Just when we thought that Litecoin was performing comparatively stronger in the global crypto market, it recorded a plunge below $60 in the early trading hours today. It was also anticipated that if LTC/USD slid below $60 – the major support area, it would lure a major sink then. From trading in the ‘strong buy’ phase, LTC coin has now shifted to the ‘strong selling’ zone. Also, Litecoin has no support from the daily short-term moving averages, while it seemed to have lost the ground absolutely, as per the daily moving averages.
Litecoin Price Analysis
Analyzing the intraday movement of LTC/USD on the exchange of Coinbase, we see that the coin has slid below $60 and is near to its 7-day low. The downward stride of LTC has been quite subtle and marginally volatile. Within the said time duration, Litecoin has been traded in the price range of $59.05 to $61.92, exhibiting an equal number of red and green candle formation.
Yesterday, Litecoin was initially traded at $61.50, when the narrowing of Bollinger Bands took place, and the price broke the upper band to the range at $61.92. However, as the bands widened, the candles in the price trend took an inverse turn and broke the lower Bollinger Band to trade at the major support price, i.e. $60.13. Later, the major catalyst of the LTC price trend led to a break open after moving moderately, and the red candles broke the lower band to trade at the lowest, i.e. $59.05.
All the downside breaks have led the Litecoin to trade and test the major supports. Now there has been an S/R flip which says that the major supports than have turned into major resistances like $60, $61 and beyond. If the LTC price takes a permanent downside below $60, it will turn out to be the loss-making investment in the short-term.
Technical Indicators
The MACD of LTC/USD, as observed from the intraday movement, has slid below zero after being inclined to it for a long time. However, it possesses a bullish crossover as the MACD line overpowers the signal line with a chance to grow above as it is not yet below its 7-day low.
The RSI of the Litecoin is inclined to the oversold region at 28, as it is in the strong selling zone.
