Litecoin price extended declines below the $75.00 level against the US Dollar. LTC/USD is currently trading near a crucial support, which could spark an upward correction.
Key Talking Points
· Litecoin price extended decline a few points and traded below the $75.00 level (Data feed of Kraken) against the US Dollar.
· This week’s followed crucial bearish trend line is intact with resistance at $75.80 on the hourly chart of the LTC/USD pair.
· The pair is likely to correct higher as long as it is above the $74.50 support area.
Litecoin Price Forecast
There was no major upside correction above $78.00 in litecoin price against the US dollar. The LTC/USD pair resumed its slide and even broke the $75.00 support to trade to a new weekly low.
Looking at the, the price traded as low as $74.84 and is currently trading in a bearish zone. On the downside, there is a significant support near $74.50, which is also a pivot level.
On the upside, an initial resistance is near the 23.6% Fib retracement level of the last drop from the $79.22 high to $74.84 low. More importantly, this week’s followed crucial bearish trend line is intact with resistance at $75.80 on the hourly chart of the LTC/USD pair.
It seems like the price is likely to break the trend line resistance and $76.00 to start a recovery. The next resistance is near the 50% Fib retracement level of the last drop from the $79.22 high to $74.84 low at $77.03.
To recover further, the price has to break the $77.00 and $78.00 resistance levels. However, above $78.00, recoveries could be limited. If the price declines once again, it may trade below the $75.00 and $74.84 levels.
However, the $74.50 level is a crucial support, where litecoin buyers may well take a stand. Should they fail to defend $74.50, litecoin price may perhaps extend the current decline towards the $72.00 and $70.00 levels in the near term.
The market data is provided by TradingView.