Litecoin (LTC) Price Analysis: Primed For More Gains
Litecoin price traded as high as $33.53 recently and later corrected lower. LTC remains supported on dips and it could bounce back above $33.00 and $35.00.
Key Talking Points
Litecoin price struggled to break the $33.50-34.00 resistance and declined (Data feed of Kraken) against the US Dollar.
There is a short term breakout pattern formed with resistance at $32.10 on the hourly chart.
LTC price remains well supported near $30.00 and it may soon bounce back above $33.00 and $34.00.
Litecoin Price Analysis
Recently, we saw an upward move above the $32.00 resistance in litecoin price against the US dollar. The LTC/USD pair even broke the $33.00 level, but it struggled to break the $33.50-34.00 resistance area.
Looking at the chart, LTC price formed a high at $33.53 and later started a downside move. It broke the $32.00 support and the 23.6% Fib retracement level of the last wave from the $27.50 low to $33.53 high.
However, the decline was protected by the $30.00 support and the 100 hourly simple moving average. Moreover, the 50% Fib retracement level of the last wave from the $27.50 low to $33.53 high is also acting as a solid support.
At the outset, there is a short term breakout pattern formed with resistance at $32.10 on the hourly chart. If there is a downside break below the $30.00 support, the price may extend the current decline. The next main support is at $28.90 where buyers are likely to emerge.
On the other hand, if there is an upside break above the triangle, the price may climb toward the $33.50 and $34.00 resistance levels. However, buyers need to clear the $35.00 resistance to start a solid upward move towards $40.00.
Overall, litecoin price is currently consolidating and it seems to be preparing for the next break above $33.50. If LTC fails to hold the $30.00 support, it will most likely invalidate the bullish view and the price might slide back towards $28.50 and $26.50.