Litecoin continues to look a bit soft, but as I pointed out yesterday, we are hovering a major support level in the form of $46.50. The market is at roughly the 50% Fibonacci retracement level as well, and I believe this bodes well for buying on the debt. After all, the US dollar has been on the back foot as of late, but the last couple of sessions have been a bit stronger for the greenback due to the tensions with North Korea. As soon as that stops, greenback selling will probably come back into play. Once this happens, we should see a bounce in this market and an attempt to break out to the upside and reach towards the $50 level again.
Adding slowly, waiting for the break out
At this point in time, I think that the only thing you can do is add to this market slowly, and wait for that break out. I believe that there is a massive amount of support underneath, extending down to at least the $45 level. Because of this, I feel that those of you who can wait will be rewarded with gains in the Litecoin markets given enough time. I don’t have any interest in selling, I believe that the $50 level will be broken, but it of course has a certain amount of psychological importance attached to it. Because of this, I think that it is only a matter of time before we get our move, but geopolitical tensions seem to be taking center stage in general. I would have no interest in selling this market until we cleared the $44 level below, and that does not look to be a serious threat anytime soon. Once we do break above the $50 level, I think that the market becomes more of a “buy-and-hold” scenario.