After a significant rise, the bulls appear to have relaxed a bit as the prices of the majority of the tokens have been facing extreme consolidation. The star crypto, Bitcoin, witnessed a significant upswing and rose above $31,000. Besides, the Lite version of Bitcoin, Litecoin, displayed an iconic rally in the past few days and is presently struggling to rise above the $113 resistance zone.
Both the proof-of-work blockchains will be undergoing a halving event in the few months ahead, hence the fresh pullback in LTC prices. On the other hand, BTC prices are also facing a fresh plunge. It may appear both could be facing a halt in the pre-halving rise, but both tokens are in the middle of a breakout trend.
The LTC & BTC prices have recently undergone a breakout, no matter that they could not reach the interim highs. If they had marked the larger targets and dropped them, it would have appeared as a fake breakout. But the prices are hovering around the resistance, and hence a retracement and failure to achieve their crucial post-breakout retests could be imminent.
Therefore, it can be said that both are in the middle of a breakout trend. So what’s next?
The Litecoin price appears to have reached the upper resistance of the multi-year downtrend line. As a result, a popular analyst, Rekt Capital, predicts that a deep retracement will be followed by a 70% drop.
Besides, the Bitcoin(BTC) price has dropped below $31,000, again offering the chance for traders to accumulate more. The price is at the apex of the bullish consolidation and hence is closer to a massive explosion, which may lift the levels beyond the yearly highs.
The post appeared first on Coinpedia
