ETHUSD and LTCUSD Technical Analysis – 24th FEB, 2022 | Forex Trading Blog | Online Trading Blog

ETHUSD: Bearish Engulfing Pattern Below $2,900

Ethereum failed to clear its resistance level of $3,200 last week and started moving into a bearish channel which continues today, pushing the price below the $2,500 handle in the European trading session.

Ethereum markets are witnessing a strong bearish phase with the investors selling their holdings in the wake of Russia attacking Ukraine.

We have seen that the safe haven status of the USD holds, which continues to push down the prices of ETHUSD in the medium-term scenario.

We can clearly see a bearish engulfing pattern below the $2,900 handle, which signifies the end of a bullish phase and the start of a bearish phase in the markets.

ETH is now trading just above its pivot level of $2,352 and is moving in a bearish channel. The price of ETHUSD is now testing its classic support level of $2,235 and Fibonacci resistance level of $2,320 after which the path towards $2,100 will get cleared.

The relative strength index is at 27 indicating a WEAKER demand for Ethereum and the continuation of selling pressure in the markets.

All of the technical indicators are giving a STRONG SELL market signal.

All of the moving averages are giving a STRONG SELL signal, and we are now looking at the levels of $2,200 to $2,100 in the short-term range.

ETH is now trading below both the 100 hourly and 200 hourly simple moving averages.

  • A bearish reversal seen below the $2,900 mark
  • The short-term range appears to be strongly BEARISH
  • The daily RSI is below 50 at 32 indicating a BEARISH market
  • The average true range is indicating LESS market volatility

Ether: Strong Bearish Momentum Seen Below $2,900

ETHUSD is now moving into a strong bearish momentum with the prices trading below the $2,400 handle in the European trading session today.

Both the Williams percent range (daily) and StochRSI (daily) is indicating an OVERSOLD market, which means that a pullback in the level of Ethereum is expected soon.

We can see that the bearish trend line has extended, and now a move below $2,200 is expected in the short-term.

The prices of ETHUSD need to remain above the $2,100 handle for any bullish reversal in the markets.

At present, we are looking for immediate targets of $2,200 after which it is expected to enter into a consolidation and correction phase.

The key support level to watch is $2,100, and the key resistance level is $2,500 for this week.

ETH has declined -12.29% with a price change of -332.72$ in the past 24hrs, and has a trading volume of 20.564 billion USD.

We can see an increase of 36.99% in the total trading volume in the last 24 hrs due to the broad-based selling in the crypto markets globally.

The Week Ahead

Ethereum is now moving into a consolidating level above $2,200 which if completed will give the buyers a chance to pull back its level towards an important resistance zone located at $2,500.

The ongoing Russia-Ukraine war crisis is also affecting the global cryptocurrency markets including Ethereum because the investors are unwilling to hold Ethereum in view of the market liquidity crunch in Europe and Russia.

If the prices of ETHUSD continue to remain above the $2,000 handle as seen today, it will start the next leg of its bullish move towards $2,500 handle next week.

The immediate short-term outlook for Ether has turned strongly BEARISH; the medium-term outlook has turned NEUTRAL; and the long-term outlook for Ether is BULLISH towards the $3,000 handle.

This week, Ether is expected to move in a range between the $2,000 and $2,500, to trade at levels above $2,500 next week.

Technical Indicators:

The moving averages convergence divergence (12,26): at -71.42 indicating a SELL

The commodity channel index (14-day): at -82.77 indicating a SELL

The rate of price change: at -9.82 indicating a SELL

The Stoch (9,6): at 20.89 indicating a SELL

LTCUSD: Bearish Engulfing Pattern Below $121

This week, Litecoin failed to clear its resistance zone located at the level of $3,500 and started to decline heavily against the USD. We can see that the prices of LTCUSD have broken the level of $2,400 in today’s European trading session.

This broad-based selling is the outcome of the Russia invasion of Ukraine and fears among the crypto investors, all of which is causing a continuous fall in the prices of LTCUSD.

LTUCSD touched an intraday high of 107.49 in the early Asian trading session, and an intraday low of 92.53 in today’s European trading session.

We can clearly see a bearish engulfing pattern below the $121 handle which signifies the end of a bullish phase and the start of a bearish phase.

Litecoin is now trading below its 100 hourly simple moving averages and 200 hourly exponential moving averages. The price of LTCUSD is just above its pivot level of 95.20.

The relative strength index is at 21 indicating a WEAKER demand for Litecoin and the continuation of the bearish momentum in the markets.

The price of Litecoin continues to remain below all of the moving averages, which are now giving a STRONG SELL signal at current market level of 95.43.

Both the Stoch and StochRSI are indicating an oversold market which means that we can expect a short-term upwards price correction.

The short-term outlook for Litecoin has turned strongly BEARISH.

  • All of the technical indicators are giving a STRONG SELL signal
  • A bearish reversal seen below the $121 levels
  • The Williams percent range is indicating an OVERSOLD market
  • The average true range is indicating a HIGH market volatility

Litecoin: Strong Bearish Momentum Seen Below $121

The price of Litecoin continues to move in a strong bearish channel below the $100 handle, and we can see a progression of the bearish trend towards $94.

As the selling in Litecoin intensifies, a possibility of a pullback is also present at the level of $94.80. This is indicated by the MA5 crossover pattern.

Bollinger bands are also indicating a SELL at levels below $99 towards the target of $90.

The price of LTCUSD is now facing its classic support level of $92.60 and Fibonacci support level of $94.55, after which the path towards $90 will get cleared. The daily RSI is printing at 32 which indicates a weak demand for Litecoin in the medium-term.

LTC has declined -13.34% with a price change of -14.70$ in the past 24hrs, and has a trading volume of 1.1157 billion USD.

Litecoin’s trading volume has increased by 40.25% compared to yesterday due to the heavy selling by long-term holders.

The Week Ahead

We have seen that Litecoin continues to decline heavily against the US dollar, and with no pullback support we are expecting to touch the level of $93 very soon.

The prices of Litecoin are being impacted by the Russia-Ukraine war tensions and the panic selling that is seen following this news in the LTCUSD markets.

At present, Litecoin has entered into a consolidation channel above the $92 handle. If the prices of LTCUSD continue to remain above $90, next week, we may see a bullish reversal in the markets towards $110.

The short-term outlook for Litecoin has turned strongly BEARISH; the medium-term outlook is NEUTRAL; and the long-term outlook is BULLISH at present market conditions.

This week, we are looking at levels of $90 to $100, and next week, Litecoin is expected to trade at levels above $100.

Technical Indicators:

The ultimate oscillator: at 32.13 indicating a SELL

Highs/Lows (14-day): at –18.47 indicating a SELL

The rate of price change: at -29.27 indicating a SELLThe average direction change (14-day): at 32.11 indicating a SELL

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