Litecoin (LTCUSD) has been greatly overperforming against Bitcoin (BTCUSD) since June 13 and last week even broke above the Lower Highs trend-line that has been holding since the April 2019 Highs. This rally is coming after the completion of a technical Cup and Handle (C&H) pattern, after breaking above the 1D MA50 (blue trend-line) and having the 1D MA200...
Much like we discussed with XRP, Litecoin is also a sleeping giant that is about to awaken as alt season rages on. Litecoin has been forming this falling wedge for over 2 years and has reached a technical level that has served as support in the past. This is a good entry point before we see a potential breakout, and sure towards resistance levels...
This one is a long term trade for the swing traders. LTCBTC is bullish base on my analysis, i mean anyone can just buy this and leave for the long run.
I've published the very same pattern back in December 2018 when the previous Bear Market was at its lows and while everyone was panicking, called for a potential Bottom on Bitcoin and a Bull Run to follow. Why? Simply because of the Litecoin break-out relative to BTC. As you see on this very simple chart, every time the LTCBTC pair breaks its Lower Highs...
Nothing fancy here just a simple comparison of the recent price action with June 2016, when LTCBTC also nose dived after a failed Golden Cross on the 1D chart. The result then was a nearly -70% drop. If the pattern is repeated then the price can decline as low as 0.0025.
Pattern: Channel Down on 1D. Signal: Bullish as the Channel Down broke to the upside and the price crossed the 1D MA50 by a wide margin similar to December 2018. Target: 0.01400 (0.786 Fibonacci retracement on the wide 1M Lower High trend line).