Daily Crypto Analysis - 8th Feb - Technical AnalysissteemCreated with Sketch.

Bitcoin

Bitstamp:BTCUSD 1h
(Bitstamp:BTCUSD 1h)

Bitcoin dropped back down to around the $7625 support after the bearish divergence, which was noted yesterday, before then retesting the highs of the bounce to form a double top.
This is a bearish sign, and the low volume towards the top of this movement supports this. The first level to watch is the $7625 support, which was rejected on the last drop, followed by the 38.2% support. Past that, we'll have to keep a keen eye out for a double bottom forming prior to the $6000 support.
After such a sharp correction in the past few weeks, a bullish trend reversal is on the table. So far there doesn't appear bullish divergence on the MACD and RSI on higher time frames, but this doesn't necessarily meant the trend will continue.


Ethereum

Bitstamp:ETHBTC 1h
(Bitstamp:ETHBTC 1h)

The ETHBTC ratio has broken the 0.0994 support and is moving to retest lower supports once more. There appears to be strong support at the 0.0940 level, as this is where the last dip reversed. We'll have to watch for how Ethereum reacts to Bitcoin's next bearish leg, and whether it can form a strong support zone or counter-trend move.


Bitcoin Cash

Poloniex:BCHBTC 1h
(Poloniex:BCHBTC 1h)

Bitcoin Cash has seen a huge breakout upwards on the ratio after the descending wedge and bullish divergence. The volume on these spikes has picked up massively and we've broken several historical resistance lines. There appears to be the possibility of slight bearish divergence on the RSI and MACD for the second spike, so it is advisable to wait for a bit of a consolidation trend before buying as a place to buy into the trend.


NEO

Binance:NEOBTC 1h
(Binance:NEOBTC 1h)

Neo seems to still be following the general BTCUSD trend, so we may see it dropping along with Bitcoin. However, due to its stronger bounce, Neo has a much higher chance than Bitcoin to form a double bottom. The supports to watch come at 1280, 1220 and 1200.


Cardano

Bittrex:ADABTC 1h
(Bittrex:ADABTC 1h)

Cardano couldn't hold the support level on the retest and has broken down to around the 76.8% support. We'll have to watch for the formation of a different support zone, but at the moment this looks fairly bearish, especially with the possibility of another BTCUSD dip.


Litecoin

Poloniex:LTCBTC 1h(Poloniex:LTCBTC 1h)

Litecoin is currently retesting the support levels of its consolidation zone. Volume remained relatively low during the drop, suggesting that the market is less interested in bearish movement at the moment. While the drop briefly broke the support level, it didn't reach as low as the initial dip which brought us into the trading level. There is always the possibility of an unexpected drop through support, so position sizes should be kept in proportion relative to the risk, but for the moment this still looks bullish.


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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