Bitcoin is still holding underneath resistance at $35,400, while some altcoins are still continuing to make gains.
Wednesday morning has turned mostly green for cryptocurrencies as yesterday’s bounce, albeit not a big one, is still not faltering. Bitcoin is back to $35,400, and various altcoins are making hay.
Bitcoin not faltering
The king of the cryptocurrencies (Bitcoin) is refusing to come down from its lofty perch. Two wicks up to the $36,000 resistance have been rejected, although price action still appears to be strong.
That being said, this type of slow, grinding price action diagonally upward does give the feeling that there could be a sudden jolt to the downside at any moment. Nevertheless, this is all short term price action, and looking into the next 18 months, bitcoin certainly looks to be in a good position.
Ethereum is the tortoise
As usual, ethereum is still playing the role of the tortoise. In fact, it looks as if it is copying the tortoise so well that it might have forgotten that it needs to start catching up with bitcoin at some point.
Source: Trading View
On the one-day time frame it can be seen that $ETH is still trying to consolidate above the trend line at $1,880. Managing to do this is a first step. In addition, $ETH must start to reverse against the ETH/BTC pair, where it is currently barely holding the last line in the sand, with a large drop to the downside if it fails.
Altcoin market cap approaches trend resistance
Source: Trading View
The rest of the altcoins need $ETH to succeed if there is to be a continued drop in Bitcoin dominance, and alts are allowed off the leash to surge upwards. The trend resistance could be met by the market cap of alts (Total3) at a combined value of around $400 billion. Surpassing this level could enable a leg higher to $450 billion.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
