Things are quickly turning south for the crypto-market as bitcoin continues to push on the support at $250 dollars. Both Peercoin and Namecoin have made new lows since our last update. As we wrote in our weekly update, both cryptos entered a downtrend last week. Peercoin is down by 2.5 cents or 5.6 percent while Namecoin is down by 1.4 cents or just below 3 percent. But let’s start with Litecoin which seems to be the most stable of the big four.
Litecoin Range-bound, Waiting for Next Move
Litecoin is still trading range-bound, waiting for the next move. We are currently quoted at $3.91 for one coin, only 1 cent lower compared to one week ago. In the past seven days, LTC/USD traded in a tight range between $3.77 and $4.18 dollars.
The technical picture is largely unchanged. A clean break of $3.72 may lead to a sustainable downtrend. Below $3.70 notable support levels include $3.50, $3.43 and $3.18 dollars per coin. The first two of these are weak but $3.18 is important support. It’s a former swing high that held up the rally in June for several days. It’s validity was confirmed in July when prices rebounded at $3.1840 in the aftermath of the July crash. A decisive break below this level may extend the losses. On upper side, the threshold for the technical start of the rally is set at the $5.06 swing high.
Bitcoin Pushing on $250 Dollars
Big brother bitcoin is slowly inching lower, taking the rest of the crypto market with it. Since our last update, BTC/USD lost $10 dollars, or just below 4 percent of its value. We are currently trading at $252.04, after trading as low as $251. 03 one hour ago.
While the momentum for bitcoin is down, the trend is undecided. A clean break of the $250 dollars support should start a new downtrend. As we’ve noted before, this figure is important because it was the starting point for the last BTC rally.
Below this level, we find weaker support at $240 and $230 dollars per coin. A more important support can be found at the double bottom formation near $210 dollars. A decisive break below this level should lead to more BTC losses. On the higher end, a breakout above the $290 swing high will be needed to restart the rally.