Is the FALL in CRYPTO TOTAL MARKET CAP OVER??
On the 4 hour chart, the 2nd candle has now closed above the 200ma.
I zoomed in on the relevant section so you could see the action more clearly.
Some look at this as confirmation that the 200ma will now serve as resistance, but while this is an initial indicator, the 200ma has served as significant resistance in the past.
Another positive trend is that trading is occurring within the new up channel in Orange.
Typically, price will move back and forth between channel lines at least several times before the channel is breached.
It is possible that price will trade up to the upper channel line at some point in the future.
The 50ma happens to be right on top of this upper channel line, so a challenge of that MA will have two sources of resistance,
I also inserted the Fibonacci Retracement Level lines from the All Time High to this last major low.
Price has move up to and is holding just above the 23.6% level. A minimal expectation for a good retracement is the 38.6% line, which happens to correspond with convergence of the 100 & 200ma lines.
But before that, price will have to content with the RED DOTTED DOWN LINE labeled BIG RESISTANCE.
The last time it was challenged, it was soundly and strongly rejected.
RSI is just above 50 and the RSI MA Line is moving up...lots of room to move up, or to fall back.
There is some argument to be made that this current push up from Friday morning was a wave 3 up...and that it's not over.
So for the immediate future, it would mean that we could be in a small wave 4, which moves down to sideways, with a wave 5 up to finish wave 3, THEN the larger wave 4 down would start.
If true, there should be one more push up to finish the wave that started yesterday morning.
Or we could be getting close to the end of a wave C up, with another major Down wave to come.
So maintaining a NEUTRAL outlook until more price action has occurred.
I zoomed in on the relevant section so you could see the action more clearly.
Some look at this as confirmation that the 200ma will now serve as resistance, but while this is an initial indicator, the 200ma has served as significant resistance in the past.
Another positive trend is that trading is occurring within the new up channel in Orange.
Typically, price will move back and forth between channel lines at least several times before the channel is breached.
It is possible that price will trade up to the upper channel line at some point in the future.
The 50ma happens to be right on top of this upper channel line, so a challenge of that MA will have two sources of resistance,
I also inserted the Fibonacci Retracement Level lines from the All Time High to this last major low.
Price has move up to and is holding just above the 23.6% level. A minimal expectation for a good retracement is the 38.6% line, which happens to correspond with convergence of the 100 & 200ma lines.
But before that, price will have to content with the RED DOTTED DOWN LINE labeled BIG RESISTANCE.
The last time it was challenged, it was soundly and strongly rejected.
RSI is just above 50 and the RSI MA Line is moving up...lots of room to move up, or to fall back.
There is some argument to be made that this current push up from Friday morning was a wave 3 up...and that it's not over.
So for the immediate future, it would mean that we could be in a small wave 4, which moves down to sideways, with a wave 5 up to finish wave 3, THEN the larger wave 4 down would start.
If true, there should be one more push up to finish the wave that started yesterday morning.
Or we could be getting close to the end of a wave C up, with another major Down wave to come.
So maintaining a NEUTRAL outlook until more price action has occurred.
