Analysis

Charted: Litecoin Settles Above $100, Why LTC Could Rally Further Above $110

Litecoin price started a strong rally above $ 90.00 and $ 100.00 against the US Dollar. LTC is consolidating gains and it could rally further above $ 110.00.

  • Litecoin started a strong surge above the $ 90.00 and $ 100.00 resistance levels against the US Dollar.
  • The price tested the $ 110.00 resistance zone and it settled above the 100 simple moving average (4-hours).
  • There was a break above a crucial declining channel with resistance at $ 80.00 on the 4-hours chart of the LTC/USD pair (data feed from Kraken).
  • The price traded as high as $ 112.76 before it started consolidating gains.

Litecoin Price Rallies 20%

In the past 2-3 days, there was a strong increase in bitcoin, Ethereum, ripple and litecoin against the US Dollar. LTC price formed a major support base near the $ 72.00 level before starting a fresh increase.

To start the recent rally, there was a break above a crucial declining channel with resistance at $ 80.00 on the 4-hours chart of the LTC/USD pair. The pair broke the $ 90.00 and $ 100.00 resistance levels. There was also a close above the $ 100.00 level and the 100 simple moving average (4-hours).

It even spiked above the $ 110.00 level and a new monthly high was formed near $ 112.76. The price is currently consolidating gains above the $ 100.00 level.

Litecoin Price

Source: LTCUSD on TradingView.com

There was a minor dip below the $ 105.00 level. The price even traded below the 23.6% Fib retracement level of the upward move from the $ 78.88 swing low to $ 112.76 high. However, the price is finding a strong support near the $ 100.00 level.

The next major support is near the $ 95.00 zone. It is close to the 50% Fib retracement level of the upward move from the $ 78.88 swing low to $ 112.76 high. On the upside, the $ 110.00 level is a key hurdle. A close above the $ 110.00 level may possibly set the pace for a move towards the $ 125.00 and $ 130.00 levels.

Dips Supported in LTC?

There could be limited downsides in litecoin below the $ 100.00 level. The first major support is forming near the $ 95.00 level.

Any further losses may perhaps send the price towards the $ 90.00 support in the coming sessions. The next major support is near the $ 92.00 zone.

Technical indicators:

4-hours MACD – The MACD is slowly losing momentum in the bullish zone.

4-hours RSI (Relative Strength Index) – The RSI for LTC/USD is currently correcting lower from the oversold zone.

Major Support Levels – $ 100.00 followed by $ 95.00.

Major Resistance Levels – $ 110.00 and $ 125.00.

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Technical analysis – NewsBTC

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