Litecoin saw a notable 10% weekly drop in the latest dip and lost a key level. While the trend looks highly bearish on the daily chart, it has seen a slight increase in the past hour.
Last week was a bit calm for Litecoin as it stayed in a consolidation phase after undergoing a slight recovery in July. It attempted to break higher on Tuesday but the price was quickly rejected at $77.
This rejection triggered a drop and the price fell significantly under the key $70 level. It tested a low of $63.1 today but the price has retraced briefly to where it is changing hands at around $66 at the moment.
The hourly price retracement looks very choppy due to low buying volume. If the bulls take advantage of this small increase, we may see a buyback above the lost key level in the coming week. But currently, the demand level is low.
A close look at the market suggests that the bears are currently taking a short break. If they resume pressure, possibly in the next 4-hour candle close, we can expect more selling pressure in the market.
It is too early to start considering a bullish move as there’s no sign of a major change in the price. LTC is yet to bottom out on the daily chart. A bounce above the $90 level should signal a short-term shift in the market structure. But as it stands, the bears are currently in control.
LTC’s Key Level To Watch
Source: Tradingview
Litecoin’s bears are still eyeing the $61.5 and $56.9 supports. If they reclaim these supports, the next drop level to watch would be $52.
In case of a recovery, the resistance level to watch right now is $67.5. If the bulls push above this resistance, the next level for recovery would be $71 and $77.
Key Resistance Levels: $67.5, $71, $77
Key Support Levels: $61.5, $56.9, $52
- Spot Price: $66
- Trend: Bearish
- Volatility: High
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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