Recently, Michael Novogratz, the founder of virtual property management company Galaxy digital, restated his belief that digital currencies have reached the bottom of their pits, but a comeback is imminent.
Another famous billionaire, Tim Draper is unconcerned by the persistent drop in crypto markets, terming the situation as a golden investing opportunity and sticking to his prediction of $250,000 by 2022. Regarding the daily crypto news, the hack of Japanese cryptocurrency exchange Zaif has not influenced panic selling, meaning that the bears are presently inept to exploit on hostile headlines.
Financial experts will agree with me that when a property class does not decline on the hostile news but gains on minor positives, it shows that investors are searching for reasons to invest. So, which are the digital currencies that are exhibiting a bottom formation? The answers to this question are contained in the discussions below.
BTC has broken out of both its moving averages. The giant cryptocurrency is now anticipated to rise to the downtrend mark of the descending triangle, which is thought to be its stiff resistance. The coin has dropped four times from this level, making a lower high every time.
The sequence will be overwhelmed if the market bulls can drive the value above the former lower high of $7413.46. The move will invalidate the descending triangle, which is a bullish signal.
The estimated target prices of BTC are $7413.46 and $8566.4 by the end of 2018.
Ethereum has not been part of the pullback. For the last three weeks, the coin has been deteriorating below the 50-day SMA and within the plunging channel.
The coin’s 20-day EMA has flattened out and its RSI is also striving to rise to the positive territory, implying that panic selling has subsided.
If the ETH/USD pair flops below the 50-day SMA, the coin might remain bound and cling to a bottoming structure.
Ripple has gained by more than 184% within the past four days, breaking out of its downward level with more momentum. The moving averages of XRP have finished their bullish crossover and its RSI has reached the overbought region for the first time since April 2018.
The essential mark to watch out on the positive side is $0.70- its stiff resistance.
Bitcoin Cash has shown a positive pull back trend just like many other major digital currencies. The coin broke out of its 20-day EMA and can now reach its 50-day SMA positioned slightly below the resistance mark of its descending channel.
The marks to put our eye sights on the upward trend are $660 and $880.
This coin has gone past both its moving averages and its overhead resistance at $5.65. It is now projected to reach $6.8299 before the beginning of next year.
The bulls might encounter selling in the range between $6.8299 to $7.324. If the coin rises above this region, the rally can go up to $8.
Litecoin has broken out of its downtrend mark and its 20-day EMA. However, the currency is currently encountering resistance at 50-day SMA.
Market bulls have not risen above its 50-day SMA since 16th May 2018. This is the point to watch out because any rise above this mark will imply a probable change in trend.
The market bulls positively sustained the 50-day SMA on Monero for two days- from September 17th to 19th- and have risen above the downtrend mark. XMR’s 20-day EMA has risen while its 50-day SMA has flattened out. Its RSI has also reached the coin’s positive zone.
All these indicators suggest that the path of least resistance of XMR is to the upside.