ETCBTC runs into sellers around 0.000672 for the third day in a row
Ethereum Classic/Bitcoin Index (ETCBTC) Technical Analysis Report for Aug 01, 2020 | by Techniquant Editorial Team
ETCBTC ended Saturday at 0.000664 gaining BTC0.000011 (1.68%) on high volume. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (ETCBTC as at Aug 01, 2020):
Saturday's trading range has been BTC0.000026 (3.98%), that's slightly below the last trading month's daily average range of BTC0.000027. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ETCBTC. Prices continued to consolidate within a tight trading range between 0.000635 and 0.000687 where it has been caught now for the whole last trading week.
Even with a weak opening ETC managed to close above the previous day's open and close, forming a bullish Engulfing Candle.
ETC/BTC managed to close back above the 50-day moving average at 0.000662 for the first time since July 26th. When this moving average was crossed above the last time on July 25th, ETCBTC actually lost -3.33% on the following trading day. Unable to break through the key technical resistance level at 0.000672 (R1), the cryptocurrency closed below it after spiking up to 0.000672 earlier during the day. The failure to close above the resistance could increase that levels importance going forward. The market ran into sellers again today around 0.000672 for the third trading day in a row after having found sellers at 0.000672 in the prior session and at 0.000672 two days ago.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 0.000687 where further buy stops could get triggered. Selling might accelerate should prices move below the nearby swing low at 0.000640 where further sell stops could get activated.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to previous two Highs" stand out. Its common bearish interpretation has been confirmed for ETC/BTC. Out of 96 times, ETCBTC closed lower 60.42% of the time on the next trading day after the market condition occurred.
With seven out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are XRPUSD gaining 12.04% and ETHUSD closing 11.71% higher. None of the markets ended the day in the red. Looking at the other Minor Cryptocurrencies, the winners of the day have been ZECUSD surging 19.59% and DOGEUSD closing 15.6% higher. The worst performers of the day have been STRATBTC tanking -4.08% and ARDRBTC closing -4.0% lower. Read more