- Litecoin started a downside correction from the $94 zone against the US Dollar.
- LTC price is now trading below $88 and the 55 simple moving average (4 hours).
- There is a key bullish trend line forming with support near $82.50 on the 4-hours chart of the LTC/USD pair (data feed from Coinbase).
- The pair could start a fresh increase if it clears the $86.50 resistance.
Litecoin price is correcting gains from $94 against the US Dollar, similar to bitcoin. LTC price could resume its increase if it remains well supported above the $82.50 level.
Litecoin Price Analysis
In the past few days, there was a decent increase in Bitcoin, Ethereum, Ripple, and Litecoin against the US Dollar. Earlier, LTC formed a base above the $75 level and started a fresh increase.
There was a clear move above the $8 and $88 resistance levels. The price even climbed above the $90 level and the 55 simple moving average (4 hours). However, the bears were active near the $94 zone. The recent high was formed near $93.82 and the price started a downside correction.
There was a move below the $90 level. The price traded below the 23.6% Fib retracement level of the upward move from the $71.09 swing low to the $93.82 high.
It is now trading below $88 and the 55 simple moving average (4 hours). On the upside, the price is facing resistance near the $86 level. The next major resistance sits near the $88 level. A clear move above the $88 level could pump the price toward the $94 level. Any more gains might call for a test of $100.
Immediate support is near the $82.50 level or the 50% Fib retracement level of the upward move from the $71.09 swing low to the $93.82 high.
There is also a key bullish trend line forming with support near $82.50 on the 4-hours chart of the LTC/USD pair. The next major support is near the $79.20 zone. A downside break below the $79.20 support might start a strong decline.
Looking at the chart, Litecoin price is trading below $92 and the 55 simple moving average (4 hours). Overall, the price remains supported for a fresh increase unless there is a clear move below $86.50.
Technical indicators
4 hours MACD – The MACD for LTC/USD is now gaining pace in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for LTC/USD is now below the 50 level.
Key Support Levels – $82.50 and $79.20
Key Resistance Levels – $86.50 and $88.00.
