30-09-2016
11:43 am
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Litecoin Price Technical Analysis For 30/12/2015 – Ascending Channel Formation




litecoin price. newsbtc litecoin news illustration

Key Highlights

  • Litecoin price continued to struggle to clear the 100 simple moving average on the 2-hours chart (data feed from HitBTC).
  • However, there are a few positive signs noted on the 30-min chart (data feed from Bitfinex), as there is an ascending channel formed.
  • The price may trade a few points higher, as it is above the 100 MA (30-min chart).

Litecoin price struggle continues, but there are bullish signs emerging on the lower timeframe, which can be considered as an indicator of a move higher.

Ascending Channel as Catalyst

Litecoin Price Technical Analysis

We highlighted a major hurdle for Litecoin price yesterday in the form of the 100 simple moving average on the 2-hours chart (data feed from HitBTC). It continued to stall gains and prevent the upside move. However, when we look at the lower timeframe like the 30-min chart via the data feed from Bitfinex, then there are a few bullish signs emerging.

First, there is an ascending channel formed on the 30-min chart, which is acting as a catalyst for the upside move. The price recently closed above the 100 MA successfully, which is a positive sign. So, there is a chance of it trading higher and test the channel resistance trend line. A break above the channel resistance area may call for more gains and ignite an upside move towards $3.65.

Litecoin Price Technical Analysis

In order for any solid gains, we need to keep referring to the 100 MA on the 2-hours chart, as it may play a key role moving ahead. On the downside, the highlighted channel support area may prevent losses in the short term.

Looking at the indicators:

30-min MACD – The MACD is about to change the slope to bullish, pointing towards an up move.

30-min RSI – The RSI is just above the 50 level, and must hold if buyers have to take the price higher.

Intraday Support Level – $3.45

Intraday Resistance Level – $3.55

 

Charts from Bitfinex and HitBTC; hosted by Trading View

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Published by

Aayush Jindal

Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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