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July 12, 2023

Crypto Analyst Flips Bearish on Litecoin, Says LTC Flashing Vibes of Late 2021 Correction

By Daily Hodl Staff

A widely followed crypto strategist believes that Litecoin’s (LTC) pre-halving rally may have already hit its peak.

Pseudonymous analyst Kaleo tells his 593,200 Twitter followers that the peer-to-peer payments network may be mirroring its price action during the second half of 2021 when it rallied by over 187% only to start a multi-month bear market.


According to the analyst, Litecoin recently respected its bear market trendline when LTC bulls failed to sustain momentum above $110.

“Here’s why I flipped short on LTC:

1) Clear rejection at resistance. Retrace after the recent range breakout looks incredibly similar to what we saw at the end of 2021, which resulted in new lows.”

Source: Kaleo/Twitter

Kaleo is also looking at the performance of LTC prior to its 2019 halving event. According to the trader, the previous halving marked the beginning of a downtrend for LTC.


“2) The halving is around the corner (date is ~August 2nd). As much as this has been hyped up as a bullish event, that isn’t necessarily what happened in the past. Let’s take a look at what happened after the last halving (8/5/19). It was a sell-the-news event. Price nuked.” 

Source: Kaleo/Twitter

Kaleo is also watching the performance of the Litecoin versus Bitcoin pair (LTC/BTC). The trader says LTC/BTC is flashing bearish signals on the lower timeframe after moving below diagonal support.

“3) Low timeframe we’ve seen a clear breakdown of support in LTC vs. BTC.”

Source: Kaleo/Twitter

Going back to the LTC/USD chart, Kaleo predicts a short-lived rally for Litecoin before the altcoin resumes its downtrend.

“4) Zooming in, LTC is currently hanging on to support vs USD, but I wouldn’t count on anything more than a dead cat bounce here.” 

Source: Kaleo/Twitter

At time of writing, Litecoin is worth $96.91.

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