PoopTrader
Short

LTC likely Topped, Here's Why

BITFINEX:LTCBTC   Litecoin / Bitcoin
Hi friends! Welcome to Litecoin Chart Analysis.

We've seen $LTC led the market to a 13 week long rally which resulted to subsequent altcoin rallies, most notable among them were $DLT and $ENJ. I'm still bullish on $LTC considering that a significant reduction of supply through reward halvening will occur in next few months but I believe it needs to undergo price correction before resuming the current trend. The 5 waves we had seen on $LTC during its rally are mere intermediate waves of a larger 5 wave bullish cycle for $LTC, which means we have concluded wave 1 and about to start the corrective wave 2.

The bearish analysis is supported by the following observations on $LTC price moves we saw in the 1D chart:

1) We started to see a volume decrease on subsequent rallies after February 8 bullish candle.

2) A failure swing high showed up on the 1D chart. The price made a higher high but failed in the RSI .

3) We are seeing several high-volume (large effort) but narrow-range price bars after a 13 week-long substantial rally, with the price failing to make a new high (little or no result), which suggests that big interests are unloading shares in anticipation of a change in trend.

I drew two blue lines in the chart which are trendlines that we think will likely act as a support. I'm expecting price bounce will happen at these areas but it will eventually fail as a support.

Downside targets are on fib levels with confluence to horizontal support lines. I will be expecting a bounce on one of these fib levels as well. I will be updating the chart as price action approaches at these levels. The most likely bounce area is the .786 fib level IMO . That's it friends.

Share you thoughts with me in the comment section. Thanks

This is just a guide, not a trading advise.

Hit like and follow for more chart updates!

Thanks

-Your Poop Trader
Comment: The first trouble area for this analysis is the first blue line, it will likely bounce at that area. IF it bounce hard from there, a bearish pattern will form which is falling wedge.
Comment: *rising wedge
Comment: $LTC forms a horn top. Horn tops are rare pattern, and has a low failure rate with a decent decline. After the downward price trend ends, the rebound is unexciting which has a 47% recovery rate.
Comment: Update on 2 Horn Tops Pattern, almost complete.
Comment: $LTC price breaks below support. If it closes below, Double Horn is confirmed. Halving of price initiated.
Comment: Interesting break below the support and a short squeeze. low volume.
How you feelin about this?
Reply
its a no brainer this marketplace is going to 120B total
Reply
ltc doesn't wanna correct any time soon
Reply
PoopTrader Recluse82
@Recluse82, We shall see soon.
+1 Reply
got stopped out at entry, is this move a short squeeze or a rally continuation? If we consider a change in the whole crypto market structure, then longing pullbacks seems less risky than selling rallies...
Reply
Yes but look at this and tell me what you think....
Reply