- Litecoin worth rejected from transferring above $200.
- Head-and-shoulders sample warns of robust strikes decrease, surpassing August lows.
- Oscillator values void any near-term assist holding.
Litecoin worth has not carried out very properly for the reason that false report on Walmart accepting Litecoin information got here out on Monday. Regardless of the faux information, many bulls and bears thought there may need been some robust follow-through increased, however the previous two buying and selling classes have resulted in decrease closes and the event of a really bearish reversal sample: the head-and-shoulders sample.
Litecoin bulls probably led to slaughter, -23% drop from the Friday open in play
Litecoin worth faces rising promoting stress if it may well’t preserve the $180 worth space. $180 is important to Litecoin as a result of it represents the 2021 VPOC (Quantity Level-Of-Management) within the Market Profile indicator. The Market Profile measures quantity horizontally moderately than vertically. Conventional quantity measurements generally seen under candlesticks measure the quantity of one thing traded throughout a selected time, however Market Profile measures how a lot was traded at a selected worth. In different phrases, $180 is the place probably the most quantity of buying and selling of Litecoin has occurred in 2021. It’s a strong support and resistance degree, and it’s that degree that bulls are attempting to defend.
LTC/USD Day by day Ichimoku Chart
Under $180, the quantity profile thins out, and it’s simpler for Litecoin to maneuver decrease than to maneuver increased. Drawing a Fibonacci enlargement from the September 5th excessive to the September 8th swing low reveals the 100% enlargement degree at $142.40. That’s proper on prime of the 61.8% Fibonacci retracement degree, which has the identical worth. Throughout the quantity profile, $140 is the highest of a excessive quantity node, including power to the assist of the 2 Fibonacci ranges.
The bearish outlook might be invalidated if three situations are met. First, the each day should shut above the Tenkan-Sen and Kijun-Sen –across the $204 worth space. Second, the Lagging Span must commerce above the candlesticks – within the $200 value area. Third, the Relative Power Index must slope up and away from the extent 50 zone.