What I'm looking at for LTC right now
Someone else on here pointed out a double bottom formation on the 4h chart (blue aarows) and that this wont be a dictionary double bottom unless we break 175 first, which is the high after the first bottom. That puts 2 significant resistance levels where my two red aarows are at 160 and 175. The 160 resistance comes from the resistance channel, where one of the last candles bounced down from at its high. I always like to check the order books and depth charts on GDAX to help me see how big or small the resistance at those points will be, to help me stay alert if selling is advisable or hodling, or some of both.
If we break 175 again that will give us a 4h higher high and a good enough sign for me that a trend reversal has occurred.
This is looking more and more likely to come to fruition because of the rising bull volume. That is the biggest key indicator as myself and many others have pointed out in order for any of this to happen, otherwise we will continue bearish for a while longer. But, the 20 period vol. MA is steadily rising, so I'm optimistic that this will be sooner that later. No matter what, 100$ is strong support for LTC, and if worse comes to worse, we form a triple bottom :D I have a theory about why there is only volume dumping in now rather than before, and that is that many newcomers (people who buy at tops or when there's too much sign of bull movement just to be sure) who speculated since perhaps Christmas or thanksgiving were waiting to buy in, and began doubting until now. Now that they have earned 1 or 2 paychecks in January, they're waiting for moments like now to start buying in when the coast is clear. Also, whales are probably waiting to buy in etc. Since LTC is "cheaper" than bitcoin, that might be enticing for those kinds of newcomers as well.
Long term perspective, we are still in the green up-trending channel, which will be hard to break below even in the worst case scenario of the next few days/weeks being very bearish.
Please comment with thoughts and constructive criticisms of my analysis, I appreciate any and all input. Peace out.
If we break 175 again that will give us a 4h higher high and a good enough sign for me that a trend reversal has occurred.
This is looking more and more likely to come to fruition because of the rising bull volume. That is the biggest key indicator as myself and many others have pointed out in order for any of this to happen, otherwise we will continue bearish for a while longer. But, the 20 period vol. MA is steadily rising, so I'm optimistic that this will be sooner that later. No matter what, 100$ is strong support for LTC, and if worse comes to worse, we form a triple bottom :D I have a theory about why there is only volume dumping in now rather than before, and that is that many newcomers (people who buy at tops or when there's too much sign of bull movement just to be sure) who speculated since perhaps Christmas or thanksgiving were waiting to buy in, and began doubting until now. Now that they have earned 1 or 2 paychecks in January, they're waiting for moments like now to start buying in when the coast is clear. Also, whales are probably waiting to buy in etc. Since LTC is "cheaper" than bitcoin, that might be enticing for those kinds of newcomers as well.
Long term perspective, we are still in the green up-trending channel, which will be hard to break below even in the worst case scenario of the next few days/weeks being very bearish.
Please comment with thoughts and constructive criticisms of my analysis, I appreciate any and all input. Peace out.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.