Bitcoin, Ether, and XRP Weekly Market Update May 18, 2020
The total crypto market cap added $31.8 billion to its value for the last seven days and now stands at $269.9 billion. The top 10 currencies are all in green for the same time period with Bitcoin SV (BSV) and Ether (ETH) being the best performers with 8.1 and 7.5 percent of gains respectively. By the time of writing Bitcoin (BTC) is trading at $9,887 while ether climbed up to $216. Ripple’s XRP nears $0.207.
The crypto community celebrated the third BTC halving, which occurred on May 11. The event was basically a non-event with no immediate impact on the price of the leading cryptocurrency. Traders and analysts were divided in their forecasts, but as always, the crypto market had its own mind.
The BTC/USD pair closed the previous week at $8,718 after suffering a major disappointment on Sunday, May 10. The coin was rejected at $9,500 and the long-term downtrend, which resulted in an 8.4 percent correction.
On the halving day, bitcoin was extremely volatile – it was moving in the $9,166 – $8,169 range, ending the session at $8,575 and thus marking its fourth consecutive day in red.
On Tuesday, May 12, bulls reminded of themselves and regained positions near $8,819 after rebounding perfectly from the lower end of the support area – around $8,600. The coin also hit the $9,000 mark during intraday.
The mid-weeks session on Wednesday was again positive for buyers as their preferred digital asset added 5.6 percent and climbed to $9,315.
On Thursday, May 14, the BTC/USD pair stormed pass both the diagonal and horizontal resistances (the latest being around $9,600) and ended the day at $9,793 after almost hitting $10,000 in the early hours of trading.
The next obvious target for bulls was to break above the symmetrical triangle pattern, which was in the making since February, and surpass the above-mentioned psychological level.
The gap between $9,600 and $10,000, however, was not that easy to fill and on Friday we saw a significant correction to the downside. The coin fell all the way to $9,307 and erased 5 percent of its value.
BTC managed to stabilize on Saturday, May 16 and formed a short green candle to $9,400.
On Sunday, it continued to rise and ended the week at $9,661 or 12.5 percent higher.
The Ethereum Project token ETH crashed below the 100-day EMA and the $200 mark on Sunday, May 10 and entered the next support zone at $190-$187. It was 10 percent down for the week.
The leading altcoin opened the new trading period on Monday by falling as low as $175 in the early hours of trading. It hit the 200-day EMA and managed to recover in the evening, closing with a small loss to $186. Bulls did not allow a further decline and stabilized around the lower end of the support area.
On Tuesday, May 12, the ETH/USD pair climbed up to $189 in the aftermath on the Bitcoin halving and suggested it might be in for more gains in the coming days.
That was the case on the third session for the week. The ether broke above the 100-day EMA and reached the $200 mark, closing the day 5.8 percent higher.
It extended gains on Thursday, May 14, and climbed up to $203, almost touching the solid mid-term trendline during intraday.
It was time for correction on the last day of the workweek. The ETH token erased 4.4 percent of its value and stopped at $194 after finding its bottom near $192.
The weekend of May 16-17 was full of action. It started with a solid green candle to $200 on Saturday as buyers were not yet ready to give up their positions. Then on Sunday, May 16, the Ethereum token climbed to $207 or right above the diagonal resistance.
The Ripple company token XRP followed the general crypto market trend on Sunday, May 10 and fell all the way down to $0.197, breaking below the major support zone between $0.20-$0.215. It was 10 percent down for the week and continued to be is stuck in the wider $0.18-$0.23 area for more than a month.
The major altcoin started trading on Monday by dropping further to the 50-day EMA near $0.193, also hitting $0.183 in the early hours of the session.
On Tuesday, May 12, the “ripple” ended the four-day long losing streak and climbed up to $0.197, after finding temporal stability around the mentioned moving average line.
The mid-week session on Wednesday was positive for bulls and they successfully reached $0.203, once again entering the important zone above $0.20. The move resulted in a 3 percent increase in price. What was more interesting was the fact that the XRP/USD pair was now clearly ranging in the narrow corridor between the 26 and 50-day EMAs.
On Thursday, May 14, we saw the formation of a third straight green candle on the daily chart and a move to $0.204.
The last day of the workweek came with a correction to $0.197 as the coin lost 3.4 percent of its value, but remained in the uptrend corridor.
The weekend of May 16-17 was marked by a low volatility session on Saturday, during which the XRP token made a short move up to $0.199.
It continued with its good performance on Sunday and closed the week at $0.201.
Altcoin of the Week
Our altcoin of the week is OmiseGO (OMG). This long-known cryptocurrency project is looking to improve the business world by enabling access to a wide range of financial services and facilitating instant, peer-to-peer transactions on the blockchain.
OMG added 30 percent to its value for the last seven days and is 70 percent up for the 30-day period. The coin is currently ranked at #49 on the CoinGecko’s Top 100 list with a total market cap of $137 million.
The reason behind the surge is not known, but the coin is on the way up ever since the Asian fintech company Omise Holdings rebranded to SYNQA in the beginning of May.
It peaked $1.04 on Friday, May 15 and as of the time of writing is trading at $0.983 against USD on Kraken.