• Litecoin price and other major currencies jumped on news from Tesla's CEO.
  • Overall risk-on sentiment in the markets is creating a favorable tailwind for cryptocurrencies.
  • LTC is, however, still not able to break out of a bearish technical play.

Litecoin price and other cryptocurrencies got a lift from the positiveness that reemerged in markets after the sell-off last Monday. A few tweets from Elon Musk and Jack Dorsey helped to put the spotlight back on cryptocurrencies. Buying LTC now means that you need to be aware of a looming bull trap with Litecoin still under pressure from a downward technical play.

Litecoin price stuck in bearish triangle

Litecoin price got lifted to $104.17. That price level falls in line with the low from June 22. Buyers stepped in rapidly after general sentiment in the markets started to shift back to risk-on. Some tweets that went back and forth from Elon Musk and Jack Dorsey about a possible upcoming cryptocurrency event helped cryptocurrencies gain traction and have a day again with some profit. 

LTC is not out of the woods though. To the upside, LTC still has the descending trend line that for this week would be near $122 to $123. A level to be aware of to the upside. On the downside, Litecoin price may see a complete pairing of the gains from yesterday, and LTC retests the $104.17 marker.

LTC/USD daily chart
LTC/USD daily chart

If that would break to the downside, expect a fall beyond $100 before buyers step in again. Best case, Litecoin price can bounce off $94.43, which was a critical hand-over level on December 16. It was tested a few days later, but price action never came back down to these levels. 

Buyers thus need to be aware of the descending trend line. If that breaks, expect more buyers coming in for more upside potential toward $130 just below the weekly pivot level.

 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Ripple wipes out weekly gains, experts comment on role of Ripple stablecoin

Ripple wipes out weekly gains, experts comment on role of Ripple stablecoin

Ripple declined to $0.52 on Thursday, erasing all gains registered earlier this week. Ripple SVP Eric van Miltenburg’s comments on the firm’s stablecoin, and how it is expected to benefit the XRP Ledger and native token XRP have raised concerns among crypto experts. 

More Ripple News

Hedera HBAR slips nearly 10% after air is cleared on mistaken link with giant BlackRock

Hedera HBAR slips nearly 10% after air is cleared on mistaken link with giant BlackRock

HBAR price is down nearly 10% on Thursday, partly erasing gains inspired by the misinterpreted link with BlackRock. Despite the recent correction, Hedera’s price is up 44% in the past seven days.

More Hedera News

The reason behind Bonk’s 105% rise and if you should buy now Premium

The reason behind Bonk’s 105% rise and if you should buy now

Bonk price has shot up 105% in the past five weeks. A retracement into $0.0000216 or the $0.0000152 to $0.0000186 imbalance would be a good buying opportunity. Patient investors can expect double-digit gains from BONK that could extend up to 70%.

More Cryptocurrencies News

Injective price weakness persists despite over 5.9 million INJ tokens burned

Injective price weakness persists despite over 5.9 million INJ tokens burned

Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price. Coupled with broader market gloom, INJ token’s doomed days may not be over yet.

More Injective News

Bitcoin: BTC post-halving rally could be partially priced in Premium

Bitcoin: BTC post-halving rally could be partially priced in

Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days? 

Read full analysis

BTC

ETH

XRP