Litecoin price is attempting a recovery wave from $75 against the US Dollar. LTC could struggle to clear $82 or $85 and might start another decline.
- Litecoin is slowly moving higher and correcting toward $82 against the US Dollar.
- The price is now trading above $85 and the 100 simple moving average (4 hours).
- There was a break below a key rising channel with support near $86 on the 4-hour chart of the LTC/USD pair (data feed from Kraken).
- The price could face a strong resistance near $82 and $85 levels.
Litecoin Price Remains In Downtrend
This past week, Litecoin’s price struggled near the $90 resistance against the US Dollar. LTC price started a fresh decline and traded below the $85 support, similar to Bitcoin and Ethereum.
Besides, there was a break below a key rising channel with support near $86 on the 4-hour chart of the LTC/USD pair. The pair traded below the $80 support level. A low is formed near $75.26 and the price is now attempting a recovery wave.
LTC is now trading above $85 and the 100 simple moving average (4 hours). The price managed to climb above the 23.6% Fib retracement level of the downward move from the $89.13 swing high to the $75.26 low.
On the upside, immediate resistance is near the $82 zone. It is close to the 50% Fib retracement level of the downward move from the $89.13 swing high to the $75.26 low. The next major resistance is near the $85 level. If there is a clear break above the $85 resistance, the price could start another strong increase.
Source: LTCUSD on TradingView.com
In the stated case, the price is likely to continue higher toward the $90 and $92 levels. Any more gains might send LTC’s price toward the $100 resistance zone.
Fresh Decline in LTC?
If Litecoin price fails to clear the $82 resistance level, there could be a fresh decline. Initial support on the downside is near the $78 level.
The next major support is forming near the $75 level, below which there is a risk of a move toward the $72 support. Any further losses may perhaps send the price toward the $65 support.
Technical indicators:
4-hour MACD – The MACD is now gaining pace in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI for LTC/USD is below the 50 level.
Major Support Levels – $78.00 followed by $75.00.
Major Resistance Levels – $82.00 and $85.00.