LiteCoin (LTC/USD) Analysis August 1, 2017

LiteCoin continues to be very volatile, as we had initially drifted lower during the day on Monday, but found enough support at the $38 level to turn things around and sliced through the $41 level rather rapidly. This volatility is a good sign though, because quite frankly with the US dollar weakening, LiteCoin should have been doing better lately. With this bullish one-hour bar, I suspect that the buyers are starting to come in, and that the $38 level will start to offer a significant floor in the market.

Buying short-term dips

I continue to buy short-term dips in this market, and I believe that given enough time we should go looking for the $45 handle above. $43 level will be a bit of resistance in the meantime, but given enough time I think we will sliced through there. The Americans look content on doing so, so I believe that this trade may actually be more of a North American trade than anything else. Nonetheless, I am bullish and don’t have any interest in selling, as I believe that the $38 level is going to hold as support for the overall bullish attitude of the market. Longer-term, they move towards $50 seems to be a goal for the market, but expect a lot of noise between the 41 and $43 handles. Pay attention to the US dollar overall, never forget that this is more a reflection on the viability of the greenback than it is the crypto currency at times. As the Bollinger Bands are starting to separate, that shows the volatility is returning to this market finally. With this, we should get a bit of a “buyers’ market” over the next several sessions, so therefore selling is all but impossible unless we break the $38 level which would change the overall attitude.