Litecoin’s worth halved in lower than three months
Shopping for the dip is dangerous regardless of a small head and shoulders sample forming
The greenback’s rally must cease for cash like Litecoin to reverse fortunes
The US greenback registered one of many greatest rallies ever throughout summer season. For instance, it gained towards the EUR for eleven consecutive weeks – the primary time ever!
It wasn’t solely the EUR that the greenback strengthened towards. The truth is, it was a broad-based greenback energy, because it squeezed every little thing in its method increased.
Which means cryptocurrencies, too.
A number of the cryptocurrencies fared higher than others. For instance, Bitcoin nonetheless holds near its 2023 highs, transferring in a horizontal consolidation for months.
Nonetheless, another cash didn’t carry out so effectively. Litecoin (LTC/USD) is one among them, as its worth halved in the course of the summer season months. It was buying and selling at $115 in July, solely to drop to $60 in lower than two months.
Such volatility isn’t uncommon within the cryptocurrency house. However the velocity of the decline (or the velocity of the greenback’s energy) is so quick that it takes loads of nerves and braveness to purchase such a dip.
Litecoin chart by TradingView
LTC/USD varieties a small inverse head and shoulders sample
A head and shoulders sample alerts a reversal. When it varieties throughout a bearish pattern, it alerts a possible bullish reversal.
The pinnacle of the sample pierced via the $60 degree earlier than bouncing. It’s sufficient for the sample to respect the foundations, however is it sufficient to reverse such a robust bearish pattern seen in the course of the summer season months?
All in all, the principle conclusion after 9 months into the buying and selling 12 months is that Litecoin couldn’t maintain above $100. If it doesn’t construct vitality to attempt once more, the trail of least resistance stays the draw back.
