BITCOIN ANALYSIS: JULY, 2021
Bitcoin is the largest cryptocurrency in the world by market capitalization. It was created by an anonymous person alias Satoshi Nakamoto. So the question is that is Bitcoin bullish again? Here’s the market structure of Bitcoin.
Bitcoin is trading at $34,186.10. The coin has shown a great rally of over 15% in four days owing to the bullish sentiment. In this process, the coin has taken out key structure points, particularly the previous lower high. Thus, it is safe to say that Bitcoin has reversed from its bearish trend and is on track to start its new bull-run after three months.
Coming to the hourly charts, some good activity can be seen. Bitcoin broke two of its supply zones without much consolidation. The last rally was sponsored by a small accumulation phase in between. In this accumulation phase, Bitcoin manipulated its lows to trap liquidity and quickly moved further upwards.
The volumes have supported this rally and contributed along the way.
The Relative Strength Index is indicating price strength for Bitcoin. The RSI has also broken its previous short-term highs. It stands at 53.67 and has the potential to go higher after some retest.
The MACD has finally crossed above the signal line, confirming the bullish bias in Bitcoin’s market. The MACD’s positioning gives a buy call to investors.
The market structure of Bitcoin is bullish in the short-term.
On retesting back to its demand zone of $33,749 to $34,000, Bitcoin can bounce back to levels of $34,965 and $35,770 in the short-term.
On the breakdown and close below $33,700, $33519 and $32709 are the targets on the downside.
The market structure of Bitcoin skews in the favor of a breakout on the upside.
ETHEREUM ANALYSIS: JULY, 2021
Ethereum is the second largest cryptocurrency developed by Vitalik Buterin in 2014. Here’s the market structure of Ethereum.
Ethereum is trading at $2134.69. This coin has followed the footsteps of Bitcoin and broken the key structure points. Ethereum has also reversed from its bearish trend but requires a decisive close above its structure point in order to regain its bullish trend.
On the hourly chart, Ethereum has given an excellent rally, surging over 30% in five days. The accumulation phase that occurred on July 21 sponsored the entire rally with no major pull backs. Currently, it looks as if the coin is ready for another impulse move. Ethereum has retested back to the demand zone, manipulated the lows to grab liquidity and made bullish candles on the lower time frames.
The volumes have greatly contributed to this rally, indicating the possibility of institutional participation.
The Relative Strength Index is indicating price strength for Ethereum. The RSI has broken its lower-high and lower-low trend followed by a huge surge near its structure point. It is currently positioned at 52.75 and is ready to move upwards from current levels.
The MACD has crossed above the signal line, confirming the bullish momentum of Ethereum. It gives a ‘buy’ call to investors for the long-term.
On the close above $2140.10, $2252.27 and $2408.04 are the targets on the upside. The bullish momentum must continue with the current volumes to achieve these targets.
On the breakdown and close below $2103.99, $2020.54 and $1963.19 are the targets on the downside.
ICON ANALYSIS: JULY, 2021
Icon is a blockchain protocol for decentralized applications. Here’s the market structure of ICX.
Icon is trading at $0.7830. The overall trend of Icon is bullish since the coin has broken its key structure point. However, it is stuck in a tight range of $0.78 and $0.82, the former being a strong demand zone while the latter being a strong supply zone. The coin must break either side to witness a strong move.
Currently, the edge goes to the sellers because the last four candles have been bearish with above average volumes. The trend of the coin will remain bullish until the demand zone is decisively broken.
As per the volumes, the buyers and sellers are in a tough competition. Both sides are putting up above average volumes on the hourly time frame.
The Relative Strength Index is indicating price strength on the daily time frame. The RSI has smoothly moved upwards with little pullbacks. It stands at 46.03 having a short-term bullish bias.
The MACD is slightly above the signal line, confirming the change in trend of the coin.
On the breakout and close above $0.799, $0.8140 and $0.849 are the targets on the upside. Once these targets are achieved, the trend of the coin will become bullish.
However, on the breakdown and close below $0.7748, $0.760 and $0.7121 are the targets on the downside. If these targets are seen, the continuation of the current bearish trend will occur.