LTC/BTC is a cross pair that is often traded and tends to move within a tight range. Over the past five years, Bitcoin has outperformed Litecoin, resulting in the market being in a bearish trend.
A chart of the pair shows a series of lower highs and lower lows, which is characteristic of a bearish triangle. This bearish bias is still strong as the descending triangle has yet to break.
The movements of the cross pair are based on the differences between the LTC/USD pair and BTC/USD pair. As Bitcoin has outperformed Litecoin in the last five years, it is likely that this outperformance will continue.
A trader can wait to short the cross until the triangle breaks lower. The stop should be set at the lower high of the previous day.
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