Altcoin Newsletter #289
Features analysis on Altcoins such as LIT RSR USELESS ASTER NPC ALGO
Welcome to the Rekt Capital Newsletter, a resource for investors who want to better navigate the crypto markets with the help of cutting-edge crypto research and unbiased market analysis.
In today’s Altcoin newsletter I cover the following Altcoins – specifically:
- Lighter (LIT)
- Reserve Rights (RSR)
- Useless Coin (USELESS)
- Aster (ASTER)
- Non-Playable Coin (NPC)
- Algorand (ALGO)
These Altcoin TA requests are made by valued readers of the Rekt Capital Premium Newsletter.
Let’s dive in...
Lighter – LIT/USDT
In late July, we spoke about Lighter in a previous newsletter, where price needed to Monthly Close above the blue region and hold it as support to position itself for continuation:
That blue area was a pivotal point for LIT as it is the listing price on MEXC.
A Monthly Close and retest would have been the confirmation for price to springboard higher.
In the absence of that, price would have had to reject back into the Higher Low (blue ascending trendline) over time.
In the end, price Monthly Closed perfectly within the blue region, offered bullish confirmation, and performed a picture-perfect retest of said level:
The picture-perfect technical reclaim enabled LIT to rally +135% to the upside since.
It doesn't get any better than that.
Price has effectively reclaimed this area of historical support, then supply, and then supply again, and this is now a new support going forward.
After such a confirmed breakout move - what's next?
Going forward, we're now looking at this prior redistribution range (red-red).
With price Monthly Closing above $3.2002 (red horizontal, Range Low of that range), LIT has a chance to revisit the Range High.
But more crucially, it needs to hold that Range Low as support at some point in the future.
So we're probably going to be consolidating within this newfound Macro Range.
LIT has rallied into highs that once acted as redistribution pre-2022 and now have a chance to act as Re-Accumulation.
So LIT could be bouncing between the Range Low and the Range High over time.
A stronger rejection from the Range High would put that Range Low next, and if LIT rolls over right now, the Range Low remains the key level either way.
It all starts off by building a home here through a retest of $3.2002 as new support on any meaningful pullback.
The Range High, just below $6 (pink horizontal), matters too.
And we've already seen a retest of the Range Low take place on the Weekly timeframe.
Historically, whenever these retests of the $3.2002 Range Low have taken place, price has rallied to the Range High over time, specifically on those prior two successful occasions (green circles).
So there's a pretty good chance LIT rallies to the Range High resistance next, with scope for a pullback afterwards, just like we've seen in the past.
The very inklings of that Range Low have been solidified most recently.
The Range High could be next as a point of rejection, dropping price back into the Range Low as part of consolidation, in what could very well be a brand new Re-Accumulation range.
But of course, if the market continues to be as bullish as it has been, best-case scenario LIT would Weekly Close above the red Range High and reclaim it as support to skip this Re-Accumulation Range altogether and rally higher.
It all comes down to the Weekly Closes relative to key aforementioned levels.