Key Takeaways:
- Litecoin price started a strong increase above the 0.0040BTC resistance zone.
- LTC/BTC is trading inside a contracting triangle with resistance near 0.0048BTC on the daily chart.
- The price could resume its increase unless there is a clear move below the 0.0044BTC support.
New Delhi(CoinChapter): Litecoin’s LTC price gained bullish momentum above the 0.0400BTC zone. It is consolidating gains and might eye more upsides against bitcoin.
Litecoin (LTC) Price Could Resume Increase Vs Bitcoin
In a last Litecoin vs bitcoin analysis, we saw a strong move above the 0.0030 level. LTC/BTC climbed above many key hurdles near 0.0035 to move into a positive zone.
The bulls gained strength and even pumped the price above the 0.0040 level. Finally, the price surpassed the 0.0045 level and settled well above the 50-day simple moving average (blue). It traded as high as $0.0050 and recently started a minor downside correction.
Litecoin’s price daily chart | Source: LTCBTC on TradingView.com
The price declined below the 0.0048 support level. However, the bulls are currently active near the 23.6% Fib retracement level of the upward move from the 0.0026 swing low to 0.0050 high.
LTC price is now trading inside a contracting triangle with resistance near 0.0048BTC on the daily chart. It seems to be facing resistance near the 0.0047BTC level. The next major resistance is near the 0.0048 level and the triangle trend line.
A clear move above the 0.0048 resistance could start a fresh increase. In the stated case, the price may perhaps revisit the 0.0050 high. Any more gains might open the doors for a move towards the 0.0062 zone.
Downside Correction?
If there is no upside break above 0.0048BTC, litecoin price might correct lower. On the downside, there is a strong support forming near 0.0044 and the triangle lower trend line.
A downside break below the triangle support might send the price towards the 0.0383 support. It is near the 50% Fib retracement level of the upward move from the 0.0026 swing low to 0.0050 high. The next major support could be near the 0.0037 level, below which the price may perhaps decline towards the 0.0032 support area.
Overall, litecoin price seems to be consolidating gains above the 0.0045 level versus bitcoin. If the bulls pump the price above the 0.0047 and 0.0048 levels, LTC could restart the rally. Conversely, there might be a fresh decline towards the 0.00383 support zone or even 0.0037.
