Litecoin Technical Analysis: LTC/USD double digit gains for bulls
Litecoin price storms ahead leading recovery in crypto market.
LTC/USD bulls broke out from a range-block which had been containing the price near-term at yearly lows, rallying as much as 30% from Monday.
Resistance is seen heading into the $31 mark.
Litecoin has been the market leader from Monday with gains in excess of 30% spurred on initially by news that it had exceeded Bitcoin Cash’s market capitalisation which encouraged buying in the cryptocurrency unit and started a rally right across the board. The entire market has seen a considerable recovery following the drop below $100 billion last week. At the time of writing the market capitalisation is standing at $119 billion.
Litecoin has traded intraday lows of $27.70 while on the upside, the asset has traded intraday highs of $30.50. In the recent declines, LTC/USD broke below the range support at $23 - $25.00 and formed a low at $22.57 before starting the current recover over the past few sessions.
The bounce from the above mentioned low overcame the support turned resistance at $25.00 paving the way for growth above the hourly simple moving averages (both the 100 MA and the 200 MA), see chart.
The cryptocurrency market spiked on Monday as assets added significant gains. The bulls have comeback for revenge after being battered for more than four weeks. Litecoin leads the recovery with gains towards 30%. The cryptocurrency unit is testing the resistance at $30.00 at the time of writing. Hourly technical indicators on the chart show that the price will continue to correct higher in the coming hours, with moving averages and oscillators flashing strong buy signals. The RSI is currently in the overbought regions while the MACD is heading upwards towards 1.00.
Litecoin Technical Analysis: LTC/USD bulls need to break $31 area
LTC/USD running into strong resistance towards $31
Next major topside target towards $33.50-$35.00
Bulls supported for now by ascending trend line towards $27.80
LTC/USD Hourly chart - Price up 30% from lows:
LTC/USD: As written here on Monday, Litecoin remains a buy on dips despite hitting our first profit target at $27.50 (10% return) with our second profit target now in sight at $33.50. From an hourly perspective LTC/USD has broken above the 100 & 200 hour MA’s around $23-$24 respectively with the 100 crossing through the 200 hour MA with both lines now providing support to price. Range block support is now seen towards $27.80, LTC/USD remains a buy on dips towards this zone. Only a move back below support at $23 will negate the bullish outlook.
Technical Analysis Summary: Buy
Moving Averages: Strong Buy
Support 1: $28.70
Support 2: $27.80
Resistance 1: $31.58
Resistance 2: $33.53