When looking at my chart you can see that Litecoin held a major uptrend-channel with its belonging up-trend, there were however several signs that the reversal was possible as I already mentioned in the previous analysis. Litecoin where one cryptocurrency with a relatively weak uptrend compared to bitcoin and ethereum and therefore it was in the possible spectrum that we got the move to the downside we faced now. As you can see also in the chart Litecoin traded in a fake or false bull-flag, this is a formation which is suspected to be a breakout pattern but actually breaks to the downside, there is however not a big percentage of probability that it turns out to be a fake one but in this current case, it happened.
In the next hours and days, we can anticipate that litecoin will test its remaining higher levels in the structure as the market is slightly oversold in the short-term basis and probably confirming the fake bull-flag you can see in the chart. Presently we can contemplate that litecoin has overall more potential to the downside as we saw these important move indicating the further continuation. The fact that we had this major high and is more than and it was not seen in the overall weak uptrend before. Therefore the likelihood is high that we will continue after litecoin tested the higher resistance areas.
The situation right now is a situation where litecoin has a high possibility to form the setup for the next leg down, this is currently the most likely scenario and has to keep in mind but that does not mean litecoin will continue till it gets to zero like many people predicting now and that the phase is over there are still some support levels at the way and therefore we will see if we can stabilize there and how the further possibilities will play out. Many people calling for the complete bottom now, this is a mere speculative tendency and we should keep a cool and rational head to assess the market as best, therefore, we need to see if the signals increase or if we can stabilize on the way down and don't fall for the mere speculative tendency we see so many times these days.
Thanks for watching, support for more market insight and all the best!
The market-conditions are often the real source of truth.
In this manner: FAREWELL
Information provided is only educational and should not be used to take action in the markets.