Crypto rebounds stalling at resistance – ETHBTC remains noteworthy

What’s changing technically for crypto currencies?
After rebounding from deeply oversold levels in March, most cryptocurrencies are stalling under technical resistance coinciding with declining 50- and 200-dma’s. Given the long-term uptrend for BTC remains intact, our expectation is for the current pullback to be relatively shallow over the coming 1-2 weeks.

BTC stalling under declining 50- and 200-dma’s
BTC is stalling short-term under heavy technical resistance between 7-8K which coincides with a 50-62% retracement of the Q1 collapse and declining 50- and 200-dma’s. Slide 5 Interestingly, a similar pattern is developing for many other risk assets, notably equities where the S&P 500 is showing early signs of pausing at its 50% retracement of the Q1 sell-off and many cyclical stocks pull back from declining 200-dma’s.

Bottom line – Expecting a shallow pullbackAfter an impressive oversold surge, most crypto currencies (and risk assets) have begun to retrace/consolidate their recent gains. Given the longer-term trend remains positive for BTC, our expectation is for a relatively shallow, 1-2 week pullback. First support begins at the 6.5K with next support between 5.8K and its rising 200-week (1000-dma) near 5.6K. ETH vs BTC: Positive divergence continues ETH, along...