Litecoin (LTC) Forms Symmetrical Triangle, Will Bulls Breakthrough?

Litecoin (LTC) price has been a laggard over the last month as it has still failed to regain the consolidation zone of late May / early June. LTC has revived nearly 22% of its entire downtrend from its high of $415 in May. Considering the total crypto market cap has revived nearly 65% of its entire downtrend, we can say LTC is severely lacking behind.

Many are asking why this is happening but we can assume it’s likely because of the lack of developments & hype surrounding the LTC blockchain. If BTC breaks to the upside over the next week, we should expect LTC to show some movement as well.

Ever since the 10th of August, LTC price has been holding above its major support zone of $161-$166. Over the last few weeks, price has been consolidating as it attempts to break above its major resistance zone. This price action has formed a symmetrical triangle pattern which says a breakout will occur within the next 4 days.

The bottom trend of this pattern has held price for many weeks & it must continue to or else LTC is in for a fall. LTC must break & hold the major resistance of $172 to be in position for a bullish run.

LTC Price Analysis: LTC/USDT 4 Hour Chart

As LTC price nears the end of its pattern, traders must wait patiently for a breakout of either trend to occur. If LTC manages to break above its top trend line, the true test for bulls lies at the major resistance zone from $181-$188. If bulls manage to clear this mark, LTC price will be on its way above $200. In the case LTC breaks to the downside of its pattern, the first support will be found at $161. Before price can touch this mark, bears must pull LTC below the 200MA which has held as support for over a month. If both of these marks break down, we should expect a fall to $155 at minimum.

While looking at the Stochastic RSI, we can see strength is attempting to reach the overbought territory. As long as strength continues above the 50 value, we should expect LTC price to break to the upside of its pattern.
While looking at the MACD, we can see the MAs have been in a downtrend for many weeks now. A trend line is shown & that is the mark the MAs need to break over to confirm a bullish upswing is in place.

LTC Intraday Analysis

Spot rate: $173
Trend: Neutral
Volatility: High
Support: $166
Resistance: $175

Disclaimer

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

About Author

Domenic

Domenic Fiore has a love for the financial markets. He decided to skip the college route to pursue entrepreneurship. He saw the vision to become an entrepreneur and wanted to achieve success from a young age. Domenic owned & operated a car detailing business since the age of 16, along with being a part of two CBD businesses through 2018 & 2019. He started his investment and trading career early trading in 2017 when he bought a newly released cryptocurrency alt-coin and saw 10x return in a few months. He then realized there was much potential and dove head first into learning everything he could. He became very passionate about technical analysis and knew it was his route to financial freedom. Over the last 4 years, Domenic has shared his analysis with many groups and received amazing feedback. Shortly after he wanted to help assist in the pursuit of spreading and helping others achieve success in the trading industry.

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