The main reason I don't think that this is a bear trap is because BTC cleanly bounced off its downtrend since ATH, making a third point of contact with a long down trendline. Litecoin doesn't look the same but we know BTC is king and strongly dictates movement.
Check out this 4h chart:
Pretty clean bounce off that trendline. There was no reason to believe in a full blown recovery, not yet. If this is accurate, I'd expect a continued downtrend. Something like this (see chart). I just am uncertain how low it could go. If the market is continuing to deflate, more and more of the new crowd of mainstream adopters will become disheartened/disillusioned, as their 'investment' x --> 0.
I still think it's possible we are seeing a repeat of, or some similarities to, the 2013/2014 crash.. This would mean a long bear market, bottoming out around 4000. I think this is possible, considering the ferociousness of the last bull run, the number of people that have been burned by this downtrend, loss of confidence, etc. Though I obviously can't know for sure.
Check out this 4h chart:
I still think it's possible we are seeing a repeat of, or some similarities to, the 2013/2014 crash.. This would mean a long bear market, bottoming out around 4000. I think this is possible, considering the ferociousness of the last bull run, the number of people that have been burned by this downtrend, loss of confidence, etc. Though I obviously can't know for sure.