The timing of the anticipated third pump was near perfect, but the result was not as expected. This short rise was a reflection of the pent-up buying sentiment that had been trapped by the wall @24. However, it was not combined with a concerted pump - thus it ran out of steam quickly as there was no buy volume to match the previous pumps.
This result indicates that the strategy behind the last serious ask wall was not to cause another price spike, but to allow the sale of LTC over many days at that price point, then intentionally not joining the rally that followed, but allowing it to sputter. This is a bearish strategy on the part of the wall defenders, as they have successfully sold a lot of LTC before an upcoming long descent below the support levels gained throughout the past two week's rally.
Such a strategy would also explain the extremely periodic pump and consolidate periods that preceded this moment, as they did a great job of creating an expectation in the market of repeated gains after the last strong ask wall. And of course, nothing is more predictable than whales appearing to be predictable right up until they aren't...
Comments
ronfkingswanson
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There is plenty of BTC sentiment that believes there's still room left at the top of all these rising wedges. There could be. But LTC failed so spectacularly to get above the previous pump high -- despite BTC rising strongly in the past 24 hours -- that I see this as the greatest indicator of imminent decline. LTC stagnated badly right when it should have, by previous patterns and the pressure cooker of that last wall, rocketed with strong buy volume. And this aborted rally was also not due to more ask wall pressure - there wasn't even strong selling resistance, just a staggering lack of bid pressure.
B10ckLanders
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nice work ron, thanks! backed up by charts not feelings
flibbr
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I think this pump died quick because the noob money which recently entered the market is realising, 'Why is LTC going up ? What news in the LTC sphere ?' ~ which is; nothing.
I feel as people begin to realise more and more, that LTC has no reason to live... it will continue to die off (LTC/BTC ratio), stagnating, back down to $9 (china also over).. until the next BTC craze wave when loads of newb money re-flows back into alts people hoping for the poor mans btc to carry them to heaven. . .
Just my theory based on repeating previous cycles.
ChsaDos
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"LTC has no reason to live" <---- I give you all the internet points for that phrase right there. Dead on.
B10ckLanders
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would love to see some TA supporting this!
flibbr
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Tradingview data does not go back far enough.. only goes back to October.. when you need to go back to January at least to explain it.
B10ckLanders
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fair enough.. ;)
just wanted to point out, i "feel" a lot of things... market says no!
flibbr
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Start feeling LTC going back to single digits.. and LTC/BTC going through the floor. . Then market will start saying yes.