Bitcoin: the new levels trigger profit taking

Bitcoin: the new levels trigger profit taking

After a perky start to the week , which yesterday saw 2/3 of the main crypto in positive territory and Bitcoin close to the levels of 11,000 dollars, the day continued deflating the initial euphoria .

After reaching the highs of the last week, short-term profit taking prevailed and the day ended in negative, the first after 4 days on the rise.

The day saw profit taking without particular tensions. Volumes contracted, falling below $ 110 billion in total.

Bitcoin remains on the average of the last few days, while the exchanges on Ethereum go down which, while keeping the pieces at the minimum of the last month, with a value of under one billion dollars for the fourth consecutive day, series that has not recorded since mid-July.

coin360 20200929
Source: COIN360.com

Crypto market: OMG best of the day

Today sees the prevalence of negative signs for 70% of cryptocurrencies. Among the top 15 only three are in green, Binance Coin (BNB) over 8% and Polkadot (DOT), + 6%. It is also noted today in countertrend Ripple (XRP), just above parity, + 0.5%. An increase that tries to recover 25 cents even if Ripple is still trapped between 22 and 25 cents, the trend that has characterized it since early September.

The best of the day is OMG Network (OMG) flying beyond 22 %, returning to the levels of early September, 4.50 dollars. It follows at a distance Quant (QNT), + 12%.

Also does very well Decentraland (MANA), decentralized finance project +8 %, same rise as Aragon (ANT).

The total capitalization remains above $ 345 billion. Bitcoin dominance falls below 58% after hitting 59% last week.

The dominance of Ethereum remains above the lowest levels of the last two months, just above 11.5%. The slight rise in Ripple does not move the dominance which remains mired at 3.2%, levels it has recorded since mid-September.

BTC 20200929
Bitcoin chart by Tradingview

Bitcoin (BTC): levels test the 11 thousand dollars

Yesterday’s push brings prices back to test $ 11,000, levels that they saw short-term profit-taking, rejecting prices in the area of ​​$ 10,600. The $ 10,200-10-500 area is the level of support to defend in the medium term.

In the event of a breakdown to the downside, spaces would open up to test the 9,800-9,900 dollars, levels that saw the increase in strength to protect the operators in options.

On the upside it is necessary to go beyond $ 11,300, the level where the strongest hedges are positioned by the operators in options who see in this resistance the first real crucial level to be broken down to attract the bullish force and consequently the purchases.

ETH 20200929 (1)
Ethereum Chart by Tradingview

Ethereum (ETH )

Ethereum also reacts to a step from $ 370 where coatings prevail. ETH maintains the $ 355 threshold very well, a watershed area that sees a battle level between supply and demand after the sinking at the beginning of the month.

A possible return to 320 dollars, levels tested last Wednesday, coincide in these hours with the dynamic bearish trendline that accompanies the rise of Ethereum from the lows of mid-March and which passes from the lows of mid-July.

This is the level that will give in the event of a downward break an indication of a turnaround in the trend from bullish to bearish. This is currently a distant level of over 10% of current prices, so there is still room for maneuver and alarm in the coming days.

Ethereum must consolidate $ 355 to attack the relative highs of mid-September at $ 390, the first real resistance level protected by operators in derivatives in options that see $ 390 and $ 415 as the levels to be reduced to reverse the short-term bearish trend.

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