Both bitcoin and litecoin are trading slightly higher since our last update. Bitcoin is quoted at $7,617 dollars compared to $7,482 back then, a gain of just under 2 percent. Litecoin is trading at $120 dollars right now, up by $3 dollars.
Bitcoin Slightly Higher
Bitcoin has advanced higher by almost 2 percent in a low volatility environment. The high during the past seven days was at $7,775 and the low at $7,270 dollars, a range of $505 dollars or close to 7 percent. This is very low compared to recent price movements. For example the 14 week ATR (Average True Range) is around $1,500 while the 5 week ATR is at almost $1,000 dollars.
Today we got close to the low from last Wednesday after bitcoin exchange Bitfinex went down. Prices quickly bounced back after the site relaunched. Markets are rightly worried about a Bitfinex outage, back in August of 2016 the exchange said that it lost 120,000 bitcoins to a hack.
On the technical side things haven’t changed much, which is to be expected during low volatility. We are still in a downtrend on the daily charts. A breakout above the $7,775 swing high is needed to end the bearish trend. A move above the $8,590 swing high is needed for a new rally. A breakout above the $10,000 round figure could accelerate the gains.
On the lower end there’s a large area of support starting from last week’s low at $7,046 to the lows set back in April at $6,420 dollars. A clearing of this area should give us enough momentum to take out the 2018 low at $5,980 dollars per coin. On the weekly charts BTC/USD is range-bound. Prices are still looking bullish on the monthly charts.
Litecoin up by $3 Dollars
Litecoin is trading higher by $3 , from $117 to $120 dollars per coin. Similarly to BTC/USD here too we remain in a bear market on the dailies. A breakout above the $128.80 swing high is needed to end it. A move beyond $140.62 dollars could re-start the uptrend.
On the lower end there’s a large area of support, starting from the $109.28 low hit last Tuesday and ending with the low for the year at $105.55 dollars. A break of this strong support area could lead to extended losses below. The psychological $100 round figure could also act as temporary support but its not as important as $105.55. On the longer-term weekly and monthly charts LTC/USD is still in an uptrend.
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