Ethereum stays marginally above $600 handle, but the further upside is effectively capped by 100-DMA at $612. Lack of follow-through signals that the recovery attempts are fading away, leaving ETH vulnerable to new losses. The second largest coin is mostly unchanged since the start of the day and up 2.5 percent in recent 24 hours.
Speaking at Bloomberg Invest New York Summit, Mike Novogratz, the founder, and CEO of Galaxy Digital Capital Management, explained that cryptocurrency industry is still in its infancy, which explains many of its faults and "misbehaviors".
"Ethereum, which is one of the main leaders in the crypto space, is only three years old. If you think of the current market as a three-year-old child, it's unreasonable to expect it to have the maturity of a PhD student," he said.
For the last couple of years, the market has been dominated by retail investors, vulnerable to FOMO and FUD phenomena. The market will mature once this pattern is changed. At the same time, Novogratz believes that cryptocurrencies will not replace fiat money as regulators will do their best to prevent that from happening.
Ethereum technical picture
Looking technically, ETH/USD is stuck at $600 as the recovery proved to be short-lived. The coin needs to clear ultimate hurdle created by 23.6 percent Fibo at $652. Once above, the recovery may be extended to $700 with 200-DMA registered at $705. On the downside, an important support is created by $504.
ETH/USD, the daily chart
(Click to enlarge)
IOTA price, just like the other major cryptocurrencies is correcting slightly lower on Wednesday. The digital asset has trimmed gains today by a subtle 1.34 percent, however, it is still trading above the bullish trend line which is supported by the 50 percent Fib retracement level with the previous swing high of $1.99 and a low of $1.34. Related: World’s Largest Hedge Fund Claims Investors Are In Danger
IOTA has not managed to shake off the selling pressure in the market after the slide that occurred earlier this week. IOT/USD is trading at $1.74, similarly, it is dancing with the 38.2 percent Fib retracement level. The price is currently supported by the 200 SMA, but a bear trend is forming to show that selling pressure is rising.
There are a couple of breakout points on the chart; on the upside, if IOTA price overcomes the resistance at $1.85, it could test the key resistance at $2.0. On the flipside, the zone at the 50 percent Fibonacci level is vital and could lead to downside breakout towards $1.60 - $1.55 demand zone. This is a suitable buy zone, although the major support will be found at $1.35.
IOTA is one of the most active cryptocurrencies in the industry, the team has been working hard on releasing new technology in the market. They have recently provided an update on the most anticipated project in the community, Qubic. In addition to that, they have also launched IOTA Lab. IOTA is described as an open-source project for the community and is developed by AKITA, which is a new startup enterprise that focuses on DLTs.
IOT/USD 1-hour chart
(Click to enlarge)
Tron, now the 10th largest digital asset by market capitalization, is sidelined under $0.060, off Tuesday's high reached at $0.0613. It has gained over 2 percent since this time yesterday, but the upside momentum has faded away.
Tron has recently launched the MainNet and now moving closer to its “Independence Day” scheduled on June 25. Following the example of EOS, Tron Foundation has offered generous rewards to those who help eliminated the system bugs and vulnerabilities.
Related: Why June Won’t Be Boring For Gold & Silver
“We take the security of our platform very seriously. We are looking for developers who specialize in global network security to help make TRON MainNet one of the most secure public blockchains in the industry and provide a stable infrastructure for future DApps to be deployed on the MainNet,” said Justin Sun, founder of the TRON Foundation.
Tron's short-term technical picture
As it is shown on the hourly chart, TRX/USD stays above 50-SMA (hourly chart) at $0.0590. Once this local support area is broken, the selling pressure may take the price towards the next pivotal zone at $0.0570, followed by $0.0550. On the upside, the nearest resistance registered at $0.0600 (with 200 and 100-SMA clustered around that area and 50 percent Fibo at $0.0614). If it is cleared, the upside may be extended towards $0.0638 (June 3 high)
TRX/USD, the hourly chart
(Click to enlarge)
By Tanya Abrosimova via FX Street
More Top Reads From Safehaven.com:
