Hello traders!

It has been a while since I have posted any market updates so I thought it would be fitting to get one out before the new year starts!

Overall, the year of 2019 has not been an absolute shambles for the entire industry. The total market cap for every cryptocurrency started the year at around $127 billion and ended the year up by a total of $66 billion as it currently sits at around $193 billion.



Let us take a look at the markets for BTC, ETH, and XRP and analyze any potential support and resistance heading forward.

Bitcoin -

BTC/USD - MEDIUM TERM - DAILY CHART







What Has Been Going On?

Analyzing Bitcoin on the long term daily chart above, we can see that it opened the year at a price of around $3,500. It started to increase slowly during February but as soon as April opened for trading, Bitcoin started to rocket!

From April through June, the cryptocurrency surged by a total of around 220% to reach the June high of $13.785. However, this is where things started to turn sour for Bitcoin as it was unable to overcome this level of resistance. Over the following months, Bitcoin started to create the formation of a technical pattern known as a descending triangle.

Many analysts believed that this was a symmetrical triangle, largely due to the fact that they were able to make a bullish scenario to match their analysis. However, these analysts were proven wrong during September when Bitcoin smashed through the lower boundary of the descending triangle and started to tumble toward the $8,000 level. We are still within the midst of this trading pattern as a completion target of this breakout is expected at $6,100. This means that we have not completed the technical parameters of this breakout until Bitcoin reaches this level! In simple terms, this means that we are likely to be headed lower toward the $6,100 region before we head higher.

In November 2019, Bitcoin started to fall again, eventually breaking beneath the $7,000 level and even dropped as low as $7,000. Bitcoin has been relatively stable during December 2019 but had dipped lower into the support at $6,552 during the middle of the month. Bitcoin has since rebounded as it now trades at the $7,275 level.

Where Can We Go From Here?

Over the past couple of weeks, Bitcoin has been trapped within a very narrow trading range between $7,600 and $7,000 and must break this range to dictate the next direction the market would like to head toward.

The market is presently within a strong bearish trend, however, it could be considered as neutral in the short term due to the current trading range. For this market to continue on its bearish trajectory we must see Bitcoin falling and creating a fresh low beneath $6,552. On the other hand, to turn bullish in the short term, Bitcoin must rise and break above the resistance at $7,600. A clean break above $8,500 would confirm a bullish trend over the longer term.

If the buyers manage to hold the support at $7,000 and climb higher, an initial resistance is expected at $7,600. Above this, resistance can be found at $8,000 (100-days EMA), $8,200 (200-days EMA), and $8,500. If the buyers continue to drive Bitcoin above the $8,500 level, higher resistance is then found at $9,000 and $9,400. This is then followed up with added resistance at $9,615 (.886 Fib Retracement) and $10,000.

What If The Bears Regroup?

On the other hand, if the sellers regroup and push the market lower we can expect immediate strong support at the $7,000 level. Beneath this, support is expected at $6,820, and $6,552 (downside 1.618 Fib Extension and December support). If the selling continues to drop Bitcoin further beneath the December support, additional support is found at $6,200, $6,100 (completion target for September descending triangle breakout) and $6,055.

Ethereum -

ETH/USD - MEDIUM TERM - DAILY CHART

What Has Been Going On?

Ethereum started the year at a price of around $133.50 and went on to drop into the February low at around $104. However, after finding this support in February, Ethereum started to surge at an aggressive pace. In fact, over the following few months, Ethereum went on to surge by a total of 245% to reach a high of $361 during June 2019.

After reaching this high, ETH started to roll over and decline throughout the rest of the year. It went on to drop bt a total of 65% from the June high to reach the current trading price of around $133. If Ethereum can close the year at this price, this would mean that the cryptocurrency has experienced a very stagnant year in which the market opened the year and closed the year at the exact same price.

Where Can We Go From Here?

The momentum is certainly within the favor of the bears after the 6-month long price decline. For this bearish trend to continue, we must see Ethereum falling and breaking beneath the support at the $120 level. For this market to be considered as bullish, Ethereum would need to rise and break above the resistance at $180 (200-days EMA).

If the resistance at $133 proves to be too overpowering for the bulls and ETH starts to head lower, we can expect immediate support to be located at $123 and $120. Beneath this, additional support can be found at $118 and $110 (downside 1.272 and 1.414 Fibonacci Extension levels). If the selling continues to push ETH beneath $110, we can expect strong support at the $100 level.

What If The Buyers Regroup?

Alternatively, if the buyers regroup and start to push higher, we can expect immediate resistance at $140, $147, and $150. Above $150, resistance lies at $160 (100-days EMA), $168 and $180. Beyond $180 additional resistance is located at $196 (long term bearish .382 Fibonacci Retracement level) and $200.

ETH/BTC - MEDIUM TERM - DAILY CHART

What Has Been Going On?

Against Bitcoin, Ethereum has seen a disastrous year after opening 2019 at a price of 0.035 BTC and dropping by a total of 50% to reach the current trading price of around 0.0182 BTC. Ethereum has been plummeting throughout the entire period of 2019 with little to no respite!

During September 2019, Ethereum managed to find strong support at a downside 1.272 Fibonacci Extension level priced at 0.0162 BTC. The cryptocurrency rebounded from here and started to ascend during September until reaching the October high of 0.023 BTC. Ethereum was unable to overcome this resistance and started to fall again.

The cryptocurrency fell into support around 0.0174 BTC in December which has allowed ETH to rebound to the current trading level 0.0182 BTC.

Where Can We Go From Here?

Ethereum is presently trapped within a strong bearish trend against Bitcoin. For this bearish trend to continue further lower, we must see ETH dropping beneath the support at 0.0162 BTC. To turn bullish, Etherereum must rise and break above the resistance at 0.00222 (200-days EMA).

If the buyers do continue to bounce higher from 0.018 BTC, an initial resistance is located at 0.02 BTC (100-days EMA). Above this, higher resistance is located at 0.0222 BTC (bearish .382 Fib Retracement and 200-days EMA). Above this, resistance lies at 0.024 (bearish .5 Fib Retracement) and 0.025 BTC (.618 Fib Retracement).

What If The Bears Regroup?

On the other hand, if the sellers regroup and push the market lower we can expect immediate support at the 0.0174 BTC level. Beneath this, support can be found at 0.0169 BTC (.886 Fib Retracement), 0.0165 BTC, and 0.0162 BTC (Septmeber 2019 support).

If the bears push ETH beneath the September support, additional support can be found at $0.0155 (downside 1.414 Fibonacci Extension level).

Ripple -

XRP/USD - MEDIUM TERM - DAILY CHART

What Has Been Going On?

XRP is the worst-performing cryptocurrency out of the top 3 for 2019. The cryptocurrency started the year trading at a price above $0.35 and went on to drop by a total of 45% to the current trading price of around $0.19. Ripple did experience a slight surge during May and June as it reached the 2019 high of $0.49, however, XRP went on to drop heavily after placing 2019 high.

Many analysts were expecting the $0.30 level to hold as it had provided a significant level of support during the first half of the year. However, during September 2019, XRP slipped beneath the support at $0.30 and started to trend much further lower.

During December 2019, XRP created a fresh 2019 low at $0.182 after it managed to reach the support provided by a short term downside 1.414 Fibonacci Extension level. It is still unclear if this support will continue to hold as 2020 starts to trade.

Where Can We Go From Here?

XRP is most certainly trading within the confines of a bearish trend. If XRP was to continue to drop beneath the $0.182 support, we would expect the bearish pressure to create fresh lows beneath $0.18. On the other hand, to turn bullish, XRP must rise and break above the $0.24 level to create a fresh high above the December 2019 highs.

If the bulls do continue to push higher, an initial resistance is located at $0.20 and, $0.22, and $0.24 (100-days EMA). Above this, resistance is found at $0.25, $0.28 (200-days EMA) and $0.30.

What If The Bears Regroup?

On the other hand, if the sellers regroup and push the market lower, we can expect immediate support at the $0.182 level. Beneath this, additional support can be found at $0.0164 (downside 1.618 Fib Extension), $0.16, and $0.155 (downside 1.414 Fib Extension).

XRP/BTC - MEDIUM TERM - DAILY CHART







What Has Been Going On?

XRP also witnessed a disastrous year against BTC as the cryptocurrency opened the year at a price of around 9430 SAT and went on to drop by a total of 72% to reach the current trading level of 2650 SAT. March through May was a particularly bad period for XRP/BTC as the coin dropped by a total of 52 in this short space of time.

XRP did find some strong support at 2400 SAT in September and has managed to remain above this level ever since. However, the coin is a very long way away from turning into any form of a bullish trend. To turn bullish, we would need to see XRP rising above the resistance at 3800 SAT.

Where Can We Go From Here?

If Bitcoin goes on to fall beneath the September support at 2400 SAT, we would consider the market as bearish. If the sellers do step in and push lower, we can expect immediate support to be located at 2500 SAT and 2400 SAT. Beneath this, additional support is found at 2130 SAT, 2100 SAT, and 2000 SAT.

On the other hand, if the buyers regroup and start to push higher they will meet immediate resistance at the 3000 SAT level. This area of resistance is provided by the 100-days EMA. Above this, resistance lies at 3500 SAT (200-days EMA), 4000 SAT, and 4350 SAT.