The price of Litecoin increased by 28% over the weekend but strong selling pressure was exhibited since. The increase made, broke out from its descending triangle like expected and came up to the projected level but hasn’t done so in the expected fashion which could impact the overall count.
- Price increased but the momentum is slowing down
- Sharp decline has been seen which could be an early indication of the selling being activated
- The price needs to hold above $84 for the bullish scenario to be considered
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Litecoin Analysis LTC/USD
Over the weekend the price of Litecoin increased by 28.13 as it came up from $73.68 on Friday’s low to $94.412 at its highest point on Sunday but the price declined by over 10%, falling down to $84 level on the same day above which it has been traded currently.
On the 15-min chart, you can see that the price came up to the projected level but hasn’t come down first like expected.
The presumed B wave ended inside the descending triangle on the last ABC correction of the Subminor count but this doesn’t reflect the higher degree count which is viewed as potentially correctional because the price broke out from the descending channel on 30 of April in a three-wave manner.
This breakout could very well be the first wave of the five-wave impulse to the upside in which wave case the price cannot go below the $84 level which it has successfully done since Sunday, but as the price came down indicating strong sellers pressure it might start doing so very soon.
If however, the price holds above it and from today’s low we see further increase above $94.35 it would mean that we have seen the five-wave impulse potentially as the first wave of a higher degree rather then an ABC correction to the upside.
After the price completes the current increase we are soon going to receive a proper validation but as the price structure is currently forming another micro ascending structure it is likely to end as another minor increase that could be the second wave of the higher degree move to the downside and especially as the price action moved in five waves but correctively this looks like a more likely outcome.
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