Litecoin Price Key Highlights
- Litecoin price continued to gain bids and traded higher above a major resistance area of $3.60.
- An initial buy target was achieved, as our buying idea worked well.
- Moving ahead, we may consider buying dips as there are a lot of bullish signs emerging on the hourly chart (data feed from HitBTC).
Litecoin price surged higher and traded above a major hurdle, which means there is a possibility of more gains in the near term.
Litecoin price continued to move higher and currently showing a lot of positive signs. As highlighted in yesterday’s post, we were looking to buy Litecoins. The idea worked well, as the price traded higher. The best part was the fact that the price also settled above a major resistance area of $3.60. It means the bulls are here to stay and if they remain in control, then more gains are possible moving ahead.
The price traded as high as $3.67 if we look at the hourly chart with the data feed from Bitfinex. If the price corrects lower from the current levels, then an initial support can be around the 38.2% Fib retracement level of the last leg from the $3.36 low to $3.67 high. However, the most important support is around the 50% Fib retracement level, as the 100 hourly simple moving average is positioned around it.
The only negative sign for bulls is a bearish trend line formed on the 2-hours chart (data feed from HitBTC). The highlighted trend line and resistance area may stall gains. A break above it could ignite more upsides in the short term.
Looking at the indicators:
Hourly MACD – The hourly MACD is in the bullish zone, which is a bullish sign.
Hourly RSI – The RSI is above the 50 level, suggesting more gains ahead.
Intraday Support Level – $3.55
Intraday Resistance Level – $3.70
Charts from Bitfinex and HitBTC; hosted by Trading View