Litecoin price declined and trimmed its gains above $55.00 against the US Dollar. LTC/USD is under pressure and it may continue to trade in a range above $53.00.
Key Talking Points
Litecoin price came under renewed pressure and declined below $57.00 (Data feed of Kraken) against the US Dollar.
There was a break below a key connecting bullish trend line with support at $56.20 on the hourly chart of the LTC/USD pair.
LTC price declined below the $55.00 support level and formed a new intraday low at $53.88.
Litecoin Price Forecast
There was a top formed near the $59.27 level in litecoin price against the US dollar. The LTC/USD pair trimmed most of its gains and declined below the $57.00 and $55.00 levels.
Looking at the chart, LTC price almost traded close to the last swing low near $53.10. Buyers defended losses near the $53.80 level and a low was formed at $53.88. Later, the price started an upward move and traded above the 23.6% Fib retracement level of the last decline from the $59.27 high to $53.88 low.
However, there are many hurdles on the upside near the $56.00 zone. Above this, the price could move towards the $56.50 level, which is the 50% Fib retracement level of the last decline from the $59.27 high to $53.88 low.
The 100 hourly simple moving average is also positioned near the $56.50 level. If buyers are successful in pushing the price above the $56.50 level, there could be a test of the $59.00 and $60.00 resistance zone.
On the other hand, if the price fails to move above the $56.00 and $56.50 levels, there could be a fresh downside move. On the downside, the recent low near $53.80 is a decent support, below which, the price is likely to test the $53.00 support.
Overall, it seems like Litecoin price may continue to trade in a range above the $53.00 support and there is a chance of LTC/USD moving higher towards $60.00 in the near term.