The Litecoin (LTC) value has elevated considerably to date in January however was lately rejected by a long-term resistance stage at $186.
Whereas it’s potential that Litecoin continues to be in a corrective section, one other upward transfer is anticipated that might take LTC towards $225.
Lengthy-Time period Litecoin Ranges
Litecoin has been reducing since Jan. 10, after reaching a excessive of $185.83. The excessive coincided with the 0.5 Fib retracement stage measuring from the all-time excessive of $370, validating the world as resistance.
Nevertheless, after the drop, LTC has held on above the June 2019 excessive of $146 and created a really lengthy decrease wick within the course of. It is a robust signal of shopping for strain. A weekly shut above this stage would doubtless verify a continued bullish development.
Technical indicators within the weekly time frame are bullish. If LTC manages to interrupt out, the following resistance space could be discovered at $225 — the 0.618 Fib retracement stage. A rise above this stage may take LTC towards its all-time excessive.
Cryptocurrency dealer @Mesawine1 outlined an LTC chart, stating {that a} transfer above the first resistance may set off a really speedy enhance.
This aligns with our evaluation, although the strategy used to get there may be not fairly the identical.
Brief-Time period Motion
Shorter-term charts present that LTC is presently attempting to maneuver above the 0.618 Fib retracement stage of $158. The extent additionally beforehand acted as assist, so reclaiming it’s essential if LTC needs to proceed shifting larger.
Even though indicators are bullish, we can not contemplate the short-term development bullish until LTC manages to shut above this stage.
LTC Wave Depend
The wave rely means that LTC has accomplished wave 3 (proven in white under) of a bullish impulse that started in March.
Wave Three ended proper on the 3.61 Fib extension of wave 1, and it appears like wave Four has begun. It’s potential that LTC touched the parallel channel as soon as once more and accomplished a fourth wave pullback sample within the course of.
A possible goal for the highest of all the transfer is discovered at $228, the 4.618 Fib extension of wave 1 and the resistance space outlined within the first part.
The sub-wave rely is proven in orange.
*The logarithmic chart is used within the picture under.
LTC/BTC
The LTC/BTC chart reveals a major bullish divergence creating within the weekly RSI.
It is a robust signal of a development reversal, strengthened by the bullish cross within the Stochastic oscillator and the truth that LTC is buying and selling near a long-term assist space.
Nonetheless, the development can’t be thought of bullish till LTC flips the ₿0.0056 resistance space.
Conclusion
The long-term development for Litecoin appears to be bullish, however a short-term retracement may happen earlier than one other upward transfer.
Whereas technical indicators predict a bullish reversal for LTC/BTC, the development can’t be thought of bullish till LTC reclaims the ₿0.0056 resistance space.
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Disclaimer: Cryptocurrency buying and selling carries a excessive stage of danger and will not be appropriate for all traders. The views expressed on this article don’t replicate these of BeInCrypto.
