A series of negative news releases hit the cryptocurrency segment today during the US session, and as the market was already bearish after the technical correction that started two days ago, the majors fell significantly.
The supposed hack of a Binance exchange API, coupled by reports on further SEC scrutiny, was the trigger of the move, which carried the largest coins through the major support levels that they were testing earlier on, causing a wave of selling across the board.
BTC/USD, 4-Hour Chart Analysis
Bitcoin dipped below $10,000 but found support above the lows of the recent correction low, and well above the key $9000-$9200 zone. The short-term momentum is still bearish, although it’s headed for oversold territory quickly, and we still expect the recovery to continue in the most valuable coin, with resistance above $10,000 found at $10,500, $11,300 and $11,750.
The sell-off will be a crucial test of the strength of the recovery, but for now, the key levels in Bitcoin and most of the major altcoins are holding up. That said, the short-term charts are bearish and traders should wait for signs of strength before entering new positions here, while long-term investors could still be looking for entry points in most of the majors.
ETH/USD, 4-Hour Chart Analysis
Ethereum dipped below the $740 level during the sudden sell-off after breaching the $780 support, but for now, the selling ran out of steam, and the coin remains near the key support zone. While the short-term setup remains negative and we still expect further consolidation before a move above the dominant declining trend, long-term investors could still add to their holdings here. Primary support below the nearby zone is found at $625, while further resistance is ahead near $845 and $910.
LTC/USD, Daily Chart Analysis
Litecoin breached the $180 level amid the plunge, but it remains well above the prior downtrend, still within a short-term correction pattern following the strong post-crash rally. Short-term traders could be looking for entry points near the $170-$180 zone while long-term investors should still hold, as we expect the coin to resume the recovery, with resistance ahead at $200, between $225 and $235, and at $250.
DASH/USD, 4-Hour Chart Analysis
Dash fell as low as $500 during the sell-off, and it remains relatively weak compared to the other majors, although the short-term momentum is getting close to oversold territory. Long-term investors could add to their holdings at the current price levels, as we expect the recovery to resume, despite the current dip. Resistance found near $600, $650, $700, and $750, while further support is at $435 and near $400.
XRP/USD, 4-Hour Chart Analysis
Ripple is testing the $0.85 level yet again after the failed break-out earlier on this week, but the crucial support remains strong, and we expect the coin to hold up above the prior low, and long-term investors could still add to their positions. Resistance is still found at $1, $1.25, and $1.5, while support below $0.85 is at $0.68.
ETC/USD, 4-Hour Chart Analysis
ETC continued to lag the other majors during the sell-off, as it plunged back in the previously dominant declining trend after the strong initial post-crash rally. The deep correction means that the coin is now back near the $23 level, and long-term investors could once again add to their positions, while traders should wait for signs of relative strength before entering trades. Primary support is now at $20, while resistance above $23 is at $25, $27, and $30.
XMR/USD, 4-Hour Chart Analysis
Monero continued its overbought correction amid the broad selloff, dipping below the break-out level at $335 as expected. The coin is now back to neutral from a short-term perspective and we expect the rally to continue after the correction, even as the long-term setup is slightly stretched. The next main resistance zone is near $400, while support below is found at $300, and $280.
NEO/USDT, 4-Hour Chart Analysis
NEO is testing the $100 level after a period of relative weakness, and although the correction might still continue, long-term investors could add to their holdings here, while the short-term momentum is also close to oversold territory. Support is now found at $80, while further resistance is ahead between $120 and $130, just above $150, and at $190.
IOTA/USD, 4-Hour Chart Analysis
IOTA fell below the vital $1.5 support amid the spike lower, and the coin needs to hold up above that level, to maintain the bullish long-term setup. As the short-term momentum is close to oversold, the coin could be ready to bounce, and we still expect the recovery to resume despite the recent weakness. The dominant declining trendline that capped the bounce is now at $1.85, just below the $1.9 resistance, while below, support is at $1.2 and $1.1.
Featured image from Shutterstock
Disclaimer: The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.
The post Technical Analysis: Binance Hack Sends Coins Crashing appeared first on Crypto Currency Online.
from Crypto Currency Online https://cryptocurrencyonline.co/technical-analysis-binance-hack-sends-coins-crashing/