The #Bitcoin is in freefall, falling to 8268.69 usd at the time we are writing the article, even many #Altcoin who are following.
As you can see in image 1, the bitcoin has drawn a double top and then re-starts the descent phase:
Image 1: Tradingview – BTCUSD – 2018-05-12 – Timeframe 1 day – Double top
Look at the prices in the long run seem to move within a triangle, the current top two could then push us to the bottom of the triangle or around 6300 usd, and then re-initiate to rise in a later phase.
The price trend on therefore suggests to divest because losses could continue: the double top pattern indicates a phase of substantial price drop.
At this time also many altcoins seem to follow the bitcoin, such as #EOS which reports a loss in the 24h of 6%, or the # ONT of 8.81%. Attention must also be paid to those that are currently uphill because they could also be influenced by the #BTC.
#LOOM is a new Crypto that was listed on Binance yesterday (2/05/2018) whose price is immediately rising. Will it be a new discovery like #EOS and #ONT?
The price, starting from 0.00005101 Btc is today at about 0.00005450 as you can see in image 1 :
Image 1 : Tradingview – 03-05-2018 – timeframe 1h – Loom / btc on binance
The interest has been triggered by the fact that many crypts, just listed on binance, suffer a substantial depreciation, as opposed to #LOOm which is even uphill.
It is still too early to be able to do a real technical analysis, moreover the price is still very variable. It could however be interesting to follow it closely and possibly invest a small amount.
The #BTC in the last 7 days has entered a phase of price lateralization, this stalemate can be both positive and negative. Meanwhile, #ALTCOIN as #ONT and #EOS are taking advantage of it.
The phases in which the price moves horizontally are characterized by a halo of uncertainty as to where the price could subsequently go. We can have a first positive note in image 1 :
Image 1: TradingView – BTC / EUR – 2018-05-01 – Timeframe 1 day – Lateralization of the price
What immediately jumps to the eye is that in previous points of local maximum the price has changed direction (going down) within a maximum of 4 days. Currently, however, the lateralization phase lasts for 7 days, which suggests a phase of consolidation of the price rather than preparation for a descent.
Another positive note can be found in image 2 :
Image 2: TradingView – BTC / EUR – 2018-05-01 – Timeframe 1 day – bullish triangle
In this image we have in fact identified the triangle pattern which, in this conformation, indicates an upward price break. We must be careful that, before the break up, the firuga could first understand a further fall.
Ultimately Bitcoin could suffer a decline in the short term but a bullish trend is expected in the short medium term. We must therefore be careful and monitor prices.
Meanwhile, some altcoins, such as Ontology and EOS, are achieving very positive results. We must be careful, however, that a recovery of Bitcoin could shift altcoin capital.
Given the current stationarity of the #BTC, and a possible downward break, we want to examine an example of a possible portfolio composed of various #ALTCOIN that allows us to balance risks and improve profits.
So we open the article with the following poster:
The coins taken into consideration in this portfolio example are the following:
- #BTC : Bitcoin should always be controlled as it affects almost the entire market, so we still keep it in the portfolio. It is also useful to give some stability ;
- #ETH #XRP : Etherium and Ripple are the main altcoin and are very influenced by Bitcoin, however they have an often wider volatility, especially in the case of the # XRP. So they are useful for maximizing gains but they also tend to maximize losses;
- #LTC : also the LiteCoin is among the main altcoins. In the past she was able to make good numbers. The trend in the long run seems to be bullish for the main Coin (just compare the current prices to previous years), the price of the coin lite seems not to be very close to the trend line. Therefore we expect constant increases over time .
- #XLM : In the last period the Stellar Lumen gave good results, with gain not high but constant over time. This is also useful to give stability to the portfolio with constant increases over time .
- #EOS #ONT : EOS and Ontology are two discoveries of the latter period. They have the distinction of being increasing their value even while the Bitcoin is still or even down. They are therefore useful for balancing the risk of Bitcoin and the main altcoins.
- #XEM : Nem is a very recent currency, at least on Binance, in the last period it has had a good increase even if it is currently stationary. We keep it because it could give us surprises in the future ;
We have therefore selected both coins to give stability and coins to maximize gains (but also risks). Bitcoin antagonistic coins are also useful or it is also new altcoins like the #XEM that could reserve surprises in the future.
The percentages of coins, with which you can compose your possible portfolio, we let you choose according to your risk aversion. However, we emphasize that this is only one of our personal and we decline any responsibility if you decide to follow it.
Today we bring you, as an example of technical analysis, the trend of two #altcoin, #BCH and #ONT. Both coins seem to have an uptrend.
In the image 1 the trend of the #ONT:
Image 1 : Tradingview – timeframe 1h – 2018-04-26 – continuation triangle #ONT
We can note:
- A triangle, a continuation pattern, well defined on prices;
- The volumes volumes support the theory of this pattern having a decreasing trend;
- Prices that bounce a lot on the top of the triangle;
This information therefore suggests an upward price break in the short term.
In image 2 we can see the progress of the #BCH:
Image 2 – Tradingview – timeframe 1 h – 2018-04-26 – Continuation triangle #BCH
The above considerations apply to the #BCH too. In addition to this, in recent days there has been a strong price loss which could suggest an imminent rebound.
Both for the #BCH and the #ONT we remind you that these technical analyzes are just examples, that before doing any operation you must first find feedback on prices. Moreover, the performance of the #BTC could strongly influence the trend of these altcoins, which suggests greater prudence in these days.