Litecoin price fell sharply below $30.00 and traded towards $25.00 against the US Dollar. LTC/USD started an upside correction, but struggled near $32.00.
Key Talking Points
Litecoin price declined heavily and traded towards the $25.00-26.00 zone (Data feed of Kraken) against the US Dollar.
There is a key bearish trend line in place with resistance at $31.40 on the hourly chart of the LTC/USD pair.
LTC price must break the $32.00 and $34.00 resistance levels to recover further in the near term.
Litecoin Price Forecast
The past few days were very bearish for litecoin price as it declined sharply below $35.00 and $30.00 against the US dollar. The LTC/USD pair even broke the $28.00 support area and traded close to the $25.00-26.00 zone.
Looking at the chart, LTC price tested the $26.00 level and formed a low at $26.35. Later, there was a sharp upward correction and the price traded above the $28.00 and $30.00 resistance levels.
During the upside, the price broke the 61.8% Fib retracement level of the last drop from the $32.86 high to $26.35 low. However, the upside move was capped by the $32.00 resistance zone and the 100 hourly simple moving average.
There was also no close above the 76.4% Fib retracement level of the last drop from the $32.86 high to $26.35 low. Besides, there is a key bearish trend line in place with resistance at $31.40 on the hourly chart of the LTC/USD pair.
The price clearly failed to break the $32.00 resistance and retreated from highs. If the price has to recover further, it must break the $32.00 resistance, above which the next major hurdle for buyers is near the $34.00-35.00 zone.
Overall, Litecoin price trimmed all of its 2018 gains and is back below the $35.00 level. LTC price must rebound quickly above the $35.00 and $40.00 level, else there is a risk of more losses. It could even trade below the $25.00 level if sellers remain in action in the near future.