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HomeAltcoin NewsLitecoin (LTC) Price Analysis: Bulls Facing Uphill Task Near $44.5

Litecoin (LTC) Price Analysis: Bulls Facing Uphill Task Near $44.5

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  • Litecoin price started an upside correction from the $41.50 support zone against the US Dollar.
  • LTC price is now trading well below the $42.50 level and the 55 simple moving average (4-hours).
  • There is a crucial bearish trend line forming with resistance near $44.50 on the 4-hours chart of the LTC/USD pair (data feed from Coinbase).
  • The pair could struggle to clear the $44.50 and $45.00 resistance levels in the near term.

Litecoin price is slowly moving higher towards $45.00 against the US Dollar, while bitcoin gained 3%. LTC price must surpass the $44.50 resistance zone to continue higher.

Litecoin Price Analysis

In the past few sessions, there was a decent recovery in bitcoin, Ethereum, ripple, and litecoin against the US Dollar. Earlier, LTC price extended its decline below the $42.20 support level.

However, the price found a strong support near the $41.50 level. A support base was formed above $41.50 and the price recently started an upside correction. It surpassed the $42.50 level and the 55 simple moving average (4-hours).

There was a break above the 50% Fib retracement level of the downward move from the $45.55 high to $40.86 low. The price is now testing the $44.00 resistance area.

On the upside, there is a crucial bearish trend line forming with resistance near $44.50 on the 4-hours chart of the LTC/USD pair. The trend line is close to the 76.4% Fib retracement level of the downward move from the $45.55 high to $40.86 low.

Litecoin price must surpass the $44.50 resistance zone and the trend line to continue higher. The next major resistance on the upside is near the $45.50 level, above which the bulls might aim a test of $50.00.

Conversely, the price may perhaps fail to clear the $44.50 resistance. An initial support is near the $43.20 level. The first major support is near the $43.00 level and the 55 simple moving average (4-hours). Any further losses may perhaps lead the price back towards the main $41.50 support zone.

Litecoin Price
Litecoin Price

Looking at the chart, litecoin price is clearly approaching a couple of important hurdles near $44.50. It could either start a strong rally above the $44.50 resistance or it might resume its decline towards the $41.50 level.

Technical indicators

4 hours MACD – The MACD for LTC/USD is currently gaining momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for LTC/USD is now well above the 55 level.

Key Support Levels – $43.00 and $41.50.

Key Resistance Levels – $44.50 and $45.50.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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