Connect with us

Altcoins

Litecoin Stabilizes Amid Broader Crypto Market Tumult

Published

on

Litecoin values have been remarkably stable this week, even as volatility churns the broader cryptocurrency market. Now, investors are celebrating advances that could make Litecoin transactions become more private.

// -- Discuss and ask questions in our community on Workplace.

LTC/USD Price Levels

The LTC/USD exchange rate traded within a narrow range on Wednesday. It reached a session high of $63.73, with daily lows limited to $62.56. At press time, LTC/USD was valued at $63.38 for a gain of 1.1%.

Prices have been capped below $70 for the better part of two months. Litecoin lost about a third of its value after China decided to ban cryptocurrency exchanges. The digital currency had traded at record highs prior to the decision.

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

Litecoin is the fifth most capitalized cryptocurrency at $3.46 billion. It has a total supply of 53.84 million units, according to CoinMarketCap.

In the broader cryptocurrency market, a tug of war between bitcoin and Bitcoin Cash has led to volatile price moves, with each currency taking turns adding and losing value. On Thursday, bitcoin (BTC/USD) gained the upper hand by climbing back toward $7,300.

Korea Factor

Many analysts say Litecoin is poised for a large breakout thanks to rising demand in South Korea. The Asian country is the world’s leading hub for all things Litecoin. World’s biggest cryptocurrency exchange Bithumb accounts for more than a quarter of LTC trade flows globally. Recently, local exchange Coinone added Litecoin to its list of available currencies. Just 24 hours later, the platform processed more than $3.2 billion worth of transactions.

South Koreans are active not just in Litecoin, but many of the other less popular coins. They were at the center of the Bitcoin Cash market long before it caught fire, and have shown a greater propensity to back other volatile cryptocurrencies.

Activity in South Korea, which is largely driven by LTC/won pairs, is expected to be a major storyline in Litecoin’s future.

Charlie Lee Weighs In

Liecoin architect Charlie Lee recently told media he “looked forward to adding” new improvements to the blockchain, especially as it pertains to confidential transactions (CT). Lee recently told Greg Maxwell of Xiph.org that he is working on addressing the lack of fungibility facing cryptocurrencies such as Litecoin and Bitcoin. This is at the heart of a broader debate over CT, which would allow transactions to be visible only to the sender, receiver and whichever party they choose to view the information.

In Lee’s view, this upgrade can be accomplished via soft fork of the Litecoin blockchian. He first published this view in a Nov. 14 tweet:

“I’m excited to see progress on Confidential Transactions. Fungibility is the only feature of good money that Bitcoin/Litecoin is missing.

I look forward to adding this to Litecoin when it is ready. And this can be done with a soft fork. Stay tuned!”

Confidential Transactions were first introduced in 2013 by Adam Back. Since then, the phrase has referred to a particular approach to transaction privacy based on additive homomorphic commitments.

Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock. 

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Altcoins

Trading recommendation: Lisk/Bitcoin

Published

on

The best way to trade a range-bound market is to buy at the lower end of the range and sell at the upper end. If the range is large and well established, it offers us a good risk to reward objective. We believe that LSK/BTC fits the bill and offers us an attractive opportunity to buy at the support and sell at the resistance.

// -- Discuss and ask questions in our community on Workplace.

Key points

  1. LSK/BTC has formed a large trading range.
  2. Buy at the lower end of the range.
  3. Sell at the upper end of the range.

Weekly chart

LSK/BTC has been trading in a large range of $0.00046 on the lower end and $0.0016 on the upper end. On three occasions, the cryptocurrency pair has bounced off the supports. Similarly, it has returned from the $0.0016 levels thrice. The range is well defined. Currently, price is trying to rebound after breaking below the lower end of the range last week. We believe that a buy at current levels offers us a low-risk and high-reward trading opportunity.

Daily chart

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

On December 07, the cryptocurrency pair broke below the support of $0.00046. However, the very next day, it climbed back into the range, which is a positive indication. This shows that the bulls want to keep the range intact. However, the rally from the lows hit a roadblock at the 20-day EMA.

Currently, LSK/BTC is again pulling back towards the lower end of the range. If the support holds, we believe that the digital currency will again rally to the upper end of the range. Therefore, we suggest buying 50% of the desired allocation close to $0.00050 levels. Remaining 50% of the position should be purchased once the digital currency breaks out of $0.00068. The profit objective is a rally to the upper end of the range at $0.0016. The trade should be closed if the virtual currency breaks down and sustains below the lower end of the range. This is a long-term trade.

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Continue Reading

Altcoins

Trade Recommendation: XMR/BTC Pair Throwback

Published

on

The XMR/BTC market (Monero) has been in downtrend on the hourly chart after posting a high of 0.0225 on December 6 and failing to hold critical support at 0.02. It went to as low as 0.0145 on December 8 before respecting RSI at 32 where it established support. The market used the new support level to rally and generate one higher low after the other. It recently attempted to reclaim support at 0.02 but was repelled by bears. Currently, the market is trading around 0.019 levels where it appears to have created another higher low.

// -- Discuss and ask questions in our community on Workplace.

Technical analysis shows a large reversal pattern in the hourly chart that can take the XMR/BTC pair to 0.025. Even though the market failed to breach resistance at 0.02, investors should not see it as a failed breakout. What we’re seeing is a throwback which is a temporary retreat in price. Throwbacks are common in breakout plays and are often seen as a bullish signal. The next time the market attempts to breach 0.02 resistance, it has a much better chance of breaking it with conviction.

The strategy is to buy breakout at 0.02 with immediate stop at 0.0189.

Hourly XMR/BTC Chart on Poloniex

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

As of this writing, XMR/BTC is trading at 0.018714 on Poloniex.

Summary of Strategy

Buy: breakout at 0.02

Target: 0.025

Stop: move below 0.0189 after buying breakout at 0.02.

Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Continue Reading

Altcoins

Trade Recommendation: FCT/BTC Bullish Reversal

Published

on

The market reach its all-time high back in June this year when FTC/BTC (Factom) reached 0.01463162. Unfortunately, the pair wasn’t able to sustain its momentum. It created a lower high several days later at 0.01066744 which signalled investors to take profits or cut their losses. As a result, the market tumbled and lost 93.17% in value from its all-time high. Such a tremendous loss would have created an atmosphere of despair in the market. Usually, that’s when the savviest traders come in.

// -- Discuss and ask questions in our community on Workplace.

Technical analysis reveals that the worst is behind the pair. FCT/BTC touched support at 0.001 on the daily chart twice and respected it on both occasions. This is a good indication that the market has found a reliable support level. In addition, hourly chart shows that a large reversal pattern is underway. The pair may have retreated when it nearly touched 0.002, but it generated a new higher low in the process at 0.00156566. The throwback is a bullish signal that enables the pair to gather momentum to break resistance at 0.002.

The strategy is buy on breakout at 0.002. Breach that level and the market reclaims 0.003. Sell that level because it is a strong resistance.

Hourly FCT/BTC Chart on Poloniex

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

As of this writing, FCT/BTC is trading at 0.001738 on Poloniex.

Summary of Strategy

Buy: breakout at 0.002

Target: 0.003

Stop: move below 0.0018 after buying breakout at 0.002.  

 

Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Continue Reading

Trending