Disclaimer: The findings of the next evaluation are the only opinions of the author and shouldn’t be thought-about funding recommendation.
Litecoin [LTC] has not seen a considerable amount of volatility in latest weeks, relative to the remainder of the altcoin market. The previous month noticed LTC vary between $52 and $64, a modest 22% value distinction measured from the underside.
Within the meantime, Bitcoin [BTC] slipped beneath the $20.8k help after a agency rejection at $24k in mid-August. The USDT Dominance metric has additionally risen previously month to point traders shifting to holding Tether and fleeing the crypto market.
Concern may additional rise within the weeks to come back, and Litecoin merchants will be positioned to capitalize on the ensuing value motion.
LTC- 1-Day Chart
The Quantity Profile Seen Vary confirmed the Level of Management (crimson) to lie at $55.07. The Worth Space Low and Excessive lay at $42.68 and $69.3 respectively. The quantity device highlighted that a big portion of the buying and selling exercise since June has been inside the extremes marked on the chart.
Since June, the value has shaped a variety between $65 and $43.4, values which are fairly near the VAH and VAL. At press time, LTC exchanged palms at $61.26 per coin and there was some momentum upward primarily based on the previous few days of buying and selling.
It was seemingly that the $65-$69 area would firmly oppose bullish intentions, and a check of this zone may provide alternatives to promote or brief Litecoin. A stop-loss above $70 will be thought-about, with a take-profit at $55.1 (PoC) and $42.6 (VAL).
The Relative Energy Index (RSI) has been caught inside the 60 and 40 and has been since July. This was indicative of the formation of a variety for an asset. On the time of writing, the RSI approached 60 and will face rejection within the 60-65 band. The Stochastic RSI approached the overbought territory as nicely.
The Directional Motion Index (DMI) additionally supported the concept of a variety formation. The Common Directional Motion Index (ADX) was unable to climb above the 20 mark and keep there in latest months. This indicated the dearth of a powerful development behind Litecoin. The Chaikin Cash Circulate (CMF) has additionally stayed within the impartial space round 0, or beneath the -0.05 mark.
Taken collectively, the symptoms confirmed a scarcity of robust development behind Litecoin and likewise some promoting strain in latest weeks. It didn’t but seem seemingly that LTC would be capable to break above the $69 resistance. Bitcoin was at a dangerous spot for bulls as nicely. Therefore, a pointy downward transfer for LTC cannot be dominated out within the coming weeks.
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