So, BTC has been struggling for a while now, on it's way down from 20k it has bounced twice on the 300 Moving Average (at 6k and at 7.2k) a really strong support that wasn't touched since 2015.
Right now, BTC is fighting between support at 8.4k and resistance at 9k and many people think it is going to fail to touch 6k again or even lower. Scenario that would mean failure of the 300 MA, which would be catastrophic, just look at it yourself the last time it failed to the downside in 2014.
However, If we look to the rest of the crypto market, we could find reasons to believe that the 300 MA is going to resist (for a while at least) and we could see a bounce (or even a trend reversal) of the entire crypto market. Why? because there are a lot of Cryptos that have already went outside their down trend and look to be ready for another fight up! Forming inverse H&S patterns and even bouncing already.
Some examples are:
Bitshares has been increasing its value against BTC for a few days already, in the chart it looks how it managed to form and inverse H&S against USD and its forming a nice U reversal against BTC, just like the one it formed last year.
IOTA has came outside its down trend, has also formed an Inverse H&S and has proven 1 USD to be a strong support.
LTC has also formed an Inverse H&S against USD
And there are cryptos that have already bounced like EOS, TRON, ICX, etc.
However, there are others, such as ETH that don't look so good...
Perhaps its a matter of some coins and not other, but I like to think of it as an indicator of a good entry point in the crypto market. I'll be monitoring BTC as the main indicator of the entire market as it has been for the past years and a I'll keep looking at the 300 MA closely!!
Obviously this is not financial advice, it is just my first steemit post and opinion!!
Hey @daraz, the markets are pretty crazy right now. Crypto is back to a weird space but I know long term it's still what we're all hoping it will be! Cheers
Found this on Investing.com! 😉
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