Even if the general crypto sentiment is positive, we need to be practical and wait for alt coin clear break through to the upside.
Because BTC anchors most alt coins and there is a direct relationship between its price and those of others, it will be a straight buy once we see BTC and ETH edging past $7,000 and $550 in the coming days.
Let’s have a look at the BTC, ETH, LTC, EOS and IOTA cryptocurrency charts for June 16:
Bitcoin (BTC) Technical Analysis
The CIA might after all know the real identity of Satoshi Nakamoto but with their Glomar replies, we cannot for sure know if they do or not. What we are sure of is that the Tribunal court of Florence has ordered cryptocurrencies at BitGrail to be seized following a court order in a pre-bankruptcy petition.
Remember, a while back, the exchange was hacked leading to a loss of $187 million worth of Nano and shortly after that, their CEO said it was highly probable that the exchange couldn’t compensate the affected victims. Following this public declaration, the Nano Foundation agreed to support any legal fund that would allow victims to have representation as the petition into BitGrail’s bankruptcy continued.
As that is happening, BTC prices are still moving within a tight range but encouragingly, we have a series of higher highs after June 14 price explosion. Of course, bears are technically in charge but the reaction at the $6,000 round number might be an indication of a bottoming market and a likely shift of momentum from bearish to bullish. However, before initiating trades, waiting for buyers to lead the way and trigger our buys at $7,000 and even $7,800 would be a superior trade plan. Otherwise, if recent higher highs were short coverings, then sellers would be back in trend should we see break below $6,000.
Ethereum (ETH) Technical Analysis
Of course the big big news this week in the Ether camp was the SEC securities ruling.
At the recent Ethereum Core Dev Meeting #40, there were strong proposals to reschedule the release and consequent implementation of Sharding and Casper FFG. Both are development plans that once implemented would infinitely help scale the Ethereum network and drastically reduce the barrier to entry for network security. Casper is simply but a new proposal to shift away from the inefficient PoW to PoS first through a hybrid consensus with the idea to transition fully from PoW in long haul.
But, if released separately, it can be intrusive in some way since it’s a completely new layer and might have its own rules according to Vitalik. Sharding on the other hand aims at improving network TPS by splitting the network into what they call Data Shards which rely on each other for information flow but each shard store different block registries of the total network. This way, transactions won’t have to be registered by each node increasing throughput in the process.
Price wise, Ethereum buyers are rejecting lower lows as the chart shows. Overly, while prices are still trading within June 14 bullish engulfing and double bar reversal candlestick, note that buys are only valid if we see ETH prices pulling away from the $500 intra-range support and printing above $550.
Of course, traders can begin loading up at current prices especially if they take a look at the 4HR chart which is bullish despite yesterday’s lower lows. Should they buy at current prices, their tight stops at $450 or June 13 lows would do the job with targets at $650 and later $850.
EOS Technical Analysis
Block One and EOS plans to revolutionize the DApp world and to stay above competition, speed and network scalability is surely an edge. With ideas of Block Producers and complete decentralization, the community is positive that a “revolutionary” network they can truly own is finally here. However, after their recent voting, the crypto sphere is full of critics with several papers claiming that after all EOS is another “controlled” entity all thanks to block producers and the distribution if EOS coins.
Technically, EOS remains a buy at least for now and more so if there are gains above June 14 highs at $12. As we can note, June 14 is a temporary anchor candlestick across the board current price action are bounded by its high lows. So, like before our trade plan remains unchanged and buyers should wait for prices to move past $13 or sellers to drive below $9 if bear trend should continue.
Litecoin (LTC) Technical Analysis
Robinhood Co-Founder Baiju Bhatt has some pretty positive prediction about the future of cryptocurrencies. And while the Marshall Islands is the first sovereign nation to wholly adopt cryptocurrencies-Sovereign (SOV, will other major countries follow suit? Understandably, controlling currency is power and while it may be overly optimistic to even think that nations will cede that, Baiju thinks in the future it will be inevitable for nations to use cryptocurrency considering the way they are increasingly becoming mainstream. It’s not hard to see why. Already Russia had plans of creating their own Crypto-Rubble. In Japan, dealing with Litecoin and other cryptos is legal and normal.
On to the charts and LTC is back into a consolidation in lower time frames after failing to break above $110 on the upside. As visible from the daily chart, today’s prices are oscillating within June 14 bullish engulfing candlestick and going forward, it’s high low shall be immediate and minor resistance and support. As laid out before, our buy triggers is at $110 and for it to be valid, we must see volume surges supporting that up thrust. On the other side of the coin, sellers would be dominant and snapping back to trend once they break below $90 or June 13 lows.
IOTA (IOT) Technical Analysis
Following a meeting between the IOTA Foundation and Taiwanese Delegates in late April or there about, the Taiwanese government has decided to use IOTA’s Tangle in their drive to make Taipei a smart city. In this new arrangement, city residents will have a new secure digital ID as their initiate their drive of becoming the first of the kind blockchain run city in the world before Dubai takes that mantle. This is definitely good news for IOTA as it shows how their technology has real life and practical user case applications that are likely to be replicated around the world inevitable drawing value in the process.
As before, we reiterate that IOTA is a long term buy and this is the right time to accumulate the coin. For traders, we are net bullish at least in the short term and our projections would be valid once we see IOTA prices trending above this consolidation at $1.3. Any break below $1.1 invalidates this view.