Regarding the inconvenience that happened during the course of the day on malicious trading bot that affected the cryptocurrency market in general occurred in the binance exchange it is possible that the trend or recovery that the cryptos seems have generally ended, where perhaps, we are going to see fall in prices in general, it is clear that what happened in the Binance exchange was not a hack as such, but rather a Pump & Dump type strategy that included the use of automatic trading bots, some users were affected since said bot made sales of cryptocurrencies of users to buy BTC and exchange it for another altcoin which had a considerable increase, about 18% in value. To this we add a possible wave of FUD where regulations of exchanges were announced by the Asian country that is Japan and also in conjunction with the United States. But if you are user of BInance and you dont use any Kind of bot, then you funds are safe.
Finally, with these projections downward it is very possible that another fall will occur, at the time of writing this post, there is the possibility that the market presents a setback and then fall again, that is why in this occasion, we will analyze technical way the cryptocurrency OmiseGo (OMG) against Ethereum of which in the temporality graph of 1H we see that the price is below the ichimoku cloud, remember that this indicator is trending, therefore if the price is below of the cloud, it can be considered that the price of said cryptocurrency is in a bearish trend.
Now, the price is very likely to have a considerable decline because if we add another oscillator technical indicator or the MACD we can see that there is a clear divergence in conjunction with the price, which means that there will be some pullbacks Personally, I use these types of signals to be able to ride in the trend and operate in favor of it and, below I enclose the divergence found in the MACD technical indicator:
This divergence shown is not to go to buy, although it is likely to show some recovery but nothing considerable to maintain for a good period, no, on the contrary is to enter short, to know an approximate price to where it can be The possible entry point to go short will use the fibonacci retracement tool.
As you can see, the price is apparently recovering and it is very likely that it will reach the level of 50% retracement and then continue to decline, but we will have to wait and see what the price does at that level, for now you could leave a sales order in the Margin sell section in the Ethfinex exchange and obtain benefits in Ethereum in case the price falls again, in the following image the possible points of exit with Stop loss and Take profit:
Disclaimer: Before entering make decisions on buying or selling it is advisable to perform your own analysis. You can get short in ethereum on Bitfinex exchange using margin trading.
