Can Litecoin (LTC) rise through support?
Litecoin (LTC) price has declined since July 2023 and has returned to long-term support levels this week.
The price rose yesterday, forming a silver candlestick on the daily time frame.
Litecoin returns to support
Technical analysis from the weekly time frame shows that the LTC price has fallen after reaching a high of $115 in July 2023. The cut fell to $56 in August.
After a brief swing and drop, LTC price has made a higher low (green icon) last week.
Litecoin price has a long-term uptrend support trend line and horizontal area in place since June 2022 that acts as support and resistance.
Traders use the RSI as a momentum indicator to assess whether the market is overbought or oversold and whether to stock or sell an asset.
If the RSI reading is above 50 and the trend is up, the bulls still have an advantage, but if the reading is below 50, the opposite is true. The weekly RSI is at 50, a sign of an indeterminate trend.
Read more: 7 Best Litecoin (LTC) Wallets for 2023
What are the analysts saying?
Cryptocurrency traders and analysts have a mixed view of the future LTC price trend on X.
Joao Devesa believes that the price of LTC will increase significantly soon as a long-term pattern may be formed.
However, the diamond hands are bearish. It mentions two ascending parallel channels, from which breakouts can trigger downward movements.
Read more: How to buy Litecoin (LTC) in 4 easy steps
LTC Price Forecast: Further Fall or Trend Reversal?
Similarly to the weekly time frame, the 2-day chart does not confirm the direction of the trend. However, the number of waves is inclined. Elliott Wave Theory involves the analysis of recurring long-term price patterns and investor psychology to determine the direction of a trend.
The most predictable wave count suggests that the price has completed a five-wave upward movement and ABC correction structure since June 2022.
If so, Litecoin has started another upward movement (white) in September 2023. If these upward movements are of the same length, LTC will increase by 80% and reach the next resistance at $122.
Despite this huge LTC price forecast, a drop to the $57.30 (red) low from September 2023 will invalidate the bullish count. Then LTC could fall 30% to the nearest support at $48.
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Disclaimer
In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be construed as financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
