Litecoin: Two Paths Lower to Complete the Correction

Litecoin (LTCUSD) invalidated its original bullish count up once the 106-level broke. The now-primary RED pattern calls for a correction down to around 76, which means the bottom should not be too much farther down.

Primary RED Pattern (lower-low):
Litecoin is in its final C-wave down to complete the larger-degree 4th wave correction that began after the May 2021 peak. This means that the entire rally from the mid-summer bottom to November was actually a fake-out B-wave rally. Assuming A=C equivalence, the bottom projects around 76, which also has strong confluence as the 61.8% retrace of the larger-degree impulsive pattern.

Alt GREEN Pattern (big rally coming soon):
There is a chance that the correction is over due to the depth, sharpness and internal wave structure of Litecoin as well as other altcoins. For this pattern to gain traction, we'd need to see a strong 5-wave impulse rally upwards followed by a 3-wave correction (higher-low). If that is seen, I would immediately become a buyer again! Such a pattern would project to at least 281 for the 1st wave alone.

Alt PURPLE Pattern (much lower-low):
Unfortunately, this is a higher-probability than I would like to admit. As Bitcoin and Ethereum both have plenty of room to the downside to fall farther, LTC could go down to 45 or even the 33-region! Breaking the 74-support would likely mean we're following PURPLE.

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I use Elliott Wave analysis to project price levels for different assets and asset classes. EW is a form a technical analysis that is absolutely NOT based on fundamentals. Please be aware that this is not intended to act as financial advice. I am not a trained or certified financial professional. You may invest based on a strategy tailored to your own skill and risk-tolerance levels.

#litecoin #bitcoin #ethereum #cryptocurrency #blockchain