Bitcoin breaks out of triangle but faces resistance
Bitcoin broke above the triangle forming since the all time high of $42k. This is the second attempted break out of the triangle, last breaking out 4 days ago on Jan 29th, only to be pushed back into the triangle by sellers.
There is a line of resistance around $34800, where buyers and sellers are battling, posting 3 consecutive 4hr candlestick closings in this area.
What we are looking to see: Bitcoin break above the $34800 and hold the $34800 level before making moves to the upside.
Ethereum posts all time high, still trading in an upwards channel
Ethereum is currently in an uptrend and trading in an upwards channel. Ethereum broke the all time high posted just over a week ago on Jan 25th of $1476. The price reached an all time high of $1501 earlier today, before sellers pushed the price down to $1476.
What we are watching for: The last all time high of $1476 was followed by a brief sell off, most likely from profit taking. Ethereum rebounded quickly, and buyers and sellers are battling around the $1476 level. We expect to see more movement to the upside, posting new all time highs.
Uniswap posts another massive week
Uniswap is up 60% over the past 7 days, continuing its ascent from $1 only 5 months ago. The DeFi platform is still in the early stages, and could see further moves to the upside as traders find what the fair price of the token is. Uniswap posted its all time high of $20 yesterday, Feb 1, and is currently consolidating, trading in a sideways pattern. This is indicative of sellers taking profit, and new buyers coming in to buy UNI, keeping the price steady for the moment.
What we are looking to see: Anytime the price of an asset rises really fast, it has to consolidate. This is a healthy process, and UNI looks like it might be starting to enter a phase of consolidation. After a healthy cooling off period, we expect to see more moves to the upside, especially since UNI keeps posting higher lows
Dogecoin Surges +400% in GME like move
Dogecoin rallied almost 400% as traders pumped the coin. Elon Musk provided commentary to the action, joking last night on a podcast that doge could become the “currency of the earth”. The surge in interest to dogecoin is attributed to its low price and low volume, allowing an influx of buyers to push the price up.
The price is currently consolidating after posting 400% gains in only two days, which are fantastic gains for anyone.
What we are watching for: Dogecoin is likely to continue a sell off to the downside, as traders take profits from the massive gains.
XRP Falls 50% Monday
News of an SEC lawsuit against XRP a little over a month ago saw an immediate sell off of over 70%. XRP is climbing its way back up to levels before the lawsuit, and posting massive price swings in the process. Notice the huge red candlesticks and the huge green candlesticks in the chart below.
Traders were able to push XRP up prices seen before the SEC lawsuit, pumping the price over 120% before a massive sell off happened.
What we are looking to see: XRP is seeing extreme levels of volatility, and with an SEC lawsuit hanging over the cryptocurrency the risks are very high. XRP is fighting back against the SEC, asccusing the regulatory body of picking winners and losers, and distorting the facts.