Litecoin price is under a lot of pressure and declined below $120 against the US Dollar. LTC/USD may continue to decline and it could even break the $100 support level.
Key Talking Points
Litecoin price dived recently and failed to stay above the $120 support (Data feed of Kraken) against the US Dollar.
There is a major descending channel forming with current resistance at $112.00 on the hourly chart of LTC/USD pair.
The pair may continue to move down and it remains at a risk of breakdown below $100.
Litecoin Price Forecast
There were further losses in litecoin price during the past few sessions from $140 against the US dollar. The LTC/USD pair failed to hold the $130 and $120 support levels and traded below the $110 level.
A low was formed recently at $103.09 and it seems like the current decline is far from over. On the upside, an initial resistance is around the 23.6% Fib retracement level of the last decline from the $137.07 high to $103.09 low.
At the moment, there is a major descending channel forming with current resistance at $112.00 on the hourly chart of LTC/USD pair. The pair could correct a few points from the current levels, but it is very likely to face sellers near $110-112.
The most important resistance is near the $120 level. It was a support earlier and now it could prevent upsides. The mentioned $120 resistance is also near the 50% Fib retracement level of the last decline from the $137.07 high to $103.09 low.
Therefore, the $120 level is a major hurdle for buyers. Only a successful break above the $120 level could kick start a fresh upside wave.
On the downside, the recent low of $103.00 is a short-term support followed by $100. If the current bearish trend remains intact, the price may decline below the $100 level as well.
The next support below $100 is at $85. Any further losses may put a lot of pressure and may perhaps call for a test of $60.