All major cryptocurrencies have collapsed this Thursday and the ongoing sell-off is still not over. The price of Ethereum, Litecoin and Ripple is also pressured by this situation and more than $25 billion were wiped out from the market in less than 24 hours.
Despite this negative news, it is important to mention that Russian Prime Minister Mikhail Mishustin said this week that the country will recognize cryptocurrencies as property, enabling their owners to protect their interests in court.
Are you looking for fast-news, hot-tips and market analysis?
Sign-up for the Invezz newsletter, today.
Ethereum (ETH) weakened below $500 level
Ethereum (ETH) is trading currently below the $500 level and this could be the indication that the price could weaken even more. The price of this cryptocurrency has lost over 12% this Thursday but it is still in a green zone on a week-to-week basis.
Traders should have in mind that the price could weaken even more by the end of this trading week and there are some obvious risks when it comes to trading Ethereum (ETH) currently.
The current support levels are $440 and $400, $560 and $600 represent the resistance levels. As long the price is above the $400 support level this cryptocurrency remains in the “buy” zone and there is no indication of the trend reversal in my opinion.
If the price breaks this support level it would be a very strong “sell” signal and maybe the indication that Ethereum is entering again into a “bear” market. On the other side, if the price jumps above $560 that could be a very good opportunity for the short-term traders and the next target could be around $600.
Litecoin (LTC) price is still above $60 support
Litecoin (LTC) has lost over 17% this Thursday but the price is still trading above $60 which represents a very strong support level. Litecoin remains in a bull market for now but traders should use “stop-loss” and “take profit” orders when they are opening their positions because the risk is very high currently.
The important support levels are $60 and $50, $75, $80 and $85 represent the resistance levels. If the price jumps once again above $75 it would be a signal to buy Litecoin (LTC) and we have the open way to $80 but if the price falls below $60 it would be a strong “sell” signal.
Ripple (XRP) price is in a buy zone
The price of Ripple (XRP) has advanced from $0.27 above $0.75 in less than five days and the current price stands around $0.53. According to the rules of technical analysis, the main trend of this cryptocurrency still remains “bullish“.
It’s not unusual to see considerable corrections in the market after massive rallies like the Ripple has experienced in the last several days.
The current resistance levels are $0.60 and $0.65, $0.50, $0.45 and $0.40 represent the important support levels. If the price jumps again above $0.60 it would be a signal to buy Ripple (XRP) and a very good opportunity for the short term traders.
On the other side, if the price falls below $0.40 support it would be a strong “sell” signal and we have the open way to $0.30.
Summary
All major cryptocurrencies have collapsed this Thursday and some analysts say that the correction is still not over. The cryptocurrency market has lost billions of dollars in only several hours and traders should have in mind that the crypto market could weaken even more by the end of this trading week. Despite this, Ethereum, Litecoin and Ripple still remain in a bull market and it’s not unusual to see considerable corrections in the market after massive rallies.
