Bitcoin overnight (US CST) has continued to hold the 6k major support area as it seeks to create a higher low for the bulls. The only area of concern as far as Rogue* Wave pattern shows is that price has already taken back more than 1/2 of the previous leg up – giving way for a greater possibility of the overall downtrend to continue longer-term. Still, with a tight range and ultra-low volatility once again, BTC continues to give a reason for bulls to make short-term longs; there is opportunity currently at bay.
Bitcoin has continued to trend down with the slowdown of the fallout apparent in the last twenty-four hours or so. As BTC broke bounds by snapping the 6400 support area, it also managed to maintain the longer-term major support area at 6k flat. This was also shown yesterday on the same daily scale as there was previously a pivot at around 6300. However, this hasn’t quite been the case on the daily close* level. The previous candle close on this scale was 6249, a mere 51 points away from the 6300 level. As close as this was, this shows a sign of BTC attempting to hold that pivot zone and thus far it maintains a close distance with current price trading at about 6259 – matched with ultra-low volatility for the day.
Ethereum experienced a lot of chop these past two days in trading and our call yesterday to short the bounce has not yielded the desired results/targets. We are still very much in chop territory so entering into any position before a break of upside or downside can be seen as extremely risky. The question now is was that all downside ETH had to give.
Bitcoin struggles once again as the fallout continues with today’s trading stopping out many. With BTC now trading at about 6185, there is no denying that the 6400 mark is not going to hold as support any time soon. The struggle of BTC to maintain that levels came and went, and now BTC’s primary objective is to hold 6k flat as support. This will also be quite difficult as BTC’s downward projected path has been laid out by Rogue* Calculation not only for weeks now but months ago. The 5800 target level was solidified as a long-term trend target. The long-term bottom trend line additionally stands at about 5500 is price continues beyond the 5800 mark.
Robinhood keeps expanding at a pace that even its biggest fans haven’t predicted. Not only has its valuation continued to skyrocket (currently stands at $5.6B), but their ‘cost free’ crypto trading platform is bringing in millions of new users, even as the bear market in cryptos rages.
And now this – Robinhood has announced even more crypto brands have been added for crypto enthusiasts to trade.
The company said in an announcement on Thursday that Litecoin and Bitcoin Cash have been added for Robinhood Crypto users following strong demand from customers for crypto assets beyond the current options of bitcoin and ethereum.
As part of the announcement, Robinhood also claimed it now has over 5 million users on the platform following the expansion of its crypto trading service to 17 U.S. states.
The company’s co-founder and co-CEO Baiju Bhatt previously said he expects Robinhood Crypto to be able to cover the entire U.S. by the end of 2018 as part of a plan to become one of the largest cryptocurrency platforms.
It all adds up to one of the biggest retail threats to Coinbase as the dominant crypto brand in the United States. Coinbase’s issues with customer complaints have been well documented here, and Robinhood continues to push into the space and steal market share.
We’ve heard rumors that Coinbase is pushing into the institutional space (GDAX/Coinbase Pro) because they are getting their teeth kicked in on the retail side of their business. In other words, Robinhood is crushing them and their margins.
Expect that to continue and for Robinhood to keep pressing the envelope in this space. We also expect them to further develop their lending platform and margin business. Frankly, the crypto space is tailormade for those two business lines.
Oh, and it doesn’t hurt that Robinhood is currently a media darling. While Coinbase manufactures public relations hits, Robinhood’s organic coverage is lapped up by the financial media. Will be very interesting to see where these two firms stand a year from now.
Ethereum has been trending down in the last 24 hours and I called for a short set up near 450 but as we can see, we still have not met that. I assumed we would touch our zone before H1 BULL DIV formed but looks like BULLS needed extra help. The wave 5 target was also not met as we did not reach 414 but all is well if you sat on your hands and did not enter.
Now we must find out what does ETH want to tell us today.
Bitcoin has made no progress in its path to seek out 6400 resistance once again to create support. As BTC currently trades in the mid 6300 range, there has been virtually no change with extremely low volatility in the last day. This is highly unusual once again after such a big drop, and as the hourly chart seems to show, there is an attempt to now retrace some of the losses. The focus, however, should be shifted a bit to the longer-term as we are now able to see some crucial points in price action.
Ethereum has broken down like we assumed would happen but what has changed is the overall bullish set up for the month. In order to sustain our bullish call for the month, we NEEDED to sustain the important swing low of 454-460 but we fell out and down with decent volume which leads me to believe we have more downside coming if things don’t change rapidly. Our short targets were hit and surpassed as my target was swing low.
Bitcoin has continued to follow the path laid out by retracing beyond the point projected, but this giveback has been due. The question is where will price stop? To get an accurate gauge of a continuance in the uptrend, BTC price movement must show proper pivot in conjunction with support and/or resistance. Looking at the price now, BTC is showing an attempt to hold resistance as support at 6400 once again. This is a major support level and should be watched carefully as the failure to hold this zone as support will lead to BTC seeking the next major support at 6k.
Ethereum has been up-trending nicely and we have officially broken out of every downtrend from 800 highs. So this leads me to believe we will continue to have a bullish month until we hit our next big downtrend line near 520-530. We will not guarantee this bullish month but we will always update levels to ensure our prediction stays intact.