The price of Litecoin has continued increasing slightly further than expected but the wave structure implies that the five-wave increase has ended. This means that now we are likely to see a downward move at least to some of the broken resistance levels, but as I think that the completion of five-wave impulse from 5th of June marked the completion of the higher degree impulse the downward move could continue further with the price going back inside the territory of the lower range.
- The price has started decreasing and has made a horizontal cluster.
- This cluster could be viewed as consolidative after the initial decrease was made with the price now likely continuing to move to the downside with stronger momentum.
- A retest of the broken resistance level would be expected but if the support is not present which I don’t believe that it would we are to see further downside movement with the price entering the lower range again.
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Litecoin Price Analysis LTC/USD
From Monday’s open at $113.554 the price of Litecoin has increased by 25.66% as it came up to $142.68 at its highest point today.
Since then the price has fallen by around 6% and is currently being traded at $134.73 with the price action forming a horizontal cluster.
On the hourly chart, you can see that since Monday we have seen an increase in a five-wave manner which has pushed the price above some of the significant resistance points.
The first major resistance broken was at the prior high at around $118.94 while the next one was at $122.32 above which it is considered to be the sellers’ territory. As the price made a five-wave increase which is most likely the 5th wave from the impulse wave of the higher degree which started on the 5th of June we have likely seen its completion.
Considering that we have seen the completion of the five-wave increase and that the price has entered the seller’s territory we are now likely to see a move to the downside.
The move to the downside might have already started as the price decreased impulsively and started forming a horizontal cluster. I would be expecting the price to go at least to some of the broken resistance points for a retest of support, but if we have seen the completion of the Minor count five-wave impulse the price would continue moving further to the downside back inside the territory of the lower range with the first strong support zone being at around $83.