Litecoin (LTC) is showing selling pressure after a weak weekly close, signaling a cautious outlook for the cryptocurrency. Key support levels will determine if it recovers or declines further. Analysts emphasize that overcoming resistance is essential for any upward momentum.
At the time of writing, Litecoin (LTC) is trading at $70.00. It is currently trading with a total market volume of $1.20 billion. The market capitalization of LTC stands at $5.38 billion. It is down by 6.49% over the last 24 hours.
Litecoin Faces Pressure as Bulls Struggle
A technical analysis was also provided by crypto analyst CRYPTOWZRD. He pointed out that Litecoin ended the week on a bearish note, as selling pressure was seen reaching its peak at the end of the week. He also explained that it is essential to hold above $71.40 to move higher.
Additionally, closing in the red for the day were the charts for LTC, as well as the pairing for LTC/BTC, which plummeted this week. It is forecasted that for this potential revival to start, there is a positive movement needed for LTC/BTC.
The major support for LTC is currently located at $68.00, where there is a possible trend reversal required for the price to target the resistance level of $80.00.
Litecoin Short-Term Rally Potential
For the shorter time periods, the market for Litecoin has been ranging before falling before the transition into the new weekly chart, consistent with markets for Bitcoin. The key to the resumption of the upward trend is seen in the breakout of resistance at $71.40.
Also Read | Litecoin (LTC) Holds $74 Support Zone as Analyst Targets $285
Litecoin Weekly Momentum Still Weak
Litecoin too faces pressure in the weekly chart. The Relative Strength Index (RSI) for the currency is at 36.08, which remains lower than the middle line of 50 and shows a lack of buying interest. Price also remains lower than the MA Ribbon, and thSimple Moving Averages (SMAs) s for the currency are at $96.34 (20 SMA), $91.87 (50 SMA), $90.47 (100 SMA), and $82.69 (200 SMA).
The momentum indicators, the Moving Average Convergence Divergence (MACD), are also painting a bearish picture. The MACD line is at -7.69, which is below the signal line that is at -5.23. Both are below the zero level. The histogram is red at -2.46. This indicates that there is no upward momentum in the market currently.
Overall, LTC is facing a critical phase. The possible bounce from the support level of $68.00 may offer a recovery opportunity; however, until then, it is essential to remain cautious until the price moves above $80.00.
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