Crypto Consolidation Continues

FXOpen

Most major cryptocurrencies have been range-bound for the past two weeks. This consolidation is still ongoing. While Peercoin is testing an important support, it hasn’t broken it yet. Namecoin on the other hand is still firmly in its range.

Peercoin Testing Support

Alternative cryptocurrency Peercoin is testing the important support level at $0.447. We are currently quoted only 0.1 cent below at $0.446 dollars per coin. On the chart below we can see that since the start of this week PPC/USD has resumed the downward slide and is back to testing the support for the past few hours.

PPCUSDH4-mar31

A decisive break of this level could start a new downtrend for Peercoin. The first important support below here is at $0.429 dollars followed by the round 40 cents figure. Around $0.385 we find a strong support area. A clearing of area may extend the losses to the January spike low at $0.353 dollars.

On the upper side, the swing high at $0.544 may be key. A clean move above this level could start a new rally and possibly lead to more gains toward this month’s high at 57 cents. Above this level we have another resistance at the $0.616 swing high, followed by $0.932 dollars and the parity level at $1 flat. As we’ve noted several times before , due to the large gap from $0.616 to $0.932, resistance levels are likely to emerge in between. Potential candidates for this are the round levels at $0.70, $0.80 and $0.90 dollars per coin.

Namecoin Still Range-bound

Namecoin is still trading range-bound. In the early part of this week we almost matched last week’s low at $0.434 with a low at $0.435 dollars. Since then however we’ve bounced somewhat and one NMC is currently selling for $0.445 USD.

NMCUSDH4-mar31

A decisive breakout below the $0.434 dollars level could start a new downtrend. Below here support can be found close to the 40 cents level at $0.398 dollars per coin. A clearing of this strong support could open the door toward the $0.357 swing low. Further down we have a double bottom formation at $0.332 dollars, followed by another potential support at the August low of $0.306 dollars per coin.

The hurdle to starting a new trend to the upside currently stands around the 54 cents level. The first important resistance level about here is at this month’s high at $0.633 dollars. This is followed by the November spike high at the $0.666 dollars and the former swing low at $0.751. Support turns to resistance and this former low may now act as a lid to rising prices.

FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage, 30% margin call, 0.01 lot minimum transaction size with no maximum — at your service. Open your trading account now or learn more about crypto CFD trading with FXOpen.

*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Cryptocurrencies

Bitcoin Cash Analysis: Promising Resistance Breakout Cryptocurrency Prices Rise on SEC Rumours Market Analysis: Bitcoin Sets September High BTC/USD Analysis: Bulls Lose Progress Amid SEC Defeat Bitcoin Trading Volumes Fell to a Minimum of 4 Years

Latest articles

Financial Market News

US Government Shutdown: Assessing Economic Impact and Recession Risks

The recurring spectre of a government shutdown has once again loomed over the United States, prompting concerns about its potential economic consequences. The shutdown may occur this weekend unless lawmakers agree on spending levels and whether to give more aid

Indices

S&P 500 Analysis: Price Reaches The Edge of Abyss

Investors in the US stock market have serious reasons to worry: → The likelihood of a shutdown of government agencies is becoming more and more real. It could happen as early as next week if a budget agreement is not reached

Cryptocurrencies

Bitcoin Cash Analysis: Promising Resistance Breakout

Yesterday, the head of the SEC regulator, Gary Gensler, answered questions for 4 hours before the Financial Services Committee of the US House of Representatives, which, among other things, related to cryptocurrencies. What has become known: → on the eve of

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.