Recently, Litecoin traded and attained a peak price of $47.24. This generated sellers as LTC reached the overbought region of the market.
The bulls could not penetrate the resistance as sellers outnumbered buyers at the resistance. The market made a downward move as the price fell to the previous low of $40.
Interestingly, the bulls are defending the support at $40. Initially, this was the low LTC rebounded to reach the overbought region. It is anticipated that if the current support Holds, LTC will rebound and retest the previous low. On the other hand, if the bears turn around and break below $40 support, the market will fall either to the low of $36 or $38.
Litecoin is below the 50% range of the daily stochastic. The market has been in a bearish momentum since April 9. Although, selling pressure has been exhausted as the market is correcting upward. Presently, the EMAs are horizontally flat indicating that LTC is consolidating above $40.
Key Resistance levels: $80, $100, $120
Key Support levels: $50, $40, $20
Litecoin is above the previous range bound zone of between $36 and $40. At the low of $40, the market has corrected up to $41.17. The bulls are in the meantime holding the current support. However, if the current support cracks, LTC may further depreciate.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.