It’s back to red with altcoins losing on average five percent in the last day. Litecoin and Stellar Lumens are top losers shedding five percent. Factoring in candlestick arrangement, it is likely bears will drive prices towards previous support lines in coming days. Because of this, we recommend selling Monero at spot prices in sync with Sep 5 bears with stops at $120.
Let’s have a look at these charts:
EOS Price Analysis
Aside from Huobi collusion accusation which we highlighted earlier, there is nothing market moving per say. In fact, EOS price is down three percent in the last day. What’s visible though are persistent sellers preventing upsides and capping prices from key Fibonacci retracement levels.
When we paste a Fibonacci retracement tool between the bear candlestick of Sep, it’s clear that EOS prices are reversing from the 78.6 percent level. Historically, bounces from this level rarely retest previous lows or highs. Instead, the 23.6 percent level tends to be retested. Porting the same deduction to EOS then we can conclude that bears might find support at $5.
That’s the 50 percent Fibonacci level of week ending Sep 23. Either way, considering the depth of EOS price correction and adoption which is picking up, buyers stand a chance.
However, like in our last EOS price analysis, that will only happen once there are gains above $7. Otherwise, we reiterate that losses below $4 open flood gates for sellers aiming for $1.5.
Litecoin Price Analysis
Immutability and censorship resistance are some of the properties that make Litecoin and cryptocurrencies superior to fiat. These comments were made by Charlie Lee at the Blockchain Cruise 2018.
I just bought an Amazon gift card using LN on Litecoin. The payment went through instantly and I got the gift card right away. Good job on the great user experience @bitrefill! 👏 #PayWithLitecoin #PayWithLightninghttps://t.co/dJYLksVVCD
— Charlie Lee [LTC⚡] (@SatoshiLite) October 3, 2018
Besides, with adoption picking up, cryptos are carving their own share. In a tweet Charlie Lee said he could buy the Amazon gift Card and vouchers (from Bitrefill) via the Lightning Network. Bitrefill is a mobile application that allows Litecoin and four other crypto owners to buy gift cards.
On to the charts and Litecoin prices are down five percent in the last day. With this, sellers have been successful in reversing Sep 27 gains. From yesterday’s Litecoin trade plan, we said for prices to rally then it was necessary for bulls to drive above $70.
These sharp declines are likely to hit stops at $55 invalidating our bullish position. Should there be a follow through today and prices sink towards $50, then odds are sellers might end up melting past $50. This level is an important support and a sell trigger which if trade conditions are met will see LTC trading at $30—or lower.
Stellar Lumens Price Analysis
XLM is the biggest loser in the last day shedding five percent. Like Litecoin sellers, Stellar Lumens bears are stepping on gas. They are only 2 cents away from minor support line at 23 cents. This level might be hit today if today’s traders keep up with yesterday’s pace. Though we remain optimistic of upsides, sell pressure is overwhelming for Stellar Lumens buyers.
Should XLM prices drop below 23 hitting our stops, we shall revert back to neutral. In that case, we shall place buy triggers at Sep 23 highs at 30 cents, a conservative buy trigger. Likewise, drops below 18 cents main support and 2018 lows might fuel declines towards 8 cents.
Cardano Price Analysis
Project Rust is now live. With the launch of this open source developer toolbox, Cardano expect developers to connect creating high quality projects on the platform. Rust is a simple programming language that compiles with common developer platforms as iOS, web and others.
Low volatility and persistent sellers characterized yesterday’s price action. Overly, it seems as if sellers are having an upper hand preventing gains above 9.5 cents and the two month resistance trend line. Note that, our sell triggers remain at 7 cents, the coin’s all time lows. And confirmation of yesterday’s losses might bin previous Cardano trade plans. Nevertheless, we hold a bullish position and for the first wave of buys, prices must close above 9.5 cents. Buyers will be in control when there are strong gains above 12 cents.
Monero Price Analysis
After 45 days or so of steady uptrend, Monero bears are back. Apparently, prices are now syncing with Sep 5 bears candlestick and what we have is a break below the main support trend line following yesterday’s three percent loss.
Going forward, we recommend shorting at spot price now that there is a whole bear bar below the main trend. Ideal stops will be at $120 with first targets at $100 and later $70.
Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.
Article First Published here