Litecoin price formed a strong support at $53.00 and recovered sharply against the US Dollar. LTC/USD is now trading above $55.00 with positive signs.
Key Talking Points
- Litecoin price formed a decent support near the $53.00 level and climbed higher (Data feed of Kraken) against the US Dollar.
- Yesterday’s highlighted key bearish trend line was breached with resistance at $55.20 on the hourly chart of the LTC/USD pair.
- LTC price spiked towards the $60.00 level where sellers appeared and protected more gains.
Litecoin Price Forecast
After a major downside move, litecoin price found support near the $53.00 and $53.10 levels against the US dollar. The LTC/USD pair avoided a downside break and started an upside move above $55.00.
Looking at the chart, LTC price found a strong buying interest above the $53.00 level, resulting in an upward move. The price gained traction and traded above the $55.00 resistance plus the 100 hourly simple moving average.
The price even broke the 50% Fib retracement level of the last drop from the $62.18 high to $53.22 low. More importantly, yesterday’s highlighted key bearish trend line was breached with resistance at $55.20 on the hourly chart of the LTC/USD pair.
The pair traded close to the $60.00 resistance where sellers emerged. Moreover, the 61.8% Fib retracement level of the last drop from the $62.18 high to $53.22 low also acted as a solid resistance.
At the moment, the price is retreating and is trading near the $58.00 level. If the price continues to move down, the $56.50 support is likely to act as a buy zone along with the 100 hourly SMA.
On the upside, the $60.00 level is a strong resistance, above which, the price is likely to retest the last swing high near the $62.00 zone. In the short term, there could be a downside move, but the $57.00 and $56.50 levels are likely to act as supports.
Overall, litecoin price (LTC) reversed losses and is back in a positive zone above the $56.50 level.
The market data is provided by TradingView.
