Jun 01

Crypto Review for Jun 01 – Bitcoin fighting resistance, as Ethereum leads

This weekend was very profitable for Cardano (+25%), NEO (+14.29%), and Ethereum (+8,66%), as Bitcoin, struggling to hold above $9,500, moved a mere 1.23%. On the Ethereum-based token, ZIL (+30.14%), Chainlink (+10.07%), and CRO (+6.49%) lead the gains, as MATIC (-17.62%), HEDG( -15.83%) and THETA (-15.86%) were the worst performers.

Fig 1 – 24H Crypto Sector Heat Map

The market cap is now $264.654 billion, +1.39% higher than on Friday; the 24H volume was $33.926 billion, +3.57% higher than on Friday. Finally, Bitcoin dominance dropped almost one basis point, to 65.53%.

Top 10 72-hour Performers

Source (coin360.com)

Bottom 10 72-Hour  Performers

Source (Coin360.com)


News Sentiment Analysis


Crypto-related news

  • Regulatory uncertainty keeps traditional asset managers out of the crypto space, survey takers say (The Block)
  • Sharp U.S. Futures recovery hints Bitcoin will retest $10K this week. (Bitcoininst)
  • Ether Options Trading Reaches Record Volume on Some Exchanges (BeInCrypto)
  • FXCoin Strategist: Weaker Yuan Could Lead to a Stronger Bitcoin (Cointelegraph)
  • Blockchain Technology Is Ripe to Powering Global Healthcare, Harvard Study Notes (Btcmanager)

Mainstream news

  • Stock-market futures knocked around as U.S. cities rocked by protests amid pandemic (Marketwatch)
  • Asian markets rise on ‘sigh of relief’ over Trump’s response to China (Marketwatch)
  • U.S. crisis deepens as protests erupt over police brutality amid deadly pandemic and record unemployment (CNBC)
  • European markets head for lower open as U.S. protests shake confidence (CNBC)
  • Stock futures fall as nation grapples with protests (Yahoo Finance)
  • Gold rises as U.S. riots, Hong Kong tensions lift safe-haven appeal (CNBC)
  • Trump taken to White House bunker as protests raged nearby Friday (Marketwatch)

  Sentiment analysis

The stock market is expected to be affected by the protests in most of the U.S. territory, triggered by police brutality. George Floyd, an unarmed man, was brutally killed by a Minneapolis police officer. The Asian market, though, seemed more concerned by U.S. President Donald Trump’s response to China’s security law on Hong Kong and is mostly in the green, relieved by its mild response, HonkKong’s Hang Seng Index up 3.25% leading the gains. In Europe, Markets are closed in Austria, Denmark, Germany, Norway, Sweeden,

and Switzerland. London FTSE 100 is seen to open 22.7 points higher, France’s CAC 40 futures are 148 points lower, and Italy’s FTSE MIB futures are 228 points higher. The crypto market is mildly upward, with Bitcoin up 1% for the day, as Ethereum climbs 3% in Monday’s trading session, and Ripple is 1.28% up.


Technical Analysis


Total Market

Fig 2 – Total Market Daily

The Total market went up on Saturday, touching the $271,763 resistance level but was rejected there, and it made an almost totally pullback on Sunday. Today it is mildly bullish, recovering some of the losses produced on Sunday. The daily chart shows that the price still moves above the +1 sigma line of the Bollinger bands, which is bullish, and the RSI is moving near the 60 level.

Technical  Factors
  • Linear regression channel points up +
  • Prices above the upper +1 sigma side of the Bollinger Bands +
  • Prices above its 20- 50-  and 200-day SMA +
  • 50-SMA above the 200-SMA +
  • RSI sideways at the 60 level N
  • Bollinger bands move upwards +
  • Rejected at resistance level –
Total Market Outlook

The market is fighting near resistance levels. The rest of the technical indicators point to a bullish continuation.


Bitcoin

Fig 3 – Bitcoin 4H Chart

After a good bullish candle on Saturday, touching the $9,750 level, BTC’s price was rejected and retraced all the gains made and now is struggling to hold above $9,500. On the 4H chart, we see that the Bollinger bands have shrunk and move horizontally, as the price is near its mid-line, and the RSI descends.

Technical  Factors
  • The slope of the Linear Regression Channel  is positive +
  • Price above its 20-,  50- and 200-SMA  +
  • Bollinger Bands shrinking and sideways N
  • RSI strong, although near overbought N
  • The price near the midline of the Bollinger bands N
Bitcoin’s Outlook

Bitcoin is creating a base after last week’s gains. The short-term technical factors show neutrality, which reflects the price moving in a range and consolidating. The primary levels to watch are $9,300 to the downside and $9750 to the upside. A break above one of these levels would signal another leg up or down. The mid-term trend is still up, so the likelihood of a continuation towards $10K is higher, but a test of the $9000 cannot be discarded.

Pivot Levels
SupportPivotResistance
8,7979,2759,925
8,14210,400
7,66811,050

Ethereum

Fig 4 – Ethereum 4H Chart

Ethereum has made a large upward movement this weekend that carried the price from $220 to near $250. On Sunday, it has retraced a portion of it, but it made a good engulfing candle early morning, as the price bounced off from the regression line, which puts ETH in the bullish track. The price moves following the +1 sigma line, and the Bollinger bands head up, as the RSI went out of the overbought zone and is now bouncing at the 60 level.

Technical  Factors
  • The slope of the linear regression channel is positive +
  • The price broke above the last high of 217 made on May 18 +
  • The price above its 200-,  50-, and 20-SMA +
  • Bollinger bands upwards  +
  • The price follows  the + 1 sigma line of the Bollinger Bands +
  • Short-term overbought –
Ethereum’s Outlook

We see Ethereum making a healthy consolidation after a bullish leg that started at $196 on May 26, a 21.4% move, but ETH is clearly in an uptrend, and a target of $250 and beyond is reachable.

Pivot Levels
SupportPivotResistance
203225254
175276
152304

Ripple

Fig 5 – Ripple 4H Chart

Ripple has broken the $0.20 resistance level on Saturday. We said in our latest report last Friday that Ripple was undervalued and this weekend it found buyers that could push the price above 0.21, our target, Then on Sunday, it suffered a pullback, product of the weakness of this asset. Currently, it is moving in the upper side of the Bollinger Bands, and the Bands heading upward, which is good for this asset, as the RSI is making a correction towards the middle of the range.

Technical  Factors
  • Linear regression channel has a positive slope +
  • The price near the +1 sigma line of the Bollinger bands +
  • Price above its 50-period SMA +
  • Bollinger bands curving up +
  • RSI  retracing –
Ripple’s Outlook

Ripple is holding above $0.20 and made a higher high above the range it was moving after May’s ten slide. This and the majority of the technical indicators hint to an upside continuation. We think the next target should be $0.22 and 0.2265.

Pivot Points
SupportPivotResistance
0.180.19710.219
0.1580.236
0.1420.2575