Bitcoin Spikes on Easter Sunday

It’s been a wild few days in bitcoin land, at least when compared to the previous period of calm. Prices initially spiked $11 on low volume during Easter Sunday. Today saw all those gains evaporate and then some. This pattern was repeated in LTC as well. After an inital spike to $3.30, prices are back to their starting point at $3.18 dollars per coin.

Bitcoin Spikes on Easter

As noted above, BTC/USD spiked on Easter Sunday. The move looks like a classic breakout on low volume. The false break was confirmed when prices retraced heavily today, erasing all the gains. We are currently quoted at $412.60 dollars, even below yesterday’s open at $415.50.

BTCUSDH4-mar29

The Sunday high at $426.24 now looks like a potential breakout point. If the bulls manage to beat the bears and move prices back to here, we could see a new BTC rally. The first major resistance above here can be found at the February highs near $440 dollars per coin. Above here we have another strong resistance level at $450 dollars followed by the resistance area around $460-$470 dollars. A clearing of this area may propel prices toward last year’s high at $500 dollars.

On the other end weak support can be found at the $404.52 swing low. But the key figure on the downside could be the $400 dollars level again. A decisive break below here may renew the trend lower. Close-by we have another weak support at this month’s low of $394 dollars. More support on the way down can be found at $374 and $350 dollars. A decisive move below $350 may extend the fall toward the support area near $300-$310 dollars per coin.

Litecoin Still Range-bound

Alternative crypto-currency Litecoin is still range-bound. The coin followed pretty much the same Easter pattern as bitcoin. First we got a rally to $3.30 dollars, followed by a crash to $3.173 dollars. We are currently quoted slightly above the highs at $3.189 dollars per coin.

LTCUSDH4-mar29

While the moves during the past few days have been slightly bigger then usual, no breakout levels have been breached yet. The important level on the lower end is still $3.12 dollars per coin.  A clean move below here may start a new trend lower. The rest of the levels are more or less unchanged. Below $3.12 we have support at the round $3 level, followed by a strong area of support around $2.89/$2.90 dollars. A clearing of this area may lead to more losses toward $2.70 or $2.50 dollars per coin.

On the other side, a breakout above the $3.37 swing high could start a new LTC uptrend. Above here the first major resistance is at $3.50 dollars, followed by the $3.65 dollars swing high. Further up we have more resistance at the December highs at $3.82 dollars, followed by the round $4 dollars level.

Petar Kotevski

Petar is a forex trader and writer with 9 years of experience in financial markets. He has been following bitcoin since 2010. A year ago, as the BTC market matured, he started getting more involved by writing articles on bitcoin and other alternative currencies.

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