Bitcoin, Litecoin Close in on Lows


Both Bitcoin and Litecoin are closing in on their interim lows. Big Brother is trading 3 percent above the $234 swing low, while LTC is quoted just 0.40 cents above the $1.60 mark.

Bitcoin Nearing Support

Bitcoin prices are nearing the interim support level at $234 after yesterday’s losses. We are currently quoted at $241.71 per coin. The $234 support is marked with yellow on the chart below. The move appears to be largely technical as there have been no important news that we can blame for the recent sell-off.


A breakdown below $234 could open the way for more losses. While the closest support below here can be found at $225, due to the proximity of $234, a better candidate for support is $208. In fact, the whole area between $200 and $208 should be treated as potential support. Lower still, notable levels include the $192 swing low as well as $162 per coin.

While a move higher doesn’t seem likely at this point, we have to be prepared for every scenario due to bitcoin’s range-bound movement during the past two weeks. On the upside, BTC will need to breakout above $300 dollars to spark a rally . A move above this figure could lead to gains toward the December 23rd swing high at $334. Higher up, two more resistance levels can be found at $350 and $380.

Litecoin Pushing on $1.60

Litecoin is continuing to make make small steps toward the $1.60 mark. While the altcoin broke the low of its range at $1.66 last week, it was unable to clear the level and head lower. We are currently quoted just above the $1.60 mark at $1.6040.


More losses are likely going forward. The constant pressure on $1.60 as well as the downward momentum after the breakdown from the range should lead to more red for LTC/USD. Important support levels below $1.60 include $1.50 and $1.25. Lower still, the $1 parity level stopped the previous decline in prices and is likely to act as major support (if we trade that low). To end the current downtrend, Litecoin will need to climb above $1.80. But to stage a sustainable rally, the bar is set much higher at  $2.05 per coin. As usual, whenever trading altcoins keep an eye on bitcoin. Note that during the past few weeks altcoins have followed BTC lower, falling by a comparable (or higher) percentage. But during the bitcoin rallies, altcoins underperformed, moving up by a much smaller amount.

FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage, 30% margin call, 0.01 lot minimum transaction size with no maximum — at your service. Open your trading account now or learn more about crypto CFD trading with FXOpen.

*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Cryptocurrencies

BTC/USD Analysis: Bulls Lose Progress Amid SEC Defeat Bitcoin Trading Volumes Fell to a Minimum of 4 Years BTC/USD Price Analysis: RSI Drops to Lowest Since March 2020 BTC/USD price analysis: The Price of Bitcoin Collapses by about 8% in One Day Market Analysis: XRP/USD Price Rolls Back to Important Support

Latest articles

Forex Analysis

Will Stagflation Persist in the UK? EUR/GBP Volatility May Be an Indicator

In recent years, the United Kingdom has found itself mired in a sea of economic uncertainty, prompting widespread speculation about the dreaded 'R-word'—recession. While the nation has navigated a prolonged cost-of-living crisis marked by noticeable spikes in everyday expenses,

Trader’s Tools

Momentum Trading Strategies for Day Traders

Momentum trading is a highly-regarded trading strategy used to seize opportunities in trending markets. This article explores momentum trading and offers two comprehensive strategies for capitalising on rising and falling markets. What Is a Momentum Trading Strategy?Momentum trading is

Trader’s Tools

Selecting a Reliable Broker

When it comes to trading and investing, choosing the best online brokerage service is crucial. There are many options available, so it can be difficult to decide which one to go with. To choose wisely, you need to look at

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.