The cryptocurrencies have been dominated by bear markets. In the analysis below, Cardano (ADA), EOS and NEO selling pressures have been exhausted in September and the downtrend terminated. Interestingly, these coins’ upward move has been scuttled due to a lack of buying power at higher levels. In the case of DASH and TRON (TRX), the coins are still consolidating at the bottom. A break below the current low will signaled the resumption of a downtrend.
ADA/USD Major Trend: Ranging
Cardano (ADA) was originally in a bear market. The downtrend has given way to a sideways trend. The bear market was suspended when the bearish impulse fell to the low of $0.037 and commenced a sideways move in September. In December, the ADA is trading in a tight range of $0.030 and $0.045. Presently, the bulls are making an upward move to the recent high.
On the upside, if price breaks above the 12-day EMA and the 26-day EMA and it is sustained, ADA will rise and retest $0.045. Conversely, the cryptocurrency will depreciate further if the support is breached. ADA sideways move may continue if the EMAs remain intact. Meanwhile, the Fibonacci tool indicates that ADA will trade and reverse at the 1.272 extension level or $0.033 equivalent.
TRX/USD Major Trend: Bearish
TRON (TRX) is still in a bear market as the price fell to a low of $0.012. As the market fell to its low, the price corrected upward but failed to break the resistance at $0.016. TRX fell again to the low of $0.013 and commenced a sideways move. Nevertheless, the downtrend will resume if the bears break the low at $0.012.
TRX will be in an uptrend if the bulls break above the $0.020 price level. From the Fibonacci tool, a candle body tested the 0.618 retracement level indicating the selling pressure may continue to the low of 1.618 extension levels. TRON is also approaching the oversold region below a 25% range of the daily stochastic. The coin is in bearish momentum.
EOS/USD Major Trend: Ranging
EOS was earlier in a bear market but selling pressure has been exhausted as the coin trades in a sideways trend. The last bearish impulse was in September as the market fluctuates above the $2.50 support level. The coin rebounded at the support twice but the upward move has been hampered due to lack of buyers at higher price levels.
The coin is presumed to have reversed as the bulls broke the downtrend line and closed above it. This is also confirmed by the Fibonacci tool as it indicates reversal at the 1.272 extension level. Meanwhile, the Relative Strength Index period 14 level 52 indicates that EOS is rising.
DASH /USD Major Trend: Bearish
DASH is in a bear market but the downward move has been smooth as the coin nose-dived to the low of $40. In the initial bearish impulse, the coin reached a low of $100 from the high of $180 in July. After a retest at $120, the coin dropped to the low of $80 and $40.
In December and January, the bears tested the $40 support and rebounded thrice. The upward move has been hampered because of insufficient buyers at a higher price level. DASH is currently trading above the 40% range of the daily stochastic. This implies that the market is in a bullish momentum.
NEO/USD Major Trend: Ranging
NEO was earlier in a bear market but the bearish trend was exhausted in September at a low of $7.0. At the low of $7.0, NEO commenced a range bound movement above the support. The price corrected upward to a high of $13 but was repelled. NEO is now consolidating above the low of $8.0.
During the bear market, a bull candlestick testing the 0.786 retracement level giving us the clue that NEO is likely to reverse at the 1.272 extension level. From the price action, the market has reversed at the Fibonacci extension level. Meanwhile, the RSI period 14 level 50 indicates that the price is likely to rise.
Read original at Coinfomania
Author: Mustapha Azeez