Litecoin price is holding the $115.00 support area, but it is facing many hurdles. LTC may soon make the next move either above the $122.50 resistance or towards $112.00.
Key Talking Points
- Litecoin price is currently consolidating above the $117.00 support area (Data feed of Kraken) against the US Dollar.
- There is a crucial bearish trend line forming with resistance near $122.50 on the 4-hours chart.
- LTC price could either break the $122.50 resistance or decline again towards the $112.00 support.
Litecoin Price Analysis (LTC)
In the past three sessions, there were mostly range moves in bitcoin, Ethereum, ripple, EOS and Litecoin against the US Dollar. Earlier, the LTC/USD pair declined below the $115.00 support area, but the $112.00 level acted as a strong support once again.
Looking at the chart, LTC price traded as low as $112.21 and recently corrected higher. It broke the $115.00 resistance area and the 50% Fib retracement level of the last drop from the $136.59 high to $112.21 low.
The price climbed above the $125.00 level, but it struggled to gain momentum above the $127.50 level and the 100 simple moving average (4-hours). Moreover, there is a crucial bearish trend line forming with resistance near $122.50 on the 4-hours chart.
The price even struggled to clear the 61.8% Fib retracement level of the last drop from the $136.59 high to $112.21 low. The price is currently trading below the $122.50 level, but it is holding the $117.00 support area.
If there is an upside break above the trend line and $124.00, the price could continue to rise in the near term. The next key resistance is near $128.00 and the 100 SMA, above which litecoin could jump towards the $140.00 level.
Conversely, if there is no upside break, the price break the $117.00 support area. In the mentioned case, the price could revisit the main $112.00 support area.
Overall, litecoin price seems to be preparing for the next crucial break, and it could either break the $122.50 resistance or decline again towards the $112.00 support.
The market data is provided by TradingView.