Cryptocurrency Market Sees Correction with Bitcoin Cash Leading the Way

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Cryptocurrency Market Sees Correction with Bitcoin Cash Leading the Way

After a week of bearish sentiment, the cryptocurrency market as a whole saw a correction on Sunday. Major coins in top 20 saw gains up to 11.30%, with Bitcoin Cash being the winner of the bunch. Tether was the only altcoin to see mild drops of -0.22%.

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Bitcoin Cash Technical Analysis

Bitcoin Cash (BCH) saw the biggest amount of gains on Sunday. But in general, it has been having a harder time keeping up with the rest of the crypto market. BCH/USD remains below the daily Ichimoku cloud. It is supported by $877 and has a long way to go before reaching the all-time-high level of $4117.

BTC/USD Technical Analysis

Bitcoin was clearly supported by the lower band of the daily Ichimoku cloud, at the 78% Fibonacci retracement support level of $8,542 that we had identified previously. BTC/USD formed a bullish engulfing candlestick chart pattern, with the Tenkan line crossing above the Kijun line on Ichimoku Kinko Hyo’s standard setup.

The pair remains inside the Ichimoku cloud. Since Bitcoin wasn’t able to break below this support, the Double Top chart pattern we had identified last week has not confirmed. With that, we could expect a period of consolidation below the resistance of $10,920 before Bitcoin confirms its new direction.

 In fundamental news, Bitcoin’s next futures expiration on the Chicago Board of Exchange is coming up on Wednesday.

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