Litecoin Chart Update - March 28, 2018

Hello everyone!

Just a quick follow up to yesterday's post on Litecoin. I thought of checking out the LTCBTC chart again in Day 2 of the aftermath of the incredible fallout of LitePay.

As I've noted yesterday, Litecoin has breached 2 support lines in the past couple of days. The first support level is the uptrend channel. In fact, even before the breach, the listless movement might suggest that the uptrend continuation was in jeopardy. The second breach was perhaps the more important one -- a convincing fall below the 0.018 support level would be a real indication of bearishness. As of the time of writing yesterday, price action was still being played out, but as we can now see from the chart, the fall had indeed taken shape. With Litecoin being in the headlines for the wrong reason, perhaps this continued weakness should not come as any surprise.

The next major support line is at 0.014 level. With the volatile nature of cryptocurrencies, it will not again be of any surprise if we reach this level sooner so long as this negative overhang persists.

The long term outlook for Litecoin is cloudy at best. The sooner the damage control on LitePay is done, the better it will be. Currently, investor sentiment on Litecoin has been shaken and I believe it will be imperative to make it a priority to restore their confidence. This can be done either by affirming the other parts of the development roadmap of Litecoin, or announcing something positive to stem the current negativity in the air. Let's just hope those in charge of promoting Litecoin have something up their sleeves in the forseeable future.

As always, trade carefully everyone.

Risk Warning: All comments, charts and analysis on this post are purely my own and should in no way be treated as recommendations or advice, nor should they be construed as an endorsement or recommendation to buy, sell or hold. Please do not trade based solely on the information provided on this post. Furthermore, past performance does not guarantee future success. Always do your own due diligence and analysis when trading.

Chart courtesy of TradingView