What Litecoin Needs To Show Taking Breakout In Consideration!

Hi my friends,

Welcome to this analysis where we are looking at the Litecoin 4-hour timeframe perspective, the recent events, the current formational structure, and what we can expect in the upcoming times. Litecoin is still trading within its major ascending-channel-formation marked in blue, such channels either show a breakout to the up or downside, to the upside when the trend gets faster and breaks out, and to the downside when bearishness increases and bears are able to push below the lower boundary, currently, an upside breakout can be taken into consideration more than the bearish case there are however some important price-action necessary to develop in the structure that this breakout can really take place, therefore I detected all the important levels and possible outcomes we should consider within Litecoins current structure.

Strucutral Development:
Looking at my chart you can watch this rising wedge marked with the grey uptrend-line which is forming within the ascending-channel-formation blue, this wedge remains serious resistance higher in the structure between the 50.9 and 51.25 level marked in red in my chart, furthermore, Litecoin is forming this coherent wave-count which is ending up directly within this resistance above and also matching with the upper boundary resistance, overall making this zone highly possible to be the origin of a pullback to the downside. Lower in the structure Litecoin has the important support which is crucial to hold here consisting of the middle-line of the channel and also of the 300-EMA in red, as it is marked in my chart with the orange box this level is important to hold and the possibility for a bounce is given.

Outlook:
The next times we can expect Litecoin to form this pullback confirming the rising wedge forming to the downside which will show up Litecoin testing the remaining supports in the structure when Litecoin succeeds there and manages to form a bounce in the structure as expected this can be the origin for a breakout above the resistance when the trend is strong enough this can lead also to a breakout above the upper boundary, in this case, it is inevitable that Litecoin really bounces in this structure and does not fall below it because this will increase the bearish pressure to the downside and Litecoin firstly will visit the lower boundary of the major ascending-channel-formation which is then the last reference for a bullish continuation because the channel will confirm below as a bear flag and heavy bearishness will take place.

In this manner, thank you for watching, good day my friends, and support for more market insight.
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Information provided is only educational and should not be used to take action in the markets.