- SEC and CFTC officials are backing Blockchain technology and highlight Bitcoin’s main role in its implementation
- Words of support from top officials in the US regulatory institutions give Cryptocurrencies a breather, halting their falls
Cryptocurrencies got an unexpected injection of confidence from supervision and regulation officials in the United States yesterday. The SEC and CFTC decision-makers voiced their intention of focusing the supervising efforts in the ICOs, an area where they find that investors need more protection.
SEC and CFTC make their intentions clear to do not harm the development of the Cryptocurrencies markets.
BTC/USD 4H chart
Bitcoin set yesterday’s lows at $5896.26, a mark that is now a meaningful support. On the upside, $8050 is now the main resistance, and a close above this one would set $9943.17 as the next target.
MACD is crossed up in the BTC/USD 4H chart, with enough room until the 0 line to consider that more rises might be in the way for the upcoming trading sessions.
Directional Movement Index is showing how sellers are still outweighing buyers, but not by a big margin. A bullish move up to the breaking point would match a possible cross, so that might be a good trigger point to confirm this movement.
ETH/USD 4H chart
Ethereum is behaving in a very similar way to Bitcoin, with a nearly identical technical outlook. ETH/USD set its relative lows at $563.3071, now the main support and with a bit more margin, the operative stop. Above, the main resistance is located at $795.90, if broken would open the doors for a bullish move up to $940 as its first target.
MACD is cut to the upside in the 4-hour chart, with room ahead to keep going up.
Directional Movement Index, similar to the BTC/USD one, gives the sellers a small advantage, still very close to the buyers levels though.
XRP/USD 4H chart
Ripple is trading in ranges much tighter than their Crypto partners. XRP/USD set its recent lows at $0.5694, and only below that level it would open the doors to more falls.
On the upside, the main resistance is at $0.78471. If that were to be broken to the upside, XRP/USD would target $1.
MACD is showing a very similar situation to the other Cryptocurrencies analyzed.
Directional Movement Index shows a bit more of an advantage to the sellers than in the BTC/USD and ETH/USD, so a bullish breakout looks a bit more difficult.
LTC/USD 4H chart
LTC/USD is the Cryptocurrency showing the most bullish patterns right now. Its relative lows are at $110.81 and are now a support. Resistance is at $155.99 and, if broken, it would set up a next bullish target at $190.
MACD shows a divergent structure with respect to the previous Cryptocurrencies analyzed, giving Litecoin an extra bullish bias.
Directional Movement Index shows equilibrium between buyers and sellers, with a failed attempt to cross to the upside that has not triggered any bounce.
All in all, yesterday’s CFTC and SEC meeting at the US Senate gave some breathing to the very damaged Cryptocurrencies, halting the bears and changing the short-term outlook.
Now it’s the time to evaluate the safety costs of the stops placed far from potential gains, time to follow closely price action and act with decision.
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