- Litecoin price has formed a multi-year top pattern.
- The recent price action can result in an epic plunge.
- Bitcoin led the market in decline after Bitcoin’s rally.
Litecoin News Today – Litecoin, the silver counterpart to digital gold Bitcoin, is often an alternative leading indicator across the digital asset market. If any of the Litecoin charts are accurate, then this could be a sign of an epic plunge for altcoins against BTC in the coming months. Why is this the case? Since the beginning of the crypto bubble, altcoins prices have lost value in large amounts. Some top coins lost 99% of their value.
Litecoin led the Market in Decline after Bitcoin’s Rally
Litecoin LTC News Today – At the beginning of the year, Litecoin and others showed promise as their bear season had reversed. Litecoin’s halving event buzz helped it rally 600% at the time after the extended bear market. At the time the price of Litecoin led the market into a reversal. Eventually, the reversal was dominated by Bitcoin resulting in a parabolic rally. The rally saw Bitcoin absorb the remaining value of the altcoin market. Litecoin price led the original rally and the market decline after Bitcoin’s rally.
Litecoin (LTC) Price Today – LTC / USD
Going by history Litecoin is leading the market once more. The coin has ensured that other digital tokens move away from the downtrend resistance and propel further to new highs. The cryptocurrency market is now convinced of a new uptrend is in full swing. However, some feel this bull season is only for Bitcoin.
The LTC/BTC Weekly Chart Indicates a Multi-Year Head and Shoulders Pattern
According to the LTC/BTC price chart, the Litecoin price could be forming a huge multi-year head and shoulders pattern. This could cause serious destruction to the value of LTC and that of the altcoin market. Altcoins rise and fall in tandem. They rely on Bitcoin’s price action for direction. However, Bitcoin’s rally cannibalizes altcoins due to FOMO from one asset to the other. Head and shoulders pattern targets are measured based on the height of this head from the bottom of the pattern. This could cause a 70% drop in the price of Litecoin against Bitcoin.
It could also mean a huge drop further in the price of altcoins across the market, as LTC has historically acted as the leading indicator for the entire market. The head and shoulders tops can result in strong throwbacks to support the fresh resistances. Such throwback can explain the bullish rally that LTC is currently leading. Although, it would ultimately result at the end of the rally as an epic plunge will emerge.