Litecoin: Rocketship to $2,000?
Hello dear crypto friends! This is crucial:
Litecoin is currently in the process of breaking the huge Weekly S&R zone, which reaches from psychological $100 to $130.
The importance of the S&R Zone can be seen holding up in April 2018 with a Morning Star reversal pattern, and also in May 2018 with a Spinning Top, before we finally broke that zone to the downside. Now on the way up, we have halted at the same region with a Spinning Top and Doji, underlining the importance of the break.
Zooming into the 4H, we can clearly see the nice inverse Head & Shoulders pattern that had shaped up, which usually occurs on downtrends, but nonetheless the psychology is the same: We're getting a lower Low and lower High, continued by another lower Low, and then basically not managing to see follow-through on the bearish side, with making a higher Low, and coming to the same previous lower High yet again. The pattern get's confirmed with the break of that 'Neckline'. => Kudos for my mentee Murat for seeing this in the current case, credit goes to him.
The bulls are now obviously overbought on the Weekly and they have to make $120 to their support: Any break underneath this range would be a red flag. On the Daily there is still some room left.
What is the potential for LTC in the medium to long-term?
As the Halving is coming up for LTC, we have many times also in the past seen the price react to this hugely. The last time since the Halving, we went up 10.000% . Those times & gains are over, since the market cap is much bigger now. But we could still see a nice 1,500% move up towards $2,000, and, just it was in previous times, see another big correction towards the $400 range.
What I also personally like with LTC, apart from the upcoming Halving is that Charlie Lee is supporting Andrew Yang in the Democratic presidential campaign, who is a very big crypto advocate.
What is the potential for LTC in the short to medium-term?
On the Weekly chart we can clearly see that the next big resistance zones are coming in at $180 and $220 respectively: 30% up to 70% profits, until the bears would clearly show some reaction here.
What is the correlation to grandpa BTC?
We've upheld crucial previous support at 0.011, and are now on our way to a potential Cup & Handle at 0.018. A break above this range could lead to previous Weekly highs at 0.023.
So Litecoin can be breaking the current correlation because of the Halving process, but eventually grandpa BTC is still the sector leader, and will dominate the future of crypto. We can expect the ratio to stay stable.
If you had some value from my analysis, give it a thumbs-up & comment it, because the mechanism shows my analysis to other people then. Make also sure to follow me so you get notified on my Crypto Analyses! I wish you a good trading! :)
Edgy is providing online education & tools only. We are not a financial advisor, nor do we hold any formal qualifications in this area. You're trading at your own risk. No matter what you do, please set your stop loss. Please be aware, that you can lose all your money on the online exchanges.
Litecoin is currently in the process of breaking the huge Weekly S&R zone, which reaches from psychological $100 to $130.
The importance of the S&R Zone can be seen holding up in April 2018 with a Morning Star reversal pattern, and also in May 2018 with a Spinning Top, before we finally broke that zone to the downside. Now on the way up, we have halted at the same region with a Spinning Top and Doji, underlining the importance of the break.
Zooming into the 4H, we can clearly see the nice inverse Head & Shoulders pattern that had shaped up, which usually occurs on downtrends, but nonetheless the psychology is the same: We're getting a lower Low and lower High, continued by another lower Low, and then basically not managing to see follow-through on the bearish side, with making a higher Low, and coming to the same previous lower High yet again. The pattern get's confirmed with the break of that 'Neckline'. => Kudos for my mentee Murat for seeing this in the current case, credit goes to him.
The bulls are now obviously overbought on the Weekly and they have to make $120 to their support: Any break underneath this range would be a red flag. On the Daily there is still some room left.
What is the potential for LTC in the medium to long-term?
As the Halving is coming up for LTC, we have many times also in the past seen the price react to this hugely. The last time since the Halving, we went up 10.000% . Those times & gains are over, since the market cap is much bigger now. But we could still see a nice 1,500% move up towards $2,000, and, just it was in previous times, see another big correction towards the $400 range.
What I also personally like with LTC, apart from the upcoming Halving is that Charlie Lee is supporting Andrew Yang in the Democratic presidential campaign, who is a very big crypto advocate.
What is the potential for LTC in the short to medium-term?
On the Weekly chart we can clearly see that the next big resistance zones are coming in at $180 and $220 respectively: 30% up to 70% profits, until the bears would clearly show some reaction here.
What is the correlation to grandpa BTC?
We've upheld crucial previous support at 0.011, and are now on our way to a potential Cup & Handle at 0.018. A break above this range could lead to previous Weekly highs at 0.023.
So Litecoin can be breaking the current correlation because of the Halving process, but eventually grandpa BTC is still the sector leader, and will dominate the future of crypto. We can expect the ratio to stay stable.
If you had some value from my analysis, give it a thumbs-up & comment it, because the mechanism shows my analysis to other people then. Make also sure to follow me so you get notified on my Crypto Analyses! I wish you a good trading! :)
Edgy is providing online education & tools only. We are not a financial advisor, nor do we hold any formal qualifications in this area. You're trading at your own risk. No matter what you do, please set your stop loss. Please be aware, that you can lose all your money on the online exchanges.
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