Bitcoin, Bitcoin Cash, Ethereum, Ripple: Prices, Charts and Analysis
- Bitcoin Cash stuck in oversold territory.
- Below USD100 billion market cap will trigger a wave of negative headlines.
Cryptocurrency Market Drifting Lower
A range of cryptos are in oversold territory, using the RSI indicator, and may bounce in the short-term although gains will likely be limited. Charts continue to paint a long-term negative picture with lower highs continuing to dominate. Markets are becoming stretched on the downside, while trading ranges remain tight and volumes remain low. Bitcoin Cash (BCH) looks increasingly oversold and may move higher in the short-term.
Bitcoin Cash (BCH) Daily Price Chart (February – December 5, 2018)
The cryptocurrency market cap currently stands around USD125 billion, just USD10 billion off this year’s low. If Bitcoin (BTC) falls to the next support level around USD2,970, then overall market cap will near or break below USD100 billion, triggering a round of negative headlines. Recall that this time last year, market commentary was suggesting a market cap of USD1 trillion or more.
Investors remain net-long cryptocurrencies but recent changes give us a mixed trading bias – for example the number of traders net-short Bitcoin is up from last week. .
If you are interested in trading Bitcoin, Bitcoin Cash, Ethereum, Litecoin or Ripple you can download your free Introduction to Bitcoin Trading Guide.
What’s your opinion on the latest cryptocurrency sell-off? Share your thoughts and ideas with us using the comments section at the end of the article or you can contact me on Twitter @nickcawley1 or via email at nicholas.cawley@ig.com.
--- Written by Nick Cawley, Analyst.
