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Bitcoin (BTC) & Litecoin (LTC) Price Analysis: Showing Signs of Slow-Down

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From yesterday’s low at $182,190,576,634 the evaluation of the cryptocurrency market cap has increased to $189,329,970,263 at its highest point today but came down since and is still in a downward trajectory, currently sitting at $187,298,963,647.

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Looking at the global chart, we can see that the evaluation interacted with the ascending trendline which is the significant resistance of the range in which it is from 3rd of May which is why a retracement occurred as the level serves as resistance once more.

Crypto Market Moves

  • The market is mixed in colors with an insignificant percentage of change among the top 100 coins in the last 24 hours.
  • The biggest gainers are Arcblock and DigitxDAO with an increase of around 10% as the biggest loser which is Aurora today.
  • Bitcoin’s market dominance has been on the rise as well and came up from 56% around yesterday’s open to 57.28% at its highest point today.

Bitcoin Analysis BTC/USD

From yesterday’s low at around $6007 the price of Bitcoin increased by around 5% as it came up to $6308 at its highest point today.

Since the interaction with the current ascending range ended as a rejection the price has started falling down fast and decreased by over 2% and is currently being traded at $6183.

Like expected the price continued its increase as the last ABC to the upside is developing and we could have seen the end of it as interaction has been made with the price moving in a three-wave manner.

If the price ended its ABC correction to the upside that would have been the end of the five-wave impulse of the Minute count and with it the end of the 5th wave of the higher degree Minor count.

As we are seeing downside movement with strong momentum a breakout to the downside would be expected below the lower ascending trendline which is the support level from the ascending channel made from 3rd of May.

We might see another increase before the start of the expected downside move but not above the upper ascending trendline with whom the interaction would trigger another sell-off. If the price of Bitcoin falls below the $6154 level which is the horizontal resistance level now serving as the support we are likely seeing the development of the downtrend which is set to push the price below its current significant support.

But if the price hold above the mentioned level we could likely see another interaction with the ascending resistance level before the downtrend starts.

Market sentiment

Bitcoin’s hourly chart technicals are signaling a sell.

Pivot points

  • S3 4234.4
  • S2 5059.4
  • S1 5578.7
  • P 5884.4
  • R1 6403.7
  • R2 6709.4
  • R3 7534.3

Litecoin Analysis LTC/USD

Over the weekend the price of Litecoin has continued increasing as it came up from Friday’s open at $76.11 to $86.4 at its highest point on Saturday which was an increase of 13.66%.

From there as the price increased parabolically we have seen a correctional structure forming which pushed the price for a 12.82% retracement as the price came down to $75.4 at its lowest point today.

Looking at the hourly chart, you can see that the price of Litecoin came down to its first significant support level from the descending triangle formed by the price action from Saturday’s high. The price previously broke out from the descending structure in which it was correcting since 3rd of April.

A breakout occurred as the price moved in a five-wave manner followed by another five-wave increase. This was expected to develop as an impulsive move to the upside of a higher degree but as the price, today fell below the territory of the presumed 2nd wave the outlined scenario has been invalidated.

This is why I have labeled the prior increase as an ABC correction to the upside as I have counted three waves, and now that the correctional structure inside the descending triangle got prolonged by another five-wave move after which another started I think that in the upcoming period we are to see further downside movement for the price of Litecoin as the third correctional structure inside the triangle should develop.

The third correctional structure started developing on Tuesday when the five-wave decrease started developing and has ended as an interaction with the upper descending support. As its completion is awaited another move to the lower descending support from the triangle would be expected which would in price terms be around $72.665 were the minor horizontal support level is.

Market sentiment

Litecoin’s hourly chart technical indicators are signaling a sell, with moving averages signaling a strong one.

Pivot points

  • S3 43.256
  • S2 61.072
  • S1 71.125
  • P 78.888
  • R1 88.941
  • R2 96.704
  • R3 114.520

Conclusion

The price of Bitcoin has increased like expected but it is still unclear whether or not the presumed ABC correction to the upside ended. This will soon be verified as the price is in a downward momentum so we might be seeing the beginning of the expected downturn.

For this, we are going to closely look at the $6154 level which is the horizontal support level, so if the price goes below it, it would mean that we are likely seeing the development of the downside movement.

The price of Litecoin has been in a correction since Saturday which developed after a breakout to the upside from its previous descending range occurred. This correction could have been a retracement before another run-up out of the five-wave impulse, but this projection is invalidated as the price came down below the presumed 2nd wave, which is why the increase made is considered correctional as well.

The post Bitcoin (BTC) & Litecoin (LTC) Price Analysis: Showing Signs of Slow-Down appeared first on Blockonomi.



May 09, 2019 at 10:20AM https://blockonomi.com from Blockonomi http://bit.ly/2VVpmEm

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