Litecoin piece analysis: LTC/USD recovery capped at $181.00; Japan wants stricter global approach towards cryptocurrencies
|- Japan plans to raise the cryptocurrency issue during G20 meeting.
- The LTC/USD sentiment remains bearish as long as the coin stays below $200.00 resistance.
Litecoin price is recovering from the current intraday low reached at $174.64, but the upside momentum is fading away on approach to the local resistance created by 100-SMA on the hourly chart.
Most of the digital coins have turned green after the initial slump during the Asian session, though the recovery may be short-lived as the regulators' clampdown on cryptos continues to weight down on the market sentiment.
Reuter reports that Japan plans to urge G20 countries to take steps to prevent cryptocurrencies from being used for illegal activities. The Japanese authorities used to be loyal towards digital assets, but they have changed their mind after the Coincheck heist. Now the Japanese policymakers are worried that loose regulation in some countries may create potential loopholes for money laundering.
Read more about recent Japanese regulatory actions
Litecoin price technical picture
From the longer-term perspective, LTC/USD sits below both 50 and 100-DMA. The upside capped by 50% Fibonacci retracement at $187.00. Once it is broken, the coin may reclaim psychological $200.00, but there is little chance for LTC to climb that high anytime soon. On the downside, the first support is produced by $171.00-170.00 area, which encompasses Sunday's low. Once it is broken, the price may drop towards $158.35 (March 9 low).
LTC/USD, the daily chart
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