Litecoin Price Analysis

Litecoin (LTC) Price Analysis: Rally Takes Break But Not Likely Over

Litecoin price surged higher above the $84.00 and $90.00 resistance levels against the US Dollar. LTC traded as high as $95.95 and recently corrected lower towards the $84.00 support.

Key Talking Points

  • Litecoin price jumped sharply above the $84.00 and $90.00 resistance levels (Data feed of Kraken) against the US Dollar.
  • There is a key contracting triangle forming with support near $84.50 on the 4-hour chart.
  • LTC price remains well supported on the downside near the $84.00 and $80.00 levels.

Litecoin Price Analysis (LTC)

This past week, there was a sharp rally in bitcoin, resulting in gains in most altcoins such as Ethereum, EOS, ripple and litecoin against the US dollar. The LTC/USD pair formed a strong support base above the $72.00 level and rallied above the $80.00 resistance level.

Litecoin Price Analysis LTC Chart

Looking at the 4-hour chart, LTC price gained traction above the $84.00 and $90.00 resistance levels. There was even a close above the $84.00 resistance and the 100 simple moving average (4-hour).

It opened the doors for more gains above the $92.00 level. The price traded to a new 2019 near the $95.95 level and recently started a downside correction. It broke the $90.00 support, and the 23.6% Fib retracement level of the last wave from the $72.49 low to $95.95 high.

However, the previous resistance near the $84.00 level acted as a support. Besides, the 50% Fib retracement level of the last wave from the $72.49 low to $95.95 high acted as a support.

At the outset, there is a key contracting triangle forming with support near $84.50 on the 4-hour chart. If the price breaks the triangle resistance near the $88.00 level, it is likely to resume its upside above the $90.00 and $92.00 levels.

Conversely, if there are additional losses below the $84.50 and $84.00 support levels, litecoin price could revisit the main $80.00 and $79.50 support levels. As long as LTC is trading above the $79.50 pivot level, it remains in an uptrend and it is likely to break the $90.00 resistance once again in the near term.

The market data is provided by TradingView.

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: aayushjindal@ethereumworldnews.com
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