Key Talking Points
- Litecoin price corrected higher, but it faced sellers near the $50.00 resistance (Data feed of Kraken) against the US Dollar.
- There is a new connecting bearish trend line in place with resistance at $50.00 on the hourly chart of the LTC/USD pair.
- LTC price is currently struggling to break the $50.00 resistance and the 100 hourly SMA.
Litecoin Price Forecast
Recently, litecoin price started a short term upside correction from the $48.00 support against the US dollar. The LTC/USD pair traded above the $49.00 and $50.00 levels, but it failed to hold gains.
Looking at the chart, LTC price dipped once again towards the $48.00 level where buyers emerged. Later, the price started a fresh upward move and traded above the $49.00 resistance.
Buyers were able to push the price above the 50% Fib retracement level of the last slide from the $51.75 swing high to $47.40 low. However, the upside move was capped by the $50.00-50.20 zone and the 100 hourly simple moving average.
Moreover, the 61.8% Fib retracement level of the last slide from the $51.75 swing high to $47.40 low acted as a strong hurdle. Besides, there is a new connecting bearish trend line in place with resistance at $50.00 on the hourly chart of the LTC/USD pair.
Therefore, it won’t be easy for buyers to clear the $50.00 resistance and the 100 hourly SMA. Above $50.00, the price may perhaps move towards the $51.00 resistance, which was a support earlier.
On the other hand, if the price fails to move above the $50.00 resistance, there could be a fresh decline towards the $48.00 support.
Overall, litecoin price corrected nicely, but the previous support levels near $50.00 acted as a strong resistance. In the short term, there could be range moves before the price attempts to clear the $50.00 resistance.
The market data is provided by TradingView.