Bitcoin (BTC), Ethereum (ETH), Cardano (ADA) Talikng Points:
- Bitcoin (BTC/USD) tests trendline support after breaking below $48,000
- Ether (ETH/USD) rebounds from $3,000
- Cardano (ADA/USD) holds firm above key Fibonacci resistance at $2.50
- Explosions in Kabul Afghanistan weigh on risk sentiment; major risk events may provide an additional catalyst for both volatility and price action
Bitcoin (BTC/USD), Ether (ETH/USD) and Cardano (ADA/USD) have suffered losses after an impressive rally earlier this week. The move that saw Bitcoin (BTC/USD) retest $50,000, a level last seen in May, also allowed Cardano (ADA/USD) to reach an all-time high of $2.97 and pushed the total market cap of the crypto sphere back above $2 Trillion.
With risk sentiment now focused on both the Kabul attacks and the Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, crypto prices remain on high alert despite a slight recovery from Thursday’s slide.
Related Articles: How Will Jackson Hole Impact the US Dollar, Stocks and Gold?
Bitcoin (BTC/USD) Threatens Trendline Support
After climbing back above $50,000 earlier this week, BTC/USD plunged to $46,300 before reclaiming $47,000 which continues to provide support for the bulls,. As prices continue to track the 8-period Exponential Moving Average (EMA), the Commodity Channel Index (CCI) has fallen below , an indication that the momentum of the uptrend has been losing steam
Bitcoin (BTC/USD) Daily Chart
Chart prepared by Tammy Da Costa using TradingView
For now, a break below $47,000 could see Bitcoin prices testing the next level of support at $42,293, the 38.2% Fibonacci retracement level of the April – June 2021 move.
Cardano (ADA/USD) Retreats from All-Time High
Cardano (ADA/USD) prices currently remain supported by the key psychological level of $2.50 which continues to provide support for the imminent move. After surging a massive 189% from the July 2021 low of $0.98, ADA bulls ran into a wall of resistance at the key psychological level of $3.00 before retracing back to prior resistance, turned support of $2.5.
As prices continue to cling to the 8-period Exponential Moving Average (EMA), the Commodity Channel Index (CCI) remains in overbought territory, threatening to cross back within range.
Cardano (ADA/USD) Daily Chart
Chart prepared by Tammy Da Costa using TradingView
--- Written by Tammy Da Costa, Analyst for DailyFX.com
Contact and follow Tammy on Twitter: @Tams707
