What a surprise! LTC bounced hard after I sold it. But will this rally sustain? Let's see what happened:
What have a double-top over the last month. The neckline was at around 192, and the target would be 140.
We had a downtrend this week & ltc never broke above it.
We dropped below 200MA on 4h & 100MA on daily.
Crash volume was picking up.
For no obvious reason, we bounced at .618 retracement level. However, right now we're seeing what might be a bearish divergence in volume.
The MACD level is pretty low & has just had a bull cross.
I would be lying if I say I know what's going to happen & my initial assessment 16 hours earlier was bearish.
I still think LTC will fail the neckline & the target of 140 will be reached.
The reason is that a bounce this fast without much volume support & no change in fundamentals is not built on solid foundations. Moreover, BTC still is in its downward channel & broke the long-term support. BTC dipped 3(or was it 5)00 points below the 200D MA & only bounced later.
I think this is a short-term move due to LTC being the only one in the green among major cryptos. People FOMO even in this.
I would have agreed with you if we didnt get above that bear penant that formed yesterday with resistance that formed at 184 and change... all of the sell orders that were in at the 200 level have now burned off. My guess is we dont see any hold ups until 203 and 213 levels... at that point we will see it either top out or head for 252-256. Look at the fibs on the short term and long term charts and this bounce really lines up well with higher price action. I have been a bear on this for the last 10 days. See my charts and you will see. I am looking for upside now.