Here Is How Litecoins Wedge-Formation Can Finally Confirm!

Hello Traders Investors And Community,

Welcome to this analysis where we are looking at Litecoins 4-hour timeframe perspective, the recent events, the current formational structure, what can be expected the next times and how to possibly handle the upcoming situations. As already mentioned previously Litecoin is one of the more bullish coins at the moment as it has shown great upside volatility and also formed two important formations of which one, the head-and-shoulder-formation already confirmed, secondly, it is the broadening-wedge which has potential to show up with the proper outcomes when the formations also confirm, the established bullishness here should definitely be distinguished to other coins at the moment as not every coin is showing such formations with a bullish edge as the cryptocurrency market divergences increasing we it is necessary to assess the coins individually in the particular structures.

When looking at my chart you can watch there that Litecoin has recently marked above the upper boundary of its formed broadening wedge where it already tested the resistance lying there, besides that the supply entered within this level and firstly marked with the pullback, this is extremely important here as Litecoin will continue till there is significant support found which can reverse the situation and confirm the broadening wedge rightly, this is likely to happen within the dynamic-support-zone marked in my chart with the blue area where several dynamic-supports coming together consisting of the upper boundary in blue, the 25-EMA in grey and also horizontal support lying there, overall making it a good zone for the proper bounce and confirmation of the whole broadening wedge as already suggested.

Considering a bullish stabilization and confirmation with the proper breakout ahead it is of high importance that Litecoin holds the dynamic-support-zone otherwise when this does not happen and Litecoin falls below it this will increase the bearish pressure till at least the 100-EMA in red from then on it has to be elevated if Litecoin continues bearish or not however this is not the most likely outcome at the moment, the more likely one with a bounce in the dynamic-support-zone will show up with the final breakout when Litecoin manages to move above the upper resistance and form the final validation, only this can provide the proper expectations of continuations ahead, till then it is important for Litecoin that it forms the necessary stabilization in the zone.

In this manner, thank you everybody for watching, have a good day as well as good trading, all the best!
“Astonishments tend to happen outside the usual experiences.”

Information provided is only educational and should not be used to take action in the market.