×

Sign in

Sign in using the following social media accounts


Litecoin Price Analysis: Can $40 Support Raise LTC Price Higher?

litecoin

Published June 17, 2022

A+

The Litecoin(LTC) sellers ended a four-week consolidation after they breached the $51 support on June 9th. The resulting fall plummeted the altcoin to $40 psychological support, but a rise in demand pressure stalls the selling momentum. Moreover, the bullish signal from the MACD indicator suggests a breakout of $51.

advertisement

Key points

  • A lower price rejection candle at $40 indicates the demand zone
  • Bollinger band indicator midline offers constant resistance
  • The intraday trading volume in the Litecoin coin is $701 Million, indicating a 26% loss.

LTC/USDT ChartSource- Tradingview

From Mid-May to early June, the crypto market witnessed high volatility and uncertainty among coin traders, causing LTC/USDT pair to consolidate in a narrow range. Thus, the coin price resonated between $75 and $61.2 for nearly four weeks.

However, amid the recent crypto crash, the LTC sellers breached range support($61.2) on June 9th. Later, the four consecutive red candles reflected the intense selling and depreciated the coin price by 34%. As a result, the coin price reached a new 2022 low of $40.

The crypto traders faced demand pressure below this psychological support and tried to ascend earlier this week. However, the buyers struggle to surpass the immediate resistance of $51.5.

Therefore, the LTC price is struck in a no-trading zone, and any new entries are better to wait for the $40 or $51 breakout.

Thus, a bullish breakout from the $51 mark would trigger a 20% relief rally to the $61.2 flipped resistance. Alternatively, a possible fallout from $40 support would sink the LTC price by 40% down to the March 2020 low of $25.

Technical indicator

Contrary to the price action that’s displaying a new lower low, the MACD indicator showcased a higher in its fast and slow lines. This evident divergence indicates rising bullish momentum, encouraging the $51 breakout.

advertisement

Since April, the Bollinger Band indicator midline has acted as dynamic resistance for LTC price. Moreover, the price action constantly resonating within the lower band and midline indicates the bear has trend control.

  • Resistance level- $51 and $61.2
  • Support levels- $40, and $25

Share this article on:
From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Close Story
Web stories
Published 3 hours ago
Share Via
Copy Link
Shiba inu coin banner. SHIB coin cryptocurrency concept banner b

Published 3 hours ago

A+
Published 4 hours ago
Share Via
Copy Link
SAND

Published 4 hours ago

A+
Published 6 hours ago
Share Via
Copy Link
Solana

Published 6 hours ago

A+
Published 1 day ago
Share Via
Copy Link
Chainlink (LINK)

Published 1 day ago

A+
Published 1 day ago
Share Via
Copy Link
AAVE

Published 1 day ago

A+

advertisement

advertisement

TWITTER SIGNALS

markets newsletter

Your daily dose of Market analysis & Price updates.