The views and opinions expressed here are solely those of authors/contributors and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
* BTC/USD, ETH/USD and LTC/USD market data is provided by the HitBTC exchange.
Mike Novogratz, the ex-macro manager at Fortress Investment Group believes there is a huge opportunity in cryptocurrencies. He reportedly plans to launch a $500 mln hedge fund, investing $150 mln of his own money into the fund, which is likely to start by the end of this year.
He said that he sold his Bitcoins around $4,980 and again bought closer to $3,000 levels. But, what should we do? Let’s see.
BTC/USD
After breaking out of the downtrend line, Bitcoin consolidated in a small range Sept. 26. However, today, Sept. 27, it has resumed its upmove. $4,113.15 is the final resistance, above which, the digital currency will resume a new uptrend, which can carry it to $4,680 levels. There is a small resistance at $4,380; however, we expect it to be crossed easily.
The downtrend line should offer support on any fall. Therefore, once Bitcoin breaks out of $4,120, stops can be raised to $3,750. Traders should use less than 50 percent of their usual position size.
We expect bears to offer a stiff resistance at higher levels.
ETH/USD
Ethereum continues to trade within the ascending triangle, which will complete on a breakout of $311. This bullish setup has a target objective of $420.
Within the triangle, the cryptocurrency is likely to be volatile. Therefore, we recommend a long position only on a breakout and close above $312. The SL can be kept just below the uptrend line at $260. Though the pattern target is $420, Ethereum may face selling pressure at $344.
Therefore, traders should tighten their stop loss if the digital currency struggles to breakout of $344.
BCH/USD
Bitcoin Cash is not showing any trend. It is likely to be range-bound between $385 and $549. It will become bullish only when it sustains above the $549 levels. Therefore, we prefer to trade other cryptocurrencies, which are forming a bullish setup.
A fall and close below $385 can sink Bitcoin Cash to $300 levels.
XRP/USD
Ripple has broken out of the overhead resistance of $0.19537.
However, this is a high-risk trade because Ripple is not in an uptrend. It is forming a large bearish descending triangle pattern. Therefore, please keep the position size 50 percent of normal.
LTC/USD
After the sharp fall, Litecoin has become range bound between $44 and $57.729. If the digital currency breaks out of this range, it will start a new uptrend, which has a minimum pattern target of $72.
However, if the cryptocurrency fails to breakout of $58, it is likely to remain volatile within the range. Therefore, please buy only on a breakout.