Bitcoin Cash, Ethereum Classic, Neo Price Analysis: 24 May
With the global cryptocurrency market noting a recovery of sorts over the last 24 hours, some altcoins were yet to retake key areas to accelerate their growth. Similarly, Bitcoin Cash, Ethereum Classic, and Neo targeted a hike above certain resistance levels in order to extend their own gains on the charts.
Bitcoin Cash [BCH]
The market’s bulls came to the rescue at the $500-support level as Bitcoin Cash saw northbound movement on its 4-hour chart. The 20-SMA (red) formed some resistance around $630, but a breakout could enable BCH to see gains beyond the 23.6% Fibonacci level ($771.4). An extreme bullish outcome could see it jump all the way up to the 50% Fibonacci level ($1,075), but broader market cues were required for such a massive move.
If a breakout above $771.4 is denied, expect some rangebound movement.
A bullish twin peak on the Awesome Oscillator highlighted the potential shift of momentum over to buyers and a move above half-line would enable a breakout. Even though the RSI bounced back from oversold conditions, it needed to move north of 50 to underscore a bullish market.
Ethereum Classic [ETC]
A descending triangle breakdown saw a single candlewick drop down to the $39.4-support, but buyers were quick to respond in the Ethereum Classic market. However, a key area point of control rested at $55-54 – a region that coincided with 50-SMA (yellow) on the hourly chart. A rise above this critical area could result in another 15% jump to the $65-resistance.
Even though the Stochastic RSI’s overbought nature suggested a pullback, stability could be found at the $55-54 support. The Squeeze Momentum Indicator did show bullish momentum, but the black dots meant low volatility and limited gains. Sharper gains would be expected if the dots switched to white.
Neo [NEO]
Neo defended $37.9 from a breakdown and attempted a comeback above the $50.86-resistance on its 4-hour chart. A 35% price hike awaited NEO in case of a breakout from the aforementioned ceiling and volumes must be observed over the coming hours. If a breakout is rejected by sellers, expect NEO to move rangebound above $37.9. Conversely, another dip could be countered at the $31.6 support.
As expected, the Supertrend Indicator flashed a sell signal but placed a stop loss at $54.5 and just above the 20-SMA (red). The RSI needed to rise above the $48-49 resistance to overturn bear market conditions.
