Summary:
- The best known cryptocurrencies gained much less compared to their little known peers
- Bitcoin keeps trading within fairly a narrow range, more livelier moves unexpected right now
- Litecoin seems to be well positioned to see a bigger bounce in the near-term
Speaking about cryptocurrencies almost everybody means those the best known such as Bitcoin, Ethereum, Litecoin or Ripple, but missing out others could backfire. That kind of conclusions one may draw from the past month performance of the whole cryptocurrency spectrum.
The best known virtual currencies managed to hammer out the least gains over the past month. Source: Bloomberg
Based on Coinmarketcap.com calculations the most common digital currencies were able to make the least gains over the past 30 days. Their outcome proved to be incomparably less impressive when we weigh them against some much less popular virtual coins. Among them one may single out EOS making a stunning 200% rate of return during the past month, Cardano (ADA) gaining almost 120% over the same period or TRON (TRX) surging clearly above 100% as well. Focusing on the top 5 coins just Bitcoin Cash could be familiar to no cryptocurrency freaks. As for yesterday the entire cryptocurrency market is worth as much as $430 billion, 75% above its April’s low but well below its record peak reached in January.
Bitcoin remains trapped within quite a narrow consolidation. Therefore until either a support or a resistance is broken down any price swings should be contained. Source: xStation5
Although Bitcoin does not seem to offer any worth considering trade opportunities those can be quite easily found on Litecoin as the cryptocurrency has come back its 50DMA recently. Looking at the chart we can remind ourselves of the old trading rule claiming that a broken resistance becomes a support and the other way around. That said, one do notice that Litecoin got back above its 50DMA a few weeks ago, and then it tested this line twice. The price has been moving within a short-term bullish trend since then highlighted by the blue trend line. To sum up, the state of play might incentivize crypto traders to consider going long on Litecoin with a favourable risk/reward ratio.
Litecoin might catch a bid in the near-term as the price has already approached the crucial support line. Source: xStation5