{"id":367218,"date":"2021-11-15T15:41:05","date_gmt":"2021-11-15T12:41:05","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/litecoin-grapples-with-double-top-risks-after-ltc-price-rallies-37-in-november\/"},"modified":"2021-11-15T15:41:05","modified_gmt":"2021-11-15T12:41:05","slug":"litecoin-grapples-with-double-top-risks-after-ltc-price-rallies-37-in-november","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/litecoin-grapples-with-double-top-risks-after-ltc-price-rallies-37-in-november\/","title":{"rendered":"# Litecoin grapples with \u2018double top\u2019 risks after LTC price rallies 37% in November"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a40f16ce2a80\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a40f16ce2a80\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/litecoin-grapples-with-double-top-risks-after-ltc-price-rallies-37-in-november\/#The_Bitcoin_correlation\" >The Bitcoin correlation<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/litecoin-grapples-with-double-top-risks-after-ltc-price-rallies-37-in-november\/#Litecoin_%E2%80%9Cbull_pennant%E2%80%9D_puts_LTC_target_at_350\" >Litecoin \u201cbull pennant\u201d puts LTC target at $350<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Litecoin gr<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>les with \u2018double top\u2019 risks after LTC price rallies 37% in November <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>A 37% November price rally in Litecoin (LTC) risks exhaustion as the \u201csilver cryptocurrency\u201d\u00a0hints at forming a double top chart pattern.<\/p>\n<p>The classic bearish reversal setup appears when the price forms two consecutive peaks of almost the same height, with each upside move meeting with a strong correction toward a common support level, called the \u201cneckline.\u201d<\/p>\n<p>Typically, the price breaks below the support and falls by as much as the maximum height between the double top\u2019s peak and neckline.<\/p>\n<p>So it appears, Litecoin is halfway through forming a double top pattern, as shown in the chart below.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-11\/03d29c59-4922-41bd-aa8b-7c0e2020b596.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>LTC\/USD four-hour price chart featuring \u201cdouble top\u201d pattern. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>In detail, LTC\u2019s price peaked out on Nov. 10 near $295.50 \u2014 the first top \u2014 before correcting lower toward the neckline support of around $249. That followed up with a rebound to $280 \u2014 the second top \u2014 eventually attracting profit-takers to cause a minor correction, which is still underway.<\/p>\n<p>Litecoin would need to extend its selloff to retest the neckline. Meanwhile, breaking below the support level would activate the double top breakout setup, with the profit target sitting near $200.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_Bitcoin_correlation\"><\/span>The Bitcoin correlation<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Litecoin\u2019s bearish reversal pattern is emerging when inflation in the United States\u00a0has surged to a three-decade high, prompting investors to seek a hedge across various financial instruments. <\/p>\n<p>For instance, the most actively traded gold futures lately posted to its best week in six months, jumping 2.9% to\u00a0$1,868.50 per troy ounce, after the U.S. Labor Department reported an increase in the consumer price index (CPI) by 6.2% year-over-year. That marked the fifth-straight month of inflation above 5%.<\/p>\n<p>Many investors and\/or traders turned to Bitcoin\u00a0(BTC) after perceiving it as a safety net against rising inflation, noted Wilfred Daye, head of Securitize Capital \u2014 the asset-management arm of Securitize Inc \u2014 admitting that people have picked the cryptocurrency as a hedge despite its concerning price volatility.<\/p>\n<p>\u201cWe don\u2019t have long enough history to assert Bitcoin is indeed an inflation hedge,\u201d Daye <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.business-standard.com\/article\/markets\/need-an-inflation-hedge-bitcoin-has-delivered-99-996-deflation-121111200838_1.html\">said<\/a>, adding:<\/p>\n<blockquote><p>\u201cI would argue that gold is a better inflation hedge still. But Bitcoin as an inflation hedge is a new sexy concept \u2014 people love new ideas.\u201d<\/p><\/blockquote>\n<p>Bitcoin\u2019s growth has also helped altcoins\u00a0rise in tandem thanks to its broader influence across the crypto market. Litecoin has been one of the beneficiaries of the rally, with its one-year correlation efficiency with Bitcoin standing at 0.71 above zero, per data collected from\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cryptowat.ch\/correlations\">Cryptowatch<\/a>.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-11\/7a473100-b73e-4452-8757-eb24e4cc74a8.png\"><figcaption style=\"text-align: center;\"><em>LTC\/USD versus BTC\/USD four-hour price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>As a result, concerns over persistently higher inflation have acted as a tailwind for Litecoin gains through Bitcoin. That could somewhat play spoilers for the bearish double top setup presented above \u2014 and validate a bullish pattern that has been active since last weekend.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Litecoin_%E2%80%9Cbull_pennant%E2%80%9D_puts_LTC_target_at_350\"><\/span>Litecoin \u201cbull pennant\u201d puts LTC target at $350<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Dubbed a bull pennant, the bullish continuation pattern appears when the price consolidates sideways inside a triangular structure after a strong rally upward. Traders confirm a bullish breakout when the price breaks above the triangle\u2019s upper trendline with strong volumes.<\/p>\n<p><strong><em>Related:\u00a0Litecoin hits 6-month high as LTC price soars 20% in 24 hours<\/em><\/strong><\/p>\n<p>In doing so, they eye the level at length equal to the height of the previous uptrend (aka flagpole) as their profit target. As a result, Litecoin\u2019s price eyes an extended upside move toward $350, as shown via the setup in the chart below.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-11\/4fd76afc-bca7-4a26-936d-17b4177969da.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>LTC\/USD 4-hour price chart featuring bull pennant setup. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>Meanwhile, failing to have a decisively bullish follow-through risks activating the double top setup. That brings the \u201cmulti-month ascending trendline support\u201d in the picture as the next downside target should there be a bearish breakdown move; coincidentally, the target is also near $200.<\/p>\n<p class=\"post-content__disclaimer\">The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.\n<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/litecoin-grapples-with-double-top-risks-after-ltc-price-rallies-37-in-november\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Litecoin grapples with \u2018double top\u2019 risks after LTC price rallies 37% in November &#8221; A 37% November price rally in Litecoin (LTC) risks exhaustion as the \u201csilver cryptocurrency\u201d\u00a0hints at forming a double top chart pattern. The classic bearish reversal setup appears when the price forms two consecutive peaks of almost the same height, with&#8230;<\/p>\n","protected":false},"author":1,"featured_media":367219,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMTEvNmQwODdlMDAtNTc1Yy00ZDE2LWIzMTQtMTY0OGZhNDJhOTJlLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,88119,75162,76111,74939,75679,75150,75164,78261,70551,73785],"class_list":["post-367218","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-altcoin-watch","tag-litecoin","tag-litecoin-price","tag-market-analysis","tag-market-capitalization","tag-market-update","tag-price-analysis","tag-tech-analysis","tag-inflation","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/367218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=367218"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/367218\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/367219"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=367218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=367218"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=367218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}