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
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.
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