XMRBTC slumps, losing BTC0.00025 (-3.49%) within a single day on high volume
XMR/Bitcoin Index (XMRBTC) Technical Analysis Report for Jul 03, 2020 | by Techniquant Editorial Team
XMRBTC ended the week -0.29% lower at 0.00692 after tanking BTC0.00025 (-3.49%) today on high volume. This is the biggest single-day loss in over a month. The last time we've seen such an unusually strong single-day loss on June 1st, XMRBTC actually gained 5.42% on the following trading day. The bears were in full control today, moving the market lower throughout the whole session. Closing below Thursday's low at 0.00694, Monero confirmed its breakout through the previous session low after trading up to BTC0.00004 below it intraday.
Daily Candlestick Chart (XMRBTC as at Jul 03, 2020):
Friday's trading range has been BTC0.00031 (4.32%), that's slightly below the last trading month's daily average range of BTC0.00048. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for XMRBTC.
Notwithstanding a strong opening XMR/BTC closed below the prior day's open and close, forming a bearish Engulfing Candle. Additionally, one bearish candlestick pattern matches today's price action, the Black Candle.
Prices are trading close to the key technical support level at 0.00687 (S1). The market closed back below the 50-day moving average at 0.00693 for the first time since June 27th. XMR was bought again around 0.00690 after having seen lows at 0.00694, 0.00691 and 0.00692 in the last three trading sessions. Obviously there is something going on at that level.
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 0.00694.
The cryptocurrency shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Further selling might move prices lower should the market test June's close-by low at 0.00660.
Among the 13 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Strong Down Move" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for XMR/BTC. Out of 134 times, XMRBTC closed higher 60.45% 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 three trading days, showing a win rate of 53.73% with an average market move of 0.37%.
With five out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are EOSUSD gaining 2.54% and XRPUSD closing 0.86% higher. On the flipside the worst performers have been ETHUSD closing -0.59% lower and BTCUSD losing -0.29%. Looking at the other Minor Cryptocurrencies, the winners of the day have been VETBTC surging 7.62% and ICXBTC closing 6.57% higher. The worst performers of the day have been BTGUSD tanking -8.19% and BTGBTC closing -5.0% lower. Read more