Home Daily Analysis Crypto Market sentiment Crypto Brief, August 27 – Range-bound Price Action

Crypto Brief, August 27 – Range-bound Price Action

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Cryptocurrencies continue moving in a range. Yesterday, after a significant bullish impulse, Bitcoin could not move above $10,400. Currently, digital currencies are valued around 2% less than 24 hours before. The market capitalisation is now $264.87, and Bitcoin dominance is 68.9%

The below heat map shows that the drop is almost homogeneous across the board, except for Binance coin which drops 4.15%.

What is happening?

 Binance announced the launch of a lending platform. I will return up to 15% annualised interest rate for 14-day fixed-term deposit.

More information by cryptoslate.com.

Craig Wright lost the case against the deceased programmer and former business partner Dave Klieman. The Court found Wright guilty of perjury about his alleged bitcoin creation and has ordered to return 50% of the BTC that Wright held before the 2013 year-end to the Klieman estate. The BTC amount to give back goes beyond one billion dollars, although Wright can still appeal the decision.

“Dr.Wright is Dishonest. He is a Serial Forger!” – Magistrate Judge Bruce Reinhart

Source: coingape.com.

Brazil Central bank adopts International Monetary Fund guidelines for crypto classification. Traded cryptocurrencies will be listed as non-financial assets and will be considered as goods on the BCB balance sheet. Source: cointelegraph.com.

FINMA, the Swiss financial regulator, has approved two applications for banking licenses issued for blockchain business. Source ccn.com.

 

Technical Analysis

Bitcoin



Bitcoin drifts sideways, currently in the middle of the range between $9,758 and $10,472. The descending trendline has been traversed, so now the sideways action is official. The MACD is still somewhat bullish.


The daily chart shows a bullish bias. We can observe that the stochastics is pointing upward and the MACD, although still in a bearish phase, its histogram approaches the zero-line, where a crossover to a bullish phase will take place.

Finally, in view that the $10,000 support seems to be too strong to break, for some BTC holders, this might be a good place to add to their positions. Conservative investors might wait for BTC to close above $10,500.

Ripple


Ripple continues following the descending trendline. Currently near the 0.266 level. MACD slightly bearish and stochastics is near the oversold area. XRP seems to try to find a bottom.  Volume is low so that a buying spike can send hit back to 0.28.

Ethereum


 Ethereum is moving in a sideway triangular formation, but still, the underlying trend is bearish. The triangular structure usually is a continuation pattern. Therefore, the main scenario is for more ETH descents. MACD and Sthoch are aiming in this direction.
A close above $195 would be a good trigger to go long since we see high volume in the last bullish candle that shows buyers are looking for a reason to buy.

Litecoin


 Litecoin is moving in a lateral channel, but the daily chart shows it is on the edge of a formation that resembles a large head-and-shoulders pattern.
A failure of the current supports would push the price to $60. That is dubious, though, as supports seems to hold and, also we see volume in the bullish candles as observed in the 4H chart.
MACD and Stochastics indicate LTC probable future direction could the upside. The confirmation will occur when the price closes above this sideways structure.

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