Bitcoin Dips to New Lows: BTC and LTC Analysis for August 1, 2023
Today, Bitcoin plunged below $29,000, reaching a two-month low at $28,750. Let’s delve into the current market situation for Bitcoin (BTC) and Litecoin (LTC).
Bitcoin (BTC)
The support level at $29,000 couldn't hold the price, leading sellers to push it lower and setting a new local low. What happens next largely depends on whether buyers can reclaim the $29,000 level. If they succeed, we can expect the price to continue moving sideways, potentially testing the support zone of $29,700-$30,100.
Should the correction intensify, BTC could fall to the support levels of $28,500 and $28,000. Given that the next support zone is fairly broad, ranging from $26,700 to $28,000, it's wise to wait for a price response at these levels to adjust your trading strategy.
BTC chart on the 15m timeframe
Litecoin (LTC)
Litecoin is currently trading within the support range of $87.45-$89.54 and the resistance range of $95.0-$96.2. To revisit the top limit of this range and refresh its local peak, the LTC price needs to solidify itself above the $92.25 mark.
If the correction continues, LTC may test the support levels at $86.0 and $81.6.
There are 2 days left until the LTC halving. In anticipation of this news, the asset has been on a continuous rise for the past 2 months. However, following the actual event, significant changes are unlikely to occur. The reduction in miner rewards may have long-term implications, so a drop in LTC's price following the halving is plausible, primarily due to overvaluation by buyers.
LTC chart on the 30m timeframe
The market situation for Ethereum hasn't changed from yesterday's analysis.
Check out GNcrypto for the latest cryptocurrency rates and chart analysis.
Disclaimer
Please note that the analysis provided above should not be considered a trading recommendation. These are solely the opinions of the GNcrypto editorial board regarding the market situation. Before opening any deals, we strongly advise conducting your own research and analysis.
Abbreviations
TF (Timeframe) — a chronological period equal to the time it takes to form one Japanese candle on the chart.
Horizontal channel (flat, sideways, range) — the movement of price between support and resistance levels, without going beyond the given range.
К — simplified designation of one thousand dollars of the asset price (for example, 23.4K – $23,400).
Gray range on the chart — a support zone.
Red range on the chart — a resistance zone.
Correlation — the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.
Initial materials
This analysis was informed by the following educational materials and articles from GNcrypto:
- TOP 5 Useful Chart Analysis Tools on TradingView
- How Are Trading Volumes Useful in Cryptocurrency Analysis?
- Candlestick Patterns: Types and How They Work in Trading
- The Most Popular Chart Patterns for Crypto Trading
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