- Has been forming a flag since the 17th Dec 17
- Recent surge followed Bitcoin.
- A breakout downward could see Litecoin reach towards $100.
Litecoin continues to follow Bitcoin's steps with the 6th Jan 18 surge up from $243 to $303 happening around the same time as Bitcoin's short recovery. It's also moving sideways forming a flag shape with a possible breakout in a few days from now.
But look at the height of that flag...About $375 to $175 from the top to the bottom. A breakout downward could mean seeing Litecoin aiming back below $100, though $150 and $100 should show support. But a breakout upwards? We then run into a strange situation. A breakout upward may see any new all time high limited by Bitcoin as Bitcoin approaches the 20k barrier (unless of course it breaks through it). For Bitcoin, the ceiling isn't far away and the bottom is a very long drop. For Litecoin, there's no nearby established ceiling yet but the current price isn't that far from the bottom.
As I place my entry at around $270 from a breakout upwards and $230 for a downward breakout, I then look over at Bitcoin and wonder whether a breakout would trigger any TP I set. The last head and shoulders on Bitcoin saw the price touch upward trend support line 3 times. With the past two heads and shoulders taking 8 to 10 days each and with Litecoin approaching the flag tip sooner, I'm thinking that rather than breaking out we might see it travel sideways (forming a rectangle) until Bitcoin finds direction.
Buying Litecoin in the 100's would sure be a plus and something I'd hodl for a while. Should Litecoin progress back up in the 300s, it's still not that pricey. Might play it patient with this one.
And now for the disclaimer!
** This information is for educational purposes only and not intended for advice on trading **
- Recent surge followed Bitcoin.
- A breakout downward could see Litecoin reach towards $100.
Litecoin continues to follow Bitcoin's steps with the 6th Jan 18 surge up from $243 to $303 happening around the same time as Bitcoin's short recovery. It's also moving sideways forming a flag shape with a possible breakout in a few days from now.
But look at the height of that flag...About $375 to $175 from the top to the bottom. A breakout downward could mean seeing Litecoin aiming back below $100, though $150 and $100 should show support. But a breakout upwards? We then run into a strange situation. A breakout upward may see any new all time high limited by Bitcoin as Bitcoin approaches the 20k barrier (unless of course it breaks through it). For Bitcoin, the ceiling isn't far away and the bottom is a very long drop. For Litecoin, there's no nearby established ceiling yet but the current price isn't that far from the bottom.
As I place my entry at around $270 from a breakout upwards and $230 for a downward breakout, I then look over at Bitcoin and wonder whether a breakout would trigger any TP I set. The last head and shoulders on Bitcoin saw the price touch upward trend support line 3 times. With the past two heads and shoulders taking 8 to 10 days each and with Litecoin approaching the flag tip sooner, I'm thinking that rather than breaking out we might see it travel sideways (forming a rectangle) until Bitcoin finds direction.
Buying Litecoin in the 100's would sure be a plus and something I'd hodl for a while. Should Litecoin progress back up in the 300s, it's still not that pricey. Might play it patient with this one.
And now for the disclaimer!
** This information is for educational purposes only and not intended for advice on trading **