This is a daily technical analysis of Coindesk analyst and chartered market technician Omkar Godbole.
There is an old saying, “Once is a chance, twice is a coincidence, and a third time is a trend.”
It applies to Bitcoin
Right now. Cryptocurrency’s price has fallen back to the 50-day simple moving average (SMA), which offered support on two occasions this month, which led to price jump.
Therefore, the latest gene test of the average gives an opportunity for bulls to establish a trend where the 50-day SMA drives new legs higher. Conversely, the fall of 50-day SMA support could invite a stronger sales pressure, which could potentially lead to a dip below $ 100,000.
At the time of the press, the Bear case seems strong due to signs of bull fatigue, as shown in the recent shallow jumps from the 50-day SMA. The first test of the average on June 5 produced a jump from approx. $ 100,500 to over $ 10,000. However, the second test of SMA on June 17 only saw prices jumped from $ 103,000 to $ 109,000.
The last week’s doji -stearin light also suggests bull fatigue over $ 100,000.
A high -volume move is needed over $ 110,000 to restore the immediate bullish views.
XRP led DOGE WAY?
Payments-focused Cryptocurrency XRP
Acts at the lower end of the Ichimoku cloud, a momentum indicator based on several sliding average variants and developed by a Japanese journalist in the 1960s.
Crossovers above and below the cloud is said to represent Bullish and Bearish shifts in momentum.
When an asset price crosses under the cloud, as Dogecoin
Did early this month, it typically signals a bearish trend. Dealers often interpret this as a signal to consider selling or mapping the asset, especially if other macro or technical indicators confirm the signal.
XRP’s 50-day SMA is already crossed under 200-day SMA to confirm the so-called Death Cross, a bearish indicator. Therefore, a potential feature under the Ichimoku cloud may prove to be expensive for the bears, which potentially opens the door for a slide below $ 2.
On the charts, support is seen directly at $ 1.60, early April low. Coins such as DOGE, ADA and LINK have fallen under their respective Ichimoku clouds in recent days, resulting in price loss.
