Litecoin has slumped to $75 as the cryptocurrency saw another red day. The following looks at what could happen next.
August 15, 2019 | AtoZ Markets - The cryptocurrency market continues the bearish run, and LTC dropped below the $100 psychological level. The market has lost almost $50 billion in the last two weeks. Litecoin remains the 5th largest crypto listed on Coinmarketcap based on capitalization. Binance Litecoin users were attacked about 5 days ago with what is known as 'dusking'.There are thoughts that it might be the cause of the current dip. So, did 'dusking' cause the price slump? That's hard to call. While dusking affects only Litecoin, the current dip affects the entire market.
Litecoin dusking: how did it start?
On August 10, the Litecoin and Binance communities were rocked after the Binance official twitter account announced that there was a 'large scale dusking attack' on Litecoin users. Around 50 Litecoin addresses on Binance received 0.00000546 Litecoin which was part of the attack.
This attack is unique and strategic. It is set basically to reveal your identity and get your vital information. With this, any hacker could create a dusked address on your account and then link to his address or wallet or even change your identity to blackmail you. However, one can avoid this attack by using a different address while making any transaction or by using a VPN or tor network.
Before this information, Litecoin was already on the downside. It's very much unlikely that the dusk attack caused the dip from $85 to the current $75. Meanwhile, Litecoin is very close to a vital support zone where the dip could even get deeper.
Litecoin price prediction: Elliott wave analysis
After Litecoin completed a zigzag corrective pattern at $75 in mid-July. There was an expectation that the bullish trend would continue. However, the surge forwards should emerge into an impulse wave if the bullish trend will resume. In the last update, where we used the chart below, there were two scenarios.
The rally ended corrective and price quickly dropped. This means that the bearish correction will continue below $75 as the new chart below shows.
Price is knocking at the $70-75 support zone. Unless a fast bullish break above the channel and above $100 happens, LTC will most likely break below the support zone and drop further to $50.