- Litecoin worth closes in on the double backside measured transfer worth goal of $191.00 after a ten.82% rip on August 13.
- LTC breaks away from the 50-week easy transferring common (SMA) and logs the most effective weekly acquire because the starting of Might.
- A bearish momentum divergence seems on the intra-day timeframes because the Relative Energy Index (RSI) doesn’t affirm Litecoin worth highs.
Litecoin price had been paralyzed by the 2019 excessive at $146.00 and the 50-week SMA from the tip of June till this week as LTC lastly broke away from the resistance with the most effective weekly efficiency because the starting of Might. The transfer’s energy propelled the cryptocurrency close to the double backside measured move price target of $191.00 and the 200-day SMA at $192.72. With agency resistance in place and the presence of a bearish momentum divergence on the intra-day timeframes, Litecoin worth upside could also be constrained within the quick time period because it reconciles the divergence and overbought situation by a pause or correction.
Litecoin worth climbs the wall of fear with a 70% return
The breakout from the double backside sample on August 7 marked the following leg larger for Litecoin worth and an elevated degree of rally impulsiveness that has impressed LTC to just about check the 30.04% measured transfer worth goal of $191.00 at this time. Nevertheless, at this time’s excessive was not confirmed by the RSI on the nine-hour chart, suggesting that the cryptocurrency is approaching a light decline that can tag the July ascending development line round $163.92, specifying a ten% retracement from the present worth.
LTC/USD 9-hour chart
A pullback could be a standard growth based mostly on the resistance aligned across the present worth and the overbought condition on the each day RSI on account of a 70% rally from July 21. Suppose the Litecoin worth stoop data a each day shut under the July ascending development line. In that case, it can encourage additional promoting all the way down to the 2019 excessive at $146.00 and stress ETC traders with an advanced bottoming course of that will prolong for weeks. For now, that situation is an outlier.
LTC/USD each day chart
The pursuit of larger worth outcomes within the altcoins might maintain the Litecoin worth rally past the 200-day SMA at $192.72 and the value congestion between $184.00 and $204.00 earlier than LTC is obstructed by the 38.2% Fibonacci retracement of the Might-July correction at $222.31.
Litecoin worth has not achieved the exceptional features of different cryptocurrencies. As an alternative, it has been on autopilot since July 21, with solely seven detrimental days and the biggest loss being solely -3.95% on August 8. Nonetheless, the brand new LTC wave larger has collided with important resistance as it’s dropping momentum, presenting a short-term problem and the premise for a setback.
Right here, FXStreet’s analysts consider the place LTC could possibly be heading subsequent after breaking essential resistance.