Bitcoin still Consolidating, but Monero and Nano Looking for Growth
- BTC still ranging, testing support indicative of buyer exhaustion.
- Monero seeks to develop a bullish market structure.
- Nano has broken out of the 3-month range.
BTC/USD Daily 1
BTC/USD Hourly 4
Bitcoin has been ranging for 2 weeks between the $9k and $9.4k mark. It has struggled to remain above or below this range multiple times, and now bears are taking another shot at breaking the lower support line at $9k.
If this support level breaks, Bitcoin will likely revisit the $8.7k level and possibly $8.4k. At these levels, though, a bullish market structure would still be maintained as long as price remains within the boundaries of the wedge.
However, if bulls takeover and price breaks to the upside, momentum would likely take the price beyond the range ceiling at $9.4K towards the $9.7k area. At this point, a daily close above the $9.7k resistance level would signal a bullish intention rally.
Do not get carried away, though, because the next major cyclical resistance sits at the $11.5k mark, and only once price breaks and holds above this supply zone will bulls be called in for the next major rally.
XMR/BTC Daily 1
XMR/BTC Hourly 4
Monero had been on a steady downtrend since its major high in March 2018. The decline has taken the form of sudden drops followed by long periods of consolidation before further drops.
Currently, Monero is not showing strong signs of a reversal.
Indeed, price finds itself in an ascending triangle, which could be indicative of a reversal. However, given the history of rejection when price revisits range lows after falling through them, it is important to remain prudent at the 0.007 level. If the price makes a breakthrough, it will have to retest the 0.00745 level and consolidate above it to gather momentum.
On the other hand, if the price does not break 0.007, it will likely fall to the 0.0063 demand zone, breaking the ascending triangle and indicating the market is still in the accumulation phase.
NANO/BTC Daily 1
NANO/BTC Hourly 4
After months of down trending, Nano broke through and consolidated above its range high at 0.001. It is now on track to retest the 0.0012 local resistance.
If the price controls this area, the next supply zone rests at 0.0014 swings high. Here price will likely face much supply pressure given that this zone was first tested as support in August 2018, followed by a failed retest in June this year, has since then become a resistance zone.
However, if the price does not retest this pivot area and instead moves downwards, it will have to retest the flipped resistance level at 0.001. Breaking this, the next support levels stand at 0.0000944 and 0.0000845.