LTC/USD increasing, another lower low of EOS/USD expected

Contents

LTC/USD

From last Thursday when the price of Litecoin was $58.8 at its highest point we have seen an increase at first as the price continued moving higher slightly past the horizontal support zone which now serves as resistance. The price came up to around $60 but since it entered the seller’s territory it got pushed back below the upper resistance line at $57.558 and came down to $53.814 at its lowest point on Tuesday.

From there the price started increasing again and came up to the upper resistance line again were it got rejected on a lower high and since the 5-wave impulse has ended we are most likely seeing the start of a move to the downside. This movement would be either a correction or the start of the trend continuation as the Intermediate Y wave ended from a WXY correction. If the correction gets prolonged by two more waves then this move to the downside would be the second wave X after which another move to the upside would be expected as the final wave Z should develop but if this is the start of the trend continuation then we are to see further lower lows for the price of Litecoin.

EOS/USD

From last Thursday the price of EOS was $3.9564 at its highest point the price has been in a minor downtrend and came down to around $3.5 at its lowest point of the week on Tuesday which was a decrease of 11.6%. On Tuesday we have seen an increase of 6.63% as the price came up to $3.7414 at its highest point but again started trending to the downside moving below the 0.5 Fibonacci level again.

The 0.5 Fibonacci level serves as significant support/resistance point as you can see from the hourly chart and now that the price came below it we could see the interaction with the support at around $3.2787 where the first correction ended after the initial drop of over 18% we have seen on 25th of February. After this corrective move to the downside which I have labeled as a Minute WXY we are most likely seeing the second correction in the upside direction which is why after this minor downtrend ends I would be expecting another increase like we saw started on last Monday when the price increased in a five-wave manner to the upside.

This increase would have to wait for the current downtrend to end which is why from here I would be expecting another lower low at first and potentially an interaction with the lower support line at $3.2787 so depending on the depth of the expected decrease we are to see where the increase could end. The most optimal price target for the expected increase would be around the 0.618 Fibonacci level at around $4.162 but when it ends I would be expecting more downside for the price of EOS.

Nikola Lazić

Expertise: Cryptocurrencies, Technical analysis, Elliot waves, Fibonacci Nikola has a bachelor degree in Sociology, which gives him the edge in the financial market, knowing a lot about herd mentality. That is why he uses Elliot wave principles mostly, in combination with Fibonacci levels. He started learning more about financial markets back in 2015 and is now a full-time trader. As an anarcho-capitalist, he fully supports the vision of decentralized future offered by cryptocurrencies, that's why his attention and interest are mostly focused on them. His analysis has been praised by some of the most influential people from the cryptocurrency scene, like Jeff Berwick, the founder of The Dollar Vigilante Newsletter, Vit Jedlicka, the president of Liberland, and other trader colleagues.

with No Comments 250

Share: