Bullish Divergence Noticed on LTC/BTC –
Bullish divergence has grow to be seen on the four hour chart as Litecoin consolidates inside a good vary. That is the results of the earlier breakout talked about in a recent analysis.
Litecoin four Hour Chart Evaluation
On the four hour LTC/BTC chart, we are able to see a bullish divergence evident by the three increased highs on Maxx Momentum. That is creating a transparent uptrend along side the three decrease lows inside the descending wedge. Since then, worth ranges have damaged to the upside and are actually consolidating inside a good vary while touching POC.
Consolidation inside such a good vary after a bullish breakout and clear bullish divergence is a positive signal of a giant transfer to return. Quantity has been descending since late June, and a big quantity spike might very effectively break that descending sample and propel worth ranges up out of the tight consolidation vary between 0.0090 and 0.0097 sats.
Worth motion can also be touching the 50 MA with the 200 EMA, and shifting nearer to the market worth by the day. That is one other promising signal of consolidation. With the Litecoin halving scheduled for August sixth, it’s to no shock that we’re seeing indicators of a giant transfer to return within the subsequent few days.
Litecoin Each day Chart Evaluation
On the Each day chart for LTC/BTC, we are able to see the sharp decline in worth ranges all through 2019 that introduced the present worth all the way down to round 0.0090 sats. Regardless of the sharp descent, the quantity has remained excessive which is a positive indication that individuals are nonetheless shopping for and buying and selling LTC regardless of the bearish pattern. This implies a reversal is considerably imminent and can largely rely on how BTC and different excessive quantity altcoins play out.
The present market worth is the furthest away from the 50 MA and 200 EMA that LTC/BTC has seen all through its complete lifetime on Binance change. This leads me to imagine LTC is coming to the tip of its bearish cycle and a reversal will start to play out across the present market worth. It could take an awfully great amount of promoting strain to drive worth ranges even additional away from the shifting averages talked about, and searching on the degree of shopping for strain all through this bearish section, this final result appears to be like more and more unlikely.
Do you suppose LTC will spur a short-term reversal as we close to the halving on August sixth? Please go away your ideas within the feedback under!
Photos through Shutterstock, Litecoin charts by Tradingview