Litecoin (LTC) price has continued its downward movement and has fallen to a low of $54. As usual, the bulls bought the dips to resume the upward correction.
The LTC price rose above the $63 support as the market resumed the consolidation above it. On May 13, the LTC price rose back above the $63 support and reached a high of $73.
The bulls failed to break resistance at the recent high, so a pullback occurred. If the bulls break the resistance at $73, Litecoin will go up to $100. The upside momentum will continue if the price breaks above the moving averages. On the downside, the May 12 candle has a sweeping tail. The long tail indicates that there is strong buying pressure at the current support. Therefore, the current range of fluctuation will continue for a few more days.
Litecoin indicator analysis
Due to the recent upward correction, Litecoin is at level 34 of the Relative Strength Index for period 14. The cryptocurrency is in the downtrend zone and is capable of falling downwards. Litecoin is above the 25% area of the daily stochastic. This indicates that the cryptocurrency is in a bullish momentum. The uptrend could face rejection at the $73 high. The 21-day line SMA and the 50-day line SMA are sloping downward, indicating a downtrend.
Resistance Levels: $240, $280, $320
Support Levels: $200, $160, $120
What is the next move for Litecoin?
Litecoin is consolidating above the $63 support level. Selling pressure will resume if the price falls below the current support. Meanwhile, the May 12 downtrend has shown a candle body testing the 78.6% Fibonacci retracement level. The retracement suggests that LTC will fall to the 1.272 Fibonacci extension level or $40.14.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
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