LTC held firm as the rest of the market endured a tumultuous start to the week, continuing a steady uptrend while BTC and most alts rode a 48-hour roller coaster that has seen most of them end where they were on Monday morning. This leaves the market scratching its head as to where it goes next, with bullish sentiment suddenly sweeping back into the market.
Litecoin’s Halving Takes Control
LTC’s steady rise has been fueled by its halving which takes place in early August, a catalyst that has seen it outpace BTC by some margin in the past three weeks. Despite the parabolic rise that has seen it shoot from $87 to $137 in that time, the overall sentiment is that is still has room to grow. With some seven weeks to go until the halving itself we could well see more green, although it’s important to remember that people often sell the news early, meaning that it would be wise to get out of any trade around early July at the latest.
Bitcoin Halts the Drop
BTC’s violent reaction to touching $7,600 on Monday was a pleasant surprise, bouncing up $300 to the $7,900 area where it has experienced some sharp green and red candles that have nevertheless left it in this region. This has reignited talk of a potential for a push past $8,200 and another attempt at $10,000, maintaining the bullish momentum that was looking shaky after two large drops last week took it from $8,800 to $7,500. Its refusal to go below the $7,600 resistance however has put the bull back in the field and caused bears to wait in their caves for a little while longer.
Alts Washed Around in Bitcoin’s Wake
Alts have generally been pushed around by Bitcoin’s price action, barring a couple of winners and losers – XZC has seen a 50% rise in the past two days, seemingly based on nothing but technical price action, while AOA dropped 25% following a recent jump. This isn’t a surprise however when you look at AOA’s somewhat suspect chart:
$10,000 Back on the Cards?
So what can we expect for the rest of the week? That all depends on BTC. It does seem that the sentiment has shifted a little bit towards the more positive side, but sentiment is nothing without volume. If the bullish momentum is not backed up with price action by Friday we could well see the move fizzle out and another test of $7,600 and below. A push over $8,200 would be welcome, but of more importance would be where we settle should that happen, with that figure acting as ideal support if $10,000 really is to be reached this month.
