Litecoin price traded further higher above the $82 and $84 resistances against the US Dollar. LTC/USD is now trading in a bullish zone and it could soon break $90.
Key Talking Points
Litecoin price broke a major resistance zone near the $84-85 levels (Data feed of Kraken) against the US Dollar.
Yesterdays’ highlighted short-term declining channel was breached with resistance at $79.50 on the hourly chart of the LTC/USD pair.
The pair is now placed nicely above the $84.00 resistance and is positioned for more gains.
Litecoin Price Forecast
Yesterday, there was a short-term downside correction initiated from the $84.00 resistance in litecoin price against the US dollar. The LTC/USD pair tested an important support area near $78.00 and recovered.
Looking at the chart, the price tested the 50% Fib retracement level of the last leg from the $72.71 low to $84.10 high. It seems like the price completed a downside correction near $78.00 and the 100 hourly simple moving average.
As a result, there was a fresh upside wave and the price jumped above the $80.00 and $82.00 resistance levels. More importantly, yesterday’s highlighted short-term declining channel was breached with resistance at $79.50 on the hourly chart of the LTC/USD pair.
The pair gained momentum and broke another major resistance near the $84.00 level. It traded close to the $90.00 level and formed a high at $89.86.
At the moment, the price is consolidating gains and is currently trading near $88.00. An initial support is near the 23.6% Fib retracement level of the last wave from the $77.82 low to $89.86 high.
However, the most important support is near the $84.00 level, which was a resistance earlier. It also coincides with the 50% Fib retracement level of the last wave from the $77.82 low to $89.86 high.
Therefore, any dips in litecoin price may perhaps find support near the $86.00 and $84.00 levels in the near term. On the upside, a break above the $90.00 resistance could clear the path for a run towards the $100.00 handle.