Bitcoin Cash and Litecoin prices are rising today as the momentum in digital currencies continues. The BCH price is trading at $439, up by more than 5.58% in the past 24 hours and 5.5% in the past seven days. On the other hand, the LTC price is trading at $152, up by 3.2% in the past 24 hours. The two have a market cap of more than $8.15 billion and $10 billion, respectively.
What happened: In general, the price of major cryptocurrencies has rallied in the past 24 hours. Some, like Bitcoin and ETH have risen by more than 7%, bringing the total market cap of these currencies to more than $1 trillion. The current rally is probably from the stock market, where traders made billions of dollars last week betting on key hated stocks like GameStop and AMC. The meme-stocks have fallen this week as investors rush to take profits.
The currencies are also rising as the DeFi boom continues. As I wrote earlier today, the total value locked in the DeFi ecosystem has risen to more than $30 billion. Also, technically, the currencies are rising after being in consolidation mode in the past few weeks. As I noted yesterday, part of the reason why Ethereum price has jumped recently is because of the cup and shoulders pattern formation.
On the four-hour chart, we see that the BCH price dropped to $369 on January 27. Since then, it has been in an uptrend, and this week, it managed to move above the 25-day exponential moving average and the Ichimoku cloud.
It has also cruised above the 61.8% Fibonacci retracement level and is now eying the 50% retracement at $$454. If it moves above this price, the next level to watch will be the resistance at $465. In my view, the uptrend will remain so long as the price is above the Ichimoku cloud.
On the four-hour chart, the Litecoin price found substantial support between the $125 and $120 levels in the past few weeks. This week, the price managed to move above the important resistance at $145 and $148 and is now trading at $150. The price is also above the 50-day moving average.
Therefore, I expect the price to experience some resistance at the current price of $150 before rising to the next resistance at $166. The invalidation for this thesis will be if the price moves below $140.
