Litecoin Price Analysis: LTC/USD Could Decline To $50
Litecoin price is under a lot of pressure below $60.00 and $64.50 against the US Dollar. LTC/USD may extend declines towards $50.00 if buyers fail to gain pace above $60.00.
Key Talking Points
Litecoin price declined further and broke the $60.00 support (Data feed of Kraken) against the US Dollar.
There is a major bearish trend line forming with resistance around the $60.10 level on the hourly chart of the LTC/USD pair.
The pair has to move past $60.00 and $64.50 to move back in a positive zone.
Litecoin Price Forecast
This past week, there were heavy declines in litecoin price from well above the $65.00 level against the US dollar. The LTC/USD pair tumbled and broke the $65.00, $64.50 and $60.00 support levels.
Looking at the chart, LTC price was clearly under a lot of pressure as it traded below $58.00. The price traded as low as $55.12 and later it started an upside correction.
It moved above the 50% Fib retracement level of the last drop from the $65.02 high to $55.12 low. Buyers even pushed the price above the $60.00 level, but they failed to hold declines that resulted in a rejection.
The pair also failed near the 61.8% Fib retracement level of the last drop from the $65.02 high to $55.12 low and the 100 hourly simple moving average. As a result, there was a fresh downside move and the price declined below the $60.00 level.
On the upside, there is a major bearish trend line forming with resistance around the $60.10 level on the hourly chart of the LTC/USD pair. The trend line near $60.10 also coincides with the 100 hourly SMA.
A break above the trend line and $60.50 could push the price towards the $62.00 resistance. However, the most important resistance for buyers is near the $64.00 and $64.50 levels.
To sum up, litecoin price is at risk of more losses below the $58.00 and $55.00 support levels in the near term. It could even test the $50.00 handle if sellers remain in action.