Altcoins Weekly Analysis – EOS, ETH and IOT – 20/01/19

Can increased adoption across a number of the crypto majors restore some faith in the broader market and deliver the beginnings of a recovery?
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EOS

EOS gained 2.17% in the week ending 19th January, partially reversing a 10.7% slide from the previous week, to end the week at $2.5051.

A bearish start to the week saw EOS fall to an intraday week low $2.2431, holding above the week’s first major support level at $2.18 before finding support, with a Tuesday recovery.

While relatively choppy through the week, EOS’s gains came off the back of 4 day’s in the green, with 3.6% rally on Thursday ensuring that EOS closed out the week in positive territory.

The extended bearish trend, formed at late April’s swing hi $23.03, remained intact, with EOS continuing to fall well short of the 23.6% FIB Retracement Level of $6.62 following 7th December’s new swing lo $1.55. The week’s relatively minor gains left EOS down 4.6% since the start of the year, the 10th January sell-off doing most of the damage.

For the week ahead, holding onto $2.50 levels through the early part of the week would support a move back through last week’s high $2.59 to bring $2.60 levels and the week’s first major resistance level at $2.65 into play. Sentiment across the broader market would need to materially improve however, for EOS to take a run at the second major resistance level at $2.80 and a possible return to $3.00 levels.

Failure to hold onto $2.50 levels through the early part of the week could see EOS pullback through $2.45 levels to bring the week’s first major support level at $2.30 into play.

Following last week’s low $2.24, the week’s second major support level at $2.10 could come into play should another sell-off kick in, while we would expect EOS to steer clear of sub-$2.00 levels.

At the time of writing, EOS was 0.11% to $2.5078.

Ethereum

Ethereum fell by 1.12% in the week ending 19th January, following on from a 19.2% slide from the previous week, to end the week at $123.17.

A spill over from the 10th January meltdown and 3 consecutive days in the red saw Ethereum start the week on the back foot, falling to an intraweek low $113.5 before finding support.

Steering clear of the week’s first major support level at $111.03, Ethereum rallied to a Tuesday intraweek high $132.38. Ethereum came up short of the week’s first major resistance level at $148.87 before easing back to $120 levels on Wednesday and a relatively range bound 2nd half of the week.

For the week ahead, a hold onto $123 levels through the early part of the week would support another run at $130 levels to bring last week’s high $132.38 and the first major resistance level at $132.53 into play.

For Ethereum to break out to $140 levels and take a run at the second major resistance level at $141.90, there would need to be a material shift in sentiment across the cryptomarket, with the news wires needing to support. A hold onto $130 levels would be the week’s target for the bulls.

Failure to hold onto $123 levels could see Ethereum hit reverse to log in a 3rd consecutive week in the red, a fall through to sub-$120 levels bringing the week’s first major support level at $113.65 into play. For Ethereum to hold onto gains made since the mid-December swing lo $80.60, sub-$110 levels would need to be avoided.

At the time of writing, Ethereum was up 0.07% to $123.26.

IOTA

IOTA gained just 0.96% in the week ending 19th January, following a 16.1% slide in the previous week, to end the week at $0.3169.

A bearish start to the week saw IOTA slide through the first major support level at $0.2738 to a Tuesday intraweek low $0.272 before finding support, with IOTA managing to recover to $0.30 levels on the day.

Upward momentum through the 2nd half of the week saw IOTA rise to a intraweek high $0.3344 on Saturday before easing back, the major resistance levels left untested through the week, a hold onto $0.30 levels by the end of the week being key for the crypto bulls.

For the week ahead, holding onto $0.31 levels through the early part of the week would support a move back through last week’s high $0.3344, while support from the broader market would be needed for IOTA to take a run at $0.34 levels and the week’s first major resistance level at $0.3435.

Failure to hold onto $0.31 levels through the early part of the week could see IOTA resume the 2019 reversal, a fall through $0.3070 likely to bring sub-$0.30 levels and the week’s first major support level at $0.2811 into play before any recovery.

Heavier losses and a return to last week’s low $0.2720 is not expected, barring a crypto meltdown in the week.

At the time of writing, IOTA was up 1.01% to $0.3201.

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