BTC/USD & ETH/USD Appear Poised for Another Dive Lower
BTC & ETH Technical Highlights:
- BTC/USD sideways price action to lead to big move lower
- ETH/USD forming a descending wedge that should lead to selling
BTC/USD has been dead in the water for the past couple of months after the spring sell-off. This type of price behavior doesn’t bode well for it moving forward. The next targeted level of support below 28600 is the 2017 high at 19666.
ETH/USD has been in the process of developing a descending wedge, a pattern that is set to lead it lower. The 1420 area is an important one to watch. If it can’t hold a broader move below 1k could unfold.
Longer-term, looking at the weekly log charts, both cryptocurrencies will remain in uptrends even if they experience another round of violent selling. Something to keep in mind despite the bearish near-term outlook and how far they are off their record highs.
For the full details, check out the video above.
BTC/USD Daily Chart
ETH/USD Daily Chart
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---Written by Paul Robinson, Market Analyst
You can follow Paul on Twitter at @PaulRobinsonFX
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.