Key Talking Points
- Litecoin price is holding an important support near the $58.80-59.00 zone (Data feed of Kraken) against the US Dollar.
- There is a major bullish trend line in place with support at $60.40 on the hourly chart of the LTC/USD pair.
- LTC price must stay above the $60.40 and $60.00 support levels to climb higher.
Litecoin Price Forecast
After trading above the $65.00 level, litecoin price started a downside correction against the US dollar. The LTC/USD pair traded below the $64.00 and $62.00 support levels, and tested the $60.00 support.
Looking at the chart, LTC price even spiked below the $60.00 support and the 100 hourly simple moving average. A low was formed at $58.85 before the price corrected higher. It moved above the $60.00 level with a positive angle.
There was also a break above the 23.6% Fib retracement level of the last decline from the $65.45 high to $58.85 low. Besides, the price is currently trading above the $60.00 support and the 100 hourly SMA.
More importantly, there is a major bullish trend line in place with support at $60.40 on the hourly chart of the LTC/USD pair. If there is a downside break below the trend line and the $60.00 level, there could be more losses below the $58.85 low in the near term.
The next major support below $58.85 is around the $57.00 level. On the upside, there is a connecting bearish trend line in place with resistance at $62.00. Once buyers succeed in clearing the $62.00 resistance, there could be more gains towards the $65.00 level.
However, the price needs to surpass the 50% Fib retracement level of the last decline from the $65.45 high to $58.85 low at $62.15 as well to gain momentum.
Overall, litecoin price is likely to revisit the $65.00 level if it succeeds in clearing the $62.00 and $62.15 resistance levels.
The market data is provided by TradingView.