
The month of May has been a good one for crypto bulls, featuring robust uptrends across the entire asset class. The post-U.S. Tax Day rally has exceeded that of 2018, enticing many industry insiders to proclaim that the “crypto winter” is over. While that assertion may be a bit premature, there is no arguing with the recent performance of digital currencies.
A Strong Week For Crypto
The cryptocurrency markets have been alive over the past seven days, led by a breakout over Memorial Day weekend. Here is a look at the last week of performance for the leading coins:
Coin % Gain Key Number
Bitcoin BTC 10.5% $8750
Bitcoin Cash (BCH) 15.3% $475
Ethereum ETH 15.6% $275
Litecoin LTC 30.8% $125
Ripple XRP 22.4% $0.50
You can’t argue with double-digit gains ― cryptos are certainly on a roll going into the final trading day of May.
Bitcoin (BTC) Hangs Tough In Bullish Territory
Anytime a market opens the week GAP up, there is a tendency to fill in all vacant price levels. For May BTC futures, the GAP is setting up as valid downside support.
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Here are the levels to watch in BTC for the near future:
- Resistance(1): Psyche Level, $9000
- Support(1): 38% Current Wave, $7998
Bottom Line: For now, the bullish trend in BTC remains valid. Prices are well above the 38% Current Wave retracement and are threatening to move higher. With a bit of luck, we will get the opportunity to buy a pullback before June trade kicks off.
Until elected, I will have buy orders queued up from $8010 in BTC. With an initial stop at $7424, this trade produces $750 per BTC on a return to the $9000 handle.