Technical analysis for cryptocurrencies on 20.11.2017

BTCUSD

Bitcoin updated its all-time high to $8087.35 at the Sunday close, coming almost right up to the upper boundary of the bullish channel. Over the last 2-3 hours, the BTCUSD rate has been consolidating around $8 thousand, a psychological mark for the market.

According to AMarkets analysts, if the bulls manage to hold above, then we expect a continuation of growth toward $8300, where it would not be out of place to think about partially taking profit on previously opened long positions. It is worth noting that despite the colossal growth, bitcoin is the last asset that makes one want to emphasize its overbought condition. Bitcoin is a clear exception whose growth is based on unrestrained demand from buyers. As long as the market is deprived of new fundamental negativity, one can believe in the high probability of testing a new height at the level of $10 000. First, of course, we recommend tuning in to a move toward the $8300 area.

DSHUSD

The past weekend also brought high volatility for DSHUSD. According to AMarkets analysts, market participants preferred not to develop the downward rally, favoring growth instead. Despite the fact that another attempt to gain a foothold above the $450 resistance was unsuccessful, it is worth noting that the chances of breaking it remain. On the hourly timeframe, prices formed an inverted head and shoulders pattern, which in the context of the current dynamics is a technical continuation formation of the local trend. In favor of preserving bullish dynamics are the price being above the EMA200, the supporting daily Pivot, as well as the MACD, which has almost emerged from the oversold state. We recommend keeping previously opened long positions, or waiting for a break of the neckline at $448-450, from where to open longs with the goal of updating Saturday's high at $480.

ETHUSD

Ethereum continues to delight buyers, among whom we of course count ourselves. Since the next target has been exceeded, it is time to mark out new reference points. After three sessions of consolidation in the extremely narrow $321-$339 range, Ethereum delivered a rapid bullish rally over the weekend. In particular, the ETHUSD pair confidently broke above the $338 resistance on volumes that doubled the average value, continuing the upward dynamics on Sunday. The bulls also managed to consolidate above $352, updating the high since September 3 to $371. Considering that ether continues to be quoted above the entire range of moving averages, support in the form of the 100 Fibonacci level, the daily Pivot R1 and R2, as well as MACD above zero, is more than reliable to justify further growth. The next target may well be the 131st Fibonacci mark at $374. We place stops below $350.

Material provided by the analytical department of AMarkets