Crypto-Currencies: Bitcoin, Litecoin and Ethereum for May 9th

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.

BTCUSD — AS mentioned last week a low retest has occurred and now look for more upside in BTC to the resistance trend line. ETH and LTC have squeezed higher and BTC should follow.

 

ETHUSD – Middle band retest and higher highs and ETH has broken out to the upside. We have made the 100% fib target and likely we see this week a retracement. Just a reminder that all retracements have coincided with the USD and have been 20% or more. More upside is expected once the retrace completes.

 

LTCUSD – A squeeze here last week also and we have made target ay 375 and made it EARLY.  Looking at the structure for wave Y we have an expanding diagonal and we could still go marginally higher, but this structure is often deeply retraced so do not be surprised by a retrace over 20%, we have seen this movie before.

 

Big squeezes in ETH and LTC last week and the structure of wave Y for LTC shows and expanding diagonal. Scale out of positions here and get ready to scale back in as retracements have been violent and only a few days in length.  When the USD has a rapid decline, as per last week, we will se Crypto’s soar. BTC is lagging and I expect it to catch up. DX will continue to be devalued for the next year or more and Cryptos will continue to climb. All retracements are a buying opportunity. The next legg higher after the retrace on ETH and LTC will be much slower and choppy in nature.  More volatility to come. I remain bullish Crypto’s. Trade Smart and Trade Safe.

Written by:

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.

09th May 2021

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