Crypto-Currencies: Bitcoin, Litecoin and Ethereum for August 11th

Crypto-Currencies: Bitcoin, Litecoin and Ethereum for August 11th

I plan to cover just three cryptos every week in this post: Bitcoin, Litecoin, and Ethereum. These instruments provide trading opportunities with out sized gains. I hope the analysis presented here helps you profit in these instruments.

I have been on holiday for the last two weeks for a much needed rest. So far, BTC has advanced as expected. Again as discussed, the Chinese have limited access to USDs and with the Yuan devaluation we will see more money pouring into Crypto’s as a hedge against the Yuan. The trade war is good for Cryptos.

BTCUSD — Wave X is in as per my previous post and we are approching the top of a first sequence. The next legg lower should hold Monthly pivot at 10786 and I am still expecting higher prices into 14500-1500 as the completion of a first legg higher. As long as tariffs stay in place likely the Chinese will continue to use BTC as protection against Yuan devaluation.

 

ETHUSD — Not much of an advance here, and far behind BTC. I am not expecting ETH to benefit the same as BTC or LTC. It should lag both. The lower support trend line should hold as we should see higher prices play out. Monthly pivot needs to be converted this month to open higher prices.

 

LTCUSD – The X wave appears to be in and I am looking for the Monthly Pivot to convert at 100.50. Still expecting a higher high into 190-200 as the next legg up, LTC needs to play catch up with BTC. This is still my favorite Crypto in terms of % gain.

 

The Yuan devaluation last Monday has created more uncertainty in the markets which has investors looking for hedges. In general Cryptos are a good hedge against currency issues as long as trade tensions and uncertainty remains at a high. Indexes continuing to go lower will only add fuel to the Crypto rally. Trade Smart and Trade Safe.

About the Author

Stan Nabozny
Stan is a 20 year retail trading veteran and Co-Founder of The Art of Chart. His specialties include using futures and options to trade Energies, Precious Metals, Equities, Currencies, Bonds, Softs, Grains and other commodities. Stan believes that Risk Management and Trader Psychology are more important that technical analysis and spends his time teaching and coaching other traders on these topics . Stan uses various trading systems and technical analysis approaches that integrate time and price in his work. See his latest articles here and www.huffingtonpost.com.

Leave a Reply