Litecoin Price Analysis: LTC/USD rises from a key pennant pattern
|- Litecoin faces growing resistance at $60 and the 100-day SMA, respectively.
- The pennant pattern breakout is still in place but the resistance at $60 must come down for further gains towards $70.
Litecoin appears to have stalled marginally under the $60 key resistance zone. The daily cryptocurrencies rates show that LTC is facing growing bearish pressure. The price is dancing at $57.5 after shedding away only 0.03% of its value. The existing trend towards the end of the Asian session on Wednesday remains bearish. In addition, the volatility is at its lowest since the week started, suggesting that investors should not expect rapid price movements in either direction.
Litecoin recently broke out of a key pennant pattern. It is very likely that the price will continue in the upward direction, but first, the bulls must deal with the hurdle at $60. Meanwhile, also adding to the resistance is the 100-day SMA, currently holding the position at $64.
From a technical analysis perspective, Litecoin's trend has a bearish tone. The RSI, for example, has escaped the overbought region and is moving downwards at 64. Further movement towards the oversold, could continue to increase the bears' confidence and increase their influence over the price.
With possible declines in mind, $50 is standing out as key support. Marginally below the support zone is the 50-day SMA (likely to anchor the price and stop further losses). However, $40 and $30 buyers’ congestion areas will come in handy if losses become too devastating.
LTC/USD daily chart
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