Bitcoin surged briefly to $10,900 but faced selling pressure and dropped back to $10,690 at press time. This drop also caused major altcoins to face a minor, yet quick drop. Bitcoin Cash dropped from $230 to $225 but showed bullishness in the near-term. Dash experienced a drop but it was likely to be followed by gains while Ontology formed a bearish pattern on the charts and was rejected at resistance, with further losses expected.
Bitcoin Cash [BCH]
Bitcoin Cash was moving in an ascending channel. The drop to $225 could have been due to Bitcoin’s sudden drop. As long as price does not break out of the channel, the channel’s trendlines offer a good opportunity to buy and sell.
RSI showed bullish momentum with a value of 58. The RSI has not dipped beneath 50 in the past few days, corroborating the price’s uptrend. The next level of resistance lies at $240, with support at the $219 region.
Dash tested resistance at $69.8 but was rejected and formed a lower low at $67.37, marginally lower than the previous low at $67.57. However, this did not necessarily mean that sellers were dominant.
OBV showed that the buying volume was consistently trending upward in the past few days. The most recent wave of selling did not dent the OBV’s rise. This evidence suggested that DASH only experienced a minor pullback in the near-term and was likely to test resistance once more.
ONT broke out to the downside of the bear flag formed in the past two weeks. The price can be expected to reach $0.5 in the coming days, although sometimes the target projected by the pattern might not be fully achieved.
A more conservative estimate would be ONT dropping to $0.54, where the next level of support lies. Chaikin Money Flow, which had seen capital inflows in the past few days, showed a balance between buyers and sellers at the time of writing.