ETHUSD closes higher for the 3rd day in a row
Ethereum/US Dollar Index (ETHUSD) Technical Analysis Report for Feb 10, 2019 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, ETHUSD finished Sunday at 125.63 surging $6.18 (5.17%). Today's close at 125.63 marks the highest recorded closing price since January 14th. Closing above Saturday's high at 121.58, the market confirmed its breakout through the previous session high after trading up to $4.81 above it intraday.
Daily Candlestick Chart (ETHUSD as at Feb 10, 2019):
Sunday's trading range has been $10.06 (8.42%), that's above the last trading month's daily average range of $5.98. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ETHUSD.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
After trading down to 116.33 earlier during the day, ETH bounced off the key technical support level at 119.30 (S1). The failure to close below the support could increase that levels significance as support going forward. After spiking up to 126.39 during the day, Ethereum found resistance at the 50-day moving average at 126.08.
Crossing above the upper Bollinger Band for the first time since December 24, 2018, prices have shown unusually strong upward momentum in the short-term. This might either indicate a potential buying climax after which prices could head back down towards the mean of the Bollinger Bands at 111.97 or signal the beginning of a strong momentum breakout leading to even higher prices. The last time prices broke out above the upper Bollinger Band on December 23, 2018, ETHUSD gained 8.11% on the following trading day.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the 11 market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed above the upper Bollinger Band" stand out. Its common bullish interpretation has been confirmed for ETH/USD. Out of 47 times, ETHUSD closed higher 61.70% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 68.09% with an average market move of 13.58%.
With four out of the other six Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are LTCUSD gaining 5.94% and ETCUSD closing 2.43% higher. On the flipside the worst performers have been XRPUSD closing -0.51% lower and BCHUSD losing -0.41%. Looking at the Minor Cryptocurrencies, the winners of the day have been HSRBTC surging 9.24% and LTCGBP closing 6.51% higher. The worst performers of the day have been BCNUSD tanking -4.57% and TRXBTC closing -1.95% lower. Read more