BTCUSD and XRPUSD Technical Analysis – 20th SEP 2022

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BTCUSD: Bullish Engulfing Pattern Above $18293

Bitcoin was unable to sustain its bearish momentum and after touching a low of 18322 on 19th Sep, it has entered into a consolidation channel above the $19000 handle today in the European trading session.

The price of bitcoin continues to move in a tight range between 19200 and 19700 levels today suggesting that we have hit the bottom of the downtrend.

We can see the formation of an ascending channel pattern on the hourly chart of the BTCUSD.

The price of bitcoin is nearing the horizontal support level in the daily time frame indicating the bullish tone in the markets.

We can clearly see a bullish engulfing pattern above the $18293 handle which is a bullish reversal pattern because it signifies the end of a downtrend and a shift towards an uptrend.

Bitcoin touched an intraday high of 19679 in the Asian trading session and an intraday low of 19195 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 53 indicating a NEUTRAL demand for bitcoin at the current market levels and the continuation of the buying pressure in the markets.

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

Some of the major technical indicators are giving a BUY signal, which means that in the immediate short term, we are expecting targets of 20000 and 21500.

The average true range is indicating LESS market volatility with a mild bullish momentum.

  • Bitcoin: bullish reversal seen above $18293
  • The commodity channel index is indicating a neutral level
  • The price is now trading just above its pivot level of $19399
  • Some of the moving averages are giving a BUY market signal

Bitcoin: Bullish Reversal Seen Above $18293

The price of bitcoin has crashed below the important support level of $19000 due to the strength of the US dollar and the increase in the global market liquidity pattern.

The adaptive moving average AMA50 and moving average MA20 is giving a bullish trend reversal signal in the 15-minutes time frame.

We can see that the momentum indicator is giving a bullish trend signal in the weekly time frame.

We have also detected a bullish opening of the markets indicating the underlying bullish sentiment.

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

Bitcoin’s support zone is located at $18000 and the prices continue to remain above these levels for the continuation of the bullish reversal in the markets.

The price of BTCUSD is now facing its сlassic resistance level of 19544 and Fibonacci resistance level of 19722 after which the path towards 20000 will get cleared.

In the last 24hrs BTCUSD has increased by 4.77% by 881$ and has a 24hr trading volume of USD 36.188 billion. We can see an increase of 6.47% in the trading volume compared to yesterday, which appears to be normal.

The Week Ahead

The price of bitcoin is moving in a consolidation zone above the $19000 level. At present the price of bitcoin is gaining a bullish traction against the US dollar in the medium-term range.

We can see the buildup of positive momentum in the markets with the prices moving close to the psychological support level of $20000.

The daily RSI is printing at 40 which indicates a weak demand from the long-term investors.

The price of BTCUSD will need to remain above the important support level of $18500 this week.

The weekly outlook is projected at $21000 with a consolidation zone of $20000.

Technical Indicators:

The moving averages convergence divergence (12,26): is at 5.20 indicating a BUY

The ultimate oscillator: is at 51.34 indicating a BUY

The rate of price change: is at 0.70 indicating a BUY

The average directional change (14): is at 28.61 indicating a BUY

XRPUSD: Piercing Pattern Above 0.3217

Ripple was unable to sustain its bearish momentum and after touching a low of 0.3221 on 16th Sep, it started to bounce upwards crossing the 0.3700 handle in the European trading session today.

We can see that the prices of Ripple have started a recovery after the downside correction wave, with the upcurrent that is expected to touch 0.4000 levels.

We can see that the momentum indicator is above 0 in both the 15-minute and 30-minute time frame indicating a bullish scenario.

We can clearly see a piercing pattern above the 0.3217 handle which is a bullish reversal pattern because it signifies the end of a downtrend and a shift towards an Uptrend.

Ripple touched an intraday high of 0.3898 in the Asian trading session and an intraday low of 0.3705 in the European trading session today.

Both the HIGHS/LOWS and commodity channel index are indicating neutral levels which means that in the immediate short term, a range bound movement in the prices is expected.

The relative strength index is at 55 which signifies a neutral demand for Ripple at the current market prices and the continuation of the consolidation phase in the markets.

Some of the moving averages are giving a BUY signal at the current market levels of 0.3786.

Ripple is now trading just above its pivot level of 0.3785 and facing its classic resistance levels of 0.3814 and Fibonacci resistance level of 0.3848 after which the path towards 0.4000 will get cleared.

Some of the major technical indicators are giving a BUY signal.

  • Ripple: bullish reversal seen above the 0.3217 levels
  • STOCHRSI is indicating an oversold level
  • The average true range indicates LESS volatility
  • Ripple gains bullish bias against the US dollar

Ripple: Bullish Reversal Seen Above 0.3217

We can see that the prices of Ripple continue to consolidate upwards with the formation of an ascending channel above the 0.3200 levels.

We can see the formation of a bullish harami pattern in the 2-hour time frame indicating the uptrend.

The price of Ripple is ranging near the support triangle which further validates the bullish outlook of the markets.

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

The adaptive moving average AMA20 and moving average MA20 is showing the bullish price crossover pattern in the 30-minute time frame.

The price of XRPUSD has increased by 9.81% with a price change of $0.03429 in the past 24hrs and has a trading volume of 2.485 Billion USD.

We can see a Decrease of 14.17% in the trading volume of Ripple as compared to yesterday, due to the buying seen at lower levels by the medium-term investors.

This Week Ahead

Ripple has entered into a consolidation zone above the 0.3600 handle and the prices are expected to rise above the 0.3800 level.

The price of Ripple continues to correct higher against the US dollar which indicates that we are now testing the level of 0.4000 in the medium-term range.

We can see a continuous progression of a bullish trend line formation from 0.3200 towards the 0.4000 levels.

The weekly outlook for Ripple is projected at 0.4000 with a consolidation zone of 0.3900

Technical Indicators:

The relative strength index (14): is at 55.47 indicating a BUY

The average directional change (14): is at 28.44 indicating a BUY

The bull/bear power (13): is at 0.0055 indicating a BUY

The MACD (12,26): is at 0.002 indicating a BUY





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