STEEMBTC closes higher for the 2nd day in a row
Steem/Bitcoin Index (STEEMBTC) Technical Analysis Report for Aug 18, 2019 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, STEEMBTC ended Sunday at 0.0000167 edging higher BTC0.0000001 (0.6%). Trading up to BTC0.0000002 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (STEEMBTC as at Aug 18, 2019):
Sunday's trading range has been BTC0.0000004 (2.41%), that's far below the last trading month's daily average range of BTC0.0000011. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for STEEMBTC. Prices continued to consolidate within a tight trading range between 0.0000160 and 0.0000171 where it has been caught now for the last three trading days.
One bullish candlestick pattern matches today's price action, the Hammer. The last time a Hammer showed up on June 16th, STEEMBTC actually lost -4.70% on the following trading day.
Unable to break through the key technical resistance level at 0.0000168 (R1), STEEM/BTC closed below it after spiking up to 0.0000168 earlier during the day. The failure to close above the resistance could increase that levels significance going forward. After having been unable to move above 0.0000168 in the previous session, the cryptocurrency ran into sellers again around the same price level today, missing to move higher than 0.0000168.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might speed up should prices move below the nearby swing low at 0.0000160 where further sell stops could get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for STEEM/BTC. Out of 113 times, STEEMBTC closed lower 62.83% 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 four trading days, showing a win rate of 68.14% with an average market move of 0.37%.
With seven out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are XRPUSD gaining 6.54% and LTCUSD closing 5.12% higher. None of the markets ended the day in the red. Looking at the other Minor Cryptocurrencies, the winners of the day have been XMRUSD surging 7.26% and ADAUSD closing 6.96% higher. The worst performers of the day have been BTCCNY tanking -9.13% and ETHCNY closing -5.73% lower. Read more