Crypto breakout drives massive short-covering, looks important technically
Key Takeaways
- Many Cryptocurrencies look to have made significant technical breakouts starting early Friday morning with BTCUSD, SOLUSD, ETHUSD, LTCUSD, and XRPUSD all jumping 8% +
- Technically this looks to be a positive given prices having eclipsed weekly highs as well as one-month downtrends. This gives rise to the possibility that BTCUSD might be kicking off its traditionally bullish 4Q seasonal rally
- Momentum remains positive on weekly charts and has turned quickly back to positive territory also on daily charts as a result of Friday’s surge
Bitcoin finally resolved its 10-day sideways range by exceeding the downtrend which had been in place since early September. Note, trends had turned negative a month ago technically, but after a visible three-wave decline into late September, Friday’s move is a big positive in helping to resolve this consolidation. First upside target lies at September highs at 52,956, then 64,895
Key Technical positives:
Daily and weekly momentum now positive per MACD (Moving Average Convergence Divergence)
DeMark counter-trend indicators triggered TD Sequential “13 Countdown” signals on 60 min and 120 minute charts that often can be important in signaling trend change in late September
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Bitcoin looks to strengthen relatively speaking after nearly a month of lagging
Bitcoin (BTC 1.01% ) broke out of its triangle pattern today, Monday 11/8, and could set a new all-time high close above 65,990.31.Relatively speaking, BTCUSD should begin to gain in relative strength based on a minor breakout in its Dominance chart which should help its market capitalization start to pick up speedLTCUSD, ALGOUSD, and LINKUSD all should be favored for gains in the weeks ahead as these are making favorable technical breakouts...
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