Ethereum Classic, Baby Doge Form Bullish Patterns As Bitcoin Rises Through Resistance

Bitcoin (CRYPTO: BTC) broke through the $ 42,000 level on Friday after parting with a bull flag that Benzinga called out on Monday. Cryptocurrency works in cycles and after leaders, which includes Ethereum (CRYPTO: ETH), breakout traders take their profits and place them in alt-coins.

Ethereum Classic (CRYPTO: ETC) and Baby Doge (CRYPTO: BABYDOGE) could benefit when the next alt-coin bull market hits and they are already showing bullish patterns in the works.

See also: How to buy Ethereum Classic

The classic Ethereum chart: On Friday, Ethereum Classic was attempting to separate from a triangular formation. The descending line of the triangle has held the crypto back since June 1, and Ethereum Classic has attempted to part with it eight times and failed. Ethereum Classic will reach the top of the triangle on August 9 and traders should expect a bullish or bearish breakout before that date.

In order to know if the pattern has been recognized at the break of the triangle, traders will need to watch the volume increase to enter Ethereum Classic. If volume does not enter at the break of the triangle, Ethereum Classic could continue to trade sideways for a longer period.

The crypto is trading above the eight-day and 21-day exponential moving averages with an eight-day EMA trend above the 21-day, which is a bullish indicator. Ethereum Classic is also trading above the 200-day Simple Moving Average (SMA), indicating that the overall sentiment for the crypto is bullish.

• Bulls want to see big bullish volume entering Ethereum Classic to get a daily close above the descending trendline. If the crypto can take a break, it has room to hit a resistance level at $ 57.91.
• The bears want to see Ethereum Classic fall through the ascending trendline of the pattern and lose a support level at $ 50.93. If the crypto loses the support level, it could drop towards the $ 40.57 mark.

The table of baby doges: Baby Doge appears to have found a low between August 3-4 near the $ 0.00000000016 level. In the wee hours of August 5, Baby Doge woke up and hit the $ 0.00000000027 level before entering consolidation around 9 a.m. EST. The crypto then consolidated to the $ 0.00000000020 level until Friday afternoon.

The rise associated with consolidation has installed Baby Doge in a bullish flag pattern. If the pattern is recognized, traders will want to watch for the arrival of large bullish volume and push the coin to a new high above $ 0.0000000002711.

• Bulls want to see a big bullish volume enter Baby Doge to break it out of the pattern. Baby Doge has resistance near $ 0.00000000026 and $ 0.000000003.
• The bears want to see Baby Doge continue to fall to undo the bullish flag pattern. Baby Doge has support at $ 0.00000000002 and $ 0.00000000018.

Photo: Courtesy of Baby Doge and Ethereum Classic)