Crypto markets have continued to trade under pressure during the past two days. While bitcoin is slightly up compared to Tuesday at $282 per coin, both Litecoin and Peercoin continue to trade near two year lows.
Litecoin Unchanged, Still Weak
Alternative cryptocurrency Litecoin is still weak, with prices quoted at $2.02. This means that, measured from its breakout point, LTC is now trading below the 23.6 percent mark, the lowest of the Fibonacci retracements. In percentage terms, this amounts to just 6 percent above $1.8999, which is the two year low for Litecoin. The anaemic rebound in LTC/USD spells trouble for the bulls.
The downtrend will remain in place unless the fledgling cryptocurrency climbs and stays above $2.30 – $2.35 per coin. On the downside, a break below $1.8999 may intensify the losses. Some important levels on the downside include $1.50 and the parity level at $1 dollar.
Peercoin Flirts with $0.50
Peercoin continues to flirt with its two year low near 50 cents per coin. The down move extended briefly to $0.452. Similarly to Litecoin, from here we had another weak rebound to $0.519. We are currently trading at $0.476, just 5 percent above the lows.
What’s next for Peercoin? For a resumption of the downside momentum, be on the lookout for a break of $0.45. To end the downtrend, PPC will need to clear the resistance near $0.60 per coin.
Namecoin Relatively Stronger
Namecoin is trading stronger, at least when compared on a relative basis to PPC or LTC. Prices are quoted at $0.623, a substantial 14 percent rebound from its lows at $0.55. Despite the strong performance, NMC/USD will likely continue be pushed around by bigger moves in other cryptos.
Watch out for bitcoin levels at $300 on the upside and $260 on the downside. A BTC clearing of $300, not just a brief spike above it like we had yesterday, may lead to an end of the current short-term downtrend. A bitcoin break below its $260 low may act as a catalyst for more losses across all cryptocurrencies, including Namecoin.