Litecoin LTC Long Term Low Set or just a Correction
Updated
I think it's fair to say that i did a decent job lately with the LTC analysis :). I had my reasons for thinking the big bear flag, but actually that big H&S would fail, several of them i explained here on TV'.
On the left we can see a channel of which i think is a legit one. We can also see that we have a very big resistance zone now around the 47/50 area. Objectively, chances are very low that we see a break of this zone the coming days. However, this is crypto where anyting is possible, but even more, Bitcoin' just made a small move up so far and if the 3700ish breaks, we should see another wave up there, which could give LTC' the strength to break that resistance on the short term.
Normally, we should see a big bull flag form here the coming week or 2, like i have illustrated with the blue line. The bull flag i had drawn on the 15m chart yesterday, already broke up, it followed that channel quite nicely before breaking it on the upside.
For the long term picture, we have to stay above the green zone on the left. If the bulls are able to do that the coming weeks, it should keep the pressure on the bears and it would increase the chances for the bears giving up to defend that red resistance zone. A break of that green support, will make a bullish scenario less likely, but not completely over. The bears would be in favor again then.
On the right we can see the short term picture, showing very eager bulls, but i think it's going to fast. The first upwards channel of yesterday played out very well for the bulls, but i don't think we will see it happen a second time. It would be much better if we see a more healthy correction this weekend before making another step up. Ideally it stays above the 42ish the coming days.
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Previous analysis:
On the left we can see a channel of which i think is a legit one. We can also see that we have a very big resistance zone now around the 47/50 area. Objectively, chances are very low that we see a break of this zone the coming days. However, this is crypto where anyting is possible, but even more, Bitcoin' just made a small move up so far and if the 3700ish breaks, we should see another wave up there, which could give LTC' the strength to break that resistance on the short term.
Normally, we should see a big bull flag form here the coming week or 2, like i have illustrated with the blue line. The bull flag i had drawn on the 15m chart yesterday, already broke up, it followed that channel quite nicely before breaking it on the upside.
For the long term picture, we have to stay above the green zone on the left. If the bulls are able to do that the coming weeks, it should keep the pressure on the bears and it would increase the chances for the bears giving up to defend that red resistance zone. A break of that green support, will make a bullish scenario less likely, but not completely over. The bears would be in favor again then.
On the right we can see the short term picture, showing very eager bulls, but i think it's going to fast. The first upwards channel of yesterday played out very well for the bulls, but i don't think we will see it happen a second time. It would be much better if we see a more healthy correction this weekend before making another step up. Ideally it stays above the 42ish the coming days.
Please don't forget to like if you appreciate this :)
Previous analysis:
Note
Litecoin bulls seem to be very eager, already pushing up to the next level with a sideways market. On the left we can see that channel breaking and the price making a small squeeze up, retesting the long term resistance once again. More often this would happen coming week, the bigger the chances that it will break. But i don't think it needs explaining, it can not be done without Bitcoin of course.Normally the 45.5ish should hold as support now, but if that breaks we could see the 44 get retested. If that one breaks, we could see that big bull flag scenario from the left chart above getting into play
Note
New Litecoin analysis:
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