It is a daily technical analysis by Coindesk analyst and chartered market technician Omkar Godbole.
There is an old saying, “Once there is a chance, twice a coincidence, and a third time a trend.”
This applies to bitcoin
Now. The price of cryptocurrency is back to its 50-day simple moving average (SMA), which offered support on two occasions this month, which led to the price bounce.
Therefore, the latest of the average presents an opportunity to establish a trend for the re-test bulls in which the 50-day SMA provides more strength to the new legs. In contrast, the collapse of 50-day SMA support may invite strong sales pressure, possibly leading to a dip below $ 100,000.
At the press time, the bear case appears stronger due to signs of bull fatigue, as is evident from the recent shallow bouncing from the 50-day SMA. The first test of average on 5 June produced a jump of about $ 100,500 to more than $ 10,000. However, on 17 June, the second test of SMA saw a rise in prices from only $ 103,000 to $ 109,000.
The dosy candle of the previous week also suggests bull fatigue above $ 100,000.
A high-length step is required above $ 110,000 to restore the outlook immediately.
XRP led Dogge Way?
Payment-focused cryptocurrency xRP
Ichimoku is trading at the bottom of Cloud, a speed indicator based on several moving average variants and developed by a Japanese journalist in the 1960s.
The crossover above and below the cloud is said to represent speed and change of recession.
When the price of an asset crosses under the cloud, as a dogcoin
Earlier this month, it typically indicates the trend of a slowdown. Traders often interpret as an indication to consider selling or reduce property, especially if other macro or technical indicator confirm the signal.
The 50-day SMA of XRP has already exceeded the 200-day SMA to confirm a recession indicator, the so-called death cross. Therefore, a possible step below Ichimoku Cloud may prove to be expensive for the bear, possibly opening the door for a slide below $ 2.
On the chart, the support is seen directly at $ 1.60, in early April. Coins such as Dogi, ADA and Link have fallen below their respective Ichimoku clouds in recent times, resulting in value loss.
