Above: Litecoin (LTCUSD) monthly chart
In my video for Litecoin today, I discuss how we can project Litecion’s future new all-time high using a foldback and simple price measurement tool. Litecoin has still not hit its previous all-time highs, although every single other Crpyot currency appears to have hit its previous all-time highs and then significantly exceeded them. Litecoin may just be dumped in the trash can of cryptocurrency history, but it is a major cryptocurrency that takes an institutional stance nonetheless. It is still considered one of the primary “three” cryptocurrencies. I don’t expect Litecoin to see the same downtrend in the foldback pattern. Instead, I expect it to make the same swing, but higher (a mirrored foldback). If we measure the movement from the lows from the start of the Litecoin chart to the all-time high in 2017, we see a crazy move of 10,000 +%. If we apply the same percentage movement to the present value area, Litecoin trading will be at 25,000 – unlikely. Instead, we need to be a little more “realistic” with our projections (which is difficult in this area). I have focused on 50% of the range instead and this gives us a more realistic level of 2500. I would only be interested in trading at this level if Litecoin can break the 420 value range and hold it as support.
READ: Cryptocurrency Buy Signals for Cardano (ADA), Ethereum (ETH), Binance Coin (BNB) and Bitcoin (BTC)
Above: Cardano (ADAUSD) monthly chart
I will apply the same methods from analyzing Litecoin to Cardano. The highlighted price range in yellow represents the foldback pattern represented by the red diamond symbols. Just like with Litecoin, I don’t expect Cardano to experience the next downward swing, but rather the mirrored foldback direction and higher trading. With Cardano’s chart we have to measure the rise from the beginning of the chart to the previous all-time high a little differently than with Litecoin. Instead of copying a 16,000% move, I kept the relative and proportional range by dragging the zone onto our current trading range. This puts Cardano at a very interesting price level – the value range of USD 3.00. It makes sense to me to look at this area as the next big high. In the video analysis I did yesterday and today, I pointed out that the daily and weekly expansion levels seem to create a confluence near the $ 2.618 range of values - don’t confuse them with the Fibonacci level of 2.618 (crazy , how it works). On the monthly chart above, I pulled a Fibonacci expansion from the all-time low last March to the swing high in July 2020 and then to our last big swing low in September 2020. The 1.618 Fibonacci expansion from the levels brings Cardano to 3.144 – the next likely big high. If I were a position trader, I would be anticipating a likely move towards that $ 3 range across this setup over the next few months.
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