Bulls couldn’t take control of the market, and after touching a high of $93.46 on 23 May, the LTC/USD pair started moving in a bearish trend, touching a low of $82.60 today in the early Asian trading session.
On the hourly chart:
- There is a black Marubozu candle below the $93.46 handle. It signifies the start of a bearish phase in the market.
- Litecoin price is trading below its 100-hour simple moving average, 200-hour exponential moving average, and its pivot level of $84.49.
- The relative strength index is at 38.28, indicating weak demand for Litecoin and a shift towards the bearish phase in the markets.
- Litecoin remains below most of the moving averages, which are giving a bearish signal at current market levels of $84.49.
- Some of the technical indicators are neutral.
- The average true range indicates low market volatility.
Litecoin Bullish Reversal Is Seen above $79.64
On the daily chart:
- Litecoin keeps moving in a bearish trend after its recent decline below the $90.00 level.
- Litecoin to USD exchange rate ranges below $90.00 with more downsides located at $82 and $80 levels.
- We can see a bearish trend reversal pattern with 20- and 50-period adaptive moving averages.
Litecoin price failed to make an upside break above the $95.00 resistance level, and we can see a continuous decline as the LTC price started a downside correction below the $90.00 level.
Litecoin is now seen consolidating above the $84.00 level, and a downside break may bring it to the $80.00 support level.
LTCUSD is about to break its classic support level of $84.11 and Fibonacci support level of $84.39, after which the path towards $80 will get cleared.
Litecoin faces resistance at $87.48, which is a pivot point, and at $88.13, which is a 1- day RSI at 50.
The Week Ahead
Litecoin price continues to correct lower against the US Dollar, and a strong bearish momentum is visible, with further downsides at $82 and $80 levels.
Most technical indicators signal a bearish sentiment in the market.
Litecoin price should stay above the important support level of $79.48, which is a 14-3 day raw stochastic at 20, and at $79.66, at which the price crosses the 9-day moving average.
The weekly projection for Litecoin price is $80, with a consolidation zone of $82.
The short-term outlook for Litecoin has turned mildly bearish, the medium-term outlook is bearish, and the long-term outlook is neutral at present market conditions.
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