Everyone has been very focussed on Bitcoin lately, we need to also pay attention to other high market cap coins so that we have a deeper understanding of the entire cryptocurrency market.
Litecoin is currently trading in what appears to be a flag structure. Price us currently under a strong side-wards resistance at 0.01490, and this level also coincides with the 50 and 20 moving average, showing significant resistance at this level. Despite the strong resistance, there is some strong candles within structure implying there are still bulls around. This compels me to seek a couple of ideal buying spots with some localized structure.
Price will run in either one of 2 ways. They are:
- Price bounces at the first horizontal support zone between 0.01470 and 0.01460 and bounces to the upside, breaking structure and eventually hitting target level at 0.01530.
- Price breaks the first support zone between 0.01470 and 0.01460, and breaks down further to the next support zone between 0.01435 and 0.01425.
Bare in mind if price breaks the first horizontal support zone between 0.01470 and 0.01460, then it will likely break lower to the lower support boundary between 0.01435 and 0.01425 before the upside resumes. If we hit the lower support zone, it may use the first horizontal support zone as a new resistance, so longs from the bottom zone should be nimble and intelligently bought with a thorough trading plan as it could be easy to lose capital.
I will continue to update this analysis providing enough people request it.
Please leave a LIKE and follow, I would really appreciate it!
Litecoin is currently trading in what appears to be a flag structure. Price us currently under a strong side-wards resistance at 0.01490, and this level also coincides with the 50 and 20 moving average, showing significant resistance at this level. Despite the strong resistance, there is some strong candles within structure implying there are still bulls around. This compels me to seek a couple of ideal buying spots with some localized structure.
Price will run in either one of 2 ways. They are:
- Price bounces at the first horizontal support zone between 0.01470 and 0.01460 and bounces to the upside, breaking structure and eventually hitting target level at 0.01530.
- Price breaks the first support zone between 0.01470 and 0.01460, and breaks down further to the next support zone between 0.01435 and 0.01425.
Bare in mind if price breaks the first horizontal support zone between 0.01470 and 0.01460, then it will likely break lower to the lower support boundary between 0.01435 and 0.01425 before the upside resumes. If we hit the lower support zone, it may use the first horizontal support zone as a new resistance, so longs from the bottom zone should be nimble and intelligently bought with a thorough trading plan as it could be easy to lose capital.
I will continue to update this analysis providing enough people request it.
Please leave a LIKE and follow, I would really appreciate it!
