Litecoin Rally Intact, Bitcoin Stuck

FXOpen

The rally in Litecoin prices continues unabated. In the past seven days since our last update, LTC/USD rallied 15 cents or just under 10 percent. Meanwhile big brother bitcoin has been stuck in a quagmire after the break lower didn’t go anywhere.

Bitcoin Claws Back Losses

Bitcoin managed to claw back most of the losses accrued last week. This wasn’t much of a feet, considering that the virtual currency only lost $7.77  dollars after the break of $230. We are currently quoted at $227.99, after yesterday’s bounce at the $230 mark.

BTCUSDDaily-june9

What’s next for bitcoin? The downtrend is still technically in place until the bulls push prices above $240 dollars per coin. But the momentum on the downside has been lost. To rejuvenate the move lower, the bears will need to take out the $222 swing low. Further down, we have important support in the form of a double bottom formation at $210. This level is closely followed by the round $200 figure.

On the higher end, while a break above $240 would end the downtrend, a move past $250 is needed for a sustainable rally. Important levels above here include $270 and $300. In between these we have the April 6th swing high at $258 but this will likely be weak resistance. As we’ve noted numerous times in the past, the round $300 figure will be very important. This level stopped 2 previous bitcoin rallies and will likely be a major hurdle for the bulls. A breakout above it should accelerate the gains.

Litecoin Rally Intact

The LTC rally is intact. Last week prices got close to taking out the important support at $1.60 but they didn’t quite manage to clear the area. The brief dip below the level was quickly bought up by the bulls. In sharp contrast, this week saw the resumption of the rally with prices up close to 10 percent.

LTCUSDDaily-june9

We are currently quoted at $1.789, right below the $1.80 resistance level. In the past 24 hours this figure has been tested twice already. A break above it could open the door towards the May 22nd spike high at $1.93. Higher up, we have an important resistance area stretching from $2 to $2.05. If the bulls manage to clear it, LTC/USD may pick up the pace of the gains. On the lower end, a break below the $1.578 swing low will end the uptrend.

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

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 BTC/USD Price Analysis: RSI Drops to Lowest Since March 2020

Latest articles

Forex Analysis

Market Analysis: The Yen and European Currencies Headed to New Lows

The main currency pairs began the last five-day trading period of September with a new wave of growth for the American currency. Changes in the Fed's point forecast for next year provided powerful support to the dollar, which, in turn,

Forex Analysis

Market Analysis: US Federal Reserve Contemplates Future Interest Rate Hikes Amid Economic Resilience

In an intriguing turn of events, the US Federal Reserve has hinted at the possibility of yet another interest rate hike in the near future, keeping financial markets on their toes. During its September 2023 meeting, the Federal Reserve chose

Forex Analysis

USD/JPY Analysis: For the First Time This Year, the Rate Exceeds 149 Yen Per Dollar

The reason for the stable trend, as we have repeatedly pointed out, is the difference in the monetary policy of the USA and Japan. Inflation in Japan has been above 2% for more than a year, and the media are

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.