- Litecoin price is sliding and it is now trading well below the $45.00 level against the US Dollar.
- LTC price is under pressure and it could struggle to recover above $44.00 and $45.00.
- There is a major bearish trend line forming with resistance near $44.80 on the 4-hours chart of the LTC/USD pair (data feed from Coinbase).
- The pair remains at a risk of more losses below the $42.80 and $42.50 levels in the near term.
Litecoin price is showing a lot of bearish signs against the US Dollar and bitcoin. LTC price is likely to extend decline and it might even break the $40.00 support.
Litecoin Price Analysis
In the past three days, there was a steady decline in bitcoin, Ethereum ripple and litecoin against the US Dollar. LTC price followed a bearish path from the $50.00 resistance and traded below many supports near $46.80.
Moreover, there was a close below the $45.50 level and the 55 simple moving average (4-hours). The decline gathered pace below the $45.00 level and the price traded to a new monthly low near the $42.84 level.
The price is currently consolidating losses above the $42.80 level. An initial resistance is near the $43.80 level. Additionally, it coincides with the 23.6% Fib retracement level of the downward move from the $46.37 high to $42.84 low.
The first main resistance is near the $44.60 level and the 55 simple moving average (4-hours). Besides, the 50% Fib retracement level of the downward move from the $46.37 high to $42.84 low is at $44.61.
More importantly, there is a major bearish trend line forming with resistance near $44.80 on the 4-hours chart of the LTC/USD pair. If there is an upside break above the $45.00 resistance, the price could start a decent recovery.
The next major resistance is near the $47.20 level. It is near the 1.236 Fib extension level of the downward move from the $46.37 high to $42.84 low.
Conversely, the price could continue to move down and it might soon trade below the $42.80 level. In the mentioned case, there is a risk of more losses below the $40.50 and $40.00 levels.
Looking at the chart, litecoin price is clearly trading in a downtrend below $45.00 and $46.00. It seems like the bears are eyeing a downside thrust below the $40.00 level before the price starts a real recovery.
Technical indicators
4 hours MACD – The MACD for LTC/USD is slowly gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for LTC/USD is now well below the 40 level.
Key Support Levels – $41.80 and $40.00.
Key Resistance Levels – $44.60 and $45.00.
