The buying pressure is accelerating in the crypto market. The volatility has been increasing continuously since the bullish reversal in late July, after a quiet period at the beginning of this month, which worried crypto buyers that the bounce in July might merely have been a retrace before the bearish momentum of the last few months resumed again.
But that wasn’t the case. The bullish momentum has resumed, and cryptos have been marching higher non-stop. Litecoin has gained more than $80 since the reversal and it doesn’t look like it’s going to look down again, as buyers keep piling in after every pullback.
The 20 SMA (gray) was doing a great job providing support during retraces lower on the H4 chart during late July. In August, the 50 SMA (yellow) has been acting as the ultimate support indicator, with the 20 SMA providing support whenever the trend has picked up speed.
Pullbacks lower have been quite weak and short-lived, with buyers not waiting too long before jumping in after every retrace. Anyone who hesitated too long before buying LITECOIN lost the opportunity, as the bounces didn’t cause much delay and the bullish trend kept progressing.
Yesterday, we saw a pullback in the crypto market and we were watching Litecoin and Bitcoin to see if we could pull a trade on the long side. We refrained from opening a buy Litecoin signal at the 20 SMA which had been providing support during the previous few days, and were looking to buy LTC/USD at the 50 SMA. But, the reversal took place overnight, and it was too fast, so we lost the opportunity to go long on Litecoin. We’re still following Litecoin to see if we can get in on this trade, even now after the bounce, so you can follow us on our live forex signals to see when we open crypto trades.