A decisive recovery above the $60,000 figure would improve the near-term technical picture for bitcoin
The dollar remains on the offensive on Monday, holding steady around fresh 2021 highs after outperforming its rivals last week. As such, EURUSD stays below the 1.1300 figure, holding marginally above fresh mid-2020 lows seen around 1.1250 on Friday. The technical picture suggests that there isn’t much relief on the way down for the common currency despite the oversold conditions. As such, the pair could threaten the 1.1200 figure in the short term if the dollar keeps climbing north. On the upside, the mentioned 1.1300 level represents the immediate target, but the path of least resistance for the European currency remains to the downside. The euro was last seen changing hands around 1.1280, down 0.03% on the day, with the mentioned lows staying in market focus.
The cable failed to regain the 1.3500 figure last week and has been under pressure since then. The pair derived support from the 1.3400 figure on Friday before bouncing marginally. Today, the pound has settled around the flat-line, struggling below the 1.3450 intermediate upside barrier. As the greenback remains elevated, holding onto recent gains, it looks like the bullish potential for GBPUSD would be limited in the short term. Furthermore, the pair may come under renewed selling pressure and threaten the 1.3400 level. In this scenario, the recent 2021 lows around 1.3350 would come back into the market focus. On the upside, the key barrier is still represented by the descending 20-DMA, currently at 1.2545. The cable has been trading below this moving average since late October, and it looks like the prices would struggle to regain this barrier in the near term.
The USDJPY pair bounced off the 20-DMA earlier on the day to regain the upside bias during the European hours on Monday. As a result, the dollar extended intraday gains to the 114.25 area before retreating marginally. In the near term, the prices need to hold above the 114.00 figure in order to avoid another retreat towards the 113.60 area. In a wider picture, the pair remains within a broader uptrend as long as the greenback stays above the ascending 20-week SMA, today at 111.50. On the four-hour charts, the prices are stuck between the moving averages while the RSI looks directionless around the 48 figure, suggesting the immediate technical picture looks neutral at this point.
Gold prices dipped to November 10 lows around $1,840 earlier in the day before bouncing marginally in recent trading. The bullion has been on the defensive since its rejection off mid-June highs in the $1,877 area last week. The short-term technical picture has deteriorated somehow after a break below the $1,850 support zone. Now, the XAUUSD pair needs to hold above the mentioned lows in order to avoid a deeper retreat towards the $1,800 figure. On the hourly timeframes, the yellow metal has settled below the key moving averages while the RSI is pointing south, suggesting the path of least resistance for gold remains to the downside for the time being. However, it looks like the metal could attract the buying pressure and retarget the $1,900 figure eventually.
The bitcoin price dipped to mid-October lows around $55,600 last week to bounce to the $60,000 area on Sunday. However, the largest cryptocurrency by market cap failed to preserve gains and came under renewed selling pressure today. The BTCUSD pair was last seen changing hands around $57,300, down 2.74% on the day. If the coin stays on the defensive in the short term, the prices could revisit last week’s lows and see even deeper losses in the coming days. A decisive recovery above the $60,000 figure would improve the near-term technical picture, while the key barrier for bulls now arrives at $62,000 where the 20-DMA lies. As long as bitcoin stays below this moving average, downside risks persist. It looks like the prices could dip below the $54,000 level before attracting fresh buying pressure.