LTC/USD has decreased and seems unstoppable at this moment. It remains to see what will really happen in the upcoming period because if the Bitcoin will drop further, then the Litecoin will hit new lows.
Bitcoin ignored another very, very important potential dynamic support and now drops towards a critical downside obstacle. Right now everyone wants to see, that’s why the rate could reach new lows. Personally, I’ve said that the crypto market will crash if the Bitcoin will make a valid breakdown below the 6000 psychological level.
You can see that the rate has ignored the 49.144 static support and the 150% Fibonacci line of the former ascending pitchfork, but it continues to stay above the first warning line (WL1) of the descending pitchfork.
A failure to reach the WL1 could announce a potential rebound, but it is still premature to talk about another leg higher as long as the perspective is bearish. Right now we don’t have any reversal signs, so the rate could still reach new lows.
Technically, the rate could rebound only if it will move away from the WL1 and if it will make 2,3 failures to reach and retest it. We need a strong consolidation/accumulation movement before we can think to go long again.
Right now you should stay away and wait for a fresh trading signal. It is too late to sell it at this moment, so you should wait for another leg higher. We have another major potential downside target at the first warning line (WL1) of the ascending pitchfork. Maybe the rate will reach this line if it will move somehow sideways. It remains to see how it will reach when it will reach the 20.000 psychological level.