QTUMBTC dominated by bears dragging the market lower throughout the day
QTUM/Bitcoin Index (QTUMBTC) Technical Analysis Report for May 23, 2020 | by Techniquant Editorial Team
QTUMBTC finished Saturday at 0.000182 losing BTC0.000010 (-5.21%). The bears were in full control today, moving the market lower throughout the whole session. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (QTUMBTC as at May 23, 2020):
Saturday's trading range has been BTC0.000011 (5.73%), that's slightly above the last trading month's daily average range of BTC0.000010. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for QTUMBTC.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. Additionally, two candlestick patterns are matching today's price action, the Bearish Closing Marubozu and the Black Candle which are both known as bearish patterns.
QTUM/BTC closed back below the 50-day moving average at 0.000182. When this moving average was crossed below the last time on March 11th, QTUMBTC lost -10.61% on the following trading day.
Crossing below the upper Bollinger Band, prices have lost at least some of their upward momentum in the short-term and could now be heading back down towards the mean of the Bollinger Bands at 0.000167.
Although the cryptocurrency is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Closing Marubozu" stand out. Its common bearish interpretation has been confirmed for QTUM/BTC. Out of 3 times, QTUMBTC closed lower 66.67% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after six trading days, showing a win rate of 66.67% with an average market move of -2.22%.
With five out of the seven Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are EOSUSD losing -1.16% and LTCUSD closing -0.81% lower. On the flipside the best performers have been ETCUSD closing 1.55% higher and BTCUSD gaining 0.23%. Looking at the other Minor Cryptocurrencies, the winners of the day have been BCNUSD surging 10.84% and XVGUSD closing 5.05% higher. The worst performers of the day have been HSRBTC tanking -9.88% and ARDRBTC closing -9.27% lower. Read more