Bitcoin continues to surprise. After experiencing huge growth in May, traders thought that consolidation awaits BTC/USD. Potential support levels of $2,300, $2,500, $2,700 looked really good. However, there was no potential level of growth being shown, and the price moved to historic highs.
Right now, we see the following picture:
- $2,600 area may be a strong support level.
- Volatility decrease forecasts have proved themselves wrong.
- News background is flat.
Currently, the price is in the zone of a potentially high support level. Buys from this level might be a good idea for intraday speculators. If the support level proves itself strong, it’s a signal for bulls. Therefore, trades with $2,800 goals will have a decent expectation value. Right now, a level retest is just underway.
If the $2,600 level does not remain, then one should wait for the next price bounce and a shaping of new support zones.
The main rule is to exclude short positions for BTC/USD. The pair is under serious pressure from the uptrend, so deals against the trend are a bad decision. One should also remember that volatility remains. Always wait for retests to have a more precise signal for position entry.
The $200 resistance zone appeared to be great. We saw new highs and the ETH/USD pair has seen a decent decrease in volatility in recent days.
Currently, there are three possible scenarios. In the order of probability:
- $250 is a strong support zone. It will be a good entry point, with goals of $280 and higher.
- A continuing decrease in volatility and the formation of a $240-$260 channel.
- The correction and formation of a $220 support zone, or downgrade to a more global level of $200.
The most likely turn of events is the formation of new highs (reasons: global uptrend, news, which might change the picture).
Also, mind that on the market with such a super growth there are no short positions. Look for entry points with longs and always use stops. And follow Ethereum news updates.
LTC cheers up with stability. The support zone will be $23 and $36 – a good resistance zone but keep in mind possible huge volatility.
Despite the decent width of the $23-$26 channel, it has very strong support and resistance zones.
The price is trading in the middle of the channel, and there are now signals for deals. For position opening, one should wait for a price at either side of the channel.
Currently, the most likely scenario are resistance zone tests.
Hitting one of the zones is unlikely. For the price to leave the channel, strong fundamental news is required or a strong decrease of the whole Blockchain market.
ETC/USD has not had strong movements since the beginning of the month. Right now, price trades in the $15.5-$18.7 range. Usually, such consolidation happens before fast growth.
The resistance zone is around $17. So if this level gets hit and fixed, most probably we will see maximum tests for this pair. It can also be mentioned for ETC/USD that many fundamental factors drive the growth.
Mind the following points:
- ETC will have a limited emission of 210 mln tokens.
- Interest from Chinese investors.
- Strong community.
- It’s still Ethereum. Just another branch of it.
All these factors show that current consolidation can lead to strong growth. So watch the resistance zone, and chances are during these changes there might be very good opportunities for deals.
Follow the news, ETC can bring many surprises.