Litecoin Price Analysis

Litecoin (LTC) Price Analysis: Downside Correction Likely Complete

Litecoin Price Analysis LTC Chart

Litecoin price declined recently after it failed near the $37.00 level. LTC is likely to start a fresh upward move above the $32.00 and $34.00 resistances.

Key Talking Points

  • Litecoin price declined recently below the $34.00 support level (Data feed of Kraken) against the US Dollar.
  • There was a break above a short term channel with resistance at $31.00 on the hourly chart.
  • LTC price may continue to trade higher towards the $34.00 or $35.00 resistance levels.

Litecoin Price Analysis

Recently, we discussed the chances of litecoin price testing the $40.00 resistance against the US dollar. The LTC/USD pair did move higher, but it failed to move past the $37.00 resistance.

Litecoin Price Analysis LTC Chart

Looking at the chart, LTC price formed a top near the $36.73 level and later started a downside correction. It declined sharply and broke the $35.00 support level. There was also a close below the $32.00 level and the 100 hourly simple moving average.

The price traded close to the $30.00 level where buyers emerged. A low was formed at $26.69 and later the price starting moving higher. It broke the 23.6% Fib retracement level of the recent decline from the $36.73 high to $26.69 low.

Moreover, there was a break above a short term channel with resistance at $31.00 on the hourly chart. It has cleared the path for a push towards the $33.00 level and the 100 hourly SMA.

The next major resistance is near $33.20 and the 50% Fib retracement level of the recent decline from the $36.73 high to $26.69 low. If there is a break above the $33.00 and $34.00 resistance levels, there could be a solid upward move in the near term.

Overall, litecoin price clearly failed to gain pace above the $37.00 level and declined heavily. Going forward, it must move past the $34.00 resistance to make another attempt. If not, it could revisit the $30.00 support area. Below $30.00, the price may even trade towards the $28.00 support in the short term.

The market data is provided by TradingView.

Aayush Jindal
About author

Aayush has spent over a DECADE 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, commodities, Bitcoin and Ethereum markets. He is a software engineer by profession, loves blogging and observing financial markets Reach Aayush via email: [email protected]