Ethereum, Tron, Chainlink Technical Analysis on 6th September 2020

The cryptocurrency market suffered major losses as the weekend dawned triggering a drop to $320 billion collective market cap. Altcoins were the biggest losers in the latest downside price action while Bitcoin firmly held its dominance at 58.8%.

Ethereum [ETH]

Ethereum [ETH] took a sharp plunge below its immediate support level of $379. The largest altcoin was down by a staggering 15.49% over the past 24-hours which led to a price drop of $328.17 as it held a market cap of $36.91 billion and a 24-hour trading volume of $32.626 billion.

The technicals appeared bearish as the dotted markers of Parabolic SAR continued to resist an upside break to its overhead resistance which stood untested at $438-level. The RSI also dipped into the negative territory and was currently in the oversold region depicting a sentiment massive sell pressure dominating the market.

If this trend persists, ETH could target a drop close to its next support level at $231.

Tron [TRX]

The 14-largest cryptocurrency, Tron [TRX] suffered a decline of a massive 18.43% over the past day which drove its price to $0.0289. At the time of writing, the coin recorded a market cap of $2.074 billion and a 24-hour trading volume of $3.642 billion.

The red closing bar of Awesome Oscillator depicted a sharp shift towards an increasing bearish momentum. Chaikin Money Flow dropped to the bearish levels depicting an increase in the outflow of capital from the coin market.

The resistance for the coin was untouched at $0.0399 as the technicals remained bearish. Should TRX extend further lows, it could drop to its next support level of $0.0230.

Chainlink [LINK]

Chainlink [LINK] formed a lower low after sustaining a drop of 17% over the past 24-hours. At the time of writing, LINK was priced at $10.40 as it held a market cap of $3.641 billion and a 24-hour trading volume of $1.968 billion.

The bulls struggled to defend the $7.43 support level. The technicals also tilted towards the bears as an uptrend towards its resistance $16.26 was heavily resisted by the persistent negative pressure. This was evident by the signal line dominating both Klinger Oscillator as well as the MACD.

If LINK breaks this level, it could witness a dip close to its next support at $7.002.

Reena Shaw: Reena Shaw is a TWJ full-time writer on crypto-currency. A Journalism graduate, her research focuses on legislation and policy-making in the cryptocurrency market.