- Litecoin price is struggling to stay above the $42.60 support zone against the US Dollar.
- LTC price is now trading well below the $44.00 level and the 55 simple moving average (4-hours).
- There is a crucial bullish trend line forming with support near $43.05 on the 4-hours chart of the LTC/USD pair (data feed from Coinbase).
- The pair could either start a fresh increase above $44.00 or it might dive below the $42.60 support.
Litecoin price is showing a few bearish signs below $44.00 against the US Dollar, similar to bitcoin. LTC price is likely preparing for the next major move either above $44.00 or towards $40.00.
Litecoin Price Analysis
In the past few days, there was a steady decline in bitcoin, Ethereum, ripple, and litecoin against the US Dollar. Earlier, LTC price failed to clear the main $45.50 resistance area and formed a short-term top at $45.54.
It started a fresh decline and traded below the $44.00 support. There was also a break below the $43.25 support and the 55 simple moving average (4-hours). The bears gained traction and the price traded as low as $42.60.
It seems like the price is struggling to stay above the $42.60 support zone. There is also a crucial bullish trend line forming with support near $43.05 on the 4-hours chart of the LTC/USD pair.
An initial resistance is near the $43.30 level or the 23.6% Fib retracement level of the recent decline from the $45.54 high to $42.60 low. The main resistance on the upside is near the $44.00 level and the 55 simple moving average (4-hours).
The 50% Fib retracement level of the recent decline from the $45.54 high to $42.60 low is also near $44.00. If there is a clear break above the $44.00 resistance, the price could aim a retest of the $45.50 resistance area.
Conversely, the price may perhaps dive below the trend line support and the $42.60 support. In the mentioned case, the bears are likely to aim a test of the $40.00 support zone.
Looking at the chart, litecoin price is clearly trading near a crucial resistance at $42.60. It could either start a fresh increase above $44.00 or it might dive below the $42.60 support.
Technical indicators
4 hours MACD – The MACD for LTC/USD is slowly losing momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for LTC/USD is currently rising towards the 50 level.
Key Support Levels – $42.60 and $40.00.
Key Resistance Levels – $44.00 and $45.50.
