VETBTC dominated by bulls lifting the market higher throughout the day
VeChain/Bitcoin Index (VETBTC) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
VETBTC finished Saturday at 0.00000097 gaining BTC0.00000003 (3.19%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 0.00000096, VeChain confirmed its breakout through the previous session high after trading up to BTC0.00000001 above it intraday.
Daily Candlestick Chart (VETBTC as at Oct 17, 2020):
Saturday's trading range has been BTC0.00000004 (4.26%), that's far below the last trading month's daily average range of BTC0.00000007. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for VETBTC.
In spite of a weak opening VET/BTC managed to close above the prior day's open and close, forming a bullish Engulfing Candle. Additionally, two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
Buyers managed to take out the key technical resistance level at 0.00000096 (now S1), which is likely to act as support going forward. The last time this happened on September 30th, VETBTC actually lost -4.76% on the following trading day.
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 close-by swing low at 0.00000092 where further sell stops could get triggered.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for VET/BTC. Out of 40 times, VETBTC closed lower 55.00% 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 five trading days, showing a win rate of 65.00% with an average market move of -1.55%.
With four out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are ETHUSD gaining 0.81% and BTCUSD closing 0.37% higher. On the flipside the worst performers have been BCHUSD closing -2.05% lower and LTCUSD losing -1.43%. Looking at the other Minor Cryptocurrencies, the winners of the day have been WAVESUSD surging 8.14% and WAVESBTC closing 7.59% higher. The worst performers of the day have been BCNUSD tanking -10.94% and BCHBTC closing -2.26% lower. Read more