- Litecoin down by 8.51 percent as altseason under threat
- Bearish divergence on LTC/USD chart engulfs daily bullish Litecoin price prediction
- Technical indicators reaching oversold levels as mounting bear pressure weakens
Litecoin price prediction follows a broader decline in altcoins
Litecoin, just like every other altcoin, is currently undergoing correction after surging to fresh annual highs near $94. The bearish movement has engulfed the entire altcoin realm. The hourly chart of LTC/USD is painted red, and the pair has found support near the $69 low. The momentum and price are showing a bearish divergence.
The price is now stabilizing near the lower Bollinger Band at $70. The bulls are in a tussle as they try to take over the price action and stall the ongoing bear rally. The bulls must display intense buying action near the $70 support region to stage a comeback. The liquidity pocket at $70 must be boosted to mark a recovery candlestick pattern.
It looks like that the day will close under $75, meaning there can be deeper correction going ahead. The broader altcoin decline will not help either. Any change in trend will come from BTC/USD as the altcoins typically rise once BTC bull run exhausts.
Litecoin price movement in the last 24 hours – Bears are in the driving seat
The day began with red candles on the hourly charts, and it only got worse. The selling pressure intensified post the afternoon session, and the price slid towards the $64 low. Since then, the price has staged a bounce back and managed to climb within the Bollinger Bands.
Meanwhile, the overstretched Bollinger Bands are in no mood to contract anytime soon. The RSI and MACD are deeply in the oversold region. The bearish divergence started emerging on the hourly charts once the price hit $93.59. The first support at $85 was breached with ease, and bears took rest near the $80 level. As volumes started increasing, the pair restarted its journey downwards and this time with much more ferocity taking Litecoin price prediction down with it.
The sellers took the price outside the Bollinger Bands and deep under $70 support. Bearish momentum exhausted only when the price touched a low of $64. The price is finding support near $70 support as bulls have started buying activity.
LTC/USD 4-hour chart – Signs of bullish recovery emerging
Litecoin price prediction is now slowly emerging out of the woods. The price has found a decent support near significant support at $70, the 38.2 percent Fibonacci retracement. The first significant resistance lies near the $83.48 level. Of course, the pair would require support from the broader altcoin market.
Barring any extended selloff, the pair will likely resume its long-term bullish Litecoin price prediction, which targets $100. The 4-hour chart shows major resistance at $90, where bears can again build a selling momentum. If bulls can muster up volumes, the price will find next resistance at $96.27.
The technical indicators are not supporting the bullish Litecoin price prediction. The RSI and MACD are flashing red signals, but both are deep within the oversold territory. The pair will have to break out from the bearish wedge pattern that threatens to derail the price in the future. Bulls must close the pair above $74, where the 20-day EMA lies to show their comeback. Persistent stay below $70 will reflect that the daily bullish momentum is weakening.
Litecoin price prediction – All eyes on Bitcoin as altcoins decline
As altseason comes under threat, all eyes are on BTC performance. Analysts have predicted the recent 10 percent decline in Bitcoin after BTC/USD rose to fresh annual highs. The parabolic rally meant that all the technical indicators were far overbought, and a correction was within sight.
The current decline in BTC kickstarted the bearish rally in altcoins. Most of the altcoins, including Ripple and Ethereum, are down from their annual highs. However, a correction can be healthy as it displays the maturity of the rally and removes the deadwood. The LTC/USD pair has paused near the $70 mark and is now staging a minor comeback.
However, Litecoin price prediction will not turn bullish unless the pair closes above the $75 level. Also, bulls will have to be quick in staging a comeback rally; otherwise, they can encounter selling pressure near the $93 level. The RSI and MACD are ripe for a recovery phase after touching deeply oversold levels.
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