Litecoin ready to dump or pump
Updated
Alts have been very weak past weeks compared to Bitcoin, which is in general a bad sign for the mid/long term. LTC has been moving above a support line as we can see on the right. Can't say if it's a wedge or a channel, but at least we can see it has a support line. Wicks happen all the time in this market, making it difficult to trade on supports and resistance breakouts. So this is not a normal analysis.
What i am trying to show here is, that if we do not bounce up after a break of that support line, it might just very hard. On the left we can see something similar, looks a bit the same. However, that was during a clear bear trend. This time it's more like a correction of a good rally. So i favor a bullish outcome from this. Doesn't mean we make another big rally, but more like at least a bounce up to 80ish. Now my best guess here is seeing it stay above 62ish. I think another drop might happen, so if that one doesn't drop below the green box, it could work out.
The 55/60 is of course a big support zone, but 50ish below it as well. So in other words, we can continue to find possible support levels. I am following Bitcoin as i described my view there. So a dump there, would prob mean a dump here as well. If my bullish view there plays out, than this one will play out as well. So i don't think a middle way is likely here.
Maybe we can see a small wedge (yellow) take form, if that's the case it would be ideal because then we have something easy to follow.
Previous analysis:
What i am trying to show here is, that if we do not bounce up after a break of that support line, it might just very hard. On the left we can see something similar, looks a bit the same. However, that was during a clear bear trend. This time it's more like a correction of a good rally. So i favor a bullish outcome from this. Doesn't mean we make another big rally, but more like at least a bounce up to 80ish. Now my best guess here is seeing it stay above 62ish. I think another drop might happen, so if that one doesn't drop below the green box, it could work out.
The 55/60 is of course a big support zone, but 50ish below it as well. So in other words, we can continue to find possible support levels. I am following Bitcoin as i described my view there. So a dump there, would prob mean a dump here as well. If my bullish view there plays out, than this one will play out as well. So i don't think a middle way is likely here.
Maybe we can see a small wedge (yellow) take form, if that's the case it would be ideal because then we have something easy to follow.
Previous analysis:
Note
The possible wedgeNote
An ugly wedge eventually, but with this rally it seems it was real. Had a very nice bump up from that trend line on the right. Now, since the market is shaky, we should only see a small correction. So i think it should stay above the 70ish from now. Otherwise i would not be that confident about itNote
We got some resistance now around the 75, which is not very surprising since we already made quite the rally today, going up 10 points. So now we want to see it stay above the green support zone, making like a right shoulder and then continue to move up again. If the green breaks, it will get dangerous again. The market is still a bit shaky, so not much room.
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