Bitcoin, like all cryptocurrencies is in the red and bears seem to be getting stronger. They have been given more power by the FCC’s decision to delay the much awaited ETF (Exchange Traded Fund) decision to September. The postponement has accelerated selling since most investors have lost hope that it will ever be approved.
In the weekly charts, bitcoin (BTC) has now dropped to the $6200, a key support/resistance level before bitcoin rallied to $8500. Since Bitcoin has broken below this level in the last 2 hours, there is a good chance that it could drop further and test levels under $6000.
If this happens, chances are that it could head lower with the next support level being $4800 on the 100-day moving average level. This is the last bearish wave, before bitcoin most likely enters into a long-term consolidation phase going into 2019.
Within the day, bitcoin (BTC) is trading at a key support level at $6200. However, with the increased selling volumes in the market, the probability of it breaking below this support level is quite high. Intra-day target is most likely at $5900.
Bitcoin’s bearish momentum has negatively impacted on the altcoins market. In the week, bears have taken control of the Ethereum market and are pushing it lower. At the moment, Ethereum (ETH) is trading close to the $332 level, which is a key long-term support level. If it breaks below this price level, Ethereum (ETH) could be headed lower, with $278 as the next target in coming weeks.
For a more short-term entry with a 24-hour target, Ethereum (ETH) has broken below a key long-term support level at $366, and might test $300 within the day.
However, this will depend on the value of bitcoin (BTC) in the near term. If bitcoin continues to drop, then there is a good chance that Ethereum will also drop below $300. Market volumes will have an impact on the short-term value of Ethereum (ETH) as well.
NEO (NEO) seems to have reached capitulation phase, having broken below the long-term $26 support level. Currently it is trading at $21 and with bitcoin’s increased bearish momentum, there is a possibility that it could drop below $20. If it breaks below this price level, the next support is at $18.
In intra-day trading, NEO (NEO) is heavily bearish, with selling volumes on the rise. If NEO (NEO) breaks below $20, chances are that it will stay in that region for long. That’s because investors might lose faith in it as an investment, after it loses close to 90% of its value.
There is also the issue of competition, as better performing platform blockchains are coming into the market. This means that chances of a quick NEO (NEO) turn around are not as high as 2017. However, if bitcoin (BTC) were to rebound, NEO (NEO) could make a slow and steady rise towards the $25 to $30 level, were it could range for a while.