Another Marker analysis, so hold on tight 😵
Bitcoin – When the bears and the bulls fight
It has been impressive over the last week how the price of BTC has struggled to break the 30-day VWMA (Pink line). On the 4th June, BTC ripped through the 30-day VWMA on a downward slide and buyers made their stand at $7600. Great news but more bad news came to follow. 7th June we tested the 30-day VWMA and have not closed above the line for the last three days. This is a clear indication that buyers are not confident enough to push the bitcoin price back into the $8000 territory. Price is now at a stalemate (consolidation), and with no new technology hype around bitcoin at the moment, there is no reason why buyers will stay united to support $7600. If we were to break lower, then $7200 would be the price for buyers to support bitcoin again.
Conclusion: With a price below the VWAPs (blue and yellow lines) and VWMA (pink line), there is no reason to buy bitcoin. We need to see the price of bitcoin move above the monthly VWAP (yellow line) and close above the 30-day VWMA ($8000). If the price of bitcoin drops below $7600, be happy that you can purchase BTC at $7200 and maybe even $6800 (if you are lucky).
Litecoin – It’s a buyers market
Let me make this clear. There are no bulls in the Litecoin market because they are not stupid. On the 4th June, we had the test of the 30-day VWMA ($102), which was at the same level as the previous VWAP monthly price. Buyers took this opportunity to load back up on Litecoin, and the rally was strong. While some may say we are in overbought territory, I say good. The reason is that Litecoins halving is only a few months away.
No one should be trying to place shorts against this cryptocurrency and with the price above the Bi-Weekly and Monthly VWAP (Blue and Yellow lines) we should all be looking for small pullbacks to buy again.
Conclusion: either buy at the time of writing or wait for the price to drop to $112 potentially. Either way, you can’t go wrong with being bullish with Litecoin with these strong technicals. Stop loss should be positioned below $100.
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“Patience is the key to any market” – Nathaniel.
Thank you for your love and support.
Nathaniel – “The value Trader”
Little Big Movement / IONIC Capital