BTCUSD and XRPUSD Technical Analysis – 12th JULY 2022

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BTCUSD: Double Top Pattern Below $22015

Bitcoin was unable to sustain its bullish momentum last week, and after touching a high of 22181 on 8th July, started to decline against the US dollar.  The downfall of bitcoin continues today and is now trading below the $20000 handle in the European trading session.

The price of bitcoin failed to clear its resistance zone of $23000, and we can see that price is struggling to keep itself above the important psychological support level of $20000.

We can clearly see a double top pattern below the $22015 handle which is a bearish reversal pattern because it signifies the end of an uptrend and a shift towards a downtrend.

Bitcoin touched an intraday high of 20419 in the Asian trading session and an intraday low of 19570 in the European trading session today.

Both the STOCH and Williams percent range are indicating overbought levels which means that in the immediate short term, a decline in the prices is expected.

The relative strength index is at 29 indicating a weak demand for bitcoin at the current market level.

Bitcoin is now moving below its 100 hourly simple moving average and its 200 hourly simple moving average.

All of the major technical indicators are giving a strong sell signal, which means that in the immediate short term, we are expecting targets of 19500 and 19000.

The average true range is indicating lesser market volatility with a bearish momentum.

  • Bitcoin: a bearish reversal seen below $22015
  • The Williams percent range is Indicating an OVERBOUGHT level
  • The price is now trading just below its pivot level of $19729
  • All of the MAs are giving a STRONG SELL market signal

Bitcoin: Bearish Reversal Seen Below $22015

The prices of bitcoin continue to decline below the $20000 handle, and we are now testing the important support level of $19000 in the European trading session.

The global sentiments are weak, and the strength of the US dollar is causing bitcoin to lose its value in the short term.

We can see the formation of a falling trend channel, and now we are facing the immediate targets of $19500 and $19000.

Bitcoin continues to remain under short-term bearish pressure, and the prices are expected to enter into a consolidation channel above the $19000 handle.

The immediate short term outlook for bitcoin is bearish, the medium term outlook has turned neutral; and the long-term outlook remains neutral under present market conditions.

The Bitcoin support zone is located at $18607, and the price continues to remain above these levels during the bearish phase of the markets.

The price of BTCUSD is now facing its classic support levels of 19373 and Fibonacci support level of 19639 after which the path towards 19000 will get cleared.

In the last 24hrs BTCUSD has increased by 4.12% by 845$ and has a 24hr trading volume of USD 26.023 billion. We can see a decrease of 5.08% in the trading volume as compared to yesterday, which appears to be normal.

The Week Ahead

The prices of bitcoin are moving in a bearish momentum, and the immediate targets are $19500 and $18500.

The daily RSI is printing at 35 which means that the medium range demand continues to be weak.

We can see the formation of a contraction triangle below the $21752 and further downside breaks are expected this week.

The price of BTCUSD will need to remain above the important support level of $18000 this week.

The weekly outlook is projected at $18500 with a consolidation zone of $18000.

Technical Indicators:

The average directional change (14 days): at 38.07 indicating a SELL

The ultimate oscillator: at 38.89 indicating a SELL

The rate of price change: at -4.36 indicating a SELL

The commodity channel index (14 days): at -140 indicating a SELL

XRPUSD: Bearish Engulfing Pattern Below 0.3565

Ripple was unable to continue its bullish momentum last week, and after touching a high of 0.3563 on 8th July started to decline against the US dollar as the selling pressure continued pushing it down below the 0.3100 levels in the European trading session.

We can see that Ripple failed to clear its resistance of 0.3600 and the prices continue to correct lower against the US dollar.

We can clearly see a bearish engulfing pattern below the 0.3565 handle which is a bearish reversal pattern because it signifies the end of an uptrend and a shift towards a downtrend.

Ripple touched an intraday high of 0.3229 in the Asian trading session and an intraday low of 0.3080 in the European trading session today.

Both the STOCH RSI and Williams percent range are indicating an oversold level which means that in the immediate short term, an upwards correction in the prices is expected.

The relative strength index is at 33 which signifies a weak demand for Ripple at the current market prices and the continuation of the selling pressure this week.

All of the moving averages are giving a strong sell signal at the current market level of 0.3092.

Ripple is now trading below its pivot level of 0.3138 and is now facing its classic support level of 0.3082 and Fibonacci support level of 0.3109 after which the path towards 0.3000 will get cleared.

All of the major technical indicators are giving a strong sell signal.

  • Ripple: a bearish reversal seen below the 0.3565 level
  • The Williams percent range is indicating an oversold level
  • The average true range indicates high market volatility
  • Global sentiments continue to remain weak

Ripple: Bearish Reversal Seen Below 0.3565

We can see that the price of Ripple continues to decline and is now moving below the 0.3200 handle in the European trading session today.

The prices of Ripple are forming a bearish trend below the 0.3473 levels and a continued progression is seen towards the 0.3109 level.

The short term outlook for Ripple has turned bearish; the medium-term outlook is neutral; and the long term outlook is neutral under present market conditions.

We can see that the downside wave is strong and no bounce is seen from the lower levels suggesting a weak demand for Ripple in the global markets.

The price of XRPUSD has decreased by 4.45% with a price change of $0.01432 in the past 24hrs and has a trading volume of 0.914 billion USD.

We can see a decrease of 23.89% in the trading volumes of Ripple as compared to yesterday, which is due to the heavy selling by the medium-term investors.

The Week Ahead

Ripple is expected to incur fresh losses due to its ongoing case against the US SEC. The continuation of the downtrend is expected towards the levels of 0.2400 next week.

The prices of XRPUSD are expected to enter into a consolidation channel above the 0.3000 handle and a recovery is expected in the markets.

We can see the continuation of the bearish trendline from last week and the prices continue to remain below the important support level of 0.3200.

The weekly outlook for Ripple is projected at 0.3100 with a consolidation zone of 0.3000.

Technical Indicators:

The commodity channel index:  at -174 indicating a SELL

The ultimate oscillator: at 46.86 indicating a SELL

The rate of price change: at -4.03 indicating a SELL

The average directional change (14 days): at 41.16 indicating a SELL

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