Analysis of LQTY/USDT – Potential Reversal from IHNS Pattern
If we look at the weekly timeframe (1W), the price of LQTY is still moving in a strong support area that previously acted as a price bounce point in the middle of this year. The area around 0.53 has become a crucial point that has now changed function to a minor resistance.
Moving to the daily timeframe (1D), it can be seen that the price briefly broke down from the support area but successfully recovered with quite solid volume. The consolidation that occurred in the 0.47–0.53 area shows an accumulation before a potential new direction is formed.
Now, in the 4-hour timeframe (4H), an interesting structure is starting to emerge — the *Inverse Head and Shoulders (IHNS)* pattern, which usually indicates an early sign of reversal from a downtrend to an uptrend.
The head and shoulders have formed clearly, and the price is now approaching the neckline in the 0.53–0.54 area. If the price successfully breaks out of this area with large volume, the target increase could head towards the 0.66 area as the next resistance.
As long as the price remains above the 0.47 area (as the invalidation boundary of the pattern), the short-term bullish momentum is still maintained. But remain cautious, as a failure to break out could cause the price to return to a sideways phase below the neckline.
Overall, the current setup of LQTY/USDT shows potential for a short-term reversal, with the 0.53 area being the main key to watch.
