Following the last bearish impulse which resulted in the low of $28, Litecoin trades below $40 resistance. The market is consolidating between $28 and $40.
Nonetheless, as the pair continues its consolidation, the bulls may face selling pressure at the resistance line of the descending channel. Possibly, an upward move is likely if the bulls break the resistance line and close above it. The market will have a change in the trend. LTC will rise and reach the highs of $50 and $60. Conversely, if the bulls turn down from the resistance line, LTC will plunge to the low of $28.
Litecoin is currently at level 42 of the Relative Strength Index. LTC was at level 19 when the coin fell to the oversold region of the market. The bulls are emerging to push LTC upward. Nonetheless, Litecoin is at level 42 indicating that it is below the centerline 50. LTC is in the downtrend zone and may likely fall.
Key Resistance levels: $80, $100, $120
Key Support levels: $50, $40, $20
Litecoin is currently trading below the $40 resistance. The upward move has been hampered due to a lack of buying power on the part of the bulls. Besides that Litecoin should be able to buy at higher price levels. Litecoin is likely to face selling pressure at the resistance line of the descending channel.
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.