Academy Trading Ideas Article

Crypto Market Daily(3.5)| BTC can only rebound more if stabilize on $9100

2020.03.06

BTC perpetual contract

Level Character1H-bearish

This is the 1-hour chart of BTC, it shows that after getting support around $8650, trend pumped to the first resistance around $9000 then broke it, this is the first time to break $9000 since price came into consolidation.

Combine with the buying volume, I don’t think trend can easily to break $9100 as it still keeps in a low level. If in next few hours, volume can grow steady to a relatively high level, it’s possible to break $9100.

Remind investors that it’s not a good time to enter long position at the moment, in my opinion, although the previous high around $8970 has been broken, the effectiveness of this breaking has not been proved, therefore, if callback happens in next few hours and can stabilize on $8970, that will be a good moment to enter, or it may be a false breaking indeed.

Level Character1D – consolidation

This is the 1-DAY chart of BTC, today the bullish funds enter the market and pull the price from $8600 to above $9000. This may be a bullish stronger signal and the next rebound is possible to happen if the volume can keep longer.

Certainly, it can also be a trap to bullish positions that trend may break $9100 in short-term and attract more bulls to buy, then main funds push the price immediately back again in order to kick bulls out.

Investors just notice that only stabilize on $9100 can prove that rebound possibility is existing, or falling risk is still high.

Resistance and Support level:

Short-term Resistance$9100       Medium-term Resistance$9400

Short-term Support$8970         Medium-term Support$8650

ETH perpetual contract

Level Character 1H-conoslidation

At 1-hour level, ETH is still can’t break the consolidating area between $212 and $235. This crucial area determines the direction of the future trend.

Personally, I believe that rebound possibility is higher than falling as that almost profitable funds are leaving the market during the previous dump, fall below $212 means that bulls are hard to protect price keeping on $200.

Market is changing all the time, to be safety, follow the trend can be a better choice than to predict it to the retail investors. Performance is easy currently, Breaking upwards through $235 means a longer rebound is coming, and falling below $212 means that next support will be $200, the last recommendation is to be patience, wait until the best enter point appears.

Resistance and Support level:

Short-term Resistance$228          Medium-term Resistance$235

Short-term Support$220            Medium-term Support$212

XRP perpetual contract

Level Character1H-bearish

XRP didn’t have an obvious signal of pumping or dumping within the day as the trading activity is till in a low level.

Almost the same with ETH, XRP keeps moving between $0.2240 and $0.2420 which is the recent consolidating area. Investors should note that although the market is not active, big moving may come at any moment if BTC begin to pump, at that time, the first effective resistance may locate to $0.2475, $0.2240 support will be safe in short-term as the bearish fund is not enough after earning profit.

Resistance and Support level:

Short-term Resistance:  $0.2420    Medium-term Resistance:  $0.2475

Short-term Support:  $0.2240      Medium-term Support:$0.2130

Disclaimer: This material should not be taken as the basis for making investment decisions, nor be construed as a recommendation to engage in investment transactions. Trading digital assets involves significant risk and can result in the loss of your invested capital. You should ensure that you fully understand the risk involved and take into consideration your level of experience, investment objectives and seek independent financial advice if necessary.

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