Over the past few weeks, the Litecoin price has seen significant volatility and corrections. Despite the downward trend, the cryptocurrency analyst predicted that LTC may be the case laying the groundwork for another explosive rally. He shared a detailed technical analysis and price chart, explaining why he thinks Litecoin could ultimately take a bullish position.
Litecoin may be gearing up for another massive rally just like his the market structure remains essentially intact. According to a recent analysis by market expert The Penguin (@ThePenguinXBT), the LTC structure continues to point to significantly higher price levels, with recent volatility and declines does little to change the overall macro outlook.
Litecoin price is preparing for an explosive rise
Sharing 4 Hour Price Chart, The Penguin distance a detailed explanation of why he thinks Litecoin is preparing for another price surge. He explained that LTC had already disappeared on October 10, a key technical move that could signal an end to the decline. catches the flow. At the same time, the chart shows the completed five-wave move down to what appears to be the final stage of Litecoin’s correction.
Related reading: Why Litecoin price could surge 33% to $110
Penguin noticed that the LTC price had previously stabilized in a clear horizontal range, then briefly dropped below it and quickly rebounded to this level. This rebound occurred near the lower support zone around $70, where there was a pointed sell-off mighty purchasing pressure. As a result, the price action resulted in a rounded rebound from the recent low, which the analyst described as Litecoin’s last corrective wave.
According to The Penguin, the internal structure of Litecoin’s recent move suggests two things: the final correction is complete or a final marginal low for LTC may occur. Either way, he emphasized that the broader setup remains strongly bullish.
Penguin had already predicted this Litecoin begins its next impulsive moveit may be arduous to push the price down to previous trading ranges. From the rounded recovery line, the chart shows a potential move towards $82. The analyst also pointed to the upper blue resistance line above $86 as an additional upside target. If the chart setup goes as expected, Litecoin’s price could skyrocket by more than 17% from its current level of around $70.
The analyst sets an ambitious price target for LTC at $1,600
In a more recent analysis by The Penguin common recent chart suggesting that Litecoin may be preparing to: dramatic price escalate. The chart shows a key descending triangle formation, traditionally called a bearish continuation signal, especially when it forms after a downtrend.
According to the analyst, Litecoin is trying to break out of a multi-year session descending triangle on the weekly chart, signaling the potential end of consolidation and the beginning of a recent phase of growth. When this happens, The Penguin predicts that the cryptocurrency could begin a pointed vertical rise towards $1,600.
Featured image from Adobe Stock, chart from Tradingview.com
