Technical Analysis: MKR, BTC, ETH, & BAT


01  October 2020 | ZebPay Trade Desk

Cryptocurrency markets in the last week showed signs of life  with everything ending in green and bouncing off from support, hoping for some avenues for an uptrend. The situation has turned positive and markets have some distance to travel before they meet some resistance. As unlike last week, this time the top cryptos by market capitalisation have bounced from major supports. Bulls seem to have gained an upper hand. Let’s look at what we have in store for a trade set-up.

Maker (MKR) Technical Analysis and Chart

At the time of writing, the recently launched asset on our platform MKR is  trading around $524.94 reflecting a profit of about 2.1% approximately over the period of 24-hours.

MKR had a bearish run for the month of September falling from the levels of  $700 to trade around $450. For the better part of the month MKR was resisted at around $510 level after falling below it, it has breached that resistance successfully. 

Along with breaching the resistance it has turned above critical EMAs with multiple buy signals from MACD indicator. MACD histogram has turned positive with a bullish crossover between signal and MACD line. The strongest of reversal signal (from bearish trend) observed is formation bullish divergence between MACD and MKR price i.e. MKR price forming lower low while MACD forming higher low (as shown in the chart).

These factors makes current price level a good entry point till the time price trades around resistance of $600.

Bitcoin (BTC) Technical Analysis and Chart

At the time of writing, Bitcoin is trading around $10,760 reflecting a profit of 0.8% approximately over the period of 24-hours.

As we see in the chart above, the Bitcoin bulls have successfully defended the level of $10,000 since July after failure to breach $12,000 last month level and thus, the biggest asset by market capitalization has traded in a range bound fashion above $10,300

The ascending bullish pattern (channel as shown in the chart ) hasn’t been negated yet and BTC shall find strong support around $10,300 followed by $10,000 levels. On the upper side, BTC finds small resistance at $11,200 above which it will find ease in picking the prices up again. BTC is touching the 10 and 21 days EMA, as well as the lower range of the bullish channel (as shown in the chart), this can be a reason to watch out for support ($10,300) if BTC breaches below. If successfully defended next resistance to watch out for is around $11,200.

The fibonacci immediate retracements (low $5,000 in march to high $12,300 in Aug) also finds it place between the $10,500-$10,000 mark indicating strong support in the region. BTC is still strong after a healthy correction and the analysis will be negated if prices fall below $9,750 in a shorter time frame. Technical standpoint remains as “ To Bulls on Dips” till the support levels mentioned above are not broken. 

Ethereum (ETH) Technical Analysis and Chart

At the time of writing, Ethereum is trading around $356.06 reflecting a profit of 0.8% approximately over the period of 24-hours.

As we see in the chart above, Ethereum is trading well above support level of $315 after making a local high of $488.85 last month. Currently,trading below both 10 and 21 days EMAs, the support was successfully defended this month.

Cause of concern recently has been formation of successive lower highs, along with stable lows, which is beginning to like a descending triangle. This should imply Ethereum facing resistance on breaching the descending side of the triangle from upside. With RSI being in neutral zone and trading levels below EMAs could mean ethereum moving back toward he support, giving a technical standpoint of sell on rally. The analysis will be negated if price breaks convincingly above the EMAs.

Basic Attention Token (BAT) Technical Analysis and Chart

At the time of writing, BAT is trading around $0.236 reflecting a loss of about 0.30% approximately over the period of 24-hours.

BAT had a bearish run overall for the month, trading below 100 days EMA until recently and trading close to support of 0.23. Next support comes at around $0.18, despite this  price has moved above 100 days EMA and there is a bullish crossover between MACD line and signal line along with histogram turning positive. This scenario makes a good entry point around this price level. Reversal can gather strength if MACD line turns positive.

The Analysis will be negated if BAT breaches the support convincingly.

Weekly Trade Summary

Weekly Price Analysis

USD ($)22 Sept 2029 Sept 20Previous WeekCurrent Week
CloseClose% ChangeHighLowHighLow

Weekly Volume Analysis

Cryptocurrency1w – % Vol. Change (Global)
BitCoin (BTC)-24.94%
Ethereum (ETH)-20.21%
Basic Attention Token (BAT)25.76%
Cosmos (ATOM)-49.65%
Ripple (XRP)-9.36%
Maker (MKR)-50.14%

Weekly Price Pointers

Resistance 2$12,000$450$0.3650$6.30$0.3040$640.00
Resistance 1$11,180$395$0.2750$5.85$0.2750$560.00
Support 1$10,345$330$0.2070$5.10$0.2270$500.00
Support 2$10,000$280$0.1610$4.35$0.1740$430.00

Market Updates

  1. You can now use Crypto to buy equity in Tesla, Apple, Google.
  2. Reddit’s MOON token has a $2.64 septillion market cap.
  3. Devere Group CEO Predicts Bitcoin Can Replace Gold as Top Safe-Haven Within a Generation.
  4. A new DeFi protocol has been launched rewarding node operators to improve public blockchain performance, but token prices have tanked.
  5. FinCEN has warned U.S. banks that it is closely watching how they respond to crypto risk exposure with their AML programs.
  6. A new DeFi protocol has been launched rewarding node operators to improve public blockchain performance, but token prices have tanked.

* Sources of charts: exchange: Coinbase-pro

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Disclaimer : This report is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any investor. All investors should consider such factors in consultation with a professional advisor of their choosing when deciding if an investment is appropriate. The Company has prepared this report based on information available to it, including information derived from public sources that have not been independently verified. No representation or warranty, express or implied, is provided in relation to the fairness, accuracy, correctness, completeness or reliability of the information, opinions or conclusions expressed herein. This report is preliminary and subject to change; the Company undertakes no obligation to update or revise the reports to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. Trading & Investments in cryptocurrencies viz. Bitcoin, Bitcoin Cash, Ethereum etc. are very speculative and are subject to market risks. The analysis by Author is for informational purposes only and should not be treated as investment advice.

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