(CRYPTO: DOGE) showed comparative strength against much of the cryptocurrency industry during Friday’s 24-hour trading session.
On Friday afternoon, the Inu-based cryptocurrency rose by more than 4% at one point, while (CRYPTO: BTC) and (CRYPTO: ETH) fell by 4% and 3%, respectively.
Despite the drop in the two top cryptocurrencies, the sector has shown strength against broad markets since the Federal Reserve raised interest rates by 0.75% on Wednesday.
The S&P 500, trading down around 2.7% on Friday afternoon, tumbled 5.6% since the market opened on Wednesday and is expected to rebound. The market will be watching to see how the cryptocurrency industry performs over the weekend for clues that the stock market rebound is in the cards for Monday.
Here’s a look at the three cryptocurrencies coming up over the weekend.
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The Bitcoin chart: Bitcoin has been trading in a sideways sequence since September 19, nearly forming a quadruple pattern of the inner bar, except for the brief drop below the lower range on Monday Wednesday.
- The inner bar pattern is neutral because Bitcoin does not show a clear trend direction. Traders can watch the crypto break or fall from the mother bar on Monday with above-average volume to gauge future direction over the weekend.
- Bitcoin has resistance above $ 19,915 and $ 21,313 and support below $ 17,580 and $ 16,000.
The Ethereum Chart: Similar to Bitcoin, Ethereum was working to print an internal double bar pattern on Friday, with all Thursday and Friday price action taking place within Wednesday’s trading range. Traders and investors can watch crypto break or fall from the mother bar with above-average volume, which will likely coincide with Bitcoin breaking from its internal bar pattern.
- A rebound is likely to occur soon as Ethereum’s Relative Strength Index (RSI) measures around 36%. When the RSI of a stock or cryptocurrency approaches or reaches the 30% level, it becomes oversold, which can be a buy signal for technical traders. Ethereum’s RSI is more oversold than Bitcoin’s.
- Ethereum has resistance above $ 1,421.80 and $ 1,717.41 and support below $ 1.245 and $ 1,081.
Dogecoin chart: Dogecoin broke bullish from an internal bar pattern on Friday, which confirmed that the cryptocurrency is trading in an uptrend. Dogecoin’s most recent low formed on September 21 at $ 0.056 and when the crypto started to rise on Friday it printed a high above 6 cents.
- If Dogecoin is currently serving as an indicator for the cryptocurrency industry, Bitcoin and Ethereum are more likely to break bullish from their internal bar patterns. If Bitcoin and Ethereum deviate from the pattern, Dogecoin bullish traders will want to see the cryptocurrency retrace to form another higher low and not negate the current uptrend.
- Dogecoin has a resistance above $ 0.065 and $ 0.075 and a support below $ 0.057 and the 5 cent threshold.
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