STEEM/BTC - Technical Analysis 6-17-2017

With STEEM solidly back above $2 and Bitcoin looking ready to challenge $3000 again, let's see where the ratio between them is and what we can expect in the next couple of days. Since STEEM has been base-building, there is no reason to dial into the short-term charts.

One Month Chart

STEEM continues to build a strong base above 0.75mBTC. The last attempted bullish breakout happened on uninspiring volume which is why it failed to rally back to the 0.88mBTC level. That's the bad news, the good news is that volume continues to dry up, implying a dearth of sellers at these levels. If this latest pullback fails to fall back to longer-term support it raises the probability of a move higher versus BTC.

Three Month Chart

The picture is even clearer on the 3-month chart. 0.8mBTC could develop into an interim low from which a breakout can occur because the range of the recent bars are so small. STEEM really looks like it wants to break higher versus BTC. It will likely do so since Bitcoin is surging on a daily basis, off the spike low near $2050.

If Bitcoin closes today above $2550, that would signal a lot more buying coming in and another attempt at $3000. This should be good for STEEM as well and we could see prices push back up over $2.50.