Litecoin trades flat amid the current indecisiveness across the crypto sector. It dropped by 1% today but the price keeps contracting in a symmetry triangle as breakout lurks around the corner.
Just a few minutes after the opening of the New York session, Litecoin’s price saw a sudden spike, cutting a dollar from its price and quickly recovered back to its trading level. This action alone brought the price to a daily low of $86.
In retrospect to the recent spike, the price is still trading well in a 4-hour symmetry triangle with no strong attempt to break away. The setup looks weak on the daily chart with an impending bearish continuation.
Although there’s no clear sign for that now. But it is important to pay close attention to recent price movements. Of course, the price could bounce from the current trading level if the bulls show a strong interest.
The triangle pattern on the 4-hour chart, however, indicates indecisiveness – waiting for a notable break occurs to signal the next direction. This relies wholly on Bitcoin’s next move as it remains the major driver of the entire crypto sector.
Having said that, the $84 level is held as solid support and has been able to contain selling pressure for the past two weeks. A break or make at this crucial level will determine the next major price movement for Litecoin. However, it is still trading relatively cheap from its all-time high.
Litecoin’s Key Price Level To Watch
Let’s look at the potential levels to consider for price movement in the future. Losing the mentioned support level will most likely pave the way for selling towards $86 and $84. More lows may come around $81 and $80 if the price dips further.
If LTC bounces strongly above this support, surpassing the triangle’s resistance, the immediate level to keep an eye on is $90, followed by $94. The next level for recovery lies at $97.3 and perhaps $100 if the price advances higher.
Key Resistance Levels: $90, $94, $97.3
Key Support Levels: $86, $84, $81
- Spot Price: $87.6
- Trend: Neutral
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
Image Source: Photo by Kanchanara on Unsplash // Image Effects by Colorcinch
