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LTC Price Analysis: Litecoin token Approaches Strong Support Zone

  • Litecoin token is now trading near the strong support zone, and if it holds, we can soon see a good bounce back.
  • The coin is continuously trading on a bearish note and has fallen below all major moving averages of 20, 50, 100, and 200-DMA.
  • The pair of LTC/BTC is trading at 0.004487 BTC with intraday gains of +0.20%; whereas, the ratio of LTC/ETH stands at 0.06814 ETH with 24-hours gains of +2.03%  
Source:tradingview

The Litecoin price has been declining for the last couple of weeks and is now near a strong support zone. The LTC token can witness a strong bounce back from this point onwards. The cryptocurrency market was affected by the sudden drop in Bitcoin’s price, which caused many investors to sell their assets, including Litecoin. However, as we know that Bitcoins are way more volatile than other cryptocurrencies like Ethereum or Litecoin. 

Therefore it is not wise to consider Bitcoin as an indicator for all digital currencies. Moreover, the coin is slipped below the significant moving average of 100 and 200-DMA, but the closing of day candles above 200-DMA will build Bulls’ confidence. Support on the lower side is at $145 and $120, whereas the higher side’s resistance is at $190 and $230. 

Source:tradingview

Over the weekly chart, Litecoin is also projecting a solid bearish momentum, as the coin is trading with lower top and lower bottom patterns. Moreover, the strong rejection or resistance line is also observed over the weekly time frame, and the breakout will accelerate the further momentum. At the same time, technical parameters are also suggesting the same. Currently, the coin is trading at 11th rank with a total market capitalization of $10,740,839,509 with intraday gains of +0.55%. 

Relative Strength Index (BEARISH): Bitcoin cash token RSI is presently projecting no sign of recovery, gradual trading near the oversold region over the weekly chart. At the same time, trading at 38 levels.  

Moving Average Convergence Divergence (MIXED): Currently projecting a mixed trend over the weekly chart. The MACD shows the buyer’s signal line (green) and the seller’s line (red) are overlapping each other with no clear momentum.  

Support levels: $540 and $460

Resistance levels: $640 and $760.  

 

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