Today we would like to focus on three currencies. BTC/USD, ETH/USD and LTC/USD and we also want to look at some odd volume patterns we see in the market. First of all BTC/USD. The medium-term outlook that we are going to push back into the accumulation zone hasn’t happened yet. We are still in the ascending triangle and we do see some good battles around to $3,650 level where a lot of buyers seem to step in and we see spikes higher in BTC/USD there.
On the top side, we definitely see $4,200 as big resistance where we got rejected the last time. Our short term call is that after the $3,920 level we took out over the weekend we should see more buyers stepping in. Hasn’t happened yet. All bets are off. As soon as we take out the bottom line – $3,650 – then we’re going to turn back to our long term or medium-term call that we’re going to dive deeper into that resistance level $3,100 and then further down $2,500 as the ultimate goal.
On the ETH/USD side we see a potential bottoming forming pattern. We have made new higher lows, but we haven’t made a higher high yet, but volume is decent and the market seems to be constructive at the moment. LTC/USD is the one which really looks promising. We have turned from a bearish structure into a bullish structure.
We took out a few resistance levels and now we are trying to break the $60 resistance. You can also see the volume pattern and the Ichimoku Cloud which is confirming the bullish scenario we are having here. We do see through a possible correction further into the top grey area as some sort of a healthy correction to resume the uptrend. Now on the trading volume pattern when you look into 1-minute volume patterns you can see that daily volume is quite low, but we do have these odd spikes which are only seen on 1-minute bar volume charts and those spikes are sometimes 5 to 10 times higher in volume than the average 1-minute bar.
We think this could come from OTC desks who cannot find any other counterparties anymore to lay off their risk so they have to turn to exchanges and most of the time it looks like that they’re just dumping it within a very short timeframe. And that the exchange cannot cope with the high volume of the coins getting dumped on the market.
So in general, we do not see higher volume in those few weeks we have traded now. It’s just that we see some volume spikes in a very short timeframe. If you are trading crypto and want to do it more efficiently, here are some tips for you from our partner, TradeSanta. Today we will share the second tip: Minimizing risks. If your trade doesnt go as planned, you can launch another bot in the opposite direction to take advantage of the changing market.
This will allow you to both minimize risk and even make a profit in some cases. With TradeSanta, you can create trading bots for multiple pairs on different partner exchanges to enjoy endless upside opportunities and limit your downsides..
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