Hi friends! Welcome to this update analysis on Litecoin! Let's get right to it! Looking at the daily LTC chart, you can see that Litecoin is finally starting to break out above the 50 EMA (in orange!) The current candle is shooting well above the 50 EMA, and on higher than average volume. You can see that during the majority of the bear market, the 50 EMA has acted as major resistance for LTC (pink lightning bolts.) In fact, almost every single time Litecoin has come in contact with the 50, it has failed, or failed shortly above it. So, if we can hold support on the 50 EMA, that would be a major turning point in the market. It would undeniably signal that something different is happening, especially if we see sustained support above the 50.
However, before we get too excited, we can see that price is currently testing falling overhead resistance (blue trendline.) So, we will have to contend with that in the near future, but I want to point out something even more interesting. If you'll notice, LTC appears to be completing the right shoulder of the inverted head and shoulders pattern, ahead of any similar movements in BTC. So, perhaps LTC is leading the market right now, which it has done in the past. I can recall several occasions when LTC moved hours or even a day or so before BTC and others. So, I would be on the lookout for similar movements in BTC and the rest of the crypto space.
With that said, LTC needs to hold support above the 50 EMA, and break out above the downtrend resistance in blue. That would open up the possibility of a powerful advancement toward the 47.20-49.14 level. On the MACD, we can see that it is now beginning to expand to the upside, as it crosses above the zero line, which is a technical buy signal. However, a breakout above the falling blue trendline resistance would be needed to justify any further accumulation here.
I'm the master of the charts, the professor, the legend, the king, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-JD-
However, before we get too excited, we can see that price is currently testing falling overhead resistance (blue trendline.) So, we will have to contend with that in the near future, but I want to point out something even more interesting. If you'll notice, LTC appears to be completing the right shoulder of the inverted head and shoulders pattern, ahead of any similar movements in BTC. So, perhaps LTC is leading the market right now, which it has done in the past. I can recall several occasions when LTC moved hours or even a day or so before BTC and others. So, I would be on the lookout for similar movements in BTC and the rest of the crypto space.
With that said, LTC needs to hold support above the 50 EMA, and break out above the downtrend resistance in blue. That would open up the possibility of a powerful advancement toward the 47.20-49.14 level. On the MACD, we can see that it is now beginning to expand to the upside, as it crosses above the zero line, which is a technical buy signal. However, a breakout above the falling blue trendline resistance would be needed to justify any further accumulation here.
I'm the master of the charts, the professor, the legend, the king, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-JD-