ForexMinute.com – Last 24 hours in the cryptocurrency market were somewhat good, as both Bitcoin and Litecoin attracted buyers after the closure of USMS auction of 50k BTC. Bitcoin, however, is still moving sideways, attempting to break the respective support/resistance levels. Litecoin, on the other hand, has broken inside the overbought territory, indicating a strong bullish hype
In the meantime, altcoins like Peercoin and Darkcoin are also looking neutral at this point of time, while Dogecoin and NXT have fallen a little around 0.5-1% in over the last 24 hours. MaidSafeCoin, on the other hand, is moving upwards amid wild buying volumes, indicating a hyped pump.
Based on the current technical readings on 4H BitStamp, the BTC/USD is valued at around 375-375. The price is currently above the 200, 100 and 20-hours SMA, while is marginally below the 50-hours one. The RSI in the meantime is around 50. This overall indicates a neutral-bullish sentiment in the market.
The price has already remained in a stiff trading range since November 29th, possible because of traders’ eyes on USMS auction. And now when the auction as passed, market is waiting for the announcement of winners. Until then, the BTC/USD is expected to stay inside the sideways range of 365-385.
Any attempts to break the aforesaid support/resistance level will open a near-term bearish or bullish bias, respectively. In case the price manages to break below the 365-support level, the next bounce back will be expected around 350. In case the attempt fails, the BTC/USD will enter into a long-term bearish territory, sighting last month’s bottom of 320 as the key support level.
On the other hand, if price manages to pass through the resistance level of 385-390, the next pullback will be expected around 400. In case the price manages to break this level, the upside risk will fall on last month’s high of 450.
It is pretty visible that traders are currently yawning by seeing the Bitcoin’s sluggish pace. Therefore, a good investment has been made to its alternative Litecoin. Over the last 24 hours, the LTC/USD has surged by over 4%, thanks to one relatively high buying signal.
Based on the current technical readings on 4H BTC-e, the price is currently above the 200-, 100-, 50-hours SMA, while the RSI is around 71. It overall indicates a strong bullish sentiment in the market. As you can see the chart above, the LTC/USD is currently inside the overbought territory and is waiting to meet with some correction. Even then, the pair is way above its previous resistance level of 3.60, and is now sighting the upward risk towards 3.80-3.90 area.
However, a possible pullback cannot be ignore at this point if time. In this case, the price would still want to treat its previous resistance as the key support. Further analysis can only be done once the list of USMS auction winners are out.
To contact the reporter of the story: Yashu Gola at firstname.lastname@example.org