ETHUSD and LTCUSD Technical Analysis – 01st SEP, 2022

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ETHUSD: Bearish Engulfing Pattern Below $1721

Ethereum was unable to sustain its bullish momentum and after touching a high of 1721 on 25th Aug started to decline against the US dollar, coming down below the $1500 handle on 29th Aug.

We can see heavy selling pressure in Ethereum because of which it continued its decline touching a low of $1424.

We can clearly see a bearish engulfing pattern below the $1721 handle which is a bearish pattern and signifies the end of a bullish phase and the start of a bearish phase in the markets.

ETH is now trading just above its pivot level of 1541 and is moving into a strong bearish channel. The price of ETHUSD is now testing its classic support level of 1522 and Fibonacci support level of 1536 after which the path towards 1500 will get cleared.

The relative strength index is at 40 indicating a WEAK demand for Ether and the continuation of the downtrend in the markets.

We can see the adaptive moving average bearish crossover pattern in AMA20 and AMA50 indicating a bearish trend reversal in the 30-minutes time frame.

Both the STOCHRSI and Williams percent range are indicating an OVERSOLD market, which means that the prices are expected to correct upwards in the short-term range.

Most of the technical indicators are giving a STRONG SELL market signal.

Most of the moving averages are giving a STRONG SELL signal and we are now looking at the levels of $1450 to $1500 in the short-term range.

ETH is now trading above both its 200 hourly simple and exponential moving averages.

  • Ether: bearish reversal seen below the $1721 mark
  • The short-term range appears to be strongly BEARISH
  • ETH continues to remain below the $1600 level
  • The average true range is indicating LESS market volatility

Ether: Bearish Reversal Seen Below $1721

ETHUSD is now moving into a strong bearish channel with the price trading below the $1600 handle in the European trading session today.

ETH touched an intraday low of 1534 and an intraday high of 1583 in the Asian trading session today. The movements remain range-bound between the $1500 and $1600 levels.

The MACD has crossed down its moving average in the 4-hour time frame indicating the underlying bearish nature of the markets.

We can see the formation of a bearish harami pattern in the 30-minute time frame which indicates that now we are heading towards the $1500 mark.

The daily RSI is printing at 45 indicating a neutral demand in the long-term range.

Ethereum continues to move into a falling trend channel which is expected to continue in the short-term range.

The key support levels to watch are $1400 and $1420 and the prices of ETHUSD need to remain above these levels for any potential bullish reversal in the markets.

ETH has decreased by 1.56% with a price change of 24$ in the past 24hrs and has a trading volume of 17.680 billion USD.

We can see a decrease of 24.09% in the total trading volume in the last 24 hrs which appears to be normal.

The Week Ahead

We can see a continuous progression of a bearish trendline formation from 1721 towards the 1459 level.

The price of Ethereum is now testing its support zone located at $1400 and we are likely to witness a rally in the prices once it touches these levels.

The immediate short-term outlook for Ether has turned strongly BEARISH, the medium-term outlook has turned NEUTRAL, and the long-term outlook for Ether is NEUTRAL in present market conditions.

The prices of ETHUSD will need to remain above the important support level of $1400 this week.

The weekly outlook is projected at $1500 with a consolidation zone of $1400.

Technical Indicators:

The relative strength index (14): at 40.90 indicating a SELL

The moving averages convergence divergence (12,26): at -5.39 indicating a SELL

The rate of price change: at -2.28 indicating a SELL

The ultimate oscillator: at 47.37 indicating a SELL

LTCUSD: Bullish Hammer Pattern Above $51.70

Litecoin was unable to sustain its bearish momentum last week and after touching a low of $51.69 on 27th Aug started to correct upwards against the US dollar crossing the $55 handle in the European trading session today.

The movements in Litecoin continue to remain within a narrow range between the $52 to $60 levels.

We can clearly see a bullish hammer pattern above the $51.70 handle which is a bullish pattern and signifies the end of a bearish phase and the start of a bullish phase in the markets.

Litecoin is now trading above its 100 hourly simple moving averages and above its 100 hourly exponential moving averages. The price of LTCUSD is just above its pivot level of 55.28

The relative strength index is at 61 indicating a STRONG market, and the continuation of the uptrend in the markets.

Litecoin touched an intraday low of $53.19 in the Asian trading session and an intraday high of $56.06 in the European trading session today.

The price of Litecoin continues to remain above all of the moving averages, which are now giving a STRONG BUY signal at current market level of 55.66.

The STOCHRSI is indicating an overbought level, which means that the price is expected to decline in the short-term range.

The short-term outlook for Litecoin has turned mildly BULLISH.

  • All of the technical indicators are giving a BUY signal
  • Litecoin: bullish reversal seen above the $51.70 level
  • Litecoin gains bullish bias against the US dollar
  • The average true range is indicating HIGH market volatility

Litecoin: Bullish Reversal Seen Above $51.70

We can see that the price of Litecoin continues to remain in the mildly bullish phase and is trading above the $55 handle in the European trading session today.

We can see that the parabolic SAR indicator is giving a bullish reversal signal in the 30-minute time frame.

Both moving averages MA20 and MA100 are indicating a bullish trend reversal in the 30-minute time frame.

The Ichimoku price is over the cloud in both the 2-hour and 4-hour time frames indicating the underlying bullish nature of the markets.

We can also see the formation of bullish engulfing lines in the weekly timeframe.

The price of LTCUSD is now facing its classic resistance level of 56.07 and Fibonacci resistance level of 56.47 after which the path towards $60 will get cleared.

The daily RSI is printing at 47 which is indicating a neutral demand for Litecoin and the continuation of the consolidation in the short-term range.

LTC has increased by 1.50% with a price change of 2.78$ in the past 24hrs and has a trading volume of 0.468 billion USD.

Litecoin’s trading volume has decreased by 6.52% compared to yesterday which appears to be normal.

The Week Ahead

We can see a continued progression of the bullish trendline from the $51.70 towards the $56.36 levels. After touching the $57 handle more upsides are expected in the prices of Litecoin towards the $60 to $65 range.

We are now looking at the important support levels of $53 and $55 in the short-term range.

The short-term outlook for Litecoin has turned mildly BULLISH, the medium-term outlook is NEUTRAL, and the long-term outlook is NEUTRAL at present market conditions.

The weekly outlook is projected at $60 with a consolidation zone of $55.

Technical Indicators:

The relative strength index (14): is at 61.79 indicating a BUY

The average directional change (14): is at 21.02 indicating a BUY

The ultimate oscillator: is at 56.56 indicating a BUY

The rate of price change: is at 1.647 indicating a BUY

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