Waiting for an Alt Rally: An LTC vs BTC Analysis


Anyone paying attention to crypto knows that BTC has been soaring against alt coins for most of the year. Many alts are near their yearly or all time lows versus BTC.

So when is the right time to get into alts?

LTC vs. BTC analysis



Looking at the daily chart of LTC vs BTC you can see price is currently testing the most recent bottom. Obviously if price holds here then we have a double bottom in that we may be able to trad off of. However, the ultimate lows are still a but further away at .007.

From a risk-reward perspective the trade really isn't all that bad right here considering price was at .017 just a couple months ago.

Even if price went to the lows to stop you out, it would be only a .0015 loss compared to the possible upside of .009

That's a 6 to 1 risk-reward ratio!!!

If you have ever read the book Money: Master the Game from Tony Robbins there was one of many themes found when he interviewed top money managers.

They looked for investments that offered 5 to 1 risk-reward scenarios and mainly stuck to that rule.

As for LTC against BTC it could certainly continue lower, especially considering BTC has its halving next year and LTC just completed its.

I'm just saying, from a pure trade perspective there is definitely solid arguments for getting long.

 

 



Published by ScaredyCatGuide

on

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https://mentormarket.io/cryptocurrencies/scaredycatguide/waiting-for-an-alt-rally-an-ltc-vs-btc-analysis/




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4 comments
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I will have to check out that book, thx bro...as I like to take only set ups with the same reward to risk ratio

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Pretty good book. About more than just trading. More of a universal money and philosophy of money book. I was surprised actually.

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We are so close to a the all time low, that even in the "1" scenario, you would just have to wait longer to get your rewards.

That said, i still feel that bitcoin is going to tear off, while the alt coins are going to be slow to follow. But i am sure of their following, and very bearish on them making higher percentage gains.

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The amount of liquidations of assets going on today with the financial markets panic may disrupt this a bit as many look for known safe havens.

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