Litecoin price broke the $230-240 resistance against the US Dollar. LTC/USD is now gaining upside momentum toward the $280-300 levels.
Key Talking Points
- Litecoin price was able to hold the ground and moved above the $240 resistance (Data feed of Kraken) against the US Dollar.
- There was a break above two important bearish trend lines with resistance at $230 on the hourly chart of LTC/USD pair.
- On the downside, there is a decent support base forming around the $230 level.
Litecoin Price Forecast
It seems like there is a slow and steady trend forming in Litecoin price above the $210 level against the US Dollar. The LTC/USD pair was successful in moving above the $230 and $240 resistance levels, which is a positive sign in the short term.
During the upside, the price cleared sell offers near the 23.6% Fib retracement level of the last drop from the $280 swing high to $200 swing low.
More importantly, there was a break above two important bearish trend lines with resistance at $230 on the hourly chart of LTC/USD pair. The mentioned break above $230 has opened the doors for more gains since the pair is now well above the 100 hourly simple moving average.
At the moment, buyers are attempting a close above the $250 resistance and the 50% Fib retracement level of the last drop from the $280 swing high to $200 swing low. Once they succeed, the price could move towards the last high near $283.
Above the $283 high, litecoin price could accelerate above the $300 level. Any further upsides depend on how the price builds above $230 during the coming sessions.
On the downside, there is a connecting bullish trend line forming with support at $230. The stated $230 support is also near the 100 hourly simple moving average. Therefore, the $230 support and the 100 hourly SMA area can be seen as a decent buy zone in the near term since the overall trend is bullish for LTC/USD.
Trade safe traders and do not overtrade!