HomeAltcoin NewsLitecoin (LTC) Price Analysis: Jumps 10% But Upsides Remain Capped

Litecoin (LTC) Price Analysis: Jumps 10% But Upsides Remain Capped

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  • Litecoin price declined heavily in the past few days below $100.00 and $90.00 against the US Dollar.
  • LTC price even broke the $80.00 support level and traded close to the $76.50 level.
  • There are two key bearish trend lines forming with resistance near $94.00 and $111.50 on the 4-hours chart of the LTC/USD pair (data feed from Coinbase).
  • The pair could struggle to climb above the $94.00-95.00 resistance area in the near term.

Litecoin price is currently recovering from $76.60 against the US Dollar, just like bitcoin from $9,200. However, LTC price might struggle near the $95.00 or $100.00 resistance level.

Litecoin Price Analysis

In the past few days, litecoin price declined heavily after it failed to clear the $125.00 resistance against the US Dollar. The LTC/USD pair broke many supports, including $110.00 and $100.00. Moreover, there was a close below the $100.00 support and the 55 simple moving average (4-hours). It opened the doors for more losses and the price traded below the $95.00 and $90.00 support levels.

Finally, the price even broke the $80.00 support and traded to a new monthly low at $76.60. Recently, the price started an upside correction above $80.00 and jumped more than 10%. It broke the 23.6% Fib retracement level of the recent slide from the $125.88 high to $76.60 low. However, the upward move was capped by the $95.00 resistance area.

Moreover, there are two key bearish trend lines forming with resistance near $94.00 and $111.50 on the 4-hours chart of the LTC/USD pair. Above the first trend line and $95.00, the price might face resistance near $100.00. The 50% Fib retracement level of the recent slide from the $125.88 high to $76.60 low is near the $100.00 resistance. Besides, the 55 simple moving average (4-hours) is also positioned near the $100.00 level.

Therefore, the price is likely to face a lot of hurdles near the $95.00 and $100.00 resistance levels. If there is a successful close above $100.00 and the 55 simple moving average (4-hours), there are chances of a strong recovery in the near term. If not, the price might resume its slide below the $88.00 and $85.00 support levels.

Litecoin Price Analysis LTC Chart

Looking at the chart, litecoin price is clearly facing a strong resistance near the $95.00 and $100.00 levels. If it continues to struggle below $100.00, the bears are likely to push the price back below the $85.00 support in the near term.

Technical indicators

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

4 hours RSI (Relative Strength Index) – The RSI for LTC/USD is still below the 50 level despite the recent jump.

Key Support Levels – $85.00 and $80.00.

Key Resistance Levels – $95.00 and $100.00.

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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