LTC and ATOM: Altcoin Analysis for January 19, 2024
While Bitcoin experienced a dip to $40,700 yesterday, it maintains an upward global trend. This report offers an in-depth review of the market situation for the altcoins Litecoin (LTC) and Cosmos Hub (ATOM) as of Friday, January 19.
Litecoin (LTC)
Litecoin has been struggling to recover since the post-halving slump in August 2023. It is currently exhibiting a local downtrend, making it one of the few altcoins that hasn't significantly rallied alongside Bitcoin's rise.
Presently, LTC is oscillating between a support zone of $64.2β$66.8 and a resistance level of $71.5. If the buying momentum strengthens soon, LTC might target the seller's zone around $75.1β$77.7. Should this growth pace accelerate, LTC could also challenge the resistance area between $81.0β$85.5, though this seems less probable at the moment.
Litecoin's trajectory is likely to mirror any corrective movements in Bitcoin's chart, with subsequent support levels expected at $61.0 and $57.5.
LTC chart on the H4 timeframe
Cosmos Hub (ATOM)
Following its annual peak at $12.6, ATOM experienced a 22% pullback. Currently, ATOM is holding steady, but it's important to consider its high correlation with Bitcoin, especially on larger timeframes.
ATOM is currently positioned within a support range of $9.30-$9.63. If this zone holds strong, the asset could resume its upward movement. Under this scenario, ATOM could aim for the $10.25 level, followed by resistance tests at $10.8β$11.3 and $11.6β$12.2.
Should a deeper correction occur, Cosmos Hub might retreat to support levels at $8.88 and $8.20β$8.55.
ATOM chart on the H4 timeframe
The cryptocurrency market usually exhibits minimal volatility over weekends, and similar trends are expected for digital assets in the upcoming days.
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Disclaimer
Please note that the analysis provided above should not be considered a trading recommendation. Before opening any deals, we strongly advise conducting your own research and analysis.
Abbreviations
TF (Timeframe) β a chronological period equal to the time it takes to form one Japanese candle on the chart.
Horizontal channel (flat, sideways, range) β the price movement between support and resistance levels, without going beyond the given range.
Π β simplified designation of one thousand dollars of the asset price (for example, 23.4K β $23,400).
Gray range on the chart β a support zone.
Red range on the chart β a resistance zone.
Correlation β the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.
Initial materials
This analysis was informed by the following educational materials and articles from GN Crypto:
