- Litecoin price is trading higher after it formed a support base near $40.0 against the US Dollar.
- LTC price is now facing a couple of key hurdles near the $42.50 and $42.60 levels.
- There is a key bearish trend line forming with resistance near $43.05 on the 4-hours chart of the LTC/USD pair (data feed from Coinbase).
- The pair must surpass the $43.00 and $44.50 resistance levels to start a strong uptrend.
Litecoin price is facing a couple of key hurdles against the US Dollar, similar to bitcoin. LTC price might struggle to continue higher above $43.20 and $44.50 in the near term.
Litecoin Price Analysis
This past week, there was a bearish reaction in bitcoin, Ethereum, ripple, and litecoin against the US Dollar. LTC price declined below the $40.50 support level, but it remained well bid above the $39.50 and $38.00 support levels.
A low is formed near $39.54 and the price is currently rising. It surpassed the $41.00 resistance area and the 55 simple moving average (4-hours). Besides, there was a break above the 23.6% Fib retracement level of the downward move from the $44.53 high to $39.54 low.
However, it is currently facing hurdles near the $42.00 and $42.05 levels. The 50% Fib retracement level of the downward move from the $44.53 high to $39.54 low is also acting as a strong resistance.
There is also a key bearish trend line forming with resistance near $43.05 on the 4-hours chart of the LTC/USD pair. Therefore, litecoin price must surpass the $42.00 and $43.00 resistance levels to continue higher.
The main resistance is still near $44.50, above which the price is likely to start a strong rise in the coming sessions. In the mentioned case, the price is likely to surge towards the $47.50 and $48.00 levels in the near term.
Conversely, the bulls might fail to gain strength above the $43.00 resistance area. In the mentioned case, the price could retreat lower towards the $40.00 level. The main supports are near the $39.50 and $38.00 levels, below which there could be a sharp decline to $35.00.
Looking at the chart, litecoin price is clearly facing a few important hurdles near $42.00 and $43.00. It could either start a strong rally above $43.00 or it might dive back towards $38.50 or even $35.00.
Technical indicators
4 hours MACD – The MACD for LTC/USD is slowly losing momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for LTC/USD is now just below the 50 level.
Key Support Levels – $39.50 and $38.00.
Key Resistance Levels – $43.00 and $44.50.