Litecoin had a brutal “bull market”, if you can even call it that, for the once popular cryptocurrency based on Bitcoin code. That could change soon, however, as a massive upturn is looming on the LTCBTC trading pair.
A reversal of the trading pair could help Litecoin catch up with the rest of the market, which has already hit new all-time highs and a few more. If LTC rebounds versus BTC, the uptrend could be fast and violent. Here’s why.
How long has it been since the bull market on this altcoin stopped glowing?
Comparing the table of Litecoin alongside Dogecoin, Ethereum, Bitcoin, Binance Coin and several others shows how dark the depths of the crypto winter became for the Altcoin.
Litecoin was an incredible performer at the height of the last bull market, skyrocketing to over $ 360 per LTC.
The altcoin also led the crypto market rebound in 2019, fueled by the craze for halving the protocol’s block rewards.
Related reading | Why Litecoin is the next crypto to “teleport” like Dogecoin
Litecoin’s code is very similar to Bitcoin’s code and has some important similarities that the current “digital silver” counterpart should benefit from, such as: B. the hard-coded scarcity.
There are only 84 million LTC, only four times the BTC supply. And if scarcity is driving demand behind Bitcoin, the fact that Litecoin doesn’t follow at all is confusing.
However, according to a cryptanalyst’s interpretation of the LTCBTC price chart, a rebound is due.
A hidden, blunt part of the OBV could trigger a falling wedge breakout Source: LTCBTC on TradingView.com
Smart Money signals that Litecoin is ready to jump against Bitcoin
The trader who shared the graph above says LTCBTC is currently supporting a falling wedge over the long term, which coincides with a bullish divergence in the On-Balance Volume Indicator (OBV).
The OBV is often referred to as the “Smart Money Indicator” – referred to as such because it can capture motion signals before they take effect in price promotions.
These signals represent “smart money” taking positions early before the mark up. Fractals from the recent bull market suggest a breakout is near, but the coinholders are taking their time.
Related reading | This LTC fractal says time is running out to accumulate at low prices
Loss of support would take LTCBTC to its lowest levels yet, but a full reversal could bring the altcoin back to highs in its ratio to Bitcoin.
Litecoin is one of the oldest cryptocurrencies and one of the few to hold onto the top ten assets by market cap for several years, despite being unable to regain their previous record price.
Will Litecoin finally compete against Bitcoin and fully recover?
Featured image from deposit photos, charts from TradingView.com
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