Litecoin’s Unexpected Rally
On January 30, Litecoin (LTC) took the crypto world by storm, flickering up the charts like a lightbulb with a fresh energy-saving bulb in both its USD and Bitcoin (BTC) pairs. With a jaw-dropping rally of over 20%, it clinched the title of the top daily gainer among the elite top-10 cryptocurrencies ranked by market capitalization. Talk about a glorious comeback!
History Repeats: A Glimpse Back
Remember back in 2019? Litecoin was the early bird that caught the crypto worm, springing more than 350% between January and June. So when traders see Litecoin’s recent meteoric rise, they can’t help but feel that the excitement of yesteryears could be rearing its head again, possibly signaling a broader bull market.
Four-Month High: Time to Celebrate?
Moving past mere speculation, it’s worth noting the facts. The LTC/USDT pair couldn’t resist breaking above the 200-day moving average (DMA) accompanied by the highest trading volume since April 2019. Talk about a breakout! Prices jumped from $59 to $99 seamlessly, forming a new weekly high of $69.89, the likes of which we haven’t seen since September 2019. Traders can almost hear the confetti falling.
Cup and Handle: A Classic Pattern
Traders who enjoy their technical analysis might have been glued to their screens when Litecoin completed a classic cup and handle pattern. It’s not just a pretty chart; this formation often indicates a bullish continuation. Should everything go as planned, the targeted range for the breakout is estimated to soar between $90 and $100. But let’s face it, calling it a “perfect” market is a bit like saying your cat will behave on a road trip. Spoiler alert: it won’t.
Watch Out for the BTC Pair
And it’s not just the USD pair flipping bullish. The LTC/BTC pairing mirrors this momentum, breaking above the 200-DMA and eyeing long-term resistance at 0.007529 satoshis. As the MACD histogram turns positive and the RSI inches into overbought territory, the thrill isn’t just in Litecoin but also in its Bitcoin pairing. Traders should be alert, as this pairing’s recent purchasing volume hit nearly a 7-month high. Keep those eyes peeled!
Market Landscape Overview
Currently, Litecoin boasts a modest dominance rate of 1.5%, while Bitcoin reigns supreme at 65.9%. With the total cryptocurrency market cap floating around $258.4 billion, it’s safe to say that crypto traders are enjoying the ride. Not to be outdone, others like ETH, EOS, and TRON are also popping a few bubbles of their own with notable increases, creating an atmosphere of optimism and excitement throughout the market.
