Litecoin bulls are presently struggling to maintain costs above the assist line of a bearish chart sample
Litecoin value plunged 31% throughout final week, bulls dealing with a brutal actuality because the broader market descended into the crimson. The follow-up bounce noticed patrons come near retesting the $190 zone. Nonetheless, as bulls seem exhausted, momentum is trying to shift in direction of the bears.
If this outlook holds, Litecoin’s value would possibly revisit final week’s lows. On the time of writing, the LTC/USD pair was altering fingers round $172, about 3.3% down up to now 24 hours. General, Litecoin’s value is 25% down over the previous week.
Litecoin value outlook
LTC is buying and selling under a sturdy resistance zone on the 4-hour chart, with the coin’s technical outlook indicating a possible downturn as bears search additional floor.
The general weak point within the Bitcoin market may catalyse LTC value’s vulnerability to contemporary losses, with the angle prone to strengthen if sellers push costs under $170.
LTC/USD 4-hour chart. Supply: TradingView
As might be seen on the chart, LTC/USD is under the 50 easy shifting common, whose curve is dipping to recommend a bearish bias. Costs are additionally capped inside a descending triangle sample so as to add to the bearish outlook.
The RSI and MACD on the 4-hour timeframe are additionally pointing to a possible breakdown, with the previous sloping under the equilibrium level and the latter highlighting a attainable bearish crossover because it weakens under the zero line.
If sellers handle to breach the demand zone round $160, LTC/USD may decline to lows of $147 within the subsequent few days.
On the upside, the 4-hour chart reveals that bulls face a sturdy provide zone highlighted by a number of resistance areas. The primary barrier is probably going at $178, an space marked by the 23.6% Fibonacci retracement stage of the downswing from $232 to $161.
The downtrend line, the 38.2% Fib stage ($188), and the 50 SMA ($192) are the subsequent hurdles bulls are prone to encounter if there is a swift bounce. If bulls handle to go greater, a breakout to the 50% Fib stage ($196) may open up a path to the vital $200 zone.
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