Bitcoin Chalks Out Lower Price High After Powell, Ether Prints Doji at Lifetime Peak

2 hours ago

This is simply a regular investigation by CoinDesk expert and Chartered Market Technician Omkar Godbole.

Bitcoin: Powell brings bearish little high

Bitcoin (BTC) has retraced to levels past seen earlier Federal Reserve Chair Jerome Powell’s dovish remarks connected Friday, which acceptable expectations for a imaginable complaint chopped successful September.

At the clip of writing, BTC is trading conscionable supra $112,000, having peaked astatine astir $117,440 connected Friday. Technical scrutiny of the regular illustration reveals that the pullback from the $117,000 highest has established a little precocious successful adjacent proximity to the absorption enactment defined by the erstwhile bullish trendline originating from the April lows.

This little precocious reinforces the anterior trendline breakdown, signaling a continuation of bearish terms action. Complementing this observation, the Guppy Multiple Moving Average (GMMA) indicator is poised to corroborate a bearish momentum shift, highlighted by the imminent crossover of the short-term exponential moving averages (white band) beneath the longer-term averages (red band).

On the play chart, the MACD histogram has initiated the caller trading week with a sub-zero reading, highlighting the imaginable acceleration of downward momentum.

BTC's regular chart. (TradingView/CoinDesk)

In summary, what bash you accidental astir a marketplace that not lone resists a sustainable rally connected the backmost of favorable quality – specified arsenic Powell’s code – but besides maintains a bid of bearish method patterns? I'll permission it to the readers' discretion.

Key method enactment lies astatine the $110,756 level, corresponding to the little bound of the Ichimoku cloud, with a much important enactment portion marked by the 200-day elemental moving mean adjacent $100,000. Conversely, reclaiming Friday's precocious of $117,440 is indispensable to resurrect the bullish case.

Support: $110,756, $100,887, $100,000.
Resistance: $117,440, $120,000, $122,056.

Ether: Loss of upward momentum

Ether (ETH) printed a doji candle with a salient precocious wick connected Sunday, signaling marketplace indecision astatine grounds highs. This candlestick signifier forms erstwhile the opening and closing prices converge, reflecting a stalemate betwixt buyers and sellers.

However, the comparatively agelong precocious shadow, successful this case, means that the bull's attempts to propulsion prices higher faced important pushback from bears, who managed to propulsion the terms backmost down earlier the close.

While the doji itself does not warrant a reversal, it highlights uncertainty and a imaginable nonaccomplishment of upward momentum. It warrants caution arsenic it often precedes a imaginable reversal oregon a consolidation signifier wherever the marketplace awaits further catalysts for direction.

ETH's regular chart. (TradingView/CoinDesk)

A pullback appears likely, arsenic the 14-day comparative spot scale continued to people little highs implicit the weekend, contradicting the caller terms high. The alleged bearish divergence indicates a nonaccomplishment of upward momentum and often yields corrections.

Interestingly, ether traded 3% little connected the time astatine $4,624 astatine property time, with charts indicating enactment astatine $4,065, the level from which ETH turned higher connected August 20.