Litecoin (LTC or Ł) is a peer-to-peer cryptocurrency and open-source software project released under the MIT/X11 license. Litecoin was an early bitcoin spinoff or altcoin, starting in October 2011. In technical details, Litecoin is nearly identical to Bitcoin. Due to Litecoin's use of the scrypt algorithm, FPGA and ASIC devices made for mining Litecoin are more complicated to create and more expensive to produce than they are for Bitcoin, which uses SHA-256. Let us look at the technical analysis for LTC.
On July 06, 2021, LTC started trading at $146.81. As of July 13, 2021, the closing price of LTC was $129.77. Thus, in the past week, the price has plummeted by roughly 12%. In the last 24 hours, LTC has traded between $129.74 – $127.67.
Currently, LTC is trading at $128.32. The price is down by approximately 3% from the opening price of $130.23. Thus, the market looks bearish. Also, LTC is forming a very crucial narrow range on the daily chart. A breakout from this level will confirm the trend for LTC. A breakout from this level will lead to making new highs. But, a breakdown will confirm the bear trend and the price can test the crucial support level at $128.56.
On the daily chart, the MACD and signal lines have just moved into the negative zone. Moreover, a bearish crossover by the signal line over the MACD line can be seen. Therefore, the overall market momentum seems bearish, and we can expect the LTC price to fall for the rest of the day. Also, if the price sustains above the support level for a day or two. Then, chances for an upside movement are high.
The RSI indicator is at 41%. It is forming a bearish divergence. Thus, indicating that the selling pressures are slowly mounting. Hence, we can expect the price to fall.
Currently, the price is trading below the Fibonacci pivot point of $130.75. As some of the oscillators have shown bearish signals, we can expect the price to fall below the first Fibonacci pivot support level of $122.92 soon.
The price has tested the FIB resistance level of $139.65. If the price rises from the FIB extension level in some time, this implies that the price uptrend is strong. In that case, the price is likely to rise.