This is a daily analysis of Coindesk analyst and chartered market technician Omkar Godbole.
Bitcoin: Powell brings Bearish lower high
Bitcoin has been withdrawn to levels that were last seen before the Federal Reserve -President Jerome Powell’s Dovish remarks on Friday, which set expectations for a potential rate cut in September.
At the time of writing, BTC is just over $ 112,000, after topping around $ 117,440 on Friday. Technical control of the daily diagram reveals that the withdrawal from the top of $ 117,000 has established a lower high near the resistance line defined by the former Bullish Trendline derived from April -low.
This lower high strengths the prior degradation of the trend line and signalizes a continuation of Bearish price action. Complement this observation, the guppy multiple sliding average (GMMA) The indicator is ready to confirm a bearish momentum shift, highlighted by the impending crossover of the short-term exponential moving average (White Band) Below average in the long term (Red Band).
On the weekly chart, the MacD histogram has launched the new trade week with a sub-zero reading, highlighting the potential acceleration of downward momentum.
In the summary, what do you say about a market that not only resists a sustainable demonstration on the back of favorable news – such as Powell’s speech – but also maintains a number of Bearish technical patterns? I leave it to the readers’ discretion.
The most important technical support is at the $ 110,756 level, corresponding to the lower limit of the Ichimoku cloud, with a more significant support zone marked with the 200-day simple sliding average near $ 100,000. Conversely, it is important to recover Friday’s height of $ 117,440 to revive the bullish case.
- Support: $ 110,756, $ 100,887, $ 100,000.
- Resistance: $ 117,440, $ 120,000, $ 122,056.
Ether: loss of upward momentum
Ether (Eth) Printed a doji -stearin light with a prominent upper wick on Sunday signaling the market indecision at record heights. This candlestick pattern is formed when the opening and closure prices converge, which reflects a stalemate between buyers and sellers.
However, the relatively long upper shade, in this case, means that the bull’s attempt to push prices higher faced significant pushback from Bears, which managed to withdraw the price before the end.
While Doji himself does not guarantee a reversal, it highlights the uncertainty and a possible loss of upward momentum. It guarantees caution as it often precedes a potential reversal or a consolidation phase where the market is waiting for additional catalysts for direction.
A withdrawal seems likely as the 14-day relative strength index continued to print lower heights over the weekend, which contradicts the new award. The so -called bearish divergence indicates a loss of upward momentum and often gives corrections.
Interestingly, Ether traded 3% lower on the day to $ 4,624 at the press time, with charts indicating support for $ 4,065, the level from which Ethe turned higher on August 20.
- Support: $ 4,065, $ 4,000, $ 3,805 (the 50-day SMA).
- Resistance: $ 5,000, record highs.
Read more: Bitcoin turns Powell Spike with a flash accident as Options Market Signals Jitters in front
