Litecoin has seen a significant increase in price, rising over 10% and currently trading above $105 against the US Dollar. This upward trend suggests that LTC may have the potential to continue its climb towards the $120 resistance level in the near future. One key indicator of this positive movement is the fact that Litecoin is now trading above $105 and the 100 simple moving average (4 hours). Additionally, there is a key bullish trend line forming with support at $101.50 on the 4-hour chart of the LTC/USD pair, as reported by data feed from Kraken. This trend line indicates that there may be further room for growth unless the price breaks below the $100 support level.
In recent days, Litecoin has demonstrated a remarkable outperformance compared to Bitcoin and Ethereum. After establishing a base above the $80 level, LTC experienced a significant increase in price, surpassing the $88 and $95 resistance levels. With strong bullish momentum, the price even crossed the $100 mark. This surge was further supported by a move above the 76.4% Fib retracement level of the downward movement from the $105.71 swing high to the $77.00 low. As a result, a new multi-week high was reached at $112.49, and the price is now consolidating its gains.
Looking ahead, Litecoin appears to have the potential to continue its upward trajectory towards the $120 and $122 price levels. Further gains could potentially propel LTC towards the $132 resistance zone. However, if the price fails to surpass the $105 resistance level, a downside correction could occur. In such a scenario, initial support lies near the $105 mark, followed by the critical $100 level. Should the price dip below $100, there is a risk of a downward move towards the $95 support, with the possibility of further losses leading to the $88 support level.
The technical indicators for Litecoin present a mixed outlook. The 4-hour MACD is currently gaining pace in the bullish zone, suggesting potential upward momentum. Similarly, the 4-hour RSI (Relative Strength Index) for LTC/USD is above the 65 level, indicating a bullish sentiment. Key support levels for Litecoin are identified at $105 and $100, while major resistance levels are seen at $115 and $120.
Litecoin’s recent price increase and positive technical indicators point towards a promising outlook for the cryptocurrency. With the potential for continued growth towards key resistance levels, LTC has positioned itself as a strong contender in the digital asset market. However, as with any investment, there are inherent risks involved, and it is advisable for individuals to conduct thorough research and exercise caution when making investment decisions.