Litecoin price started correcting higher after testing the $165 support against the US Dollar. LTC/USD seems to be consolidating above the $150 pivot level for the next move.
Key Talking Points
Litecoin price is stable above the $150 support level (Data feed of Kraken) against the US Dollar.
There is a short-term ascending channel forming with current support at $175 on the hourly chart of LTC/USD pair.
The pair may trade a few points higher, but the upside move could be capped by the $190 level.
Litecoin Price Forecast
The past few sessions were mostly stable above $165 in litecoin price against the US dollar. The LTC/USD pair traded as low as $165.51 recently and is currently correcting higher.
The current price action is positive above the $165 level, but it seems to be only a consolidation phase. There was a break above the 23.6% Fib retracement level of the last decline from the $216 high to $165 low.
However, the upside move was capped by the $185 resistance and the 100 hourly simple moving average. Moreover, the 38.2% Fib retracement level of the last decline from the $216 high to $165 low also acted as a resistance.
At the moment, there is a short-term ascending channel forming with current support at $175 on the hourly chart of LTC/USD pair. The pair may follow the channel and move higher towards $185-190.
However, the $185-190 resistance and the 100 hourly simple moving average are major hurdles for buyers. A break above $190 won’t be easy, with the next barrier at $200.
On the downside, the $165 support is a decent buy zone. The most significant support sits at $150 which is a crucial pivot level. As long as the price is above the $150 pivot level, the price may continue to consolidate and prepare for the next move.
The current bias is positive with chances of a test of the $190 resistance. Buyers can consider opting for a small buy around the $165 and $155 level.