Ethereum, Bitcoin, Litecoin & DASH Analysis


Regular readers will know that we have been waiting several days for ETH to pass through an arc pair. As shown in the picture below, that has happened, and the asset broke upwards as soon as it was able to. This is a rather bullish development. The next arc pair is in the area of $62, and will likely be heading there.


As pointed out in the weekend update, Bitcoin is still in a short-term arc despite having given a longer-term buy signal. My best guess is that the coin will be able to breakout to the upside, but I would prefer to wait until I see the breakout happen, rather than buy the coin in the hope that it will. It is pressing hard against resistance even as these words are being typed. However, the arc has been an effective barrier for several days already. It could continue for a while longer.


Several readers have been on this ride since it broke out above $4. Our target has long been $15, and we reached that target yesterday. Indeed, price went to $16 before pulling back to $15. This 3 hour candle bar is an energy time, and price has been caught between the top of the square and the 1×1 Gann angle for several candles now. I sold this coin at $15 and though I think another rally is possible, the EASY money has already been made, as they say. A pullback is likely. It makes more sense to me to watch this from the sidelines for awhile.


We covered this sleeper last week, and it rallied again the past few days while I was preoccupied with litecoin. ETC made impressive gains, but in all likelihood the run is close to over. The next (5th) arc is at $4, and the price is close to that now. I think it’s too late to catch this train.


I have included DASH in today’s column because I have an intuition that it is going to get interesting soon. As you can see, on a longer-term setup price has been moving sideways for sometime but has just met a 2nd arc. It is possible that it will break down here. However, it seems more likely that it will use the sideways movement of the past few weeks as a base to rally to the next resistance at ~ $132. Time will tell.


Remember: The author is a trader who is subject to all manner of error in judgment. Do your own research, and be prepared to take full responsibility for your own trades.

Jim has an MBA from the University of Southern California. He has had a long career in both Corporate Finance and IT. Along the way he discovered that trading was a vehicle with great promise, but struggled for a long time without a mentor. After having been knocked down many times and having struggled to get back up, he had an epiphany and realized that geometry was a solution. He shares his experience here. If you do well as a result of suggestions made here, feel free to say thank you :) BTC: 1FUq3GB1Q8zz2JpuBr7YHzVBKnaWoxgmya Follow him on Twitter (@jimfred1276) or email him at jimfred1276 at gmail.
  • Hi Jim,

    Thanks for your article, I entered the ETC market when the price was near $2.5, and wanted to ask what price would you recommend selling before we see a pullback?

    Kind regards,

  • Hi Jim,

    Your analysis was on spot for LTC any many people made a lot of money. Very good.

    I know you cannot exactly predict how each alt will behave but how come we are missing with XRP. I believe you made 4 articles on XRP and all went the other way or no movement at all. Do you think there is some other variables we are not seeing?

    Otherwise thanks for the great insights!

  • Yes, there is a variable or two or three I don’t know about. All I can do is play the odds like a blackjack player who bets higher when he thinks the count favors a face card. Even if his count is accurate, he doesn’t know for sure the next card will be a face card. I use stops because I know that I might be wrong. I often am. Part of the trick to this business is realizing quickly when you are wrong, and getting the hell out of the trade before you lose too much.
    I believe Ripple will rally hard in the not-distant future, but so far it is stubbornly refusing to do so, and it doesn’t much care if I am holding my breath waiting…

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