- Litecoin is potentially forming a symmetrical triangle pattern, often recognized as a precursor to substantial price movement, while trading volume continues to decrease.
- To maintain its long-term uptrend, Litecoin must sustain its support level at $65, beyond which a bearish market could ensue.
As the altcoin market appears bearish with steep declines, Litecoin (LTC) exhibits potential to uphold its long-term uptrend. This is contingent on validating a symmetrical triangle pattern while sustaining a support level at $65. Breaching a long-standing resistance band between $100 and $105 would signify the onset of a new bull market. However, the loss of the $65 support level might jeopardize this uptrend and potentially return Litecoin to its June 2022 lows.
Since touching the trough of $40.30 in June 2022, Litecoin has seen a gradual ascent. A year-long accumulation phase has potentially paved the way for a new bullish trajectory. This is evident as Litecoin has managed to produce three higher highs (HH) and three higher lows (HL). If the price remains above the previous low of $65, the ongoing downtrend could be the fourth higher low, suggesting the inception of a long-term uptrend.
On the Volume Profile Visible Range (VPVR) chart, the $65 level holds immense significance, representing long-term support. The VPVR indicator, used in volume trading, is particularly effective for trading large capitalization assets.
Contrastingly, Litecoin’s upward trend has met resistance three times within the $100 to $105 range. Additionally, the weekly Relative Strength Index (RSI) has broken away from a rising support line since June 2022 and dropped below 50, signaling a bearish trend.
>> Buy Litecoin quickly and securely with PayPal, credit card or bank transfer at eToro with low fees and deposit protection. Get started with LTC now. Visit Website <<
A symmetrical triangle pattern, often an indicator of a breakout or breakdown, appears to be forming. At present, Litecoin trades at the lower edge of this formation. The trading volume pattern supports a bullish interpretation, with the fourth largest red candle observed on June 10, 2023, often seen as a market bottom signal.
Crypto market analyst @CryptoTony__ suggests that after both edges of the triangle are re-confirmed, Litecoin might be poised for a breakout to the upside.
Best Crypto Exchange for Everyone:
- Invest in Litecoin and 70+ cryptocurrencies and 3,000 other assets.
- 0% commission on stocks – buy in bulk or just a fraction from as little as $10.
- Copy top-performing traders in real time, automatically.
- Regulated by financial authorities including FAC and FINRA.
2.8 Million Users