Despite a month’s bounce back from a correctional phase, Litecoin LTC is still trading in a bearish zone as it struggles with volatility. Although it shows signs of bullish, but not clear enough to initiate an entry.
During last month’s recovery across the crypto space, LTC managed to stay above the $70 level and slowly regained strength before facing a rejection at $88.
It lost momentum and later bounced back after locating another support above the $74 level last week. However, due to a lack of interest over the last two weeks, trading has remained indecisive as it moves from little to no volatility.
Technically, the bulls are trying to regain control but there’s not enough volume to bring them back. While the bullish signs are yet unclear on the daily outlook, the asset is already footing a bullish move on the 4-hour chart.
However, looking at the market structure, the correctional phase appeared to have ended from a technical standpoint. We can expect the crypto to gather some liquidity before making a run-up.
If the price drops below last month’s low as a result of a sudden collapse, we can expect a huge loss. That may put the asset back in a more downward range. As it is now, the bulls will likely gain control.
Litecoin’s Key Level To Watch
There’s a minor resistance at $84, but a weekly close above $88 could strengthen the price for more buys toward $93.1 and $100 in the upcoming weeks. Scaling through these resistance levels should validate more positive actions.
While trading well above $80, the immediate support level to watch for a drop lies at $74.6. A dip below the level could activate a liquidity run to $70.5 and potentially $68 in the future.
Key Resistance Levels: $88, $93.1, $100
Key Support Levels: $74.6, $70.5, $68
- Spot Price: $81.8
- Trend: Neutral
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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