BTC pulled back from the $3711 level down to $3539. They then formed a lower high at $3667, another higher low at $3541 (essentially a ), another lower high at $3657 (essentially a ) and are now in process of pulling back again and seeking another higher low compared to $3541. As these higher lows and lower highs tighten, it does not give much wiggle room for price action and the tighter the pattern can get, the more likely scenario for a strong break when either the lower highs or highs lows break.
I personally did scale into a position on LTC on the pullback a couple days ago and now have my stop loss set using its most recent low so gives me less than a 1% risk from my fill position. I usually don't play fills in this manner but it was a relatively small position and happened to be at computer when some type of negative news on ETH came out and was watching a fairly quick run across ETH, BTC and LTC so opted to go ahead and fill some for LTC.
Ideally I want to see BTC break its equilibrium and thus allow LTC to hopefully run up a stronger % than BTC sees. Equilibrium patterns like this for BTC are 50/50 patterns and for bulls if they break above the most recent lower high, we want to see market buys and stop buy orders filling which provides the and gets bulls piling in to give one of the strong pushes upward. Those playing seek the opposite with the higher lows failing and triggering stop losses or market sell orders to dump the price down quickly. Hoping to see a break today or tomorrow on BTC to give the market a direction for the next few days. If we see a bull break, will need to see that continuation and get the higher lows and higher highs pattern re-established. If BTC sees a bear break, I'll be extremely patient and waiting to see if the bulls can continue to defend our lows in that $3100-3200 range.
Just My 2 Sats!