Litecoin technical analysis: LTC bears gathering pace for a break below 101.00
- Litecoin attempts a tepid bounce, but Saturday’s bearish bias remains intact
- Daily chart shows a bearish outlook over the medium-term.
The fourth most widely traded cryptocurrency, Litecoin, is back in the red zone following Friday’s dead cat bounce. The coin has lost over 2.5% over the last 24 hours and now remains exposed to further downside risks. Litecoin enjoys a market capitalization of $ 6.43B, or 2.03% of the total cryptocurrency market cap.
LTC/USD 1-hour chart
- Bears take a breather after early losses, as the 50% Fibonacci Retracement (Fib) of the latest recovery (at 101.16) offers solid support.
- The recovery appears limited by a bunch of resistances, stacked up between 103.15-104 levels, where the 10, 21 and 50 hourly SMAs coincide.
- Technical set up points to the downside opening up towards 100.00.
LTC/USD daily chart
- A potential rounding top formation is spotted on the daily sticks.
- The pattern will get confirmed once the prices close below the 100-round figure.
- A break below the last will open up the downside towards the 60/55 level over the next 3 months.
Key levels to watch
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
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