Cointree Crypto Market Update - September 30th 2020

Market update for traders

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As Bitcoin can so often do, the 4% gain we saw early in the week has now fully re-traced and it now finds itself at the key $15,000 AUD level, yet again. No matter the pull-back, the market is slowly grinding higher...but that too could turn quickly.

Looking at the charts, it appears Bitcoin is moving up in a rising channel dating back to the sharp drop we saw at the beginning of the month, and this latest pull back looks to be a healthy retest of previous resistance turned support at $15,000. Interestingly too, the latest move bounced hard off the strong 200 Exponential Moving Average and also the 50, which lines up with the 15,000 level creating a hard floor that will be difficult to breach.

In the short term, Bitcoin looks neutral having erased its good gains from this week but the reaction off of the $15,000 area will be telling for Bears and Bulls. It appears Bitcoin is now in a new range, $15,000 being the floor and $15,500 as the ceiling. We may see BTC test the lower area of the channel in the 14,000’s if bears smell blood beneath this area. Losing $15,000 could mean we are in for a red week with lower prices in store .

Alt-coins have rallied strongly after the recent market volatility...Cardano was a big mover up 25%, Theta token continues it’s good form up 26%, and OMG was up 51% over 7-days.

Market update for beginners

Bitcoin’s 4% gain earlier in the week has been erased and the largest crypto by market cap finds itself back at the key $15,000 AUD. No matter the pull-back, the market is slowly grinding higher...but that could turn quickly.

Looking at the charts, it appears Bitcoin is moving up in a rising channel dating back to the sharp drop we saw at the beginning of the month. The sharp move down bounced off strong Moving Averages in the area that sellers will find hard to breech.

In the short term, the area around $15,000 will be a battleground for control between buyers and sellers. As much as this may appear to be a pit-stop before moving up, we may see BTC test the lower area of the channel in the 14,000’s if sellers see weakness - and losing the $15,000 level could mean we are in for a red week with move lower.

Alt-coins have rallied strongly after the recent market volatility...Cardano was a big mover up 25%, Theta token continues it’s good form up 26%, and OMG was up 51% over 7-days.