Key Takeaways:
- Litecoin price started a fresh increase above the 0.0035BTC resistance zone.
- LTC/BTC cleared a major bearish trend line with resistance near 0.0030BTC on the weekly chart.
- The price is now facing a major hurdle near the 0.0050BTC and 0.00512BTC resistance levels.
Litecoin’s LTC price rallied this month above the 0.0030BTC zone. It is now facing resistance near 0.0050BTC resistance and might correct gains.
Litecoin (LTC) Price Rally Could Pause Vs Bitcoin
In a recent litecoin analysis, we saw a strong move in LTC and how it outperformed bitcoin and etheruem. LTC/BTC also remained well bid above the 0.0020 level and started a steady increase.
There was a strong upward move above the 0.0025 and 0.0030 resistance levels. There was a clear move above a major bearish trend line with resistance near 0.0030BTC on the weekly chart. The bulls even pumped the price above the 0.0032 resistance and the 50-week simple moving average (blue).
Litecoin’s price weekly chart | Source: LTCBTC on TradingView.com
The price even moved above the 0.00470 resistance zone. Finally, there was a spike above the 50% Fib retracement level of the downward move from the 0.0072 swing high to 0.00171 low.
Litecoin price is now facing resistance near the 0.0050BTC level. The next major resistance is near the 0.00512 level. It is near the 61.8% Fib retracement level of the downward move from the 0.0072 swing high to 0.00171 low.
A clear move above the 0.0051 resistance could push the price further higher. In the stated case, the price may perhaps revisit the 0.0071 high. Any more gains might open the doors for a move towards the 0.0080 zone. Finally, the price could jump and test the 0.010 resistance if the bulls remain in action.
Downside Correction?
If there is no upside break above 0.0050BTC, litecoin price might correct lower. On the downside, there is a strong support forming near 0.0040.
The main support seems to be forming near the 0.0030 level and the 50-week simple moving average (blue). If there is a downside break below the 0.0030 support, the price might turn bearish. The next major support could be near the 0.0020 level, below which the price may perhaps decline towards the 0.0015 support area.
Overall, litecoin price rally seems to facing a major hurdle near the 0.0050 level versus bitcoin. If the bulls pump the price above the 0.0050 and 0.0051 levels, LTC could gain bullish momentum. Conversely, there might be a fresh decline towards the 0.0040 support zone or even 0.0030.
