Litecoin Price Analysis: LTC/USD Could Bounce Back Soon
Litecoin price declined a few points towards the $59.00-60.00 support against the US Dollar. LTC/USD remains supported above $59.00 and it could bounce back above $62.00.
Key Talking Points
Litecoin price extended its downside correction below the $60.00 level (Data feed of Kraken) against the US Dollar.
There is a significant bullish trend line with current support at $59.20 on the hourly chart of the LTC/USD pair.
LTC price is holding a couple of important supports near the $58.50 and $59.20 levels.
Litecoin Price Forecast
Yesterday, there was a short-term downside correction initiated from the $63.80 swing high in litecoin price against the US dollar. The LTC/USD pair corrected lower and even spiked below the $60.00 support.
Looking at the chart, LTC price declined and broke the $60.00 and $59.20 support levels. There was even a break below the 61.8% Fib retracement level of the last upside move from the $56.88 low to $63.80 high.
However, losses were protected by the $58.50 support and the price moved back above the 100 hourly simple moving average. The price is now trading above the 23.6% Fib retracement level of the recent slide from the $63.80 high to $58.63 low.
On the downside, there is a significant bullish trend line with current support at $59.20 on the hourly chart of the LTC/USD pair. Below the trend line, the $58.50 support area is the last line of defense before the next support at $56.00.
On the upside, the price may face sellers near the $61.20 level and the 50% Fib retracement level of the recent slide from the $63.80 high to $58.63 low. There is also a connecting bearish trend line with resistance near the $61.60 level.
A break above the trend line resistance and $62.00 could push the price towards the $63.00 and $64.00 levels in the near term.
Overall, litecoin price decline was stopped near a crucial support near $59.00. Therefore, it could recover in the short term towards the $62.00 and $64.00 levels.