The year 2019 brought no significant surprise in the cryptocurrency market, as Bitcoin and Ether continue to dominate in a meaningful fashion. Both tokens banked +200% returns this year, so let’s see a brief overview of the market so far and what could happen in the second half of 2019.
Bitcoin started on January 1st around $3,600 and following three months of low volatility and consolidation, it started to grind higher on April 1st. Since then, it managed to exceed even the most optimistic expectations, managing to break again above the key $10,000 psychological level and reaching a year high located near the $14,000 area.
However, since June 22nd, Bitcoin looks locked in a range between $10,250 and $13,800, after sellers failed to break below the structure twice. At the time of writing, the bullish momentum had resumed and we could see Bitcoin retesting the upper line in the next few days. In the medium to long-term horizon, a breakout above the range could mean Bitcoin will head higher, towards $16,000-$16,500, where the next significant resistance zone is located.
Trading with TDS Capital and other platforms remains very active as market players continue to be motivated by strong bullish momentum, meaning an overextension of the current bull run could be a potential future outcome.
In line with the Bitcoin performance, Ether had also banked significant returns this year, after surging from $136 towards the $360 area in June. The price trades well-above the daily 200 moving average since the beginning of April, a powerful bullish indicator.
As highlighted in our chart above, selling pressure had been contained several times in the last few months and buyers managed to make new highs each time, communicating the order flow had been heavily biased towards the buy side.
At the time of writing, the Ether price seems locked inside a consolidation box for the third time since April and since selling pressure looks contained again, the most likely breakout direction is expected to be on the upside.
Until the pattern will be broker, buyers are expected to dominate. A bearish impulsive move erasing significant prior gains would be the alarm signal for a deeper retracement, but considering that did not occur up until now, our bias remains tilted towards the upside.
We can notice the same parabolic structure as we saw in Bitcoin, which means weakness in Bitcoin could result in weakness for Ether, as both major cryptocurrencies continue to evolve in tandem.