Cryptocurrency Analysis

28th October: Bitcoin Retraces Gains, Ethereum in Steep Fall


On 28th October, Wednesday, Bitcoin came under selling pressure from the $13,949 daily resistance level and the high of 2019 momentarily reached on 27th October. The BTC/USD pair opened Wednesday’s trading session at $13,657 at 3:00 UTC the corrective move took its first stride and continued through to 15:00. The day’s 14:00 hourly candlestick finished in a hanging man with the day’s low at $12,900 as of 18:00 UTC, leading to a slight recovery bounce.

Wednesday’s corrective retracement shows that there is selling volume placed near $13,949 and that there is a support zone between $12,965 and $13,055. This makes it highly probable that the zone between $12,965 and $13,840 will be centric for the BTC/USD price action for the rest of the week of 26th October. A return to $13,800 is a clear target level for Bitcoin buyers for the rest of the week.


Ethereum has been driven sharply down to under $389 on 28th October by Bitcoin’s corrective move. After the day’s open at $405 the pair began going steeply down from 3:00 UTC through to 17:00 UTC. At the day’s low as of 17:00, the pair almost touched the $378 support level, stopping at $380.7. With the day’s price action, the uptrend’s lower boundary has now come under the threat of breach.

The $378 support level can lend Ether some support, but it most likely will not stop Ether’s downside move in case there is no quick return to $13,800 in Bitcoin. The 50-day SMA is at $369.5 as of 28th October and may also act as support in case ETH/USD falls below $378. But a move below $369 will likely reverse the currently ongoing uptrend in the ETH/USD pair.