Litecoin Surprised the Crypto Markets After Breaking Above $70, Is 100% Surge Possible?February 2, 2020
Over the past few years, Litecoin (LTC) has suffered after the market bubble. However, there are instances that it trades along with the cryptocurrency market’s leader, such as Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP).
The 2020 rally of LTC has begun reaching steam as it displayed some signs of the possible upward leg. These signs will push the crypto asset to hit a new year-to-end high.
At the time of writing, Litecoin gained the seventh spot as the largest crypto asset by market capitalization. According to analysts, that spot is already impressive since the LTC isn’t performing well in the past.
Considering the market performance of Litecoin over the past few weeks, it rallied to a significant distance where it reached the current above $70 from recent lows of $50.
A lot of LTC enthusiasts believe that the current surge is just a beginning of higher surges. They are now seeing some signs that the crypto is now on its next parabolic momentum’s early stages.
Litecoin Trades Above 5% Level
At the moment, the current price of Litecoin is $71 and trading above 5%. This translates that it successfully climbed from the daily lows, which are below the $69 level.
The recent climb is significant to the Litecoin bulls. That’s because it invalidated the possible bearish zone that is formed today.
Crypto analyst Big Cheds noted that the ability of the LTC bulls in deceiving the bearish pattern suggests for positive scenarios. If the bulls successfully close above the $69.89 level, then they can invalidate the bearish pattern.
Key Reversal Pattern Formation
Technical analyst Rekt Capital noted that the LTC/BTC chart is displaying signs of macro reversal formation following the Litecoin’s collapse against Bitcoin (BTC) in 2019.
Although BTC recorded an overwhelming 35% market performance, LTC performed even better as it surged by 76%. As a result, the LTC/BTC pair surged higher.
Additionally, the analysis of Rekt Capital implies that once the LTC/BTC pair managed to retain above the 0.0075 BTC, then it led Litecoin to a fresh market cycle. The surge of LTC can be a basis to an identical rally in BTC’s price, especially that LTC leads the crypto markets in 2019.
LTC’s Next Parabolic Momentum
Many folks in the crypto space have noticed that Litecoin is forming the same bottom formation it had during the late-2019. That bottom formation was eventually tailed by a parabolic run from 0.007 BTC to 0.02 BTC, which is a 185% rally.
The aforementioned parabolic rally could soon be repeated as many LTC bulls believe as it currently signals for a bottom formation.
Meanwhile, based on the recent technical formation of Litecoin while considering its historical bullishness, some analysts see the crypto asset to push a remarkable trend. If it happens, post massive gains against the US Dollar is possible.
With the current market performance of LTC, the bulls gained a new set of hopes that the previous poor performance will not happen this time.