As talked about in a previous article, Litecoin‘s worth has adopted by way of with a bullish breakout. This modified the beforehand ambiguous scenario right into a bullish one. A deeper look into Litecoin’s worth motion and indicators will reveal what the bulls/bears have in retailer for LTC.
Litecoin 1-day chart
The one-day chart for Litecoin confirmed the cryptocurrency breaking out of the triangle. Nevertheless, it appeared to be going through rejection on the resistance stage of $50.80. Ought to the LTC bulls fail to overcome this stage, it’s again to the pavilion.
The RSI indicator introduced a possible reversal earlier than the overbought zone, therefore, if want be, bulls have the area to push the coin above the mentioned resistance. The Stochastic RSI pictured a bearish crossover, an indication of bearish strain. Nevertheless, this may be disregarded if the bulls push by way of.
Ranges to maintain an eye fixed out for stay the identical from the final article – The rapid resistance of $63.94 is an effective resting place in case the worth surges and reconquers the $50.80-mark.
Nevertheless, a bullish situation is difficult to come back by, particularly contemplating the bearish divergence on a each day timeframe. This would possibly push the worth right down to the highest of the consolidation triangle, a stage the place the worth will discover extra assist.
Since this divergence is on the next stage, this would possibly happen over a few days. Therefore, going into shorter time frames would give extra perception as to the place the worth would possibly head within the short-term.
Litecoin 1-hour chart
The one-hour chart does go towards the above bearish indication, nevertheless it must be famous that they’re two totally different time frames. On a a lot shorter timeframe, we will count on Litecoin to move larger since a falling wedge was being fashioned.
Whereas the worth nonetheless has just a few bounces left earlier than the breakout, we will count on the worth to retest the $50.80-level earlier than heading decrease. There’s a excessive likelihood that this would possibly simply be a wick.
Both manner, the long-term [1-day] seemed bearish, in mild of the rejection at $50.80 and a bearish divergence. Nevertheless, the short-term [1-hour] situation appeared bullish because of the formation of a falling wedge.
It’s higher to take a seat this commerce out on each timeframes because the tides might flip both manner, particularly contemplating Bitcoin’s unsure worth.