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Yesterday's piece was about how deep is the dip in Bitcoin (BTC) going to be. The answer to that question this morning is deeper than we thought. Looking at Bitcoin (BTC) on BitMEX, we see that volume analysis has been a useful tool at predicting extremes for XBT. When using volume analysis, a zone that has substantial volume can act as support and resistance....

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When it comes to altcoins, we have had success going with the trend since we got bullish Komodo (KMD) back on November 6. We think that breakout ushered in a mini alt season where higher quality alts started to trend higher. These new trends are in contrast to the previous price action in alts where alts would spike and then fall back down. One distinct...

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Looking at Ethereum (ETH) vs. Bitcoin (BTC), we noticed more evidence that ETHBTC is at a critical inflection point. Looking back to June, we see that ETHBTC is now near the zone where the majority of volume has traded. This could mean one of two things. First, it could mean that Ethereum (ETH) vs. Bitcoin (BTC) has reached a "comfort zone." With the way volume...

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We have to be honest; this morning's slide in Bitcoin has a bit concerned. Bitcoin (BTC) futures (BTC1) are started to slip below a critical inflection point near 8500. 8500 is the location of a gap from back in June. 8500 seems to have acted as an important inflection point in Bitcoin's recent past. We also notice that Bitcoin (BTC) is falling in conjunction...

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Perhaps the best news about today's drop in Ethereum (ETH) is that it gives us something to say about this range-bound coin. Looking at a four-hour chart, it would seem that ETH has reached the bottom end of its trading range near 179. Other than running stops or an unforeseen crypto crash, we can't imagine what the rationale would be to take Ethereum (ETH) down....

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To us, this recent decline to 8450 could be an excellent buying opportunity for traders to get involved in Bitcoin (BTC). Looking at Bitcoin (BTC) on BitMEX, XBTUSD has returned to a previous high from mid-October. This makes the support at 8450 strong. We also see the potential momentum divergence, which could help Bitcoin (BTC) rally a lot if prices do...

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Looking at Decred (DCR), we have another fascinating chart in the alt space. DCRBTC could be in the early stages of a much more significant up move. We saw a presentation on Decred at the Austin Bitcoin conference. Decred has specific properties on its blockchain that make it appealing as a cryptocurrency. Decred is also a favorite of major hedge fund, Delphi...

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Looking at VeChain, technical developments are exciting. First, we see that VeChain (VET) is right up against horizontal resistance that the 38% retracement of its recent move down. That level should create a pause and allow for profit-taking. In the event VeChain blows through the 38% level near 81, the next upside target could be 111. The 111 level is the...

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We noticed that the last rally in Ethereum (ETH) back in late October produced an important event. The 21-DMA (green) crossed above the 50-DMA (red). And then, as you know, Ethereum (ETH) fell into the hopelessly dull range. As it turns out, this range may be a constructive development. Visually, this range looks similar to the last time the 21-day crossed above...

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Looking at Bitcoin (BTC) on BitMEX (XBT), we some constructive signs on the four-hour chart. The sour price action may be creating a bullish divergence with a 9-period RSI. RSI or Relative strength index is making higher lows, and Bitcoin (BTC) is making lower lows during this consolidation. When a momentum indicator makes higher lows as price makes higher highs,...

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With Komodo (KMD) up big recently, it gives us a moment to reflect on an earlier bullish idea in this coin. KMD was the coin that convinced us to change our view on altcoins. We were fortunate to see the breakout here. That led us to believe that a range in Bitcoin (BTC) was an opportunity for altcoins to rally. Bottom Line: Right now, KMD is at significant...

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Looking at Ethereum (ETH) price action, it doesn't look like anything is happening. We disagree. If you look at Ethereum (ETH) vs. Bitcoin (BTC), you can see ETHBTC slowly approaching a significant resistance point at 2140. If ETHBTC could somehow get through this level, the crypto market could wake up. Bottom Line: Ethereum (ETH) is in a position to lead a...

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Looking at the listless range in Bitcoin, we are beginning to think Bitcoin (BTC) is going to need some help to get going again. We saw a tweet yesterday suggesting that every time the Fed lowers interest rates, they are effectively trying to devalue the Dollar. According to the person that wrote the tweet, each drop in interest rates is an advertisement for...

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Looking at the 100-day moving average and an apparent double bottom formation, we see the potential for this market cap measure to move materially higher. The 100-DMA has been a launching point in the Spring and Summer. The Fall version may be around the corner. The inflection point to keep an eye on is the $73 billion mark. As with 8700 in Bitcoin (BTC), it is...

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Looking at a 2-day chart of Bitcoin on BitMEX, XBT is sitting right on top of 8750. By drawing a simple line, we can see how big moves had come when either Bitcoin (BTC) stayed above this line or fell below it. The arrows show market moves in May, June, September, and October. Now in November, three 2-day bars have formed right on top of 8750. Bottom Line :...

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To us, the bid in alts is palpable. Believe it or not, alts may have become "low-risk" crypto plays. What do we mean by low risk? Well, earlier this month, we saw a report that stated the European Union was talking about banning crypto projects that deemed too "high risk." They were, of course, talking about Facebook's Libra. So, if Facebook Libra remains the...

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Algorand (ALGO) looks to be joining in. ALGO may rise to 3600. That would be an attack of its "previous fourth." That is Elliot Wave vernacular for the point where a market started its final break lower. These points can act as a magnet as a new bull market begins. We think the fact that ALDO is above its 50-day moving average is another positive sign. Bottom...

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The Crypto market is in the red today. There is one bright spot. Ethereum (ETH) is outperforming Bitcoin (BTC). With ETH trading well, ETHBTC is rallying above its 50-day moving average at 210. We see this as very bullish for ETH and the entire crypto market. We see ETH heading higher to retest it's "previous 4th" wave vs. BTC. We see technical support for ETH...