It has been an exciting few days in crypto-land. Litecoin has gained 70 percent this week alone and Namecoin is nearing the 50 cents mark. Peercoin is also rallying and is up 10 cents or 31 percent this week.
Litecoin Doubles Since Start of Rally
Litecoin has doubled since the start of its rally back on May 22nd. As can be seen on the chart below, the initial surge led us to $1.93. From here LTC/USD fell back to retest the breakout point at $1.60, only to get quickly repelled. In the next two weeks Litecoin slowly climbed back to the $2 dollar mark. But it was only after prices decisively broke above the $2.05 high that the massive rally higher went underway.
It only took LTC 24 hours to surge from $2.05 to $3.16. In the following 8 hours a new high at $3.1799 was reached. This remains to be the peak of the move higher. But what’s next for Litecoin?
The gains have been massive so far and a sharp retracement to the downside can not be excluded. Note that this is only a word of caution to the bulls and shouldn’t be taken as a call to short LTC. When trends begin you can never predict when and where they will end.
On the upside, resistance can be found at yesterday’s high near $3.18. This is followed by the former triple bottom at $3.40. Support becomes resistance and this area may put a lid on prices, at least in the short-term. Higher up, the round $3.50 mark may also act as resistance although its relevance is not as high as $3.40. To end the current rally, the bears will need to push prices below $1.80.
Namecoin Nears 50 Cents
Namecoin joined in the rally party with a 45 percent move of its own. The cryptocurrency gained from $0.33 to a high of $0.49 this week alone. We are currently trading at $0.481, just 4 percent away from the important half-parity level at $0.50.
The rally started with a break of 37 cents. The bears will need to push NMC below 30 cents to end the current rally. Support higher up can be found at the former resistance levels of $0.371 and $0.40, followed by the April 16th high at $0.461. Above current prices, the first major resistance is at 50 cents, followed by the February high at $0.55. Higher still, the January 26th spike high at $0.653 may also act as resistance to climbing prices.