Litecoin price analysis: Stuck in a range- Mike Novogratz believes LTC is overvalued

Litecoin retreats from the high close to $100 and gets stuck in a range.

Sell Litecoin and buy Bitcoin, says Galaxy digital founder and CEO Mike Novogratz.

Following the recent surge that took Litecoin close to $100 level, the asset has fallen into a range between $80.00 and $90.00. The lack of momentum to push the price above $100 gave the bears a chance to enter and LTC/USD flash drop on Wednesday trimmed gains only to settle in the range. For two days now, Litecoin has not been able to recover above $90.00 (range limit). However, the downside is strongly supported at the range support ($80.00).

At press time, LTC/USD is dancing with $87.11 unable to beat the resistance at the falling trendline. Applied technical indicators are sending negative signals. The RSI is trending lower at 50 after being rejected at 70.00 during the Asian session on Friday. The MACD 15’ is horizontal at 0.0 (mean line), which could mean that the uptrend has no power or sideways trading is taking over. On the other hand, Litecoin will find support at the 100 SMA and the 50 SMA in the same 15’ range.

The former Goldman Sachs partner and the founder and CEO of Galaxy Digital, Michael Novogratz recently said “I don’t get this” Litecoin rally. He advised investors to sell LTC and buy BTC. His comments came after Litecoin rallied towards $100:

“Gold has an $8.5 trillion dollar market cap. Silver is $15bn That is .17%.  $BTC has a $90bn mkt cap. $ltc is $5.7bn which is 6.4% of $BTC. Silver is at least useful for industrial production.  $ltc is a glorified test net for $btc. I don't get this rally. Sell $ltc buy $btc.”

 

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