Litecoin price failed to break the $33.00 resistance and declined recently. LTC is currently trading above $30.00 and recoveries towards $32.00 or $33.00 could face sellers.
Key Talking Points
- Litecoin price failed once again to clear the $33.00 and $33.20 resistances (Data feed of Kraken) against the US Dollar.
- There was a break below a major bullish trend line with support at $31.50 on the hourly chart.
- LTC price is currently consolidating above $30.00, but it remains at a risk of more losses towards $28.00.
Litecoin Price Analysis
In the last litecoin analysis, we discussed above the next key break in LTC price against the US dollar. The LTC/USD pair failed to gain bullish momentum above the $33.00 resistance, resulting in a bearish zone.
Looking at the chart, LTC price topped near the $33.05 level and traded below the $32.00 and $31.00 support levels. There was even a close below the $31.50 support level and the 100 hourly simple moving average.
Moreover, there was a break below a major bullish trend line with support at $31.50 on the hourly chart, opening the doors for more losses. The price traded close to the $30.00 support level and a new intraday low was formed at $30.33.
At the moment, there is a short term contracting triangle formed, with resistance at $30.80 on the same chart. Above the triangle, the 23.6% Fib retracement level of the recent decline from the $33.03 high to $30.33 low is at $30.97.
Therefore, a break above $31.00 is needed for a short term recovery. The next key resistance is near $31.50, the 100 hourly simple moving average, and the 50% Fib retracement level of the recent decline from the $33.03 high to $30.33 low.
To start a fresh upward move towards the $33.00 resistance, litecoin price must move past the $31.50 resistance and the 100 hourly SMA. If LTC buyers fail to clear the mentioned resistance, there is a risk of a downside break below the $30.00 and $29.50 support levels. The next main support is at $28.00 and $27.50.
The market data is provided by TradingView.