Litecoin: Wave IV Support Could Set Up Another Bullish Push

We discussed Litecoin back on September 24, when the bullish setup was pointing toward further upside within wave C or III. CLICK HERE
Since then, Litecoin has nicely recovered and reached the projected $70–75 area, but the structure is still not fully confirmed as a five-wave impulse. For now, we can only clearly identify a three-wave A/1-B/II-C/III rally, so we need to see further impulsive development before confirming a stronger bullish trend.

After reaching the 261.8% Fibonacci extension and the 74 level of wave B/II, the recovery can ideally be interpreted as wave III. However, price may now be slowing down within a higher-degree wave IV correction. Litecoin is currently testing the key projected $63–60 support area, which could provide a base for another bullish continuation into wave V. A rebound back above the channel resistance line near the $70 level would strengthen the bullish case and put wave V in play.

On the other hand, if Litecoin suddenly slips below $59 and then breaks below the $50 invalidation level, the current ABC corrective rally could be considered complete. Until then, the bullish continuation scenario remains in play, with the reaction from the current support area being important for the next move.