Litecoin (LTC) price recovery support
Litecoin (LTC) price failed to sustain a break above the long-term horizontal level and returned to short-term support.
Will the price of Litecoin rise or break and fall with this support? Let's find out!
Litecoin struggles to maintain its growth
In the weekly time-frame analysis, the Litecoin price shows a drop below the downward resistance trend line from April 2021, which will drop to $40 in June 2022.
An upward move in June 2023 resulted in a breakout from the trendline, but the rise was short-lived (red circle), resulting in a drop below the trendline. Another upward move for LTC occurred in October, leading to a breakout from the trend line in early November.
LTC price confirmed the trend line as a support level (green icon) and started an upward journey last week. However, this increase was also short-lived, and the price decreased again this week.
Traders in the market use relative strength (RSI) as a momentum indicator to identify overbought or oversold conditions, helping in the decision-making process of buying or selling an asset.
RSI readings above 50 and an upward trend indicate a favorable position for the bulls, while readings below 50 indicate the opposite. Currently, the RSI stands at 50, showing an uncertain trend.
Read more: 7 Best Litecoin (LTC) Wallets for 2023
What are the analysts saying?
Cryptocurrency traders and analysts at X are bullish on the future LTC price trend.
Xero Crypto has suggested that GreyScale's Litecoin trust is running the altcoin front and that the price of LTC will soon catch up. He tweeted:
Grayscale $LTC Trust is valued at over $100 per coin. Now is the time to finalize the place value.
JoaoDevesa believes that the price of LTC will outperform Bitcoin (BTC) because it has diverged from a descending wedge pattern.
Fernando Sperandio has a similar mindset but has devised a reverse head and shoulders pattern for the future trend.
Read more: How to buy Litecoin (LTC) in 4 easy steps
LTC Price Prediction: Breakout or Crash?
The daily time limit also offers unlimited reading. This is due to price action and RSI readings.
Although the price of LTC broke out of the descending resistance trend line and the $68 resistance area, it failed to sustain the rally. The price has fallen since December 9th, breaking above the $76 horizontal resistance area. Now, it has reached the $68 support.
Like the weekly time frame, the daily RSI is at 50, so it gives an indeterminate reading. As a result, the reaction to the $68 area will determine the future trend.
If the price of Litecoin breaks below $68, it may drop by 18% to the next support at $58. However, if LTC hovers above $76 and breaks, a 30% rise to the next resistance at $92.50 is expected.
Read more: Best 9 Telegram Channels for Crypto Signals in 2023
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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.
