Week in Crypto (Top Events):
New - Litecoin founder - Charlie Lee - experimenting with privacy MimbleWimble and you can soon buy a Maserati with Litecoin payments. Follow Charlie Lee on twitter for more details on these updates.
#1 - Baakt continues to make headlines and progress in launching their proprietary digital asset market place that will offer a institutional grade custody program combined with a fully regulated digital asset exchange and physically delivered on Bitcoin . Understanding their partnerships with Starbucks , Microsoft as well as their relationship with I.C.E ( Intercontinental Exchange ) which operates traditional exchanges like the NYSE is a news worthy event to follow in the coming months. In the past two weeks they have closed initial funding rounds and have raised over $180M. This week they are on a hiring spree for core developers. Follow their twitter for the latest updates.
#2 - Jack Dorsey - CEO of Twitter - was recently on the Joe Rogan podcast promoting Bitcoin and digital assets as a revolutionary technology. He believes Bitcoin will become the world currency in our lifetimes as it was born on the internet and will become the currency of choice of the internet. Square continues to outperform on the stock market and allows for bitcoin payments to be sent and received via their app as well as fiat.
#3 - Dan Morehead - CEO of Pantera Digital has said recently despite the market sentiment in prices the fundamentals in the ecosystem have never been stronger. He believes all the innovation and infrastructure that is being built to accommodate institutional investments has calmed any doubts whether blockchain technology and Bitcoin is here to stay or not.
Despite the positive fundamentals what does the technical picture tell us?
BEARS - Back on April 2018 bears successfully completed the death cross where the 50 Day (Orange ) fell below the 200 Day MA (Blue ). Since then Litecoin bulls have exhibited typical bear market behavior. Desperate volatile pullbacks, but inside a . Selling pressure continues. If bears are successful in pushing prices below $26.50 a likely retest of the December lows of $22.30 is very likely. We also feel that a double bounce is unlikely at this level and that a break below $22 could ensue panic selling. There is little historical support from 2017 at these lower levels as Litecoin ballooned up, but we feel a more probable support would be a drop to the 161.8% to around $10.56. We feel there is enough of a risk/reward ratio to place a short if the bears are able to break below our short entry price of $26.50.
BULLS - signs are on the horizon for Litecoin. Litecoin has found temporary support on the 50 Day , which is sitting at $32 at time of writing. Therefore, we are suggesting traders to wait until the bulls breaks above $34.88 with an appropriate stop at $27. We will update this entry price as the market develops. The 200 Daily MA (Blue ) is sitting around $47.90. Any asset class that breaks above its 200 Day MA is a very positive price action that should lead to a long term positive sentiment and direction. Until Litecoin breaks above and confirms this as support we will maintain an overall sentiment.
- Is showing positive momentum and currently sitting at 54. Litecoin is one of the leading performers since the December capitulation.
Trade suggestion: We are not recommending any trades until there is more market clarity whether you are a bear or bull.
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