Litecoin price topped near the $ 37.00 level and declined recently against the US Dollar. LTC/USD remains in a significant downtrend and it could even trade below $ 26.00.
Key Talking Points
- Litecoin price recovery failed to gain momentum above $ 36.00 (Data feed of Kraken) against the US Dollar.
- There was a break below a major bullish trend line with support at $ 32.50 on the 4-hour chart of the LTC/USD pair.
- LTC price is currently in a significant downtrend and it could trade below $ 26.00-25.00.
Litecoin Price Forecast
This past week, there was a decent support formed near $ 26.00 in litecoin price against the US dollar. The LTC/USD pair started a solid recovery and traded above the $ 30.00 and $ 35.00 resistances.
Looking at the 4-hour chart, LTC price formed a low and later climbed above the $ 32.00 resistance. There was a break above the 50% Fib retracement level of the last major decline from the $ 43.01 high to $ 26.63 low.
However, the upside move was capped by the $ 36.60-37.00 zone and the 100 simple moving average (4-hour). Moreover, the price failed to break a major bearish trend line with current resistance at $ 32.50 on the same chart.
Finally, there was a rejection near the 61.8% Fib retracement level of the last major decline from the $ 43.01 high to $ 26.63 low. As a result, there was a fresh decline below $ 32.00 and a major bullish trend line with support at $ 32.50 on the same chart.
The price is now trading well below the $ 35.00 level and the 100 simple moving average (4-hour). It seems like the price may continue to move down and it could break the $ 30.00 and $ 28.00 levels.
If sellers remain in action, the price could even break the $ 26.60 swing low and test the $ 25.00 support level. Overall, litecoin price remains in a significant downtrend as long as it is below $ 35.00. If LTC sellers push the price below $ 25.00, there could be a sharp decline towards the $ 20.00 level.
The market data is provided by TradingView.
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