Binance Coin (CRYPTO: BNB) was rebounding almost 3% during Wednesday’s 24-hour trading session, more in tandem with the S&P 500 than Bitcoin (CRYPTO: BTC).
Ethereum Classic (CRYPTO: ETC) and Shiba Inu (CRYPTO: SHIB) were also enjoying a strong recovery, with the former spiking up over 5% and the latter trading over 2% higher.
Both the general market and the crypto sector suffered a bearish day on Tuesday. The S&P 500 slid 0.58% off the open and Bitcoin and Ethereum slumped 5% and 3.6%, respectively. On Wednesday, Bitcoin and Ethereum, although not falling further, were struggling to erase any of Tuesday’s losses while the S&P 500 was trading up about 1.9%, surpassing Tuesday’s high-of-day.
Despite Binance Coin, Ethereum Classic and Shiba Inu moving higher in tandem Wednesday, only Ethereum Classic has shown signs the downtrend may be over. Binance Coin is trading in a strong downtrend, and Shiba Inu, although possibly printing a bullish quadruple bottom pattern, currently lacks the volume to make a bullish break.
Below is a look at the three crypto’s charts:
The Binance Coin Chart: Binance Coin began trading in a downtrend on Aug. 10 and has since made a consistent series of lower highs and lower lows. The most recent lower high was formed on Tuesday at $286.10 and the most recent lower low was printed at the $258.70 mark on Wednesday.
- Although Binance Coin was bouncing higher on Wednesday, in order to negate the downtrend, the crypto will need to either surpass Tuesday’s high-of-day or retrace over the next few days to form a higher low above Wednesday’s low-of-day. For now, any bounce is most likely to cause the crypto to print another lower high.
- Binance Coin has resistance above at $274.40 and $302 and support below at $250.60 and $228.10.
The Ethereum Classic Chart: Ethereum Classic soared over 30% higher during Monday and Tuesday’s trading sessions, causing the crypto to negate its most recent downtrend. During Wednesday’s 24-hour trading session, the crypto was printing a hammer candlestick, with the wick above the most recent low, which may cause Ethereum Classic to form a higher low and confirm a new uptrend.
- Ethereum Classic is trading above the 200-day simple moving average, which indicates the crypto is experiencing a bull cycle. If the bull cycle is set to continue, traders will want to see Ethereum Classic soar up above Tuesday’s high-of-day over the next few trading days.
- Ethereum Classic has resistance above at $38.95 and $41.41 and support below at $35.38 and $32.17.
The Shiba Inu Chart: Shiba Inu printed a quadruple bottom pattern near the $0.00001180 mark on Aug. 28, Aug. 29, Tuesday and Wednesday. If the pattern is recognized, the crypto may break up out of the sideways pattern Shiba Inu has been stuck in since Aug. 27.
- On Wednesday, Shiba Inu was also printing an inside bar pattern, with all of the price action taking place within Tuesday’s range. The pattern indicates consolidation and is confirmed by Shiba Inu’s lower-than-average daily trading volume. For Shiba Inu to react bullishly to either pattern, an increase in volume will be needed.
- Shiba Inu has resistance above at $0.00001349 and $0.00001734 and support below at $0.00001178 and $0.00000975.
See Also: Bitcoin Takes The Lead, Drags Ethereum, Dogecoin Lower: What Happened?
