Bitcoin, Litecoin Continue Downtrends May 2018


Both bitcoin and litecoin are continuing their downtrends. Bitcoin is quoted at $8,290 right now, lower by 4.5 percent since last Tuesday. Litecoin is trading at $133 dollars, down by 9.5 percent.

Bitcoin Still Bearish

Bitcoin is still looking bearish on the daily charts. On Friday we hit a new interim low of $7,921 but from here we got a bounce to $8,590 dollars. Right now we’re somewhat in between these two figures at $8,290 dollars.


To end the current downtrend the bulls will have to push us above the $8,880 swing high.Resistance higher up can be found at the $9,000 mark followed by the swing highs at $9,387 and $9,759 dollars. All of these levels are weak resistance points however. We have much stronger resistance area around the top of the previous bull run which was at $9,987 dollars. A breakout above the $10,000 round figure is needed to kick-start a new rally.

There’s a support area below between $7,821 and $8,000 dollars. A break of it could lead to extended losses toward the next strong support area in the $6,420 to $6,600 dollars range. This is where we bottomed out during the last major sell-off. A decisive break below here could open the door for a break of this year’s low at $5,980 dollars.

On the fundamental front there haven’t been any major news events during the past seven days. After the end of Consensus 2018 we are in a bit of lull in terms of scheduled news catalysts. There’s no change on the longer-term weekly and monthly charts. The weekly is looking range-bound while the monthly is still bullish.

Litecoin Remains in Downtrend

Similarly to bitcoin, litecoin too remains in a downtrend. We are currently quoted at $133 dollars and trading just above a set of several potential support levels at $130.70, $128.57 and $125 dollars. A clearing of this support area should lead to further losses.


The first strong level of support after this area can be found at the $108.44 swing low. The low for 2018 is close to here at $105.55 dollars, some traders may choose to wait until that level is taken out as well. Further down the $100 round figure may also act as weak support to falling prices.

On the top end we have resistance at $142 dollars followed by the $150 round figure. Higher up a breakout above the $152.80 swing low would end the current bearish trend on the daily charts. A move above the $184.47 swing high is needed for a new LTC rally. On the longer-term weekly and monthly charts LTC/USD is still looking bullish.

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

Bitcoin Cash Analysis: Promising Resistance Breakout Cryptocurrency Prices Rise on SEC Rumours Market Analysis: Bitcoin Sets September High BTC/USD Analysis: Bulls Lose Progress Amid SEC Defeat Bitcoin Trading Volumes Fell to a Minimum of 4 Years

Latest articles

Financial Market News

Weekly Market Wrap With Gary Thomson: Inflation, EUR/USD, S&P 500, OIL

Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of FXOpen UK, as he breaks down the most significant news reports and shares his expert insights. Inflation Still Dogs the

Forex Analysis

Market Analysis: Dollar Falls from 10-month High

EUR/USDThe euro rose on Thursday as the dollar retreated since investors remained cautious ahead of key inflation figures due on Friday. Data on Thursday showed the US economy maintained fairly strong growth in Q2, with an unrevised annual rate


US 30 Analysis: Dow Jones Finds Support

September is likely to be the second month in a row that the Dow Jones (US 30) stock market index declined. The last time this happened was... also in September, a year ago. Important economic data was published yesterday: → According

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.