After leading the market during the week, Litecoin has a markedly more bullish market structure than other top cryptocurrencies.
Litecoin was had already increased by over 10% in price on the LTC/USD chart before Bitcoin started its considerable increases.
Litecoin has acted as a leading indicator for Bitcoin several times in the past.
Many top cryptocurrencies failed to form a higher high when compared with their early January highs.
However, the outperformance in Litecoin resulted in it surpassing its January high.
The January high looks likely to now act as a support level as well as $39.53 below this which was a point of considerable resistance in early January.
Price had tested the 0.618 Fibonacci retracement level between the December low and January high multiple times earlier in the week before the eventual price surge.
Price briefly slows at $39.53, but significant buyer momentum resulted in price overcoming the level relatively quickly.
The main bearish argument for Litecoin is that other top cryptocurrencies are forming more bearish patterns given that they failed to overcome early January highs as well as recording losses today.
With the cryptocurrency market tending to move together, movements in top cryptocurrencies should be monitored but Litecoin should also be monitored as a potential leading indicator during the week if it makes significant movements.
- Litecoin forming a more bullish market structure than other top cryptocurrencies after surpassing its January high.
- Key support levels below the current price are the January high and $39.53.
- Other top cryptocurrencies are forming more bearish patterns which may have an effect on the future price prospects of Litecoin.