Crypto Market Update: One More Move to the Upside before Further Downfall (BTC & LTC Price Analysis)
Yesterday the evaluation of the cryptocurrency market cap has been around $121,208,000,000 at it’s highest point from where the evaluation fell to $119,105,380,000 since it started increasing again after a small pullback and was at $119,835,421,391 on today’s open.
Currently, the evaluation is above today’s open as its again in an upward trajectory but as it is getting near the prior range horizontal resistance level we are yet to see if to goes further up or would this resistance zone reject the evaluation and send it for another downturn.
- Market Cap: $120,273,142,520
- 24h Vol: $15,860,798,964
- BTC Dominance: 52.5%
On the global chart you can see that the evaluation has been moving sideways for quite some time but overall it is still in a downtrend. The current increase might be the one which would retest the resistance like verifying the level once again before going back to the support line.
The market is in red with an average percentage of change in the last 24 hours among top 100 coins being insignificantly small. Bitcoin’s market dominance has as well been hovering around the same levels around 52.4%.
Bitcoin Price BTC/USD
From Monday’s open at $3591 which was on the resistance line of the horizontal range in which the price of Bitcoin was consolidating after a downfall from $3768 to $3561, measured to the level on which the crypto is currently being traded which is at $3635 we have seen the increase of 1.09%.
Looking at the hourly chart you can see that the price action created a range at first after a downfall between $3564 which is the support line and $3592.9 which was its resistance (purple lines), from where it started increasing again after the consolidation ended. The increase looks corrective in nature as the first move to the upside is most likely the W wave from the correction that followed and as the second wave, X ended we are seeing another increase which would be the Minuette wave Y.
The price previously interacted with the 0.382 Fibonacci level but it came back down again as it found resistance there. Now that the price is in an upward trajectory again we might see a quick spike above potentially to the horizontal resistance at $3717 (interrupted purple line) because I doubt that it can go to the 0.5 Fibonacci level or in price terms around $3800 considering that the level was well respected in the past as resistance and even if the price goes above it I wouldn’t expect it to stay there for much long.
If the price doesn’t go further up from here I wouldn’t consider that the Minuette wave has completed since the length of the current increase is much smaller than the W wave, so I would rather consider that the Y wave hasn’t started but that the current increase is the B wave from an ABC to the downside to the prior range support line at $3564. If this is true that the Y wave would lead up to the 0.382 Fibonacci level again as the Y wave develops which would be perfectly aligned with the projected length of the expected Y wave.
When this sideways movement ends further downside is expected for the price of Bitcoin since that sideways movement from 14th of January is the second wave X from a WXYXZ Minor correction.
Market sentiment
Bitcoin is in the buy zone.
Pivot points
S3 3114.1
S2 3426.1
S1 3594.2
P 3738.1
R1 3906.2
R2 4050.1
R3 4362.1
Litecoin Price LTC/USD
From Monday’s open at just slightly below $31 the price of Litecoin has increased by 4.46% as its currently being traded at $32.5. This wasn’t in a straight line as the price already increase to those levels yesterday which are around 0.5 Fibonacci level and pulled back again to $31.62 before coming up again.
Looking at the hourly chart you can see that the price action created a horizontal range from $33.765 which is the upper resistance line (upper interrupted purple line) and $30.755 which is the range support line with which the price interacted with two times already from the start of the week and found support there. The upper resistance line was established when the price previously broke out from the minor symmetrical triangle after which the interaction with the support level occurred as for the establishment of support and since the interaction, we have seen an increase which validated the range again.
Currently, the price has encountered resistance at the 0.5 Fibonacci level but as the price caught some bullish momentum I believe that it will continue moving upward at least to the lower line of the resistance above which is at $33.159 but most optimally it would be with the upper one. This interaction would be the Z wave from a Minuette count which means the end of the sideways movement seen from 14th of January, and the beginning of the final wave Z from a Minor WXYXZ correction that is in play since 24th of December last year.
The expected price target for the expected decrease would be around $28-9 area which is where the significant horizontal support line is.
Market sentiment
Pivot points
S3 24.321
S2 28.382
S1 30.635
P 32.443
R1 34.696
R2 36.504
R3 40.565
Conclusion
As the evaluation and the prices are in an upward trajectory we are seeing the last correctional wave to the upside of the second X wave from a higher degree corection which is why after it ends one more wave to the downside is expected before that correction ends. The move to the upside that we are currently seeing is going to be most likely a three wave correction so I woudn’t be expecting a lot of the increase but only a quick spike that would activate selling and chasing of the price that is needed for the Z wave to start.
The post Crypto Market Update: One More Move to the Upside before Further Downfall (BTC & LTC Price Analysis) appeared first on Blockonomi.
January 24, 2019 at 11:18AM https://blockonomi.com from Blockonomi http://bit.ly/2UhRKft
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