- LTC/USD is under pressure due to profit taking.
- The coin may continue moving downwards from overbought territory.
It looks like Litecon has run out of luck. The coin is down over 6% on a day-over-day basis amid massive profit-taking. LTC/USD retreated from the recent high registered at $47.36 to trade at $42.54 by the time of writing.
On the intraday level, the coin is supported by $41.58, created by SMA100 (1-hour). This area stopped the downside earlier on Monday, though, once it is cleared, the sell-off may be extended towards psychological $40.00, followed by SMA200 at $37.53. The next support is created by DMA200 at $34.81.
The Relative Strength Index (RSI) on the 1-hour chart is flat near the oversold level, which implies that the coin may start recovery with the initial aim at $44.30 (SMA50). A sustainable move higher will bring the recent high back into focus. However, the ultimate target is seen at $47.00 with DMA100 located marginally above that level. Litecoin hasn’t been trading above DMA100 since July 5, which means that this barrier is likely to hold the first bullish assault.
Considering that the Relative Strength Index has reversed to the downside moving out from overbought territory, the further upside may be limited at this stage.
Litecoin is one of the growth leaders of the previous week. The coin gained over 26% in recent 27 days on Beam partnership news and touched the levels not seen since November 2018.
LTC/USD, 1-hour chart
BEST BROKERS TO TRADE CRYPTO
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.