Connect with us

Analysis

Litecoin [LTC/USD] Technical Analysis: Bears are starting to fall asleep, as bulls try to make a comeback

Published

on

Litecoin [LTC/USD] Technical Analysis: Bears are starting to fall asleep, as bulls try to make a comeback
Source: Unsplash

Litecoin has collapsed massively in the recent sell-off causing the prices to reach $33 and the market cap $2.02 billion. In a 7-day time frame, Litecoin has collapsed by 30%.

The trading volume in a 24-hour time frame is $545.44 million which is contributed mostly by DOBI Trade exchange [11.85%] with the trading pair LTC/BTC. DOBI Trade is followed by OKEx which contributes 16% with trade pairs LTC/USDT and LTC/BTC.

1 Hour

Source: Trading View

The downtrend in the one-hour chart extends from $49.78 to $33.88, while there is a small uptrend from $31.68 to $33.35. The previous supports have been shattered, the support for Litecoin is currently set up at $31.40. There are four resistance points set up starting from $35.29 and extends up to $43.30.

The Parabolic SAR markers are formed above the candles indicating a bearish trend.

The MACD shows a surprising bullish trend emanating from November 20. The same can be interpreted with the MACD histogram.

The Awesome Oscillator shows a bullish crossover as the green lines have shifted from the bottom of the zero line to the top.

1 Day

Source: Trading View

The downtrend for Litecoin in the larger time frame ranges from $125 to $41.85, with no uptrend in sight. The prices amidst the bear market have shattered all existing supports. The resistance points are set up at $63.11, $67.75, $88.99, and $101.11.

The Bollinger Bands are undergoing an expansion and the prices have fallen below the simple moving average and into the oversold zone.

The Relative Strength Indicator has dipped deep into the oversold market. There is a small reversal occurring and can be seen in the one-day chart.

The Relative Vigor Index shows a bearish crossover which is underway.

Conclusion

The MACD and the Awesome Oscillator indicators in the one-hour chart indicates a bullish trend while the SAR indicators show a bearish trend. The one-day chart as indicated by Bollinger Bands, RSI and RVGI show a bearish market for Litecoin.



Follow us on Telegram | Twitter | Facebook



Akash is your usual Mechie with an unusual interest in cryptos and day trading, ergo, a full-time journalist at AMBCrypto. Holds XRP due to peer pressure but otherwise found day trading with what little capital that he owns.

Trending