- LTC / USD gained 5.6% on a daily basis, strong resistance ahead
- The founder of Litecoin states that hat dealers and funds deliberately create FUD around Litecion.
Litecoin, the seventh-largest digital asset with a market value of $ 3.3B, is changing hands at $ 57.24 with gains of 5.6% on a day-to-day basis. The average daily volumes of coin trading are set at $ 265 million, which is in line with the long-term average. Litecoin continued to recover on Thursday from the bullish run by altcoin led by XRP. While the tide goes up all the boats, the moment may not be strong enough to push LTC above the next critical resistance at $ 59.38 (DMA50) and $ 60.00.
Litecoin Technical Framework
As is clearly visible on a 4- hour chart, Litecoin's recovery is limited by the SMA200 currently at $ 57.54). The price remains below this line since September 5, while numerous attempts to break it during the previous week have proved useless. If positive feelings on the cryptocurrency markets help push LTC / USD up, the aforementioned $ 59.38 (DMA50) and $ 60.00 will come into focus.
On the negative side, local resistance is created from $ 55.33 (SMA100, 4 hour chart) and $ 54.99 (SMA50). Once this zone is cleared, the sell-off could be extended to the short-term uptrend line at $ 52.00.
Charlie Lee queries some myths litecoin
The founder of Litecoin and cryptic enthusiast Charlie Lee declared that the coin fell victim to deliberate the manipulation of prices by some funds and traders.
"Recently, there has been a concerted effort to suppress the price of Litecoin by people / funds that are surrendering LTC and groups that see Litecoin as a threat, I will explain this FUD and show why Litecoin has a huge value, "he wrote in his Twitter account.
He explained that the Litecoin network is one of the safest and most reliable of all the other altcoins, while the claims that the "digital" silver "had lost its luster were only FUD.
Mr Lee also empathized that Litecoin is one of the most liquid currencies listed on all major stock exchanges around the world and accepted by numerous traders.
"Litecoin has a lot of liquidity, which is important for people getting in and out of LTC. It is practically in every fiat and crypto exchange (soon Gemini), even more than the ETH. "
He also pointed out that Litecoin functions as a decentralized form of money that can be censored or devalued.The network worked perfectly for seven years, processing transactions for over $ 200 million on a daily basis.