Daily Crypto Analysis - 14th Jan - Technical Analysis

Bitcoin

Bitstamp:BTCUSD 4h
(Bitstamp:BTCUSD 4h)

Bitcoin did not end up pushing higher out of the flat channel, meaning that the failed break formed a lower high. We then saw a swift drop to make a retest of the major support line. Since the support is ascending, a rejection here would form a good double bottom, but I would wait until we break upwards of the channel before calling that structure.
Overall Bitcoin isn't looking particularly strong in the short term, so a break through the support is a distinct possibility, but until we see a high volume break through that support I would advise bears to remain cautious.

Ethereum

Bitstamp:ETHUSD 1h
(Bitstamp:ETHUSD 1h)

As expected, Ethereum saw a pullback from its test of new highs. At the moment we're seeing a bounce off the 38.2% support and the historical support. Volume remains low, so it is likely that we will see more consolidation - either further dip to the 50% support or some sideways action.

(Poloniex:ETHBTC 1h)

Ethereum is still consolidating well against Bitcoin. The recent pull back from the test of highs has found good support and could easily break upwards in the near future. Further sideways consolidation would also be a good outcome here, as it would create a stronger base for bull run, but either outcome works.

Bitcoin Cash

Poloniex:BCHBTC 4h
(Bitfinex:BCHBTC 4h)

BCHUSD is still within the same consolidation zone that we've observed over the last few days, so I'll just look at BCHBTC today.
Bitcoin Cash vs Bitcoin is also in a consolidation zone, but currently a much tighter and shorter term zone. This looks like it is preparing for a push higher in the next few days. Volume is still very low, so until that picks up we will remain below resistance, or at least any new trends will be very weak.

Litecoin

Poloniex:LTCBTC 4h
(Poloniex:LTCBTC 4h)

Litecoin has been staying within a very tight trading range for the last month. Based on Wyckoff analysis, it is possible that this is a huge reaccumulation. The volume pattern would suggest that this is a long term consolidation, which would be expected to then break upwards at some point. In general I would say that support is looking pretty strong, even if there is little movement. If/ when this breaks upwards, it will likely be the start of a huge bull run, like the one that got us here in the first place, but I am uncertain when that will occur.

NEO

Bitfinex:NEOBTC 4h
(Bitfinex:NEOBTC 4h)

Over the last month, NEO has seen a huge bull run of almost 500% and so far there is no sign of it stopping. We have so far broken upwards from an ascending channel to form an even steeper trend - a similar situation to Bitcoin's run from $5555 to $19666.
So far there is no bearish divergence on the RSI, and only the possibility of divergence on the MACD, which will likely be rejected as the trend continues upwards.
I would still advise against opening any positions here, as it is always best to open positions during consolidation rather than near local extremes.

Disclaimer

I will do my best to give unbiased, objective analysis, but I can make no promises about my accuracy.
All posts are based on my personal opinions and ideas and do not constitute professional financial investment advice.

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