Litecoin Price Key Highlights
- Litecoin price managed to trade higher and settled above an important resistance area of $3.0.
- There was a nice upside reaction, as the price settled above the 100 simple moving average on the 4-hours chart.
Litecoin price attempt to trade higher was successful, as it moved above a major pivot of $3.20 this past week.
100 MA as support
The Litecoin price finally managed to move higher this past and the $2.80 support area proved very helpful for buyers. The upside move was strong, which pushed the price above a bearish trend line on the 4-hours chart. The price also settled above the 100 simple moving average (4H). In short, the upside move was very convincing this past week in the Litecoin price. The price traded as high as $3.20 where sellers appeared to prevent any additional upsides.
The price is currently correcting lower, and trading near the 50% Fib retracement level of the last leg from the $2.75 low to $3.20 high. So, the current price holds a lot of importance and might prevent losses. If sellers continue to take the price lower, then the next support is around the 61.8% fib level, which also coincides with the 100 MA. Any additional losses could easily take the price towards the broken trend line, which may act as a support area in the near term. If sellers gain control, then the last swing low of $2.75 might also be tested where buyers could appear to prevent downsides.
On the upside, an initial resistance is around the $3.10 level. A break above it could take the price towards the last high of $3.20.
Intraday Support Level – $2.90
Intraday Resistance Level – $3.10
The 4H RSI has moved below the 50 level, which is concern for buyers in the short term.
Charts courtesy of Trading View