OKEx Technical Weekly: Oct 8, 2019 – ALTCOIN MAGAZINE

In the September Global Markets Review, OKEx Technicals believed the low BTC Long/Short Ratio could help bitcoin to recover, but yet, that alone is not enough to flip the coin. Markets still await more pieces of evidence to guide them out of the negative sentiment.

In the altcoin space, we’ve also seen green across the board, as XRP and EOS rebounded for more than 10%, while ETH and LTC also jumped about 8%. We’ve seen altcoins with lower correlation with bitcoin generally performed better than those are more correlated with bitcoin. That is especially noticeable in XMR, which traded just 3.8% higher on Tuesday Asia session, while some of its altcoin peers have double-digit gains.

Traders would also like to watch for headline risks as US-China trade talks resume this week, while Trump’s impeachment inquiry and the Brexit saga are expected to bring headline galore for the markets.

• In the 4-hour chart, BTCUSDT mostly traded sideways after the selloff in late September.
• MACD has shown improvements with a bullish MACD crossover developed and seems to enter the bullish territory.
• Data from the CME shows that institutions have been increasing their long positions in BTC (figure 2), while leveraged accounts seem took profit from the recent selloff, this could provide supports for the BTC recovery.
• OKEx’s data also favors a positive bias, with the BTC Long/Short Ratio, remained at recent lows.
• The first level to watch: 8400, we could confirm a sentiment shift if the price of BTC breaks this level and stay above it successfully.

Figure 1: BTCUSDT 4-Hour Chart

Figure 2: CME Bitcoin Commitment of Traders

Figure: 3: OKEx’s BTC Long/Short Ratio

• ETHUSDT has developed a slightly better trend than BTC, as an ascending triangle pattern seems has formed, it’s considered a bullish sign.
• The pair has been approaching the 20-day SMA on a daily chart and it seems like a near-term resistance.
• The pair could first retest the support on the lower side of the triangle, which is near the 176 levels, before producing a breakout.
• Again, OKEx’s ETH Long/Short Ratio (figure 5) remained at low levels, suggesting that sentiment has been more on the positive side.

Figure 4: ETHUSDT Daily Chart

Figure 5: OKEx’s ETH Long/Short Ratio

• ATOM is one of the top gainers in the altcoin space, it traded 16% higher against USDT on OKEx’s platform in the early Tuesday session.
• However, the RSI suggests that the pair is becoming overbought and a correction could be in-sight. We’ve seen the RSI reached the 70 levels followed by a price correction three times previously.
• Moreover, if the long upper shadow remains throughout the trading day, that could indicate sellers dominated during the session.

Figure 6: ATOMUSDT 4-Hour Chart

• DASH is another noticeable gainer in the Tuesday session, surged 6% against USDT at the time of writing.
• We’ve seen the trade volume surged significantly even when the pair has reached the upper side of the recent trading range.
• A significant increase in trade volume usually followed by a price surge, and a similar case happened last Friday.

Figure 7: DASHUSDT 4-Hour Chart