the 20- and 50-day ema below the 100-day ema. The momentum indicator also has moved from positive to neutral.
Chart: Bitcoin Four-Hour Timeframe (June 26 – July 14, 2017)
The second-largest digital currency Ethereum (ETH) has also suffered heavy losses this week, falling by around 20%. With most explanations of this week’s fall based on personal opinion rather than market specifics or technical releases, ETC may be in for a continued rough ride in the weeks ahead.
Chart: Ethereum Five Day Chart (July 10-14, 2017)
Chart by TradingView.
Market Moves/Capitalizations – July 14, 2017.
Cryptocurrency
Price/Change%
Market Cap
BITCOIN
$2360 -1.24%
$38.820bn
ETHEREUM
$206.1 -4.10%
$19.22bn
RIPPLE
$0.197 -2.84%
$7.558bn
LITECOIN
$46.18 -1.14%
$2.400bn
ETHEREUM CLASSIC
$18.48 +0.36%
$1.728bn
