Litecoin (LTC) has posted daily gains of almost 20% on Nov. 9, the highest levels for LTC/USD since May 2021, amid a wider cryptocurrency market rally that analysts attribute to inflation fears.
— Holger Zschaepitz (@Schuldensuehner) November 9, 2021
The 14th-largest digital asset rose by a little over 25% in three days, pushing its price to almost $250 on Coinbase. Meanwhile, the total value of cryptocurrencies reached nearly $3 trillion, the highest level ever.
Litecoin’s ongoing price rally drew inspirations from similar upside moves across the top digital asset brass, data from Cointelegraph Markets Pro shows.
Nonetheless, only a few top alternative cryptocurrencies (altcoins) fared better against Bitcoin in the previous 24 hours, including Litecoin. Data provided by Messari showed that the hugely traded LTC/BTC instrument surged almost 14%, indicating a rise in capital migration from Bitcoin to Litecoin markets.
The pair’s technical outlook suggested further gains ahead, based on a classic bullish reversal pattern called a falling wedge.
Falling wedges begin wide at the top but start contracting as the price moves lower. A bullish confirmation comes when the price breaks above the wedge’s upper trendline. Analysts typically interpret the breakout as a signal to a rally toward the profit target that sits at length equal to the wedge’s maximum height.
The latest Litecoin gains had its price break above its falling wedge’s upper trendline, staging prospects of additional upside.
In doing so, the profit target comes to be around 0.006122 BTC. On the flip side, the Litecoin chart detected a bearish divergence between its rising prices and falling volumes in the last three weeks, underscoring that the falling wedge breakout move may grow weaker.
Another Litecoin wedge, but bearish
The Litecoin price, in terms of United States dollars, has rallied by more than 150% after bottoming out near $103 on July 20….