ForexMinute.com – Last 24 hours in the cryptocurrency market were somewhat satisfactory, as both Bitcoin and Litecoin broke above their respective key resistance channels. The only shock came in the form of Darkcoin as its value dropped by 15% within the same time.
Darkcoin was recently pumped above 30%, a step which we think was an act of short-term profiteers hoping to sell their investments at a peak. The DRK/USD is however still valued above its previous support level of 2.10, but is still in a downtrend initiated at the resistance level of 3.05 during the 11/9 trading sessions. At press time, the price is in a huge volatile range while the STOCH-RSI is heavily fluctuating between the oversold and buying level, through still below the moving average.
The DRK/USD thus might further low in absence of a proper bullish correction. It is right now sighting the previous support level of 2.1 to either consolidate sideways or rebound towards another uptrend. Any attempt to go below it will take the price to the previous low of 1.5
The BTC/USD, during the 11/10 trading session on the 1-H BitStamp chart, tried to cross above the next resistance level of 375 after coming a long way up from the previous support level of 343. However, 375- proved to be a strong resistance as the price retreated a little downside to eventually go into a sideways trend.
In the meantime, the volatility is very much visible between the extensive gaps of upper and lower Bollinger band (notice the pink and yellow wave). The RSI is between 45 and 55, indicating the market’s mood to stay in a sideways channel for now. The current price trend can go into a near-term bearish mood in absence of the attractive buying orders. Volume is near a dead as well, adding further credit to our analysis.
In case the BTC/USD attempts bearish corrections, the price might be treat 355-360 as its strong support zone. If in case it goes below the aforementioned level, then it will clear the way for the next support of 343. As price is currently below 10- and 20-SMA, a bearish correction might arrive any moment in the next 24 hours.
In case the bulls outnumber the bears, then the price is sighting 380 as its next support level. Taking consideration from the last month’s charts, the BTC/USD may break above the 380-level as well to eventually try the 400ish zone.
Just like Bitcoin, the LTC/USD is also trending sideways with a certain inclination towards the selling zone. After finding strong support around 3.51 during the 11/8 trading session, the price rallied upwards for two days consecutively. It ultimately was resisted at 3.75, and saw some moderate sell-offs by shaky hands. In today’s trading session, the price almost went into the oversold zone, as RSI neared 40.
This shows that the market is currently magnetized towards bearish-neutral zone, though for short term. The price is under 10- and 20- SMA, while the RSI is fluctuating between 55 and 40, indicating the maintenance of sideways trend. For Litecoin, a break above the 3.75 can open a strong bullish zone. But at this moment, it is poised to stay just above 3.60 for the next 24 hours.
To contact the reporter of the story: Yashu Gola at firstname.lastname@example.org