ETHUSD and LTCUSD Technical Analysis – 18th AUG, 2022

FXOpen

ETHUSD: Shooting Star Pattern Below $2029

Ethereum was unable to sustain its bullish momentum and after touching a high of 2029 on 14th Aug started to decline against the US dollar coming down below the $1900 handle in the European trading session today.

We can see a continuous fall in the price of Ethereum due to the heavy selling pressure amid rising global inflation levels.

We can clearly see a shooting star pattern below the $2029 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 levels of 1842 and moving into a strong bearish channel. The price of ETHUSD is now testing its classic support level of 1827 and Fibonacci support level of 1838 after which the path towards 1700 will get cleared.

The relative strength index is at 43 indicating a weak market and the continuation of the downtrend in the markets.

We can see the formation of a bearish engulfing line in the 15-minute time frame indicating the underlying bearish nature of the markets.

Both the STOCH and STOCHRSI are indicating a neutral market, which means that the prices are expected to remain in a consolidation phase.

Most of the technical indicators are giving a strong sell market signal.

All of the moving averages are giving a strong sell signal, and we are now looking at the levels of $1800 to $1700 in the short-term range.

ETH is now trading below both the 100 hourly simple and exponential moving averages.

  • Ether: bearish reversal seen below the $2029 mark
  • Short-term range appears to be strongly BEARISH
  • ETH continues to remain below the $1900 level
  • The average true range is indicating LESS market volatility

Ether: Bearish Reversal Seen Below $2029

ETHUSD is now moving into a strong bearish channel with the price trading below the $1900 handle in the European trading session today.

ETH touched an intraday high of 1865 and an intraday low of 1821 in the Asian trading session today.

We can see the adaptive moving average AMA20 and AMA50 bearish crossover pattern in the 2-hour time frame.

We have also detected the formation of a bearish harami pattern in the weekly time frame.

The commodity channel index is indicating a neutral market level, and the continuation of the consolidation phase in the markets.

The key support levels to watch are $1800 and $1820, and the prices of ETHUSD need to remain above these levels for any potential bullish reversal in the markets.

ETH has decreased by 2.47% with a price change of 46$ in the past 24hrs and has a trading volume of 17.646 billion USD.

We can see an increase of 0.58% 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 2029 towards the 1821 level.

The price of Ethereum is now testing its support zone located at $1800, and we are likely to see a more decline in the price once it touches these levels.

The immediate short-term outlook for Ether has turned strongly bearish; the medium-term outlook has turned bearish; and the long-term outlook for Ether is neutral in present market conditions.

The price of ETHUSD will need to remain above the important support level of $1800 this week.

The weekly outlook is projected at $1850 with a consolidation zone of $1800.

Technical Indicators:

The relative strength index (14): at 43.31 indicating a SELL

The moving averages convergence divergence (12,26): at -7.90 indicating a SELL

The rate of price change: at -0.68 indicating a SELL

The ultimate oscillator: at 37.67 indicating a SELL

LTCUSD: Double Top Pattern Below $65

Litecoin was unable to sustain its bullish momentum last week and after touching a high of $65 on 14th Aug started to decline against the US dollar coming down below the $62 handle in the European trading session today.

We can see that after touching the $65 level, the prices of Litecoin corrected lower due to the selling by the short-term investors as it touched a low of $59 on 17th Aug.

We can clearly see a double top pattern below the $65 handle which is a bearish pattern and signifies the end of a bullish phase and the start of a bearish phase in the markets.

Litecoin is now trading below its 100 hourly simple moving average and above its 100 hourly Exponential moving average. The price of LTCUSD is just above its pivot level of 60.70.

The relative strength index is at 46 indicating a neutral market, and the continuation of the consolidation phase in the markets.

Litecoin touched an intraday high of $61 and an intraday low of $59 in the Asian trading session today.

The price of Litecoin continues to remain below most of the moving averages, some of which are now giving a sell signal at current market level of 60.95.

Both the highs/lows and commodity channel index are indicating a neutral level, which means that the price is expected to remain in a narrow range in the short-term.

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

  • Most of the technical indicators are giving a sell signal
  • Litecoin: Bearish reversal seen below the $65 level
  • Litecoin gains bearish bias against the US dollar
  • The average true range is indicating LESS market volatility

Litecoin: Bearish Reversal Seen Below $65

We can see that the price of Litecoin continues to remain in the consolidation phase and is now trading below the $61 handle in the European trading session today.

We can see the formation of a bearish doji star pattern in the 30-minute time frame indicating the underlying bullish nature of the markets.

The price of LTCUSD is now facing its classic support level of 59.83 and Fibonacci support level of 60.50 after which the path towards $55 will get cleared.

We have also detected that the momentum Indicator is giving bearish divergence signals in the 30-minute time frame.

The daily RSI is printing at 52 which is indicating a neutral demand for Litecoin and the continuation of the consolidation in the short-term range.

LTC has decreased by 1.77% with a price change of 1.10$ in the past 24hrs and has a trading volume of 0.410Billion USD.

Litecoin’s trading volume has decreased by 21.26% compared to yesterday which appears to be normal.

The Week Ahead

We can see a continued progression of the bearish trend line from the $65 towards the $59 level. After touching the $59 handle, more decline is expected in the price of Litecoin towards the $55 range.

We are now looking at the important support levels of $50 and $55 in the short-term range.

The short-term outlook for Litecoin has turned mildly bearish; 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 STOCH (9,6): at 25.85 indicating a SELL

The STOCHRSI (14): at 31.24 indicating a SELL

The rate of price change: at -1.31 indicating a SELL

Bull/bear power (13): at -1.49 indicating a SELL

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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.

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