Mixed sentiment with still upside potential

Fundamental Data

The currently negative sentiment in the equity market also caused some setbacks in the crypto space. However, the generally positive trend has not faded much and prices of most tokens only corrected slightly. It might be interesting to observe if stocks will fall further. In particular the Nasdaq should be mentioned here as it can act as guidance also for the risk sentiment in the crypto market.

On another note, Bitcoin might face positive news moving forward. Blackrock, Fidelity, Strategy as well as Coinbase and Galaxy will form a partnership to support the safety of the Bitcoin network. The amount of 15 million US- dollar for open- source developments will be provided. The focus of this will be to prevent potential risks posed by quantum computers. Such move might also be of positive nature in order to support prices from correcting further.

Technical Analysis

BTC – Bitcoin is trading at USD 64,386. The price of Bitcoin has been rising slightly within the last trading week and ended in a sideways pattern. However, the market initially tried to march higher but has not been able to cross the important technical resistance level of 65,000 USD.

BTCUSD daily chart

This might now cause the price moving lower if one focuses on the weekly chart. Yet, the daily chart is currently suggesting that upside momentum might also be on the cards. Since the 14^th of July BTC has been able to trade above the 50- moving average zone, which can be found in the chart above. If the price will be able to stabilize there and can continue to trade above that level more upside momentum might be on the cards.

ETH – Ethereum is currently trading at USD 1,880. With our focus on the monthly chart today the price seems to be still able to climb higher. Losses from earlier in the month have been regained and the recent technical support zone of 1,880 USD has also been crossed.

ETHUSD monthly chart

For now, the candlestick pattern above looks very constructive. If the price remains on top of the rising trendline the 2,000 USD area will remain in reach. More upside momentum might depend on the overall risk sentiment in markets but currently the positive momentum might be due to continue. Only below the lows of 1,600 USD downside momentum might increase.

XRP – Ripple is currently trading at USD 1.0951. Comparing Ripple to Ethereum the market looks completely different. While ETH has been rising substantially, the positive momentum of XRP can’t be found.

 XRPUSD monthly chart

Instead, based on the monthly chart above this market has not been able to rise. The 50- moving average zone continues to act as a burden and might continue to push the market lower. While a break above is needed to ignite fresh upside momentum the falling trend might now gear up steam. Especially below parity the downside pressure might increase pulling Ripple back down towards 0.5300.

SOL – Solana is currently trading at USD 74.71. During the last trading week this market has barely moved. The currently small candlesticks indicate that a potentially new trigger is needed in order to develop a new trend. While the market looks like it has found a support area for now no significant upside can be observed as well.

SOLUSD weekly chart

Traders might be better off waiting for a new trend to emerge. Above the recent resistance zone of 82.00 USD more upside momentum might follow. Vice versa below the technical support level at 63.00 USD the downtrend might face fresh momentum. In general, also Solana looks set to face more profit taking moving forward.