|Key LTC resistance levels||$97.18, $100, $102, $104, $110|
|Key LTC support levels||$90, $87.81, $82.97, $80, $74.72|
*Price at the time of publication
Litecoin has seen a small 6.20% price rebound over the past 24 hours, which has allowed price action to reach $94. Litecoin had reached a high of around $102 over the past day, but has since rolled over after reaching the resistance at the 100-day EMA. Despite the bounce, Litecoin is still in trouble after suffering a 28% price drop over the past 30 days.
Litecoin remains ranked in the 4th position amongst the top cryptocurrencies by market cap value as it presently holds a $6 billion market cap value. With the Litecoin block halving upcoming, there is a potential for Litecoin to rise back above $100, however, the halving even might already be priced into the LTC market.
Litecoin price analysis
What has been going on?
We can see that over the past few days, Litecoin had been falling aggressively until it managed to find support at the short term .886 Fibonacci Retracement level priced at $77.45. After reaching this level of support, we can see that Litecoin went on to bounce higher to reach the resistance at the 100-day EMA around the $102 level. After reaching this level of resistance, we can see that Litecoin has fallen slightly, back beneath the $100 level.
Litecoin price short-term prediction: Bearish
Despite the recent price rebound, we still have the short term prediction as bearish. Litecoin has been consistently making lower highs and lower lows which is pretty hard to ignore as a bearish trading condition.
If the sellers continue to pressure the market lower, we can expect immediate support toward the downside to be located at $90 and $88. The support at $88 is further bolstered by the 200-day EMA. Beneath $88, further support then lies at $84 and $77.45.
If the selling pushes the market beneath $77, the next level of support toward the downside then lies at $70, $67, $65 and $63.
What if the bulls regroup and take control?
Alternatively, if the bulls can continue this recent rebound and push back above the $100 level and the resistance at the 100-day EMA, we can expect further higher resistance to then to be located at $110, $114 and $118.
If the bullish pressure causes Litecoin to drive above $120, higher resistance then lies at $125, $130, $140 and $145. The resistance at $145 is particularly strong due to the long term bearish .786 Fibonacci Retracement being located here.
What are the technical indicators reading?
The Stochastic RSI had recently produced a bullish crossover signal in oversold territory which had allowed the market to bounce higher. However, the RSI itself has recently been turned away from the 50 level which shows that the sellers are too strong for the buyers at this moment in time. If we would like to see Litecoin rise higher, we will need to see the RSI break above 50.