Last week, Bitcoin and Ethereum once again renewed their all-time highs, while LTC made a significant leap to $295 after stabilizing in the zone below $200 for such a long period. The last time LTC hitting this level was half a year ago. Though LTC has broken through the resistance of the $200 zone and soared even above the September highs, there is still a quite long distance from the former highs in May.
On the daily chart, LTC price is currently observing a strong correction. The upside trend of LTC might face hostility near $300. The support of can be seen near $250. It is also trading above the 50 and 100 Daily Moving Average, which is a bullish signal.
Turn to the 4-hour price chart, we can see that it seems to form a "double tops" pattern. The classic bearish reversal setup appears when the price forms two consecutive peaks of almost the same height, with each upside move meeting with a strong correction toward a common support level, called the "neckline", which is around $245.
Litecoin would need to extend its sell off to retest the neckline. Meanwhile, breaking below the support level would activate the double top breakout setup, with the profit target sitting near $200.