Analysis
Bitcoin Cash, Polkadot, OMG Network Price Analysis: 07 January
Bitcoin Cash registered a bearish divergence and was likely to test the $414-level of support over the next few trading sessions. Polkadot was likely to see a breakout past $10.5 to reach $11.5, provided it does not lose the $9.5-region in the coming hours. OMG Network was strongly bullish, but could see a pullback to $3.49.
Bitcoin Cash [BCH]
Source: BCH/USDT on TradingView
Bitcoin Cash noted a bearish divergence between the price and momentum as it approached the $460-level of resistance. The trading volume was subdued and the Stochastic RSI
also flashed overbought.The most recent trading session saw BCH recording losses, making it likely that BCH could see a move to the support at $414 over the next few hours.
This move would only be a pullback, however, as the trend behind BCH was bullish and further gains can be expected over the coming days.
Polkadot [DOT]
Source: DOT/USDT on TradingView
DOT appeared to form an ascending triangle pattern on the charts, a bullish pattern that highlighted an upward breakout. A trading session close below $9.51 would invalidate this idea.
The OBV noted strong buying volume behind DOT’s recent gains and the trading volume has been high, even as upside momentum slowed down.
A close above the pattern would confirm a breakout while closing below $9.51 would imply that $9 could be tested over the next few days.
The outlook for DOT was bullish and a move towards $9 will be considered to be only a pullback.
OMG Network [OMG]
Source: OMG/USD on TradingView
The 20 SMA (white) on the 4-hour chart was racing to catch up with the strongly bullish OMG. Multiple levels of resistance were flipped to support over the past week, but a minor pullback seemed also to be on the cards.
In the short-term, the $4-level was of interest to the bulls and bears. Selling pressure forced the price back as it attempted to rise above $3.9 over the past 24 hours.
The MACD showed that bullish momentum was still present, but had slowed down. Over the coming hours, $3.7 and $3.49 levels will be of interest to the bulls.
