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- Litecoin started a strong move up from the $ 41.50 support zone against the US dollar.
- The price is now trading well above the $ 50.00 level and the 100-day simple moving average.
- There has been a break above a crucial bearish trend line with resistance near $ 48.90 on the daily chart of the LTC / USD pair (data feed from Kraken).
- The bulls appear to be pointing to a major upward move towards the $ 60.00 and $ 65.00 levels.
Litecoin price is gaining momentum above $ 55.00 against the US dollar. LTC is likely to continue rising towards $ 60.00 or $ 65.00 as long as it is above the 100-day SMA.
Litecoin price is forming a strong uptrend
Recently, the cryptocurrency market has gained traction and there has been a sharp rise in bitcoin, Ethereum, ripple and litecoin against the US dollar. Previously, LTC formed a strong support above $ 41.50 in the daily time frame before starting the current rise.
A clear break above the $ 48.00 and $ 50.00 resistance levels has occurred. There has also been a break above a crucial bearish trend line with resistance near $ 48.90 on the LTC / USD daily chart.
It opened the door to further gains above the $ 52.00 level and the 100-day simple moving average. Litecoin even climbed above the $ 55.00 level, and is now testing the 50% Fib retracement level of the downward move from the $ 69.02 high to the $ 41.68 low.
Source: LTCUSD on TradingView.com
The next big resistance is near the $ 58.80 level. It is close to the 61.8% Fib retracement level of the downside move from the high $ 69.02 to the low $ 41.68. The next key resistance is near the $ 60.00 level, above which the price is likely to rise towards the $ 65.00 and $ 68.00 levels in the near term.
Dips probably supported in LTC
If litecoin fails to continue above the $ 56.00 resistance or the $ 58.80 zone, there is a chance for a downward correction. On the downside, the first major support is near the $ 52.00 level.
Major support is now forming near the $ 50.00 level and the 100-day simple moving average. Any further losses could change the trend and the price could drop towards $ 45.00 or even $ 41.50 in the next few days.
Technical indicators:
4-hour MACD – The MACD is showing positive signs in the bullish zone.
4-Hour RSI (Relative Strength Index) – The RSI for LTC / USD is currently rising and is well above the 60 level.
Major Support Levels – $ 52.00 followed by $ 50.00.
Main resistance levels: $ 58.80 and $ 60.00.
