Litecoin price gained traction and broke the $34.00 resistance. LTC is trading in a positive zone and it could continue to move higher towards $35.00 and $37.50.
Key Talking Points
- Litecoin price performed really well and broke the $32.00 and $34.00 resistances (Data feed of Kraken) against the US Dollar.
- There is a bullish continuation pattern formed with support at $33.00 on the hourly chart.
- LTC price must stay above the $32.20 support level to remain in a positive zone.
Litecoin Price Analysis
During the past few days, there was a solid upward move from the $30.00 support area in litecoin price against the US dollar. The LTC/USD pair gained momentum and broke the $32.00 and $34.00 resistance levels.
Looking at the chart, LTC price traded close to the $34.50 level and settled above the 100 hourly simple moving average. A high was formed at $34.59 and later the price started a short-term downside correction.
The price moved below the $34.00 support and the 23.6% Fib retracement level of the last wave from the $30.50 low to $34.59 high. However, there are many supports on the downside such as $33.00, $32.50 and $32.20.
More importantly, there is a bullish continuation pattern formed with support at $33.00 on the same chart. Below the triangle, the next support is at $32.50 and the 50% Fib retracement level of the last wave from the $30.50 low to $34.59 high.
The main support is at $32.20 and the 100 hourly simple moving average, below which the price might move back in a bearish zone. On the flip side, if the price resumes its upward move, buyers are likely to clear the $33.60 and $34.00 resistance levels.
Overall, litecoin price is placed nicely in a positive zone above $32.20, while bitcoin, ripple, Ethereum, EOS and other cryptocurrencies struggled recently. Therefore, LTC might bounce back above the $34.00 resistance once the current correction wave is complete. To move back in a bearish zone, sellers need to push the price below the $32.20 and $32.00 supports.
The market data is provided by TradingView.