LTC Bullish Trend - Possible 295 USDT
Since March 31st, Litecoin has had a reoccurring sequence of an ascending broadening wedge (bearish), followed by a downtrend to support level, then succeeded by a sideways channel between support and resistance levels which plays out for 2-4 days. This sequence has appeared 2 times since March 31st and is forming again with current price levels.
Currently, the price is forming the sideways pattern after breaking down from the ascending broadening wedge back down to support. Therefore, for the next couple of days, Litecoin can be expected to fluctuate in a sideways manner between 245USDT (support) and 260USDT (resistance). If it breaks the resistance of 260USDT, another ascending broadening wedge should occur. Based on the magnitude of previous ascending broadening wedges, the mean percentage increase is approximately 17.79 percent. Therefore, the next ascending broadening wedge should increase the price by around 46USDT, forming a new price level of around 306USDT.
However, 300USDT is a massive psychological resistance, and therefore I would take profits at 295USDT to 300USDT.
Right now, the MACD and Stochastic RSI are showing bullish crosses, which indicate the price should increase within the support and resistance levels in the short term. The RSI is at a neutral level of around 50, meaning the coin is neither overbought nor oversold.
Entry points:
If you are an aggressive trader, a good buy point would be between 240-250USDT. This is high risk and high reward as LTC can fail to break resistance and fall past support.
If you are a conservative trader, a power play would be to buy the retest once it breaks the 260USDT resistance. Therefore, a good buy level would be a retest at 260USDT.
*Edit: The resistance level is simply the highest peak in the graph within this month and the support level is the previous peak as created by the previous ascending broadening wedge.
Currently, the price is forming the sideways pattern after breaking down from the ascending broadening wedge back down to support. Therefore, for the next couple of days, Litecoin can be expected to fluctuate in a sideways manner between 245USDT (support) and 260USDT (resistance). If it breaks the resistance of 260USDT, another ascending broadening wedge should occur. Based on the magnitude of previous ascending broadening wedges, the mean percentage increase is approximately 17.79 percent. Therefore, the next ascending broadening wedge should increase the price by around 46USDT, forming a new price level of around 306USDT.
However, 300USDT is a massive psychological resistance, and therefore I would take profits at 295USDT to 300USDT.
Right now, the MACD and Stochastic RSI are showing bullish crosses, which indicate the price should increase within the support and resistance levels in the short term. The RSI is at a neutral level of around 50, meaning the coin is neither overbought nor oversold.
Entry points:
If you are an aggressive trader, a good buy point would be between 240-250USDT. This is high risk and high reward as LTC can fail to break resistance and fall past support.
If you are a conservative trader, a power play would be to buy the retest once it breaks the 260USDT resistance. Therefore, a good buy level would be a retest at 260USDT.
*Edit: The resistance level is simply the highest peak in the graph within this month and the support level is the previous peak as created by the previous ascending broadening wedge.
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