The recent decrease in Bitcoin’s price has made Litecoin lose roughly 12% of its value this week. It is on the verge of retesting last week’s low due to a crucial support breakdown. LTC may slip back to $65 if the selling pressure becomes heavy.
Litecoin is finding it difficult to continue the bullish rally that started a month ago. On a second attempt to surpass the crucial $84 resistance level, it saw a rejection, and the price fell again.
The price is breaking below the ascending trendline, which was acting as support for Litecoin over the past weeks. Though, the price break could become noticeable in the next few hours.
On the daily chart, the price action is still in a consolidation phase. Looking at the market structure on the 4-hour chart, it appears the bears are steadily stepping back into the market due to the slight breakdown.
As can be seen in the chart below, the volume indicator has been decreasing for the past two weeks – indicating an imminent price drop. More sell actions can be expected if the volume indicator continues to decrease.
There’s still hope for the bulls if they can defend the last week’s low of $70.5, where the price bounced back from. Litecoin is changing hands at around $75.2 after losing 2.3% today.
Litecoin Price Analysis (LTCUSDT): 4-Hour Chart
It is approaching the $74 level on a downward slope. The support to watch out for is $71, which remains a crucial level for the next breakdown. Below this support lies $65, the level where a retest was expected last week.
Litecoin is likely to start a fresh bullish from this mentioned support level. The $55.92 level is the next support to watch if it fails to act as a rebound level.
The $80 level remains an important resistance to reactivate buy actions, followed by $85, which would be a breakout level. The resistance levels above it are $91.6 and $98.97.
Key Resistance Levels: $85, $91.6, $98.97
Key Support Levels: $71, $65.13, $55.92
Spot Price: $75
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
- @ December 11, 2022 5:12 am