Bitcoin is struggling to survive, while Litecoin’s strong rise triggers a bear market

1. Bitcoin

The recent Bitcoin is dying, which is really boring. The positive line that appeared on August 22 seemed to give people some upward ideas, but the negative line yesterday suddenly made people feel a haze floating over their heads. See the picture below:

Bitcoin daily chart

It can be clearly seen from the above figure that the trend in the recent half month is basically a rebound after a decline. If the price range of the lower shadow line of the decline on August 3 is removed, the rebound from the highest point in this half month is only about 10%. Yesterday's negative line closed and did not touch the pressure line of the upper 30-day moving average. In other words, judging from the daily line, Bitcoin will not break through this pressure line for the time being. The bear market rebound is weak, and the bears are still strong. It is not recommended to trade against the trend.

2. Litecoin

Just look at the picture below:

Litecoin daily chart

Litecoin has once again acted as cannon fodder, and is used as a tool by the main players to make money. But think about it carefully, which digital currency is not a pawn used by the main players to make money and reap the retail investors? Bitcoin, Litecoin, Ethereum, including the endless stream of copycats, etc. What is the difference between these in the eyes of us retail investors? The picture below is a screenshot of the article on Huobi’s launch on August 9, which can be regarded as a prediction that Litecoin will break away from Bitcoin and go it alone today.

Judging from the current Huobi daily line, the highest price of Litecoin has risen to 26.65, and has broken through the 30-day moving average and touched the pressure area of ​​the 60-day moving average. The price has reached a new high. Although the volume is not too large, there is also an obvious increase in volume. Therefore, judging from the daily line, there is still momentum to continue to rise. However, due to the excessive rise in a short period of time, the price needs a reasonable period of time to correct. Therefore, it is recommended to increase positions on dips and continue to hold and follow up. This has a prerequisite, that is, it must stand above the 30-day moving average and perform shock repair between the 30-60 day moving average. This is also an operational suggestion for Litecoin.

3. Ethereum

From the daily chart, the price of ETH has fallen below the middle of the Bollinger Bands, which is relatively standard. Although the price of 72.5 is not too high, it is not recommended to go long at this time. The opening of the Bollinger Bands is gradually narrowing, and the price is fluctuating near the middle, and the shorts are strong.

I would also like to briefly mention ETC. Currently, ETC is still falling. The current price is 10.42, and it continues to diverge. It is recommended to go long at low points as there is a demand for a rebound.

Summary: It is not easy for Litecoin to break away from Bitcoin and fly alone. From historical experience, Litecoin's flight alone is still temporary. After this wave of market, it is more likely to continue to be Bitcoin's lackey. We need to observe Litecoin's upward momentum and whether it will continue to reach new highs. As for ETC, it is still falling on the daily chart, but from the analysis of indicators, there is indeed a need for a rebound. Be patient, and ETC may surprise you.