The price of Litecoin decreased by a significant amount almost going 20% lower from its Friday’s high but has found support at the projected level at the horizontal support zone. This might cause the start of the higher degree recovery as the Z wave from the complex correction count might have ended, but there aren’t any signs of a reversal yet.
- 19.44% decrease seen from Friday which was the continuation of the downside move which started on the 4th of July.
- If we’ve seen the completion of this impulsive downside move which is the sub-wave of the ABC correction the price is now set to start a recovery.
- The price fell to the significant horizontal range and founds support there, but if the range is breached to the downside further decrease would be expected.
Read: Beaxy Exchange Review
Litecoin Analysis LTC/USD
From Friday’s high at $106 the price of Litecoin has decreased by 19.44% as it fell to $85.41 at its lowest point today. The price is currently being traded at around $87.97 as it found support at the horizontal support range above which it is attempting to establish support.
On the 15-min chart, you can see that the price of Litecoin came down to the projected level which was assumed to be the 5th wave out of the impulse wave to the downside which started on the 4th of July.
This five-wave decrease is the C wave from the higher degree ABC correction which started on the 29th of June and is the Z wave from an even higher degree count.
As the price came down to the significant horizontal support range and entered its territory it found support and managed to pull back up but this might not be the end of the decrease.
Another spike to the downside could be seen if the minor corrective recovery attempt is the 4th wave of the lower degree from the 5th an ending wave.
As the price is attempting to make a recovery we are yet to see if there is a potential of a reversal, but at this point, the chart looks extremely bearish with no signs of a major recovery on the horizon.
Even though we’ve seen the interaction with the upper horizontal level ending as a bounce the sell-off momentum looks stronger which is why this bounce might be only a temporary one.
In either way, I would be expecting a recovery from here out of whose momentum we are to reevaluate the potential of the reversal.