Buy Signals On Bitcoin and Ethereum Could Bring Sudden End To Sideways Trend

Tony "The Bull" Severino

Last Updated: July 18, 2020 7:11 pm

3 mins read

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While the rest of the crypto market has been soaring, Bitcoin and Ethereum have been trending sideways. The tightening price action has led to boredom and record low volatility.

But a buy signal on each of these two most dominant crypto assets could lead to a sudden change in trend, and hopefully an end to this trading range.

Major Crypto Assets Trend Sideways While Smaller Altcoins Shine

The two largest cryptocurrencies by market cap have been the most stagnant of the bunch. Both Bitcoin and Ethereum have more resembled a stablecoin more so than their explosively volatile former selves.

The uncharacteristic sideways price action in these two assets pushed investors and traders to find opportunities in greener pastures.

Elsewhere in the crypto market, Chainlink set a new all-time high and several DeFi tokens have skyrocketed as that bandwagon chugs along.

Nearly every major crypto asset had some positive movement, even long cryptocurrency market underperformers like Ripple’s XRP and Stellar’s XLM.

It’s only been Bitcoin and Ethereum, the two primary market movers and most dominant crypto assets, that have behaved in this manner.

All this could soon change now that a buy setup has appeared on today’s daily price chart on the two assets.

Imperfect TD 9 Triggers On Bitcoin and Ethereum Daily Price Charts

Although the number one and number two ranked cryptocurrencies have been trading sideways, there has been enough downside to trigger a buy setup on their USD trading pairs.

On both BTCUSD and ETHUSD, the TD Sequential indicator is signaling a 9 count and imperfect buy setup.

Bitcoin BTCUSD TD Sequential 9 Buy | Source: TradingView

For the buy setup to perfect, today’s candle must set a lower low than yesterday’s low, pushing to sub $9000.

A rise above roughly $9250 would flip the series green and change the 9 to a 1 candle. A 1 candle signifies the start of a new sequence.

Ethereum ETHUSD TD Sequential 9 Buy | Source: TradingView

For Ethereum to perfect, the number one altcoin must fall to below $229 per ETH. A rise above $240 would turn the series green and start the sequence over.

It’s worth noting that just because the setup is here, it doesn’t necessarily guarantee follow-through. The indicator has been highly accurate in cryptocurrency trading but isn’t 100% successful.

Recently, sell setups on these same major crypto assets have resulted in no break of the current trading range or end to sideways action. A sell signal also appeared ahead of Chainklink setting new record highs – so anything is possible.

If Bitcoin and Ethereum once again shake off any buy or sell signals, the crypto market could experience an even longer bout of stagnancy. If this continues, small- and mid-cap altcoins could continue to outperform.

Tony "The Bull" Severino

Tony "The Bull" Severino, CMT, is a distinguished figure in the cryptocurrency analysis sector, renowned for his in-depth technical expertise and innovative approach to market trends. As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market.
A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony’s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements.

Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions.

In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony’s expertise to guide their trading strategies.

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Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders.
His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics.

Tony’s nickname, "The Bull," aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice.

In summary, Tony "The Bull" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.