Litecoin (LTC) has managed to hold the 55 ema level for several days and as you can see from the triangle pattern forming, LTC seems to be storing energy for a move (either to the upside or downside).
On the weekly chart LTC has fallen back to the 9 ema, which has historically acted as the first line for major support, during the 2017 bull run LTC fell to the 9 ema and during more severe pullbacks, the 20 ma, a breach of the 20 ma signified the end of the bull run and a switch to a bear market. Needless to say these weekly levels are must hold points.
Rest assured i do not think a bearish reversal is on the cards, however bear in mind that a fall to the 20 ma on the weekly would entail a retracement back to the $90-$95 USD level.
The more likely outcome is that LTC could potential fall back to the lower trend line, or even slightly below, before a bounce and a continued rally to the next Fib level around the $170 USD mark. This pullback pattern has occurred before (circled area).
Keep an eye on LTC, as the chart is suggesting that a major move is on the cards and my guess would be that a slight dip to the trend line, followed by a move higher is more likely.
On the weekly chart LTC has fallen back to the 9 ema, which has historically acted as the first line for major support, during the 2017 bull run LTC fell to the 9 ema and during more severe pullbacks, the 20 ma, a breach of the 20 ma signified the end of the bull run and a switch to a bear market. Needless to say these weekly levels are must hold points.
Rest assured i do not think a bearish reversal is on the cards, however bear in mind that a fall to the 20 ma on the weekly would entail a retracement back to the $90-$95 USD level.
The more likely outcome is that LTC could potential fall back to the lower trend line, or even slightly below, before a bounce and a continued rally to the next Fib level around the $170 USD mark. This pullback pattern has occurred before (circled area).
Keep an eye on LTC, as the chart is suggesting that a major move is on the cards and my guess would be that a slight dip to the trend line, followed by a move higher is more likely.
