Litecoin (LTC) Price Analysis – May 12
Against Bitcoin, Litecoin price has significantly dropped over the past five weeks of trading due to low volatility leading the sellers to gain control of the market. However, the buyers are now gaining control of the LTC/USD market after three weeks of correction that lasted to $68 before rising. In the last 24-hours of trading, LTC market lost -7.06% with current trading price at around $84.
Resistance levels: $96, $100
Support levels: $80, $72
Looking at the market structure, Litecoin appeared to be following a bullish sentiment after exhausting medium-term correction on the ascending green trend line which was retested last Thursday before the bullish continuation reached a current high at $95. The positive move is revealed on the 4-hours MACD.
The market is looking for support to fuel the next higher high move. A close-by level is located at $80 – $72, where the supporting green line lies. The next higher high could meet resistance at $96 and $100 levels. Breaking up the $100 significantly might set a new price level for Litecoin.
However, the 4-hours RSI trend is revealed upward; facing down due to the current pullback in the market.
As Bitcoin trend higher, Litecoin continued to follow a downward movement after five weeks of trading. This revealed that bearish dominance is strong. The sellers are moving trade in a descending wedge pattern. As soon as price actions reach the end of the wedge, Litecoin may break-out.
For a break-out, the coin is more likely to break-up as this wedge pattern commonly follows a bullish move. The potential resistance for the buyers is the 0.014BTC level and above. Following a low break, however, the 0.011BTC and 0.01BTC may be visited.
The 4-hours RSI is currently revealed on a side-way move – a sign for a consolidation. Additionally, the 4-hours MACD is in a negative zone maintaining the four weeks bearish move.
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