VETBTC runs into sellers again around 0.00000097
VeChain/Bitcoin Index (VETBTC) Technical Analysis Report for Oct 23, 2020 | by Techniquant Editorial Team
VETBTC ended the week -7.84% lower at 0.00000094 after flat today. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (VETBTC as at Oct 23, 2020):
Friday's trading range has been BTC0.00000006 (6.38%), that's slightly below the last trading month's daily average range of BTC0.00000007. 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 VETBTC.
Three candlestick patterns are matching today's price action, the Doji, the Long-Legged Doji and the Rickshaw-Man which are known as neutral patterns. The last time a Long-Legged Doji showed up on May 21st, VETBTC gained 8.51% on the following trading day.
Unable to break through the key technical resistance level at 0.00000096 (R1), VET closed below it after spiking up to 0.00000097 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 0.00000096 in the prior session, the cryptocurrency ran into sellers again around the same price level today, missing to move higher than 0.00000097.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might accelerate should prices move below the nearby swing low at 0.00000086 where further sell stops could get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Resistance R1" stand out. Its common bearish interpretation has been confirmed for VET/BTC. Out of 106 times, VETBTC closed lower 48.11% 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 eight trading days, showing a win rate of 57.55% with an average market move of -0.71%.