Market trends bulletin — Insights 2.0 vol 2
By: Team Koinex
Tags: Zilliqa, Cryptocurrency, Ethereum, Analysis, Bitcoin

Overall Market Analysis:

Bitcoin is currently trading at 6322$ (as of 12 August 2018, 9.38 PM (IST)). Bitcoin fell sharply on Wednesday after the U.S. Securities and Exchange Commission (SEC) delayed a decision on a proposed bitcoin exchange-traded fund (ETF).

Bitcoin (BTC):

Bitcoin is currently trading at 6322$ (as of 12 August 2018, 9.38 PM (IST)) with rise of 1.41 % in last 24 hours.

Our Insights 2.0 edition last week(Vol 1) traced a trendline (June 2017 high, Sept 2017 low and June-July 2018 low) and as anticipated, BTC has tested and bounced from this uptrend line. This trendline support looks strong and less likely to break. BTC broke weekly the downtrend line resistance 3 weeks back which is also acting as a retest support now. So this combination of uptrend line and downtrend line with Fibonacci 78% retracement level is acting as Support 1 (6100–6200$) for BTC as shown in chart. If bitcoin holds the crucial Support 1 then bulls will try to test a first resistance level of 7500$. The second major support on the bitcoin chart is in the range of 4500$-5000$ which was the selloff zone of a strong rally in the mid of August 2017. If the price of bitcoin rallies on strong volume and give a close above resistance level of 7500$ then a strong acceleration can be expected on the upside. However, a failure to hold 6100$ will see bitcoin testing lower support levels.

As per daily timeframe, trend reversal candles are acting as Support (6100–6200$). The daily chart shows BTC daily candle have formed Bullish tweezer bottom pattern which represents that market has found the bottom and uptrend may begin. So we may have a Bullish scenario, if BTC hold this Support level (6100–6200$) and we will witness an uptrend. But if BTC break this Support level (6900–6200$) then it may start moving towards 4500–5000$, a Bearish scenario.

Ethereum (ETH):

Ethereum is currently trading at 322$ (as of 12 August 2018, 9.38 PM (IST)) with rise of 4.50 % in last 24 hours.

The daily trend of Ethereum is bearish followed by a continuous formation of lower highs and lower bottoms. ETH has broken all major supports and tested weak support 1 (300–312$). ETH daily candle represents the heavy sell off that happened, but few Bulls filled their bag at weak support 1(300$) and closed daily candle at 317$. The volumes for the last week gone by has remained on the lower side further substantiating a bearish outlook. There exists a weak support on 300–312$ if this level gets taken out than move can accelerate on the downside to the levels of 260–270$. So the Bullish scenario will be, if daily candle closes with some bullish pattern and then uptrend may begin. While we might have a Bearish scenario, if Bulls fails to hold this weak Support level 1 (300–312$) and we see breakdown towards next Support level 2 (260–270$).

Zilliqa (ZILBTC):

ZILBTC is currently trading at 566 Sats (as of 12 August 2018, 11.59 PM (IST)) with fall of 1.55% in last 24 hours.

On the 4-hour chart ZIL has formed a double bottom pattern which indicates that the downfall in the price on an hour basis will be restricted. A positive divergence can be observed where RSI has strengthened but the price action has been muted. If the 4-hour candles close with some bullish pattern, a decent rally with a positive bias can be expected. On the other hand, if ZIL is unable to hold on to 566 Satoshis support level then ZIL can see downward levels in zone of 487 Satoshis which is the next support level.