Cryptocurrency Market Analysis - the Big 3 and Privacy Coins

Hello everyone, RedCar is here to tear through some cryptocurrency markets!

There is a lot of bad TA that happens out here in the crypto-space; I'm not saying that I'm a master, but I think you'll find my analysis to be safe and consistent. Anyway, there are pictures of my charts to help show what I'm talking about here today, so let's dive right into it.

It looks like Bitcoin is in a tough spot with 2 weeks of losses in the markets. It looks like there could be a decent buy in area forming in the next few months from approximately the $6100-$6900 USD. If the breakout occurs, we could potentially see it rise back over $10,000 USD, with the cloud resistance topping out around $12,000 for both the daily and weekly BTC/USD chart. The bulls still control the price momentum at the moment, as the Heiken Ashi shows as well as the RSI and Volume indicators; it still seems like a good time to get ready for a re-entry to the market if you missed the dip under $6,000 USD.

Turning to ETH/USD market, it looks even worse! ETH is just getting slashed apart by the bears. Maybe this is partially an effect of the ICOs utilizing the incredible ICO funds received in their token sales? Not likely, since they receive other coins and tokens in their token sales, but it should be a thing to consider. With Fibonacci re-tracement from the last high of around $1420, it looks like the next big resistance point to watch is at $335 USD as we already broke through the 542.34 resistance point. There could be a little bounce around $460 USD to the $542 fib retracement along the way. We will have to wait to see if we get any signals for a bounce around there, but we could still easily drop further from there, but going short looks like the move for the week.

LTC/USD doesn't look super promising, but you can draw a bull flag in the daily chart that we are nearing the end of. If we get that breakout, we could be seeing highs in the $240's. My safe target would be around $210 USD. If the volume comes in, we could be in for some easy money here as there are slim pickings apart from pump and dumps. RSI is looking like it's oversold, but so is the rest of the market's, and it isn't always a great indicator on it's own, but it is promising if we get a few other bullish indications.

On to the privacy currencies!

On a general scale, it looks like all the privacy alt-coins have taken the biggest hit out of most of the categories of alt-coins and tokens. However, if Bitcoin continues it's drop, the privacy coins could potentially be a good place to diversify if you do not want to exit the market.

May as well start with my favorite, Monero, XMR/BTC market specifically. The news is that there may have been some ASICS developed for mining Monero, and Monero is about to hard-fork. I had hoped that the hard-fork would be attracting a lot of investors, but I suppose this hard-fork has also been postponed once already, so we don't have too much positive movement in this market at the moment. Taking a look at the daily chart, it looks like we have entered our resistance cloud. Hopefully, it holds and we can get a bounce somewhere in this cloud or at the bottom (~.021). It also looks like we could be forming the beginning of a W formation, so potentially a good buy point here this week if the momentum continues to shift.

The ZEN/BTC market is looking nice at the moment after a big drop to the bottom of the range it has been forming over the past few months. If you mine equihash coins, this may be a more profitable chain to mine on for awhile. Once the uptrend begins, I'm thinking prices in the .003-.0035 will be met before we hit some resistance. An inverse head and shoulders forming as well on the daily chart with us being at the head right now, so lots of potential if we remain in the IHS pattern.

Zcash is struggling lately as most of the privacy coins, as one of the more popular coins to mine other than Ethereum it's especially a big hit for miners in the market. Good news is that there is a light at the end of the tunnel! The ZEC/BTC chart is looking a lot like Monero's chart to me, so if miners can afford to hold on to their earning for the week, we could find that those earnings gain 20% or more instead of decreasing. I wouldn't recommend trading into ZEC at the moment, but the time could come soon in the coming 2 weeks. Catching a falling knife is usually not worth the risk.

I suppose I should touch on DASH. Seemingly ever since the X11 ASICS became available to the general public, the DASH price has been tanking. I don't feel like this is a coincidence. The DASH marketplace appears to be at the hands of the miners selling everything they mine to cover their costs. What else can they do when the miners are just not very efficient and the price just keeps dropping? All the other X11 coins aren't doing very well either, so it's a tough spot to be in. Operating costs have to be met to keep them running, or they have to turn them off. I don't see too many for sale on the markets though, so somebody has to be running them for less than $3 USD a day of DASH. Hard to recommend this as an investment unless you have enough for a masternode.

I think that will wrap up the analysis for now. If you want me to take a look at another market, please comment and let me know. Always happy to look into any market that is trading on a major exchange. Will be posting more analysis in the coming week for other markets.

RedCar is an experienced crypto trader, but can not promise that profits will result from following advice given here. Crypto-currencies can be a tough game if you have been around for awhile. Positions taken by RedCar may not be suitable or safe for you. Please be aware of your risk tolerance; if you cannot sleep at night you have too much exposure in the market.

Please invest responsibly. Never invest more than you can afford to lose. Learn to use tradingview, it's has some great tools for you to utilize in charting. The charts you see here are made from my tradingview account.

Thanks for stopping by,
RedCar